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Federal government actions continue to take effect or approach taking effect. FBT Gibbons last week released analysis of a rule proposed in May by the Office of Management and Budget (OMB) and virtually every federal grant-making agency “that would fundamentally rewrite the government-wide framework for administering federal grants, cooperative agreements, and other forms of financial assistance.” In “The Most Sweeping Federal Grant Overhaul in a Generation: What Every Award Recipient Needs to Know,” the firm breaks down the potential consequences if the rule as proposed is finalized and takes effect on October 1, 2026.
“The stakes could not be higher,” the analysis begins. “Universities, research institutions, hospital systems, nonprofits, state and local governments, and private-sector entities that collectively depend on hundreds of billions of dollars in annual federal grant awards face significant compliance, financial and operational disruption. Organizations should treat the July 13, 2026, comment deadline as an urgent action item and begin internal preparation now.”
Meanwhile, the U.S. Department of the Treasury on July 1 announced the opening of the next nomination period for states, territories and the District of Columbia to nominate eligible communities to be designated as Qualified Opportunity Zones (QOZs). “Treasury looks forward to working with states to expand economic opportunity, support job creation and unlock long-term growth in communities across the country,” said Treasury Secretary Scott Bessent.
On April 6, the Treasury Department and the IRS released a list of 25,332 eligible census tracts for nomination, of which 8,334 are eligible for rural benefits enacted as part of the Working Families Tax Cuts. The list of eligible census tracts is available here.
Every November, Site Selection examines OZs, including last year’s exclusive analysis by Kenan Fikri of what the program’s permanence means for corporate investors.
The Community Development Financial Institutions Fund (CDFI Fund) has developed an Opportunity Zone Nomination Tool, through which governors can identify and select communities, and access detailed instructions for completing and submitting nominations. The current nomination period will determine which census tracts are eligible for new investment beginning January 1, 2027. “Because new designations will occur only once every 10 years,” Treasury reminds us, “jurisdictions that do not nominate an eligible tract during this window would not have another opportunity until the next designation cycle.”
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