Assessing the Impact of EO 14332, Improving Oversight of Federal Grantmaking

While many actions taken by the current Trump administration since January 2025 have proven particularly challenging for many grantees, especially those in the research and education sectors, the Aug. 7 release of Executive Order (EO) 14332, Improving Oversight of Federal Grantmaking is especially causing great consternation as it calls for a more politically charged award selection process, as well as enabling terminations “for convenience.” 

Other provisions within the EO include a preference for applicants with lower facilities and administrative (F&A) (i.e., indirect) costs, as well as documentation requirements that can complicate and delay efforts to draw down funds. Meanwhile, it places the issuance of new notices of funding opportunity on hold as agencies develop new terms and conditions that comply with the executive order.

Although the order is specifically directed to federal agencies, the impact of the EO will affect all grantees going forward, as well as the language that will be included in the next proposed revisions to the uniform guidance (2 C.F.R. Part 200), expected later in 2025. This white paper covers the details within the EO, as well concerns on the grantee level.

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