switching to a different grad program... conundrum

[We regret to inform you]

I will most likely be "mastering out" of my current grad program (in math) to pursue further graduate studies in planetary science/astronomy. But i'm a bit concerned about asking for letters of recommendation and if that would result in me losing my funding for the spring semester.

1. do i tell my graduate coordinator that i have made the decision to only get the masters? if so, when? before, during, or after the application process?

2. if i ask professors in my department for letters of rec, are they obliged to tell the graduate coordinator that i have no interest in carrying on in the program? if so, does it look really bad on my part if these professors told the graduate coordinator before i did?

3. since the application process occurs in the fall, but i need to finish the spring semester in order to get the masters, am i putting my funding in jeopardy by asking professors from my department for letters of rec? does anybody have any experience in this sort of situation? do departments cut funding from students in the middle of the school year?

thanks for reading.