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Voices: A change to this little-known federal rule will have big impacts for Utah

Utah leaders frequently argue that decisions should be made as close to the people as possible. Yet this rule would move authority in the opposite direction.

(Rick Egan | The Salt Lake Tribune) Summit County Health, in Park City, on Monday, Oct. 4, 2021. Rural healthcare could be impacted by a proposed change to a little-known federal regulation, two Utahns write in an op-ed.

(Rick Egan | The Salt Lake Tribune) Summit County Health, in Park City, on Monday, Oct. 4, 2021. Rural healthcare could be impacted by a proposed change to a little-known federal regulation, two Utahns write in an op-ed.

Most Utahns have never heard of 2 CFR Part 200.

Yet this little-known federal regulation governs how federal grants are awarded and managed across the country. It affects not only scientific research but also education, transportation, housing, public safety, health care, rural development and hundreds of other programs that states, state and public agencies, universities, hospitals and nonprofits rely on every day.

Now the federal Office of Management and Budget has proposed sweeping changes to those rules. The proposal is described as an effort to increase transparency, accountability and efficiency. But many of the changes would do the opposite. Instead, they would concentrate more power in Washington, increase administrative burdens, create uncertainty for communities and make taxpayers pay more for less.

The proposal deserves far more public attention than it has received.

The Utah Public Health Association (UPHA) represents nearly 600 public health professionals across Utah. Because federal grants support many of the state and community programs that protect health, strengthen communities and serve vulnerable Utahns, UPHA is deeply concerned about changes that could make those investments less stable, less transparent and more subject to political influence.

For decades, federal grants have generally operated under a straightforward principle. Congress appropriates funding, agencies establish programs and experts evaluate applications based on merit and program goals. Grants are then awarded, and recipients are expected to meet specific requirements throughout the life of the project.

The system is not perfect. Anyone who has worked with federal grants knows they can be slow, bureaucratic and difficult to navigate. But there is at least a degree of predictability. Communities can plan around a grant. A university can hire staff. A nonprofit can launch a program. A rural hospital can rely on funding to sustain services.

The proposed rule would change that.

One provision would require senior political appointees to personally approve discretionary grant awards before they are issued. Expert review panels and career professionals could still provide recommendations, but political officials would have the final say and would not be required to follow expert advice.

Another provision would allow federal agencies to terminate active grants because they no longer align with agency priorities. No fraud. No misconduct. No failure to perform. A project could simply become politically inconvenient.

A third provision would restrict the use of grant funds for public communication, outreach, publication and related activities. At a time when Americans are demanding more transparency from institutions, the federal government would be making it harder for federally funded work to communicate results to the public.

These changes may sound technical. Their consequences are not.

Consider Utah’s rural communities. Many rural hospitals operate on narrow margins and depend on federal grants to support services. If a grant can be terminated in the middle of a project because political priorities shift in Washington, community leaders are left scrambling to fill the gap.

Consider Head Start programs. Parents depend on these programs for early childhood education and childcare. Teachers are hired, classrooms are opened and families build their schedules around them. Under the proposed framework, funding could become significantly less predictable.

Consider services for older adults. Federal grants support transportation, caregiver assistance, meal delivery, senior centers and programs that help older Utahns remain independent in their own homes. These services are administered locally but rely on stable federal partnerships.

When funding becomes uncertain, communities face difficult choices. Services are reduced. Programs are delayed. Nonprofits scale back operations. States and communities are asked to absorb costs they never planned for.

That means fewer services, larger waiting lists, budget shortfalls and increasing pressure on taxpayers.

The proposal also raises broader questions about decision-making authority and the ability of states and communities to respond to their unique needs.

Utah leaders frequently argue that decisions should be made as close to the people as possible. Yet this rule would move authority in the opposite direction. More decisions would be concentrated in the hands of federal political appointees. Communities would have less certainty, less flexibility and less ability to plan for the future.

Whether you are conservative, liberal or somewhere in between, granting Washington more power to approve, cancel or restrict federally funded work should give you pause.

This proposal is currently open for public comment through July 13. Utahns who believe federal funding decisions should remain predictable, transparent and focused on serving communities should make their voices heard.

Comments can be submitted through Regulations.gov. Citizens can also contact their members of Congress and other elected officials and encourage them to support congressional oversight, a Congressional Review Act resolution and appropriations language that would prevent implementation of these provisions.

The debate over this rule is not simply about grants. It is about whether communities and taxpayers should be able to rely on commitments already made, or whether those commitments can be overridden whenever political priorities change in Washington.

Utahns have an opportunity to speak up now and help ensure that federal funding remains accountable to communities, taxpayers, and the people it is meant to serve.

(Caitlyn Jasumback) Caitlyn Jasumback, MSPH, is the Immunization Advocacy Coordinator at the Utah Public Health Association.

Caitlyn Jasumback, MSPH, is the Immunization Advocacy Coordinator at the Utah Public Health Association.

(Morgan Hadden) Morgan Hadden, MPH, MBA, CHES, is the Executive Director of the Utah Public Health Association.

Morgan Hadden, MPH, MBA, CHES, is the Executive Director of the Utah Public Health Association.

The Salt Lake Tribune is committed to creating a space where Utahns can share ideas, perspectives and solutions that move our state forward. We rely on your insight to do this. Find out how to share your opinion here, and email us at voices@sltrib.com.

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