07/10/2026
The most consequential federal funding rule change ever will go into effect October 1, 2026. Under this proposed rule, every single entity that receives federal grant money or pass-through will be subject to new federal regulations. This includes nonprofits, local governments, school districts, subcontractors, for-profit businesses, etc.
The proposed rule will affect every single federal grant dollar, and all public facilities regardless of funding. Here are just a few of the provisions:
• Discretionary grants can be cancelled ANY TIME for ANY REASON. No warning, no objections, and no appeal process.
• Senior political appointees review ALL discretionary grant awards. They may cancel any discretionary award without cause, and expressly allows for mass terminations of awards.
• Prohibits use of federal funds for activities conflicting with the current president’s priorities.
• Prohibits policies and initiatives that conflict with President Trump’s 2025 Executive Orders involving Diversity, Equity and Inclusion, gender ideology, “anti-American” values, etc.
This is not legislation passed by Congress. Instead, it is a federal rule proposed by the Office of Management and Budget (OMB). The OMB Director is appointed by the President of the United States. The current OMB Director is Russell T. Vought.
Public comment is accepted through Monday, July 13. This is a concrete way you can take action to help.
We encourage residents, organizations, and businesses to submit your own public comment. To make this as easy as possible, we have provided an editable template and a simple guide to submit comment in just 4 easy steps.
The template and how-to can be found at: https://co.summitoh.net/pages/Proposed-Federal-Rule-Disrupts-Federal-Grants.html
If you or a loved one has utilized services or organizations funded with federal grants—such as HeadStart, Meals on Wheels, public universities, public housing, addiction or recovery services, a specialized court docket, SNAP, Medicaid, and much more—it is important to share your story about how these services benefited you.
Your input could help protect these services from elimination.