House Slated to Vote on Delay of OMB Changes to Grantmaking

The U.S. House of Representatives is slated to vote as soon as the week of Aug. 31 on a continuing resolution (CR) to keep the federal government open and funded through Dec. 11. The CR includes a key bipartisan provision temporarily blocking the U.S. Office of Management and Budget (OMB) from finalizing proposed sweeping changes to overhaul federal grantmaking. The Senate passed the measure earlier this month. The administration had previously stated plans to finalize the regulation before the start of the new fiscal year on Oct. 1, 2026.

If implemented, the proposed rule would create significant financial risk and instability for federal grantees, including nonprofits, making it more difficult to provide vital services to communities. Grantees would be faced with unpredictable financial, legal, and reputational risks that increase the costs of accepting federal awards.

Additionally, this could lead to disruptions to essential services in communities and states nationwide.