Bill > HR2766

This bill requires the Director of the Office of Management and Budget (OMB) to issue guidance within 180 days that clarifies how federal agencies should recognize special districts as local government entities for the purpose of receiving federal financial assistance. A special district is defined as a political subdivision with specific boundaries and budgetary autonomy, created by state law to perform limited governmental functions. Within one year of the guidance's issuance, federal agencies must update their policies and procedures to conform to these new requirements. The Director of OMB must also submit a report to congressional committees within two years evaluating how agencies have implemented the guidance. The bill defines federal financial assistance broadly as grants, loans, property, cooperative agreements, and other forms of aid, excluding reimbursements for specific services. The legislation applies to all states, territories, the District of Columbia, and federally recognized Indian Tribes, aiming to ensure that special districts have fair and consistent access to federal funding opportunities.

Government Affairs

https://www.congress.gov/bill/119th-congress/house-bill/2766/all-info