Feb. 13, 2025
Government Efficiency Efforts, Federal Grants Processes
‘Government Efficiency’ Efforts
President Trump has established a new entity known as the Department of Government Efficiency (DOGE), which, despite its name, is not a cabinet-level department but an entity created through Executive Order of the President. Through DOGE, the new Administration hopes to reduce government-wide spending and bureaucracy. The counterpart to DOGE in Congress – the Subcommittee on Delivering on Government Efficiency – is chaired by Georgia Congresswoman Marjorie Taylor Greene of the 14th district, and the subcommittee held its inaugural hearing yesterday, Feb. 12. In her opening remarks, Chairwoman Greene affirmed the subcommittee’s agenda to advance solutions that reduce government “waste.”
Several executive actions in recent weeks, not including the federal funding actions covered in previous updates, build on the DOGE efforts:
- Regulatory: On Jan. 31, the Administration issued an Executive Order and Fact Sheet calling for a “10-for-1 rule” whereby for every newly promulgated regulation, an agency must identify at least ten existing regulations to be repealed. This rule boosted a similar “2-for-1 rule” instated during President Trump’s 1st term.
- Personnel: On Feb. 11, the Administration issued an Executive Order and Fact Sheet calling for “workforce optimization” across as many as 400 federal agencies. The Order requires that agencies hire no more than one employee for every four that depart from federal service, with certain exceptions for public safety and immigration enforcement functions.
While the impacts of these government reductions on cities may not be felt for months or even years, they have the potential to affect how cities access and utilize federal resources such as grants (for example, fewer regulations may expedite projects but less agency staff for support may cause delays to the same projects). GMA supports efforts to make the federal government work more efficiently for cities of all sizes and will continue to monitor and report on these changes.
Rebuilding Momentum to Streamline Grants Processes
During the last Congress, the bipartisan Streamlining Federal Grants Act of 2023 was introduced but did not pass. This bill reflected the struggle many small and rural communities face when it comes to access (or lack thereof) to federal funds by requiring agencies to reduce the complexity of grant applications and provided more training and technical assistance. Senator Ossoff and Senator Warnock both signed on as co-sponsors.
The National League of Cities is now working with the original co-sponsors to reintroduce the bill and is seeking your city’s input to ensure the bill reflects the needs of local governments. Register here for an informal office hour with NLC’s legislative team next Wednesday, Feb. 19 from 3-4 p.m. to provide your input and ask questions.
GMA supports this legislation because it would allow more cities, especially smaller cities, to access critical federal funding.
Update on Federal Funding Freeze
On Monday, Feb. 10, U.S. District Judge John McConnell, the same judge that ordered a halt to a near government-wide funding freeze, accused the Administration of continuing to withhold certain funding in violation of the court order. GMA awaits further clarity from the Administration and the courts on which actions to withhold funds are constitutional and which are not. GMA is aware of several cities that have encountered delays to their federal grants and, we continue to encourage cities to check with the granting agency on the status of their grants and to document related costs or impacts resulting from any delays or cancellations.