Sponsors (2)
Official title: Improve the effectiveness and performance of certain Federal financial assistance programs, and for other purposes.
Introduced January 28, 2026 by Gary C. Peters · Last progress January 28, 2026
The bill aims to make federal grants more transparent, accessible, and better coordinated—especially for underserved communities—but does so at the cost of upfront federal and recipient implementation expenses, increased reporting and compliance, and risks of centralization that may not fit all local needs.
Non‑Federal grant applicants (state, local, tribal governments; nonprofits; small businesses; rural and other underserved communities) will face simpler, clearer, and more accessible grant opportunities and processes (shorter NOFO summaries, improved Grants.gov usability, outreach, and applicant assistance), making it easier to find, apply, and comply with federal grants.
Historically underserved communities and organizations (rural areas, low-income communities, faith‑based and community groups, small providers) would get improved outreach, clearer eligibility, and options to overcome application barriers, supporting more equitable distribution of federal funds.
Federal grant management will gain stronger transparency, accountability, and oversight through named senior agency officials, public listings, measurable agency goals and plans, and independent GAO reviews and recommendations, improving coordination and potentially program performance.
Taxpayers and federal budgets will face upfront and ongoing costs for implementation (IT upgrades, staffing, GAO and reporting activities, Council operations), which could require new spending or reallocation away from other priorities.
State and local governments, nonprofits, and small providers could be harmed by centralized, one‑size‑fits‑all standards and cross‑agency policies that reduce program flexibility and stifle program‑specific innovations or local practices.
Grant recipients (states, localities, nonprofits, small businesses) may face added compliance, reporting, and transition burdens and costs while common standards, new plans, trainings, and systems are implemented.
Based on analysis of 9 sections of legislative text.
Establishes an OMB Grants Council and requires agencies to streamline and standardize grant application, NOFOs, reporting, and accessibility with plans, guidance, and oversight.
Creates an OMB-led Grants Council and requires federal agencies to streamline and standardize how they publish, accept, evaluate, administer, and report on grants and cooperative agreements. The bill directs OMB to issue guidance and require agencies to produce and publish implementation plans, improves accessibility of Grants.gov, mandates GAO analysis of non‑Federal applicant access, and requires periodic reporting and evaluation of progress.