Sep 27, 2025 | Postscape #020
The small communities surrounding Ding Dong, Texas, rely on federal grants for support. President Trump’s August 2025 Executive Order on grant oversight has created uncertainty by putting funding decisions in the hands of a political appointee focused on the current administration’s “national interest.”
This puts important projects like rural broadband expansion at risk, disrupts local utility companies, and adds pressure on rural service providers due to limits on “indirect costs.” Additionally, restrictions on grants for initiatives related to “racial preferences” or “gender or DEI ideology programs” could cut essential services for vulnerable populations, including mental health programs for veterans.
Overall, the new oversight system favors political alignment over program stability, jeopardizing resource-limited rural organizations and their services.
SOURCES
1.
https://news.aai.org/2025/08/14/exxecutive-order-oversight-federal-grants/
2.
https://www.wiley.law/alert-New-Executive-Order-Calls-for-Reforming-Federal-Grant-Oversight
3.
Older Americans Act (OAA) Grants (Administered by the Administration for Community Living – ACL): These discretionary funds are essential for in-home services and nutrition programs for seniors. State Health Insurance Program (SHIP) and MIPPA (Medicare benefits) grants are also key.
Area Agency on Aging of Central Texas (AAACT) Main Page: https://ctcog.org/aging/
Texas HHS AAA Grants Overview https://www.hhs.texas.gov/providers/long-term-care-providers/area-agencies-aging-aaa/aaa-grants-overview
4.
Health Center Program (Section 330) Grants (Administered by HHS/HRSA): The primary funding for Federally Qualified Health Centers (FQHCs) which would be directly impacted by the EO’s call to limit indirect costs (overhead, rent, utilities) and the political oversight of grant renewals.HHS TAGGS (General Grant Info for HHS recipients like health centers): https://taggs.hhs.gov/
5.
Emergency Food and Shelter Program (EFSP) (Federal pass-through funds) and other HUD/HHS grants. These organizations are vulnerable to the EO’s criteria that vet against certain social initiatives or ideological alignment (Source 2.1 in previous answer).Families In Crisis News Article (Mentions funding challenges):
Food Care Center Profile (Confirms non-profit status and community focus):
https://www.guidestar.org/profile/75-2195539
6.
This video discusses the release of billions in grant money for schools after an administration review, which is an example of the kind of funding delay and subsequent release that can be caused by the new grant oversight process outlined in the executive order:
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