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Bipartisan Efforts to Reform Federal Grantmaking and Address Improper Payments

1/16/2026, 7:59:59 AM

Overview of the Evidence-Based Grantmaking Act

Republican Rep. Rudy Yakym of Indiana has introduced the Evidence-Based Grantmaking Act, a bipartisan initiative aimed at reforming the approximately $150 billion allocated annually in federal grants. This legislation seeks to ensure that federal agencies conduct proper evaluations of grant effectiveness, responding to a study indicating that only 42% of federal managers consider their agencies' grant information to be of sufficient quality. Yakym, who co-chairs the What Works Caucus, emphasized the need for measurable outcomes in federal funding, stating, “Only 25% of federal programs are actually deemed to be working based upon evidence.”

Legislative Support and Objectives

The Evidence-Based Grantmaking Act has garnered support from a diverse group of lawmakers, including Reps. Don Bacon (R-Neb.), Brittany Pettersen (D-Col.), and Deborah Ross (D-NC). The legislation mandates that federal agencies define the purpose of grants clearly and establish procedures for evaluating their results. Yakym aims to address the broader issue of improper federal spending, which has reached an estimated $2.8 trillion since 2003. He previously introduced the Improper Payments Transparency Act to tackle this issue, which is exacerbated by the federal government's growing debt, currently at $38 trillion.

Accountability and Reporting Requirements

Under the proposed legislation, federal agencies would be required to report annually on their efforts to implement evidence-based grantmaking. This includes detailing improper payments, the reasons behind them, and corrective measures taken. Yakym believes that recent controversies surrounding government fraud, particularly in Minnesota, could provide the necessary momentum for advancing this legislation.

Criticism and Opposition

While the Evidence-Based Grantmaking Act has received bipartisan support, some critics express concerns about the feasibility of implementing such rigorous evaluation processes across diverse federal programs. They argue that the complexity of measuring effectiveness may hinder the timely distribution of funds to programs that require immediate support.

Verbatim Quotes

  • “We should be funding things that are measurable, that people can come to us with evidence and demonstrate clearly that these things work.” — Rep. Rudy Yakym
  • “Improving government efficiency isn’t as simple as eliminating entire programs or downsizing federal agencies to save a quick buck,” — Rep. Don Bacon
  • “This bipartisan bill is a commonsense measure to make our government more efficient.” — Rep. Brittany Pettersen

What's Next

The Evidence-Based Grantmaking Act is expected to advance through committee discussions in the coming months. Yakym and his supporters are hopeful that the renewed focus on government accountability will lead to meaningful reforms in federal grantmaking practices, ultimately improving the efficacy of taxpayer-funded programs.