Details of OMB's Recent Cost Principles Shake-up

Webinar • Tuesday, June 4, 2024 • 2:00-3:30 p.m. EDT

This webinar is hosted in conjunction with Federal Fund Management Advisor

In comprehensive revisions issued on April 22, the Office of Management and Budget made lots of important changes to its federal grants management ”uniform guidance.” Nowhere is the shake-up more evident than in Subpart E of 2 CFR 200 — the cost principles, the rules covering costs that can be charged to the federal government.

Recent statutory and executive order policies have been incorporated into the new guidance. Conflicting interpretations and policy gaps that have plagued the guidance since 2014 have been addressed. And OMB took tangible steps aimed at reducing the implementation burdens for both recipients and subrecipients.

Together, the changes alter the familiar cost allowability landscape. This webinar will help you navigate through this new environment by covering:

  • Defensible practices for interpreting the revised cost principles
  • The clearer definition of “prior approval”
  • The treatment of budgeted costs
  • The new list of costs allowable “under certain circumstances”
  • Elimination of a host of “low value” prior approval requirements
  • Dollar threshold changes affecting cost-charging
  • The updated definition of equipment costs
  • Clarification about prior approval authority for subawards
  • Documentation of “advance understandings”
  • Use of the cost principles on fixed amount awards and subawards
  • Specific allowability of evidence-based project evaluation activities
  • Allowability of closeout costs

OMB’s revisions introduce a new learning curve for everyone involved with federal grants. Join us for this comprehensive session intended to help you stay ahead of these developments.


  • Grant and contract managers
  • Project directors
  • Principal investigators
  • Sponsored projects administrators
  • Executives
  • Finance directors
  • Accounting staff
  • Internal auditors
  • External auditors

Hand-out Materials:

Attendees will receive presentation slides as well as access to background materials.


Bob Lloyd Bob Lloyd

BOB LLOYD is a respected authority on policies and practices affecting the award, administration and oversight of federal grants, contracts and subawards. Mr. Lloyd has nearly 40 years of experience in federal award implementation. Prior to starting his management consulting practice in Washington, D.C., in 1982, he served as the executive director of the Grants Management Advisory Service and held staff positions in two large federally funded organizations. Since then, he has been a consultant, trainer or advisor to award and audit units in sixteen federal award-making departments and agencies, and to recipient and subrecipient organizations and their professional advisors located in all 50 states, the District of Columbia, several U.S. territories and 18 foreign countries. He is the principal author of A Guide to OMB Grant Reform and several other reference works on federal grants management and audits, and currently serves as contributing editor to Federal Grants News, published by Thompson Grants. He also is a Charter Life Member of the National Grants Management Association and served on its Board of Directors for five years. Contact Bob Lloyd at or 864-235-8680.