Proposed Federal Grant Rule and Public Comment Opportunity
We’re sharing information about a proposed OMB rule released May 29 that would formalize recent executive orders into federal grant regulations and could significantly affect how federal funding is awarded and managed. The proposal includes changes such as expanded political review of awards, prioritizing funding aligned with presidential policy goals, new restrictions related to certain DEI and gender-related activities, increased reporting and oversight, and consideration of applicant history and indirect cost rates.
The rule would make these policies binding federal regulations rather than agency guidance, potentially affecting nonprofit organizations, educational institutions, healthcare providers, local governments, and others that rely on federal funding.
Public comments are open through July 13.
