OMB Proposes Sweeping Changes to Federal Grants
Published June 01, 2026
By AACOM Government Relations
Federal Policy OME Advocate
- On May 29, 2026, the Office of Management and Budget (OMB) released a proposed rule, Regulation for Federal Financial Assistance, which would revise requirements for grants, cooperative agreements and other federal financial assistance across all agencies.
- While OMB intends to strengthen transparency and oversight, the 400+ page proposal would expand political review of discretionary grants and could significantly alter the peer-review process.
- The proposal does not cap indirect research costs but may prohibit grantees from using federal funds to publish research.
- An AACOM summary is forthcoming. Interested parties are encouraged to review the proposal and submit comments by July 13, 2026.