Summary of OMB Proposed Grantmaking Regulations
On May 29th, the Office of Management and Budget (OMB) proposed new regulations that would significantly overhaul federal grantmaking by codifying increased oversight by political appointees of federal grants, with the stated goal of improving “transparency, accountability, and oversight for Federal awards across the Federal Government” and to “reduce recipient burden.” The regulations would apply to virtually alla significant portion of federal grants and cooperative agreements, totaling approximately $1.2 trillion per year, roughly 15% of which ($179 billion) goes to small entities. The Administration has indicated it will move quickly with a 45-day public comment period (deadline July 13), with the intent to issue a final rule effective by October 1st, 2026 (the start of FY2027).
