A sweeping Office of Management and Budget proposal could jeopardize federal funding for a large swath of research and programs in Vermont. The proposed rule would make federal grants subject to review by senior political appointees, who would ensure that funding aligns with the President's policy priorities.
The change could impact funding for the state government, nonprofits, and local municipalities, with over one-third of Vermont's $8.6 billion budget coming from federal funds. Researchers and academics have expressed concern that the proposal would politicize the grant-making process and lead to funding uncertainty for many programs.
The rule is set to be implemented in October, although it may be amended in response to public comments. The proposal has sparked criticism from Vermont officials, with Treasurer Mike Pieciak stating that the rule would break the trust between the federal government and Vermonters.
