GPA Statement on “Improving Oversight of Federal Grantmaking” Executive Order
August 11, 2025
The Grant Professionals Association (GPA) has reviewed the most recent Executive Order on federal grant funding, “Improving Oversight of Federal Grantmaking,” and has grave concerns regarding many of the items in this Executive Order. GPA has long recognized the importance of grants to positively impact lives.
As GPA has previously reiterated, the grant application process is rigorous and competitive, ensuring that federal funds are allocated to the most impactful programs. This process evaluates the merits of proposed programs and applicants’ capacities to implement them successfully. By carefully reviewing grant applications, federal agencies maximize their return on investment and ensure taxpayer dollars are used responsibly. GPA and its members have been active in working to improve this process and encourage continued progress by federal agencies to increase interagency collaboration to streamline the grant process, from the pre-award application stage, through post-award grant management. This ensures a better process and optimal stewardship of taxpayer funds.
Removing Subject Matter Experts From the Federal Grant Process. GPA has deep concerns regarding many of the actions outlined in this Executive Order that will negatively impact the federal grant process. The addition of political appointees in the review process of discretionary grants and notification of funding opportunities will only delay Congressionally approved funding and remove subject matter experts from the process of ensuring plain language in notifications. Funding delays will result in the disruption of services designed to improve American lives. GPA believes an empirical approach to decision-making for discretionary funding ensures the process is ethical and aligned to the purpose of grant programs.
Lowering Indirect Cost Rates. GPA is concerned about the directive to further limit the amount of funds apportioned to facilities and administrative expenses. Costs of administration for grant programs, including the necessary overhead for program oversight and facilities for delivering the programs, are critical to the ongoing operations to serve the American people. Using lower indirect cost rates as a competitive component will negatively impact organizations, as they will not reflect the true costs based on empirical financial data and only list arbitrarily-determined costs to compete. The results could include not only increased financial burdens on applicant organizations, but decreased capacity to provide needed services and/or decreased quality of services provided.
Terminating In-progress Grants for Convenience. GPA strongly objects to the change requiring all discretionary grants to permit termination for convenience, including when the award no longer advances agency priorities or national interests. It is most concerning that an awarded grant could be cancelled during the award. The cascading impact of cancelling an awarded grant will not only negatively impact organizational staff, projects, commitments, and contracts issued to accomplish the work set forth in the grant agreement, but those in need will not be served, while people in local communities lose jobs, unemployment rates rise, buildings become vacant, and the economy as a whole is impacted.
Requirements for Directly Drawing Down General Grant Funds for Specific Projects. GPA is concerned that the additional requirements for drawing down allocated grant funds create more of an administrative burden for organizations to access grant funds, including providing a written explanation and request for each drawdown. Requesting the return of funds already expended by nonprofit agencies––such as those in the healthcare, faith-based, community, and other nonprofit systems supporting tax-paying American families and children––runs counter to the improvement of American lives and advancing American interests intended by the Executive Order.
We call on all stakeholders—federal agencies, grant-seeking organizations, and policymakers—to collaborate in upholding grant-related best practices that promote transparency, accessibility, and the intended positive impacts for every community we serve.
As proud members of the Grant Professionals Association, Shore Points Grant Professionals will continue to share ongoing statements from GPA relevant to funding opportunities and policies that jeopardize needed funding for those we serve.