Streamlining Federal Grants Act of 2026
- Bill Number
- S. 3709
- Origin Chamber
- Senate
- Congress
- 119th Congress, Session 2
- Policy Area
- Government Operations and Politics
- Status
- Introduced
- Latest Action
- 2026-01-28: Read twice and referred to the Committee on Homeland Security and Governmental Affairs.
- Last Updated
- 2026-02-23T23:37:37Z
AI-Generated Summary
Purpose of the Legislation
The Streamlining Federal Grants Act of 2026 aims to make federal grant and cooperative agreement programs more effective and efficient. It focuses on simplifying how people apply for and report on these funds, improving services to underserved communities and groups (like rural areas or faith-based organizations), and encouraging better teamwork between government agencies and the organizations that receive the money.
Key Provisions
- Senior Agency Officials for Grants (Section 4): Each federal agency must appoint a high-level official within 60 days to oversee grant policies, planning, and compliance with the Act. The Office of Management and Budget (OMB) Director maintains a public list of these officials.
- Grants Council (Section 5): OMB establishes a council within 80 days, led by the OMB financial management controller, including representatives from agencies that award grants. The council gathers feedback from grant recipients, develops common standards for data and funding notices, improves coordination and reporting, addresses conflicts of interest, and submits progress reports to Congress every two years (for 15 years) plus recommendations for legal changes after four years.
- Agency Grant Improvement Plans (Section 6): OMB issues guidance within 270 days for agencies to create plans that streamline applications and reporting, use plain language in funding announcements, provide training and assistance (including for non-English speakers), set measurable goals, and ensure accessibility. Agencies submit plans within about 1-2 years, seek public input via the Federal Register and forums, consult with recipients, and report annually on progress. OMB can exempt small agencies and must track exemptions publicly.
- Grants.gov Improvements (Section 7): OMB and the Department of Health and Human Services study the website's usability within one year and implement fixes within three years to make it easier to find and apply for grants.
- Analysis of Access to Federal Grants (Section 8): The Government Accountability Office (GAO) reports within two years on barriers faced by non-federal groups (e.g., small communities, nonprofits) in getting grants, reasons for non-participation, and ways to improve access, including analysis of applicant data if available.
- Overall Evaluation (Section 9): GAO evaluates the Act's success after five years, assessing implementation, agency performance, coordination, and offering further recommendations, with input from grant recipients.
Significant Changes to Existing Law
This Act introduces new requirements not previously mandated in federal law:
- Creates dedicated senior officials in agencies for grant oversight.
- Establishes a permanent Grants Council to standardize and coordinate grant processes across government.
- Requires agencies to develop and publicly review detailed improvement plans with specific goals, including equity measures for underserved groups.
- Mandates GAO studies and reports on access barriers and overall effectiveness, plus regular OMB reporting to Congress.
These build on existing laws like the Federal Grant and Cooperative Agreement Act (31 U.S.C. § 6302) by adding layers of planning, feedback, and accountability without altering core definitions of grants or agreements.
Potential Impacts
- On Government Agencies: Increases administrative workload initially for planning and coordination but could reduce long-term inefficiencies through standardized processes and better data sharing, leading to improved grant management and performance tracking.
- On Citizens and Non-Federal Entities: Simplifies access to billions in federal funding, especially for historically underserved groups (e.g., rural areas, small nonprofits, non-English speakers), potentially expanding services like education, health, and community support. It promotes training and plain-language resources to lower barriers.
- On International Relations: No direct impacts; the Act focuses on domestic grant programs.
Main Stakeholders Affected
- Federal Agencies: All that award grants (e.g., Health and Human Services, Education), required to appoint officials, join the council, and implement plans.
- Non-Federal Entities: States, local governments, Indian Tribes, institutions of higher education, and nonprofits (including faith-based and community groups), who benefit from easier applications, reporting, and access, particularly underserved ones.
- OMB and GAO: Lead coordination, guidance, studies, and evaluations.
- Congress: Receives reports and oversees implementation via the Senate Homeland Security and Governmental Affairs Committee and House Oversight and Accountability Committee.
- Public: Gains from improved transparency and usability of Grants.gov and funding opportunities.
Notable Legal, Constitutional, or Political Implications
- Legal: Strengthens uniform application of federal financial assistance rules (under 31 U.S.C. Chapter 75) by prohibiting conflicts of interest in awards and ensuring consistent data standards, potentially reducing disputes over grant administration. Exemptions for small programs provide flexibility without broad waivers.
- Constitutional: Aligns with Congress's spending power (Article I, Section 8) by enhancing oversight of federal funds, promoting equal access without infringing on state or local autonomy. Emphasis on non-discrimination (e.g., for limited English proficiency) supports civil rights obligations under laws like Title VI of the Civil Rights Act.
- Political: Bipartisan introduction (by Sens. Peters and Lankford) signals cross-party support for government efficiency and equity. Long-term reporting (up to 15 years) ensures sustained accountability, but implementation relies on executive branch cooperation, which could face partisan challenges in funding or priorities. No major controversies anticipated, as it focuses on procedural improvements rather than substantive policy shifts.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (1)
Recent Actions
- 2026-01-28: Read twice and referred to the Committee on Homeland Security and Governmental Affairs.
- 2026-01-28: Introduced in Senate
Bill Versions
- Streamlining Federal Grants Act of 2026 — issued 2026-01-28 — PDF (19 pages)