The Foraker Group

On May 29, 2026, the federal Office of Management and Budget (OMB) proposed sweeping changes to the Uniform Guidance that, if implemented, would create significant risk and instability for all federal grantees, including nonprofits, making it more difficult to provide vital services to communities. We are calling on Alaska nonprofits to loudly declare our opposition to the proposed changes.

The OMB proposed changes would apply to all federal grants, cooperative agreements, and pass-through awards received by Alaska nonprofits. Since before statehood, Alaska nonprofits have had a long track record of serving with honor and accountability as a trusted partner with the federal government, the State of Alaska, and local municipalities. We are such a vital part of everyday Alaska life we are recognized in our state’s constitution. We provide a vast array of programs and services to Alaskans that would otherwise be subject to additional, unnecessary, partisan requirements, placing those essential services at risk. Truly, Alaskans know us as a reliable source for so many aspects of their lives.

Nonprofits are already highly regulated and comply with myriad requirements and ethical standards – more than any other sector in our society. The proposed OMB changes are unnecessary, misguided, punitive, and stand to end many programs Alaskans depend upon.

Highlights of some (but not all) of the 2026 proposed changes

Changes to federal Uniform Guidance would do the following:

• Grant the executive branch seemingly unlimited discretion over federal grants, contrary to federal law and current grant and oversight compliance measures
• Force grantees to operate in a shifting environment, making it more difficult to provide vital services to their communities
• Allow federal agencies to determine discretionary federal awards based on partisan ideology, not community needs or congressional intent, while doing away with the nonpartisan, non-conflicted process of grant review that is currently in place
• Threaten important congressionally funded federal programs that help address longstanding racial, social, or other disparities in underserved communities
• Force nonprofits to choose between applying for critical federal resources and maintaining their deeply held values and beliefs that have served Alaskans for decades
• Discourage nonprofit participation in federal programs, harming the communities those programs were intended to serve

Why Foraker opposes the OMB changes

The State of Alaska depends on federal funding, and it is all at risk with these proposed changes. While a vast majority of nonprofits do not receive federal funding directly, those that do stand to lose the most. Still, all nonprofits will feel the effect because Alaska as a whole will be impacted creating more needs, more areas to focus on, and more barriers to overcome. Federal financial assistance that is directly provided to nonprofits impacts services connected to food assurance and security, affordable housing, domestic violence, behavioral health, education, legal assistance, public safety and emergency response, disaster recovery, environmental stewardship, energy development and resilience, and so much more.

Alaska nonprofits receiving federal awards have been willing to be governed by rules that are clear, predictable, fair, and efficient. The proposed changes from OMB will lead to rules that are unclear, unpredictable, financially destructive, inefficient, and most glaringly, highly partisan. These concerns are especially acute in Alaska.

The National Council of Nonprofits (NCN), a Foraker partner, has prepared an informative chart providing detailed information on the proposed changes and their adverse impacts on charitable nonprofits. An OMB chart comparing current provisions to proposed changes provides an additional perspective. Many associations from state auditors to tribal associations to local government associations stand with us in opposition to these unnecessary changes.

Take Action TODAY!

Now is the time to use your voice and act.

1. Join us and sign on to the NCN letter.
2. Share this action alert widely.
3. Consider joining Foraker in submitting comments to OMB (see NCN comment guide) calling on them to withdraw the proposal or substantially revise it after meaningful consultation with nonprofits, municipalities, tribal organizations, and others. Deadline for comments is July 13, 2026.
4. Share with Foraker how these changes will impact your organization using our Realtime Consequences form. We will compile these responses and send them to our delegation and also use them to advocate on behalf of the sector.