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OMB: Advance Notice on Reform of Federal Policies Related to Grants and Cooperative Agreements

Federal Register, February 28, 2012, Page 11778-11785


Executive Office of the President, Office of Management and Budget (OMB)


Advance Notice of Proposed Guidance


UPDATE: OMB has issued a comment extension. The new comment deadline is April 30 2012. A copy of the updated notice is available.

In his November 23, 2009, Executive Order 13520 on Reducing Improper Payments and his February 28, 2011, Presidential Memorandum on Administrative Flexibility, Lower Costs, and Better Results for State, Local, and Tribal Governments, the President directed the Office of Management and Budget (OMB) to work with Executive Branch agencies; state, local, and tribal governments; and other key stakeholders to evaluate potential reforms to Federal grants policies.
Consistent with the Administration’s commitment to increasing the effectiveness and efficiency of Federal programs, the reform effort seeks to strengthen the oversight of Federal grant dollars by aligning existing administrative requirements to better address ongoing and emerging risks to program outcomes and integrity.

The reform effort further seeks to increase efficiency and effectiveness of grant programs by eliminating unnecessary and duplicative requirements. Through
close and sustained collaboration with Federal and non-Federal partners, OMB has developed a series of reform ideas that would standardize information
collections across agencies, adopt a riskbased model for Single Audits, and provide new administrative approaches for determining and monitoring the
allocation of Federal funds.

Full Federal Register Notice:


To be assured of consideration, comments must be received by OMB at one of the addresses provided below, no later than 5 p.m. Eastern Standard Time (E.S.T) on March 29, 2012. (OMB Update for 3/26: Comment deadline extended until April 30, 2012.)


In submitting comments, please refer to file ‘‘Grant Reform’’. You may submit comments using one of the following three alternatives (please choose only one of these three alternatives): 1. Electronically. You may submit electronic comments on this regulation to Follow the instructions under the ‘‘more Search Options’’ tab. 2. By express or overnight mail. You may send written comments to the following address only: Office of Management and Budget, 725 17th St. NW., Washington, DC 20025, Attention: Office of Federal Financial Management ‘‘Grant Reform’’. 3. By regular mail. You may mail written comments to the following address only: Office of Management and Budget, 725 17th St. NW., Washington DC, 20500, Attention: Office of Federal Financial Management ‘‘Grant Reform’’. Due to potential delays in OMB’s receipt and processing of mail sent through the U.S. Postal Service, we strongly encourage respondents to submit comments electronically to ensure timely receipt. We cannot guarantee that comments sent via surface mail will be received before the comment closing date. Comments will be most useful if they are presented in the same sequence (and with the same heading) as the section of this notice to which they apply. Also, if you are submitting comments on behalf of an organization, please identify the organization. Finally, the public comments received by OMB will be posted on OMB’s Web site and at (follow the search instructions on that Web site to view public comments). Accordingly, please do not include in your comments any confidential business information or information of a personal-privacy nature. Copies of the OMB Circulars that are discussed in this notice are available on OMB’s Web site at The Cost Principles for Hospitals are in the regulations of the Department of Health and Human Services at 45 CFR part 75, Appendix E (Principles for Determining Costs Applicable to Research and Development Under Grants and Contracts with Hospitals), at–2011-title45-vol1/pdf/CFR–2011-title45- vol1.pdf.

Further Information

Victoria Collin at (202) 395–7791 for general information.