A Republican senator criticized a proposed rule from the White House's budget office that would substantially change how federal grants are managed, arguing that it has the potential to harm patients and set back biomedical research.

In a July 6 letter, Sen. Susan Collins (R-Maine), chair of the Senate Appropriations Committee, wrote that "the rule would impose new, burdensome requirements on award recipients that would harm small and rural communities, undermine scientific and biomedical research, and conflict with Congress' control over the federal funding process."

She called on Office of Management and Budget (OMB) Director Russell Vought to drop certain portions of the rule and extend the comment period by at least 90 days to allow for meaningful stakeholder engagement.

Collins particularly took issue with the rule for allowing agencies to terminate discretionary grants if the agency decides that the termination is in its best interest, including in cases where the federal award does not accomplish program goals or agency priorities.

She noted that previous versions of the same guidance included language to terminate awards that were not aligned with program goals or agency priorities, but agencies could choose whether to include such terms in their own agreements. The proposed rule not only removes this "discretion," but it also removes the administrative hearing requirements that would have allowed an entity the ability to appeal such decisions, she added.