Federal Funding Cuts Endanger Local Government Cybersecurity
In an era where digital threats against public infrastructure are escalating, a critical federal program designed to protect state and local governments from cyberattacks is facing a sudden and severe funding cut. This decision threatens to leave thousands of cities, counties, and school districts vulnerable at a time when they can least afford it.
The Department of Homeland Security (DHS) has decided to end its direct funding for the Multi-State Information Sharing and Analysis Center (MS-ISAC), a vital hub for cyber threat intelligence operated by the non-profit Center for Internet Security (CIS). For years, this program has served as the central nervous system for cybersecurity for over 16,000 public entities across the country, many of which lack the resources to defend themselves alone.
This shift in funding strategy marks a significant pivot, moving away from a successful, centralized model to a more fragmented and uncertain one.
Why This Program Was a Lifeline for Communities
The MS-ISAC is not just another government program; it’s a frontline defense mechanism. It provides essential services, often at no cost to its members, including:
- Real-time Threat Intelligence: Alerting local governments to emerging threats, malware, and phishing campaigns specifically targeting them.
- Incident Response: Offering expert assistance to communities actively under cyberattack, such as a ransomware incident.
- Security Monitoring: Providing 24/7 network monitoring to detect malicious activity before it causes significant damage.
- Best Practices and Resources: Sharing crucial guidance and tools to help under-resourced IT departments bolster their defenses.
For a small town or a rural county with a limited IT budget, these services are indispensable. They provide a level of security that would otherwise be financially and technically out of reach, effectively leveling the playing field against sophisticated cybercriminals.
The Impact of the Funding Withdrawal
The termination of direct federal funding creates an immediate and serious problem. Instead of receiving guaranteed support, local governments will now have to compete for funds through the State and Local Cybersecurity Grant Program.
This new model introduces several critical challenges:
- Increased Financial Burden: Local entities will now have to find money in their already-strained budgets to pay for these essential services or attempt to secure a grant. Many will simply be unable to afford them.
- Uncertainty and Competition: Grant programs are competitive and not guaranteed. A municipality that relies on MS-ISAC’s protection may find itself without funding and suddenly exposed.
- Administrative Hurdles: Applying for grants requires time, resources, and expertise that many smaller governments do not possess, adding another barrier to their security.
The most significant consequence is a heightened risk of successful cyberattacks on local infrastructure. This includes threats to power grids, water systems, emergency services, schools, and public records. The ransomware attacks that have crippled cities like Baltimore and Atlanta are stark reminders of what is at stake.
Actionable Security Tips for Local Government Leaders
With this shift in federal policy, it is more important than ever for local government officials and IT leaders to be proactive. Waiting for a grant to be approved is not a viable security strategy.
Conduct an Immediate Risk Assessment: Understand your current vulnerabilities. Identify your most critical digital assets and assess the current protections in place. Don’t wait for an external audit; start the process internally now.
Prioritize Cybersecurity in Your Budget: Cybersecurity can no longer be treated as a secondary IT expense. It must be viewed as essential public infrastructure, on par with roads and water systems. Advocate for dedicated, recurring funds for security tools, training, and personnel.
Strengthen Foundational Security Practices: Focus on the fundamentals, which can prevent a majority of attacks. This includes implementing multi-factor authentication (MFA) across all systems, conducting regular employee security training to spot phishing attempts, and ensuring all software is consistently patched and updated.
Develop and Test an Incident Response Plan: Don’t wait for an attack to figure out what to do. A clear, tested plan that outlines who to call, how to isolate systems, and how to communicate with the public is crucial for minimizing damage and ensuring a swift recovery.
Explore Collaborative Defense: Reach out to neighboring municipalities, counties, or state agencies. Pooling resources to share the cost of security services or hire regional cybersecurity staff can be a powerful and cost-effective strategy.
The end of direct federal funding for the MS-ISAC program is a significant blow to our nation’s collective cybersecurity posture. It places the burden of defense squarely on the shoulders of local communities, who are often the least equipped to handle it. Now is the time for decisive action to ensure that our public services and critical infrastructure remain secure.
Source: https://go.theregister.com/feed/www.theregister.com/2025/09/30/cisa_kills_cis_agreement/
