New Mexico — K–12 Federal Programs · Issue 8
Federal Programs Weekly Brief
Top updates
OMB proposes the most significant rewrite of 2 CFR Part 200 since 2013—the Uniform Guidance becomes the “Uniform Grants Regulation” with sweeping implications for every federal award NM districts receive.
On May 29, 2026, the Office of Management and Budget—joined by roughly 40 federal grantmaking agencies including the U.S. Department of Education—published a proposed rule in the Federal Register that would fundamentally rewrite 2 CFR Part 200, known as the Uniform Guidance (UG). OMB proposes renaming it the Uniform Grants Regulation (UGR) and reclassifying it from interpretive guidance to binding federal regulation—a structural change that gives OMB direct, government-wide rulemaking authority over all future grant amendments without agency-by-agency adoption. The proposed rule spans more than 400 pages and covers every phase of a grant’s lifecycle, from pre-award review through termination and closeout. Comments are due July 13, 2026. OMB has signaled an intended effective date of October 1, 2026. AASA, NACo, GFOA, and other national organizations have flagged significant concerns for K–12 LEAs and local governments and are encouraging comments to be submitted. Multiple organizations are also petitioning OMB to extend the 45-day comment window to at least 90 days.
Why it matters for districts
The Uniform Guidance governs administrative requirements, cost principles, and audit standards for every federal award NM districts receive — Title I, II, III, IV, IDEA, McKinney-Vento, and all competitive grants. If finalized as proposed by October 1, any new award or amendment issued after that date would operate under the UGR, not the current UG. Districts with multi-year competitive grants currently in progress should plan for potential transition requirements. AASA has identified three specific LEA concerns: (1) a new requirement that every payment request — advance or reimbursement — include a written justification linking funds to specific project milestones; (2) a prohibition on using federal grant funds for personnel recruitment advertising; and (3) a requirement that conference attendance be expressly approved by the federal awarding agency and included in the grant’s terms and conditions. Federal program directors should review the proposed rule, track NMPED’s response, and consider whether to submit comments before July 13. Docket number is OMB-2026-0034 on regulations.gov.
OMB’s proposed UGR includes expanded agency termination authority, mandatory political appointee pre-award review for discretionary grants, and new E-Verify requirements for all recipients and subrecipients.
Among the UGR’s most consequential structural changes for districts with competitive grants are three provisions that have drawn the widest concern. First, the proposed rule dramatically expands federal agencies’ authority to terminate discretionary awards at any time when a grant “no longer advances agency priorities or the national interest” — explicitly modeled on the procurement contracting “termination for convenience” clause. The rule carves out categorical exceptions for formula grants, block grants, and disaster recovery grants, meaning Title I, IDEA Part B, and McKinney-Vento formula allocations are not subject to this discretionary termination authority. Second, all discretionary awards would be subject to mandatory pre-issuance review by a senior political appointee before being issued, codifying Executive Order 14332. Third, all grant recipients and subrecipients would be required to participate in DHS’s E-Verify employment eligibility system and use the Treasury Do Not Pay system before payment requests are processed.
Why it matters for districts
The termination carve-out for formula grants is the most important protective provision for most NM districts — it means the expanded discretionary termination authority does not apply to your core Title I, IDEA, or McKinney-Vento formula allocations. However, districts holding competitive grants — SEED applicants, TQP partners, Promise Neighborhoods, CLSD, or HQIM grants — should understand that those awards would be subject to the new termination framework if finalized. The E-Verify requirement, if finalized, would apply broadly to all recipient and subrecipient employees working on federally funded awards — including Title I-funded teachers and instructional coaches. Districts should begin assessing their current E-Verify status and consult with NMPED and legal counsel on implementation implications before October 1.
House Appropriations Committee advances FY 2027 education bill 34–28 on June 9—confirms Title I cut of $1.89 billion and elimination of Title II-A and Title III-A, but does not cut subgrant programs.
