As an alternative to last year’s federal funding freeze attempts, the Office of Management and Budget (OMB) is proposing sweeping changes to the rules governing more than $1 trillion in federal grants and assistance. Although billed as “oversight,” the proposal broadly expands federal discretion over funding decisions, allowing agencies to withhold or terminate awards or change terms midstream.
An OMB Target List?
At the same time, OMB has directed agencies to compile detailed data on funding to 49 nonprofit organizations, signaling increased scrutiny of the sector.
Now What?
Together, these developments pose major financial, legal, and operational uncertainty for nonprofits. Like last year, it’s important to contact your governors and state and federal lawmakers to share your concerns.
What You Can Do
- Use this advocacy tool from our partner organization, The National Council of Nonprofits, to email your members of Congress opposing the changes to federal grantmaking.
- Learn more by reading further information:
Sarah Dobson is Senior Director of Advocacy and Public Policy at Lutheran Services in America.