ED Rule Making Will Move Online if Government Shuts Down

Screenshot/Alexis Gravely

The Education Department’s current rule-making session, in which committee members are determining how to implement new student loan policies, will be delayed by two weeks if Congress fails to pass legislation to keep the government open, Trump officials announced Monday morning.

“There is the possibility—which seems to be growing by the hour—of a lapse in appropriations,” one department official said during the rule-making session’s commencement Monday. “Have no fear, however,” he added, “we do have a contingency plan for that.”

The official, Jeffrey Andrade, deputy assistant secretary for policy, planning and innovation, went on to explain that if the government does shut down Oct. 1, the remainder of the session would take place online from Oct. 15 to 17. (The plans were also posted to the Federal Register on Monday.)

Managing a virtual negotiated rule-making session, however, would be nothing new to the department staff, as all sessions prior to the start of the second Trump administration have been held online since the COVID-19 pandemic broke out in 2020.

“Again, fingers crossed,” Andrade said. “But the oddsmakers, when I last checked, were in the high 60s in favor of them not passing a continuing resolution in time. So that’s a plan.”

The department was already facing a tight timeline to negotiate the various regulatory changes, and some are worried that the two-week delay could further complicate the effort.

“A government shutdown throws a wrench into the rule making,” said Clare McCann, managing director of policy for the Postsecondary Education and Economics Research Center at American University. “Even assuming a shutdown is over in two weeks, as the department hopes, almost all of the Education Department’s staff will be furloughed in the meantime and unable to continue working on the draft regulations. With such a crunched timeline for finishing the rules in the first place, this makes the department’s job much more challenging.”

If the government were to shut down, about 87 percent of the Education Department’s nearly 2,500 employees would be furloughed, according to the agency’s contingency plan. The department is planning to keep on employees who are working on the rule-making process and to carry out other provisions in the One Big Beautiful Bill Act, which was signed into law over the summer.

Student aid distributions will not be paused and loan payments will still be due, but the department will cease grant-making activities and pause civil rights investigations. Grantees, though, can still access funds awarded over the summer and before Sept. 30.