With a potential U.S. government shutdown looming in less than two days, the Department of Defense (DoD) has issued contingency guidance to the force, outlining six key priorities and contracting procedures in the event of a funding lapse.
Contingency Measures in Place
The guidance specifies that activities deemed „not to be excepted” and that cannot be performed by military personnel in place of furloughed civilian employees will be suspended once appropriated funds are exhausted. However, the Secretary of Defense retains the authority to designate additional activities as „excepted” at any time.
Deadline Approaching
Fiscal year 2025 ends at midnight on Wednesday [09/30/2025]. Congress has yet to approve FY26 spending bills, and negotiations on a continuing resolution to keep the government open have stalled between Democrats and Republicans. Failure to pass a stopgap measure before the deadline will trigger a federal government shutdown.
Impact on DoD Personnel
In the event of a shutdown, active-duty military personnel, including reserve component personnel on federal active duty, will continue to report for duty. They may be required to perform non-excepted activities typically handled by furloughed civilian employees.
According to the Pentagon guidance, civilian personnel, including military technicians, who are not necessary to carry out or support excepted activities, are to be furloughed using lapse in appropriations procedures. The document stresses that only the minimum number of civilian employees necessary to carry out excepted activities will be excepted from furlough.
DoD’s Six Highest Priorities
The DoD’s guidance identifies the following „highest priorities” during a potential government shutdown:
- Operations securing the US Southern border.
- Operations in the Middle East.
- Designing Golden Dome
- Depot maintenance.
- Shipbuilding.
- Critical munitions.
The planning guidance said that efforts supporting these activities may occur during a lapse when resourced with funds that remain available. The document states that Component and subordinate leaders will closely evaluate individual activities to determine whether they are ‘excepted’ consistent with this planning guidance and continue or initiate them, as appropriate, when supported by the facts.
Impact on Contracting
While contractors can continue work on previously awarded contracts, the DoD is prohibited from executing new contracts during a shutdown. „The expiration of an appropriation does not require the termination of contracts (or issuance of stop work orders) funded by that appropriation unless a new obligation of funds is required under the contract and the contract is not required to support an excepted activity,” the guidance states.
