FY26 Beginning: Major Wins, Big Bids, Active RFPs — and a Potential Government Shutdown

It’s been an unpredictable year in federal and state procurement, and the last few weeks have been no exception. Just last week, dozens of proposals were submitted for the $400M California Lottery Advertising RFP — one of the most competitive state marketing opportunities we’ve seen in recent years.

Major Federal Awards: Momentum Continues

On the federal side, we finally saw one of the most anticipated communications awards of the year: CMS’s National Education Campaign (NEC) IDIQ. All four incumbents — Porter Novelli, Weber Shandwick, Edelman, and Ketchum — retained their positions, joined by new awardees Fors Marsh and Ogilvy. Building on that award, Weber Shandwick captured the first task order — a $45M Health Care Fraud Prevention Outreach and Education Campaign.

Still on the horizon: decisions on the re-evaluation of NHTSA’s flagship campaign and HHS’s Take Back Your Health initiative, both of which remain pending.

Potential Government Shutdown: What You Need to Do Now

It’s now extremely likely the federal government will shut down at midnight. If it does, most federal buildings will close, new contracts and modifications will pause, and invoices may not be paid on time. Here’s how to prepare:

  • Communicate with your Contracting Officers (COs). If the government shuts down, COs may be unavailable. FAR guidance is limited, and COs have discretion on how to proceed. If your contract includes a Stop-Work clause (FAR § 52.242-15), your CO can direct you to pause work. If you receive unclear direction — do not continue performance, as you risk not being paid.

  • Ask about live RFPs — and do it now. There are several active bids currently in the market that many firms are preparing responses for. Contact the contracting POCs immediately to understand how a shutdown might affect Q&A schedules, proposal deadlines, evaluation timelines, or award dates. Don’t assume standard timelines will hold — get written clarification wherever possible.

  • Manage partners, costs, and pending work proactively. If you’re directed to pause performance, ensure your subcontractors and partners do the same to avoid incurring unreimbursable costs. Consider reallocating staff to other projects, training, or PTO, and carefully track any shutdown-related expenses — some may be recoverable under Stop-Work or Changes clauses, but not all. Finally, try to resolve outstanding items like invoice approvals, deliverable sign-offs, and contract modifications today, as significant backlogs and delays are likely once the government reopens.

While a shutdown isn’t guaranteed — and its duration is unpredictable — preparation now will position you to move quickly once operations resume. (For context: the 2018 shutdown lasted more than 30 days.)

Industry Highlights: September Awards

Despite the uncertainty, September brought a wave of new contract activity across the industry:

  • Dynamic Integrated Services – $4.3M from VA for the Million Veteran Program, driving veteran and stakeholder engagement.

  • Crux JV – $4.2M from the Alcohol and Tobacco Tax and Trade Bureau for Service Design Support Services, improving digital experiences.

  • L&M Policy Research – $3.1M task order under CMS’s CRC IV IDIQ for Medicare and Innovation communications research.

  • Alan S. Newman Research – $2.8M task order under CRC IV for mixed-methods research supporting Medicare audience targeting.

  • Bixal – $2.7M award from SBA for Content Support Services.

  • HarrisX – $688K award from CDC for a Vaccination Information and Barriers Mixed-Methods Project, exploring public trust drivers in vaccine decision-making.

The new fiscal year begins with momentum — but also with uncertainty. If you’re pursuing active bids, make sure your teams are communicating with contracting officers now and adjusting capture and proposal timelines accordingly.