On June 9, the full House Appropriations Committee advanced its FY 2027 Labor, Health and Human Services, Education and Related Agencies bill on a 34–28 party-line vote. The full committee bill refines the subcommittee’s June 5 proposal: Title I is cut by $1.89 billion (approximately 10 percent, to $16.5 billion nationally); Title II-A (Supporting Effective Instruction, $2.2 billion) is eliminated; Title III-A (English Language Acquisition, $890 million) is eliminated; and the bill rescinds $1.6 billion in already-appropriated FY 2026 Title II-A funds scheduled to flow to districts this October. However, one clarification from NAESP: the House did not cut Title IV-A and Title IV-B subgrant programs, which are maintained at current levels ($1.4B and $1.3B respectively). IDEA state grants receive a modest increase of $35 million. The bill also maintains rural education, TRIO, GEAR UP, Impact Aid, and Indian education with small increases. Full service community schools ($150M) is zeroed out.
Why it matters for districts
The bill now moves to the full House floor, where it faces the same dynamic as prior years: Republican leadership will push it forward while Senate Democrats and moderate Republicans will counter with a bipartisan proposal closer to current funding levels. The FY 2026 cycle is the template — Congress rejected comparable House proposals and passed a bipartisan omnibus in February. The $1.6 billion Title II-A rescission remains the most immediate risk to districts that have budgeted those funds for October. Document your Title II-A obligations now and track Senate action — the Senate Appropriations Committee’s FY 2027 markup is expected in coming weeks.
NMPED ESSA Participation Data Review window closes June 19—one week remaining; act now if corrections are needed.
The NMPED ESSA Participation Data Review window, open since June 5, closes June 19, 2026. This is the only window to correct errors in student participation data for the 2025–26 accountability cycle. NMPED released the Participating Student Corrections Template and Participation Appeals Form upon opening the window. Corrected participation data feeds directly into the accountability model used to generate school designations published September 14, 2026 in NM Vistas. Designations determine which schools are identified as CSI, TSI, or MRI and trigger specific Title I set-aside requirements and school improvement planning obligations.
Why it matters for districts
One week remains. If your district has not yet reviewed its NM-MSSA and iMSSA participation data and submitted all necessary corrections, do so immediately. Contact [email protected] if you encounter any issues with template access or portal submission. Any error not corrected before June 19 at the close of business becomes the official record for the full accountability cycle — including Title III EL participation rates and special education participation rates, both of which have direct implications for federal program reporting obligations in SY 2026–27.
Preliminary NM-MSSA spring 2026 results are available now—NMPED directs LEAs to use embargoed data for SY 2026–27 planning decisions including summer tutoring placement and MLSS interventions.
Per NMPED’s April 30 memo on accessing spring 2026 Title I assessment individual student results, preliminary NM-MSSA data is now available to all LEAs through vendor portals, with final individual student reports accessible in Data Interaction as of May 26. The data is embargoed — meaning it cannot be shared publicly — but NMPED explicitly directs that districts and charter schools use this data for local decision-making in preparation for SY 2026–27. Authorized uses include summer tutoring placement, Multi-Layered System of Supports (MLSS) interventions, English Language Development course placement, and student scheduling. Aggregated results may be shared internally with staff and local school boards. The formal embargo review window opens August 10, 2026.
Why it matters for districts
Federal program directors should ensure assessment teams have shared preliminary NM-MSSA data with Title I, Title III, and special education leadership now — before the summer months separate those teams. This data should directly inform which students are referred to the NM Summer Reading Program (currently enrolling for 2026), which students need MLSS Tier 2 or 3 interventions in SY 2026–27, and how ELD course placements are structured. Using embargoed data for these purposes is explicitly authorized and expected by NMPED. Failure to use it now means losing valuable planning time before the August 10 embargo window opens.
NM Summer Reading Program is currently enrolling for 2026—a free structured literacy resource NM districts and families should actively promote.
