Maryland Democrats Urge OMB to Rescind Rule Politicizing Federal Grant Decision-Making

WASHINGTON - Maryland Congressional Delegation members - U.S. Senators Chris Van Hollen and Angela Alsobrooks and U.S. Representatives Steny Hoyer, Kweisi Mfume, Jamie Raskin, Glenn Ivey, Sarah Elfreth, April McClain Delaney, and Johnny Olszewski (all D-Md.) - are calling out the Trump Administration's attempts to undermine and politicize the federal grant-making process. In a letter to Office of Management and Budget (OMB) Director Russell Vought, the lawmakers press OMB to rescind a new proposed rule that would overhaul the grantmaking and cooperative agreement processes across the entire federal government, centralizing power within OMB, reducing transparency and accountability, undermining Congress, and clearing the path for the Trump Administration to continue weaponizing and politicizing the federal grantmaking process.

"We write to express strong opposition to the Office of Management and Budget's sweeping proposed "Regulation for Federal Financial Assistance" rule that would completely overhaul and politicize the grantmaking and cooperative agreement processes across the entire federal government," the lawmakers begin.

They go on to stress the importance of federal grants, noting, "Across the state, federal investment supports research into our ocean and waterways as well as our air, crops, livestock and soil. Federal grants support advancements in health and medicine including research into the treatment of diseases such as pediatric cancer and sickle cell disease and drive the development of new technologies that will keep Americans healthy. Grant-funded childcare through Head Start and Early Head Start serves families from the Eastern Shore to Garrett County. These dollars power cutting-edge developments in space technology, satellites, AI, and quantum computing. Federal funds also allow organizations to support victims of sexual assault, violence, and other crimes. The proposed Regulation for Federal Financial Assistance represents a threat to every one of those efforts to better American lives, strengthen our economy, and keep our country competitive."

On the proposed rule, the lawmakers write, "In reality, if finalized, this more than 400-page rule will make significant, sweeping, and binding policy changes to the Uniform Guidance across more than 40 federal grant-making agencies and offices responsible for awarding billions of dollars in funding and federal financial assistance each fiscal year. It would codify the Trump Administration's campaign to eviscerate our research infrastructure and authorize more arbitrary cancellations, job losses due to funding uncertainty, and disruptions of work that require consistent data collection to maintain scientific validity."

"This rule would further centralize power within OMB giving it authority over the heads of dozens of federal agencies as well as merit-based processes in matters of grantmaking and cooperative agreements. In doing so, this rule would place layers of bureaucratic and political red tape between elected representatives who are Constitutionally-responsible for appropriations, the federal agencies whose resources support our state and help drive our local economies, and Marylanders who rely on grants to support valuable research and services," they continue.

The lawmakers detail the impact of federal grants on Maryland, noting, "Since the beginning of the President's term, the Administration and OMB's intentional delay in spending appropriated funds, grant terminations and disruptions, and overall fewer federal grants being awarded has impacted billions of dollars in federal funding to Maryland, including our state and local governments, schools, and research institutions. As a result, hundreds of our constituents have lost their jobs, Maryland research institutions and universities are undergoing hiring freezes and layoffs, and graduate and post-doctoral programs have been forced to cut or limit admissions-all which threaten to stifle U.S. leadership and innovation for decades to come."

"The people of Maryland and the United States deserve actual transparency, reliability, and accountability from our federal government, not arbitrary rules and political interference from OMB that would weaken our scientific and research enterprise, risk more jobs, and slow down hard-won progress. We urge you to rescind this proposed rule immediately," the lawmakers conclude.

The full text of the letter is available HERE.

###