With government shutdown 'increasingly likely,' memo tells RI state agencies to prepare

PROVIDENCE – With the clock ticking down on a potential federal government shutdown of unknown duration or scope, the head of Rhode Island's Office of Management & Budget has issued a memo asking state agencies that rely on federal funds to prepare.

"As of today, Congress has yet to enact appropriations for Federal Fiscal Year (FFY) 2024, beginning on Oct. 1, 2023. The approaching deadline renders a federal government shutdown increasingly likely," state OMB Director Brian Daniels wrote state agency and program administrators in a memo that went out Tuesday.

"We have consulted with several agencies with significant federal funding, and, at this point, we do not expect major and immediate disruptions to essential services, though we await additional federal guidance to understand the full scope of impact," he wrote.

More: A government shutdown is looming. Here's how it could affect Rhode Island.

"Notably, if a shutdown occurs, we will not know how long it might last. Given this uncertainty, we urge all state agencies to take appropriate measures to prepare for a possible shutdown," such as drawing down federal funds immediately and, where possible, "adjust[ing] timelines for federally funded projects that may require federal approval."

"We understand that guidance on the status of various federal programs following a shutdown is still emerging, and we also recognize that many agencies are finalizing their FY 2025 state budget requests for submission this week," Daniels wrote.

"For these reasons, we request that you reply with whatever information is readily available," he wrote.

"For example ... in previous shutdowns, state employees funded through federal programs continued to report to work, at least in the short term. We expect to have additional guidance – particularly regarding personnel and contracts/procurement – as we learn more about the scope and duration of a possible shutdown," the memo states.

What are state agencies being asked to do to prepare for a government shutdown?

Amid the uncertainties, Daniels asked the administrators of state agencies and programs that rely on federal funds to "identify critical and time-sensitive risks and mitigation recommendations" by Thursday.

More specifically, he asked them to:

  • Produce "an assessment of risks specific to your agency, focusing on those materializing within the first 30 days of a potential shutdown."

  • "List the major federally funded programs administered by your agency ...[noting] which at-risk programs, if any, provide direct services or benefits to members of the public. When possible, please describe the affected groups and/or number of people impacted, weekly/monthly spending estimates, and any other information needed to assess impact."

  • "Highlight programs at risk due to discretionary status, expiring authorization, and/or depleted appropriations."

  • "Propose strategies to minimize the potential impact of the shutdown on your department’s operations and Rhode Islanders."

This article originally appeared on The Providence Journal: Rhode Island agencies preparing for 'likely' government shutdown