Federal contractor bleeding $110k a month amid shutdown, braces for more

November 13, 2025

Published by The Baltimore Banner

Melwood, one of Maryland’s oldest nonprofits serving disabled people, sends workers into federal agencies for jobs in landscaping, administrative and janitorial services.

Because of the shutdown, many of those employees are working half-time. And Melwood, which has continued paying them their full benefits, is losing about $110,000 a month, said Scott Gibson, the organization’s chief operating officer.

Even if the shutdown ends tomorrow, he said, Melwood is left with an almost existential question: How much can contractors, especially nonprofits, rely on the federal government going forward?

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