CLASP Comments on OMB Proposed Rule on Uniform Guidance for Federal Financial Assistance
CLASP strongly opposes the Office of Management and Budget’s (OMB) proposed revisions to overhaul the set of rules, known as Uniform Guidance, governing federal grants, cooperative agreements, and other monetary awards to nonprofits, state and local governments, and other grantees to revise the OMB Guidance for Federal Financial Assistance. If implemented, the OMB proposed revisions would create significant financial risk and instability for federal grantees, making it more difficult to provide vital services to communities.
As we explain in more detail in the comments, if implemented, the OMB proposed regulations would cause federal grantees to be faced with unpredictable financial, legal, and reputational risks that increase costs of accepting federal awards while decreasing benefits. Many effective and qualified grantees may be unable to accept those risks. This could lead to disruptions to essential services, such as housing, community development, health, education, child care, food, shelter, community services, disaster recovery, and more in communities and states nationwide.