The proposed revisions to Title 2 Subtitle A of the Code of Federal Regulations (2 CFR) concerning OMB Guidance for Grants and Agreements represent a strategic shift toward results-oriented accountability, as outlined in the President’s Management Agenda (PMA). The revisions aim to improve stewardship of federal grant funding, ensuring that expenditures yield tangible value for the American public. The scope of proposed changes is guided by three main objectives: supporting PMA initiatives, aligning with statutory and authoritative requirements, and clarifying existing provisions. Key areas targeted for revision include strengthening stewardship and accountability for grant outcomes, standardizing terminology and data elements, enhancing transparency in indirect cost rate agreements, and reinforcing merit review processes for discretionary grants.
To align with legal mandates, the revisions propose adjustments in line with Federal Acquisition Regulation (FAR), National Defense Authorization Acts (NDAA), and Government Accounting Standards, updating thresholds for micro-purchases and simplifying acquisition, as well as clarifying compliance on telecommunications and accounting issues. Additionally, the proposals seek to codify responses to frequently asked questions, clarify pass-through responsibilities regarding subrecipient audits, and specify documentation for indirect cost rates. Stakeholders are encouraged to access, review, and comment on the proposed revisions via the Federal Register, with detailed instructions provided for submitting feedback and reviewing tracked-changes versions of the regulatory text. The process underscores the administration’s commitment to an open, feedback-driven approach in enhancing the federal grants framework.
