Âܲ·AVÊÓÆµComments on OMB’s New Proposed Funding Rules
July 08, 2026
Âܲ·AVÊÓÆµalong with ASBO International and AESA have submitted comments to the Office of Management and Budget (OMB) expressing serious concerns about proposed changes to the Uniform Grants Guidance, the federal rules that govern how grant funds are managed and used by districts and education service agencies. We believe several of the proposed revisions would create significant new administrative burdens, reduce local flexibility, and make it more difficult for districts and education service agencies to effectively manage federal resources.
We are particularly concerned that OMB’s proposed implementation date of October 1, 2026, does not provide sufficient time for us to adapt to the new funding rules. Federal agencies will also need more time to make significant changes and provide guidance to district/ESA grant recipients. Complying with these sweeping changes would require districts and states to overhaul grant application processes, financial management systems, reporting procedures, and internal controls within just a few months. Our comment letter urges OMB to withdraw the proposed rule; however, if the agency moves forward with any portion of the proposal, we strongly recommend extending implementation until at least January 1, 2027, to provide both federal agencies and local grantees the time needed for a successful transition.
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