The Office of Management and Budget (OMB) has revised sections of 2 CFR (the Title 2 Code of Federal Regulations), which provides guidance for Federal Grants. In alignment with the President’s Management Agenda (PMA), the revisions implement new statutory requirements and aim to reduce recipient burden by clarifying existing rules.
Federal grants are a substantial part of the United States Budget (around 16 percent). Each year, the U.S. spends over $700 billion on grants and these changes will help ensure the American people are getting results for their taxpayer dollars.
2 CFR Revisions Help:
- Modernize reporting by requiring Federal agencies to adopt standard data elements that recipients must report (full information available at: https://ussm.gsa.gov/fibf/)
- Strengthen the government-wide approach to performance and risk by encouraging Federal agencies to improve measurement of program goals and objectives and share lessons learned.
- Reduce recipient burden by clarifying areas of confusion and limiting areas of interpretation.
See full 2 CFR revisions at Federalregister.gov
These revisions reflect a shift in the PMA toward result-oriented accountability for grants and a focus on strengthening national security and increasing transparency for financial assistance.
Changes to the 2 CFR will take effect on November 12, 2020, except for the amendments 200.216 and 200.340, which are effective as of August 13, 2020.
