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White House Office of Management and Budget Proposes New Rules for Federal Funding of Research

White House Office of Management and Budget Proposes New Rules for Federal Funding of Research

June 2026

White House Aims to Establish Political Oversight of Federal Grants The Office of Management and Budget published long-expected proposed rules for how federal agencies must carry out Trump’s order to put “senior appointees” in charge of deciding who gets funded. https://bit.ly/4333YOs #EDUSky

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— Inside Higher Ed (@insidehighered.com) May 29, 2026 at 10:05 AM

Last Friday, May 29, the Office of Management and Budget (OMB) published a proposed Regulation for Federal Financial Assistance, which outlined new rules for federal grants.

Inside Higher Ed published some key takeaways from the proposal:

  • Agency appointees will have oversight over all grants and may terminate grants deemed misaligned with the government's priorities.
  • For now, there is no proposal for a cap on the amount of indirect costs a grant may cover. 
  • With some exceptions, grant funds may not be used to cover publication costs.

Read the full article for additional details (Scientific American provides additional commentary from the scientific community). The OMB proposal is open for public comment through this July 13.