ED Proposes Rule Changes Similar to OMB

The Department of Education issued a notice of proposed rulemaking to amend its Education Department General Administrative Regulations (EDGAR). While the Department says the proposed changes respond to the Biden Administration’s 2024 revisions to the Office of Management and Budget (OMB) Uniform Guidance, several provisions are similar to changes currently being considered by the Trump Administration’s OMB as part of its proposed Uniform Grant Regulations governing federal grantmaking. Such department-specific regulations are a normal administrative effort to implement OMB guidance.

According to the department, the updates to the grant-making guidelines are intended to promote efficiency and cost savings, streamline the selection criteria for discretionary awards, clarify procedures, and ensure merit practices and high standards for all education grants.

Many of the proposed changes for education grants reflect the proposed rule changes by OMB, which have been blocked from implementation until December 11 by Congress. Such proposals include giving preference to applicants with low indirect costs, requiring awards to reflect the administration’s priorities rather than congressional intent, and allowing the termination of grants for convenience.

The proposed rule also includes provisions to: 1) implement the Executive Orders related to ending “DEI” and illegal racial discrimination; 2) eliminate publication of grant announcements in the Federal Register; 3) require applicants to provide proof of nonprofit status; and 4) require applicants to “ensure hiring, admissions, promotions and compensation practices under the grant are based on merit and high standards, without regard to race, color, religion, sex, national origin or proxies thereof.”

Comments can be submitted via regulations.gov by September 23, 2026. NAICU is working with the higher education community to submit comments by the deadline.

For more information, please contact:
Stephanie Giesecke