The information below has been adapted from materials developed by The Wisconsin Public Health Association (WPHA), it is shared with permission.

Proposed Changes to Federal Grant Rules
Implications for Public Health

On May 29, 2026, the U.S. Office of Management and Budget (OMB), in coordination with all federal grantmaking agencies, published a proposed rule in the Federal Register that would substantially revise the federal grant regulations known as the Uniform Guidance (2 CFR Part 200). The proposed rule spans more than 400 pages and represents the most comprehensive revision to these regulations since they were first issued in 2013. If finalized, the changes would take effect on October 1, 2026.

What OMB Says

According to OMB, the proposed revisions are intended to:

  • Improve transparency, accountability, and oversight of federal taxpayer dollars;
  • Clarify OMB policies and requirements contained in the Uniform Guidance; and
  • Reduce administrative burden on grant recipients.

What the Proposed Rule Would Do

The proposed rule includes significant changes to the federal awards process, including:

  • Allowing federal agencies to suspend or terminate discretionary grant awards at any time without cause, including when awards are determined to no longer align with agency priorities or the national interest;
  • Expanding the authority of agency political appointees in reviewing and approving grant funding decisions;
  • Limiting the role of peer reviewers to advisory status only;
  • Creating new restrictions on international research collaborations;
  • Restricting certain allowable grant expenses, including conference participation, professional membership dues, and publication costs;
  • Prohibiting the use of federal funds for initiatives deemed to facilitate DEI, gender ideology, gender transition, or support disparate-impact liability;
  • Requiring review of applicants’ organizational affiliations for activities considered inconsistent with national security or federal law; and
  • Extending E-Verify requirements to all recipients and subrecipients of federal financial assistance.

Why This Matters

The proposed changes would affect nearly every federal grant program operating under the Uniform Guidance. Federal grants support a broad range of public health and community services, including Medicaid, transportation, education, workforce development, nutrition assistance, and many public health programs.

Federal funding is a critical component of state and local public health infrastructure. Changes to the administration and oversight of these funds could have substantial implications for public health agencies, health systems, community organizations, and the populations they serve.

Learn More

Submit Comments by July 13, 2026

Because this is a proposed rule and has not yet been finalized, individuals and organizations still have an opportunity to provide feedback during the public comment period.

You do not need to be a grant recipient, public health professional, or policy expert to submit comments. Any concerned individual may provide input.

WIAAP encourages members to consider taking the following actions before the July 13, 2026 deadline:

  1. Submit comments as an individual or on behalf of your organization describing how these proposed changes could affect your community, organization, or the populations you serve.
  2. Collaborate with partner organizations, academic institutions, chambers of commerce, or community-based organizations to share stories and amplify concerns.
  3. Share information about this proposed rule with colleagues, partners, and community members who may be impacted.
  4. Contact your members of Congress to discuss the potential effects of these proposed changes on public health and community programs in Wisconsin.

Comments must be submitted through Regulations.gov at:
https://www.regulations.gov/document/OMB-2026-0034-0001

Additional advocacy resources and sample talking points are available through 5 Calls:
https://5calls.org/issue/federal-financial-assistance-science-grants/

Thank you for your continued advocacy and commitment to advancing public health in Wisconsin.