Major Changes to Federal Grant Eligibility – Public Comment Now Open

Published On: March 4, 2026

The General Services Administration (GSA) has proposed requiring all federal grantees, including nonprofits, state, local, and Tribal government, and other entities, to sign new certifications under the threat of civil and criminal penalties before applying for or receiving federal resources, including grants, cooperative agreements, and other assistance.

These certifications attempt to align with President Trump’s executive order and the U.S. Department of Justice guidance, misrepresenting “illegal” diversity, equity, inclusion, and accessibility, undocumented immigration, and terrorism.

Why is KNN Concerned?

  • The proposed changes would create significant legal and financial risks to grantees, jeopardizing community access to critical services.
  • The new certifications are vague and complex, making it nearly impossible for grantees to know whether they are in compliance.
  • Moreover, it exposes grantees to possible legal harassment, which may force them to spend time and resources defending themselves in audits, investigations, and court.
  • Grantees may decide that it is not worth the risk and will forgo applying for federal resources altogether, leading to service disruptions in communities and states nationwide, impacting housing, community development, health, education, food, shelter, community services, disaster recovery, and more.

Ultimately, the proposed changes will harm the people and communities that rely on nonprofits and other federal grantees, and the essential services they provide.

Submit Comments

Nonprofits have until March 30 to submit public comments in opposition to the proposed changes. National Council of Nonprofits (NCN) has created several tools to help nonprofits nationwide make your voices heard.

About KNN

Kentucky Nonprofit Network (KNN) is your state association of charitable nonprofit organizations. We work to strengthen and advance our nonprofit sector through a unified public policy voice, quality education and resources, and a strong network of nonprofit leaders and organizations serving Kentucky communities.

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