University of Arkansas Responds to State Mandate Regarding Federal Shutdown

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FAYETTEVILLE, Ark. – As many as 100 University of Arkansas employees could be furloughed this week as the result of the partial shutdown of the federal government. University officials are working to reduce the number of affected employees as much as possible.

Any furloughed employees will receive official notice from the university’s human resources office. A furlough is an unpaid leave of absence.

The university is currently reviewing all faculty, staff and student employees who are paid wholly or partially through federal funds. This review is in response to Gov. Mike Beebe’s directive regarding the federal shutdown, which states that “any programs or employees that are wholly or partially dependent on federal funding and cannot draw on those federal funds during the shutdown are to be suspended until its conclusion.”

“Not all federal funding is affected,” said Jim Rankin, vice provost for research and economic development. “Some federal agencies are allowing invoices to be submitted and funds to be disbursed during the shutdown. The university has requested a certification from the Arkansas Department of Finance and Administration to allow funds to be drawn down to support programs in which the funding source is still available. U of A employees paid with funds from those agencies will not be furloughed.”

Several federal grant cost centers and others that may not currently include payroll activity will be temporarily closed Monday afternoon. An email will go to affected principal investigators informing them of the closing of the cost centers and instructing them that no additional spending can be initiated on their federal program during the shutdown.

The university is not allowed to use state funds to pay employees to continue working on federal programs. Faculty with Research Incentive Funds or start-up funds may use those funds to pay for student and post-doctoral employees, provided the work is not related to a federal project. University employees who are impacted by the governor’s directive and do not have alternative assignments may be furloughed. 

Furloughed employees will receive health care benefits through October. If the furlough lasts longer, they will need to arrange for health care coverage. They will also not be allowed to use earned vacation time to cover the period furloughed. Additional information on these items will be provided by the university office of human resources.