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Trump Administration Proposes Rule to Shift Federal Grant Authority to Political Appointees

6/5/2026, 5:58:33 AM

Rule Shifts Grant Authority to Political Appointees

On May 29 the Office of Management and Budget (OMB) issued a 400-page rule requiring political appointees to approve research grants. The rule adds a requirement that awards must “demonstrably advance president’s policy priorities,” bans DEI or gender-related funding, and allows officials to veto peer-review recommendations.

Background and OMB Rationale

Agencies use peer-review panels. OMB says the rule will bring transparency, ensure taxpayer dollars are spent wisely, and curb waste, fraud, and abuse. It also claims past grants promoted a “far-left DEI agenda,” citing “drag shows in Ecuador” and “transgender experiments on mice” as examples it will end.

Stakeholder Reactions

Craig McLean warns that political appointees lacking scientific expertise could dictate research direction. Holden Thorp says the administration intends to undermine scientific enterprise. Historian Tim Snyder likens the plan to “late Stalinism,” and climate scientist Kim Cobb calls it a “particularly acute threat” to climate and weather research.

Scope, Data, and Potential Impact

The rule would affect billions in federal research funding across agencies such as NSF, NIH, and HUD, bans DEI-linked grant conditions, restricts international collaborations, and requires grantees to list conferences for the grant term; over 3,000 comments have been submitted. Critics warn it could curtail work in public health, addiction, climate and other fields that rely on diverse participation.

Conflicting Claims and Gaps

OMB’s claim that prior grants funded “drag shows in Ecuador” and “transgender experiments on mice” is disputed; researchers say no such projects exist. Critics argue that veto power for political appointees nullifies the merit-based process and that the waste-reduction claim lacks independent evidence.

Verbatim Quotes

  • “Craig McLean: It's remarkably troubling, because, first off, the Trump administration has already demonstrated its ability in the past to displace scientific judgment with their own political pronouncements.” — Craig McLean, former NOAA chief scientist
  • “Although research has bipartisan support in the US Congress, and trust in science is above 75% across the country, the Trump administration seems as determined as ever to mortally wound the nation's scientific enterprise,” — Holden Thorp, editor, *Science* magazine
  • “This would be the end of American science as we know it,” — Cole Donovan, policy analyst, Stand Up for Science
  • “The proposal to base funding decisions on alignment with the administration’s agenda is a particularly acute threat for climate and weather funding, which protects our nation’s infrastructure, economy, agriculture, public safety, and national security,” — Kim Cobb, director, Institute at Brown for Environment and Society

What’s Next

The comment period ends on July 13. OMB will review submissions before issuing a final rule that may take effect in October. Legal challenges are expected, and congressional action appears unlikely given the administration’s reliance on executive authority.