People in New York City look at a sign informing them that the Statue of Liberty is closed on Oct. 1, 2013, due to a government shutdown. (Photo by Spencer Platt/Getty Images)
Arkansas’ higher education institutions and the state’s education department have not been immediately impacted by the government shutdown, but officials said they’re preparing to make adjustments as needed.
Payroll for some employees at the University of Arkansas’ Fayetteville campus may be affected by the shutdown, but any furloughs would pertain to federal employees or positions that are federally funded with no alternative funding source available, Director of Media Relations and Core Communications John Thomas said Monday.
“Our units have been asked to provide alternate university projects and funding options (other than state funding which may not be used for this purpose) for employees in positions tied to active federal research grants ahead of the next payroll deadline, so at this time we do not plan to furlough employees,” Thomas said in an email.
Gov. Sarah Huckabee Sanders directed state agencies last week to prepare to furlough employees fully or partially funded by federal money ahead of the government shutdown that began Oct. 1. Arkansas state agencies furloughed nearly 250 employees last week as a result of the federal government shutting down, the Arkansas-Democrat Gazette reported Monday.
Arkansas State University has had “no immediate impact from the shutdown,” Chief Marketing and Communications Officer Todd Clark said Tuesday.
“If federal dollars remain available or have already been received, A-State employees will not be placed on furlough,” Clark said. “Our institutions will continue to lawfully access and utilize those funds.”
Regarding student loans and financial aid, Thomas said University of Arkansas Fayetteville officials are expecting some delays to Army and Air Force ROTC students’ living stipends and tuition awards. Meanwhile, the University of Arkansas at Little Rock had not seen any impact on federal aid as of Monday, according to Assistant Vice Chancellor of Enrollment Management Jonathan Coleman.
“Payments for loans and grants will continue, and we can continue paying work study employees,” Coleman said.
Grants at UA Little Rock were under contract so no stop orders had been received as of Monday, Vice Provost of Research Brian Berry said.
At the University of Central Arkansas, there’s been “no discernible impact on any grant funding or student financial aid,” and the Free Application for Federal Student Aid (FAFSA) portal was still functioning as of Monday, according to Director of Media Relations Tiffany Head.
As the shutdown is “a very fluid situation,” Thomas said the University of Arkansas Fayetteville is providing updates on contingency plans from federal agencies and state and UA System guidance for its research community on its website.
At the state level, the Arkansas Department of Education “has sufficient funding for programs and salaries at this time,” Public Information Coordinator Rachel Starks said Tuesday.
“We are monitoring the situation. If the shutdown is prolonged, we will make adjustments,” Starks said.
Education Secretary Jacob Oliva told lawmakers Monday that an extended government shutdown could further exacerbate challenges with the School Readiness Assistance Program. The federally-funded program provides financial assistance for child care to eligible, low-income families while parents work or attend school.
ADE announced updates to the program’s reimbursement rates and copayment structure last month in an effort to reduce the waitlist and make the program more financially sustainable, according to the agency. The announced changes met pushback, and the education department last week delayed cuts to providers’ reimbursement rates until Nov. 1, but moved forward with participant co-payments on Oct. 1 as planned, according to the Arkansas Democrat–Gazette.
Oliva told the House and Senate Education committees Monday that the program’s “current rate system is unsustainable.”
“This program will not exist by Christmas,” he said. “We are using reserves right now making payments that we can’t afford to do. And if the government doesn’t open up when we get a next quarter payment, I’m going to be back here in two to three weeks to tell you there’s no more program.”
Although ADE created a strategy to slow things down to sustain the program, Oliva said “everybody’s complaining about it,” so the agency paused its actions and is working on organizing a meeting with stakeholders next week to discuss ideas for long-term sustainability of the program.
“If the Legislature wants to help support, we’re willing to do that, but what I am telling you is we don’t have $6 to $8 million a month to maintain the status quo,” he said. “That is unsustainable, and every week that goes by is $2 to $3 million that we don’t have additionally coming into that pot of money.”
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