FOR IMMEDIATE RELEASE: Oct 01, 2009

Dear National Service Colleagues,

Today marks the beginning of a new federal fiscal year, and I want to update you on recent actions on the Corporation’s budget.

Earlier today, President Obama signed a continuing resolution which will fund federal agencies and programs at Fiscal 2009 levels through October 31. The continuing resolution, which was attached to the legislative branch appropriations bill, was needed to keep government programs operating after the official end of the fiscal year.

As in prior fiscal years, our operations under a continuing resolution are limited and we will be following our normal annual practices for the time we are receiving this interim funding. Also, the continuing resolution will affect the timeline for implementing some of the new program activities authorized by the Serve America Act and proposed in the President’s FY 2010 budget. While we cannot allocate funds for new Serve America Act initiatives until we receive our full FY 2010 appropriation, we are laying the groundwork to carry out these exciting new initiatives by developing rules, writing guidelines, issuing funding notices, and taking other steps that don’t require final enactment of our appropriation.

As you recall, the FY 2010 budget process began last May, when President Obama submitted a budget request of $1.149 billion for the Corporation and its programs, a $259 million or 29 percent increase over the FY 2009 enacted level. The House of Representatives included $1.059 billion for the Corporation in the Labor-HHS-Education Appropriations bill passed on July 24, followed a week later by the Senate Appropriations Committee providing $1.157 billion in its version of the bill.

The actions taken by Congress so far reflect strong support for national service during this tough budget year, and we are hopeful the final measure will fully fund the President’s request. As community needs continue to grow, and as Americans look for ways to give back, national service is a critical, cost-effective investment that engages citizens in tackling our most serious challenges.

Please visit our budget page for more information on the President’s request and Congressional actions. We will keep you posted on further developments.