December 2025 has brought a mix of court decisions, competitive grant deadlines, and broader funding signals for U.S. institutions and communities. From restored support for museums and libraries to targeted programs for community development and higher education, this month's updates offer both immediate application opportunities and important context for planning in 2026.
1. IMLS Library & Museum Grants Reinstated After Court Ruling
One of the biggest stories in December is the reinstatement of federal funding for the Institute of Museum and Library Services (IMLS). A federal court ruled that the administration's earlier attempt to cancel IMLS grants was “arbitrary and capricious,” restoring key funding streams that support public libraries, literacy programs, museums, and digital access initiatives.
- Community makerspaces and digital labs
- Outreach and early-literacy programs
- Technology and accessibility upgrades
2. Community Development Revolving Loan Fund (CDRLF) - Grant Round Closes December 16, 2025
The CDRLF grant round is open until December 16, 2025, supporting programs that promote financial inclusion, economic resilience, and community development. Eligible applicants should finalize submissions promptly.
3. FIPSE Special Projects (Higher Education) - Applications Due December 3, 2025
The U.S. Department of Education's FIPSE-SP program invites proposals that improve postsecondary access, completion, and educational innovation. This competitive program remains a key channel for experimental and high-impact higher education initiatives.
4. Federal Research Funding Declines
December reports highlight an 11.6% decline in federal research awards compared to the prior year. Universities and research institutions may need to diversify funding sources and strengthen grant competitiveness as 2026 approaches.
5. Implications for Institutions and Communities
- IMLS reinstatement stabilizes cultural and civic institutions.
- CDRLF continues to strengthen local economic development.
- FIPSE-SP provides pathways for higher education innovation.
- Research organizations face increased competition and reduced funding availability.
6. Recommended Action Steps
- Verify all opportunities on Grants.gov or agency websites.
- Submit CDRLF applications before the December 16 deadline.
- Libraries and museums should revisit strategic plans in light of restored IMLS funding.
- Research entities should prepare a 2026 grant calendar reflecting shifting priorities.
Always confirm deadlines and eligibility on official federal sources before applying.

