Marquette County to oppose proposed OMB rule that could expand federal grant-termination authority

Marquette County's executive finance committee authorized County Administrator Ron to draft and submit a letter opposing a proposed revision to federal grant rules that, the administrator said, could give federal political appointees broader discretion to terminate awards and create fiscal uncertainty for local governments.

Ron told the committee the proposed rule would give federal agencies expanded authority to withdraw funds counties expect to receive as pass-through or direct awards, complicating local budgeting. "The proposed rule would grant federal agencies broadened discretionary authority to terminate grant awards ... this provision creates severe fiscal uncertainty for county governments," he said. He said counties typically budget against funds that are expected to pass through the states, and that the proposed change would undercut that predictability.

Committee members agreed to authorize Ron to prepare and send a comment letter before the public-comment period closes (the clerk noted the public comment ends on the 13th). A motion to have Ron draft the letter passed by voice vote; Ron said he would work with the Wisconsin Counties Association and return the draft as needed.

Members expressed concern about the policy's potential to politicize grant administration and to disrupt county services if funds were pulled after budgets were built. One member warned that if funds already counted in a budget could be withdrawn, "how do we create a budget knowing that we can pull it back and how we can operate?"

Next steps: Ron will draft the opposition letter and circulate it to committee leadership for review; staff will submit the comment before the federal deadline.