NMPED’s 2026 New Mexico Summer Reading Program is now actively enrolling students statewide for the current summer session. The program is free to all NM families and serves incoming kindergartners through outgoing eighth graders (K–8). Instruction is based on the Science of Reading and delivered in small groups by trained literacy instructors. APS confirmed it has partnered with NMPED to host the 2026 program across multiple sites. The program aims to reach 10,000–15,000 students statewide. For families and staff: enrollment and information is available at literacy.nm.gov or 833-550-4300. Program pauses June 19 (Juneteenth) and June 29–July 3; resumes July 6.
Why it matters for districts
For federal program directors, the NM Summer Reading Program is a state-funded structured literacy intervention that can serve students in Title I schools at no federal cost to the district. Using preliminary NM-MSSA data to identify below-grade-level readers and referring them to this program is exactly the kind of evidence-based supplemental support that ESSA school improvement planning requires. District liaison staff and McKinney-Vento liaisons should also actively promote this program to students experiencing homelessness — enrollment is open to all NM students including charter, private, and homeschool students.
Comprehensive Centers Program application deadline is June 30—two weeks away for eligible organizations; NM regional TA continuity remains uncertain.
The FY 2026 Comprehensive Centers Program competition application deadline is June 30, 2026 (11:59:59 p.m. ET) via Grants.gov (ED-GRANTS-050826-001). The $46 million competition (84.283B and 84.283D) includes National, Regional, and the new Field-Initiated Content Centers categories, as well as a separate National Center on Improving Literacy for Students with Disabilities (84.283D). Existing CC awards may be terminated as part of this redesign, meaning the organization currently providing regional technical assistance to New Mexico may change. Contact [email protected] for information. The contest is open to research organizations, IHEs, nonprofits, and partnerships; LEAs are not direct applicants.
Why it matters for districts
NM federal program directors should confirm with NMPED whether the current Southwest regional Comprehensive Center’s award status is known — and what the state’s plan is for continued access to regional TA during any transition period. If that support is disrupted between now and the time new awards are made, districts relying on CC-funded assistance for ESSA compliance, school improvement planning, and evidence-based practice implementation should begin identifying alternative state and regional resources. New awards from this competition, once made, may not begin services until late 2026 or early 2027.
Funding & grant opportunities
Teacher Quality Partnership (TQP) — FY 2026 (Federal, Competitive)
Supports teacher residency, pre-baccalaureate preparation, and Grow Your Own educator models in high-need schools. IHE-led; LEA partnership required. Administered via DOL GrantSolutions. Federal Register 2026-09308. Contact: [email protected].
Quick take: Deadline is June 23 — this week. Any NM district serving as a named partner must have completed all authorization this week. Districts with high-need designations or rural/tribal schools that haven’t been approached should contact NM IHE teacher prep programs immediately — partnership letters may still be incorporated.
Comprehensive Centers Program — FY 2026 (Federal, Competitive)
National, Regional, and Field-Initiated Content Centers plus a National Center on Improving Literacy for Students with Disabilities. Submit via Grants.gov (ED-GRANTS-050826-001). Contact: [email protected].
Quick take: Two weeks remain. NM districts with strong school improvement or ESSA compliance data should share that documentation with prospective NM-based applicants as evidence of regional need for the Field-Initiated track. Confirm with NMPED whether the current Southwest CC’s award status is known.
OMB Uniform Grants Regulation — Public Comment Period
Docket OMB-2026-0034 on regulations.gov. Governs every federal award LEAs receive. Comments may be submitted by any individual or organization. AASA, NACo, GFOA, and others are preparing formal comment letters. Multiple organizations are requesting a 90-day extension of the comment period.
Quick take: NM federal program directors should read AASA’s summary of LEA-specific concerns and consider whether to submit individual district comments or coordinate with NMPED or a state association on a joint comment. Focus areas: the payment justification requirement, conference attendance restrictions, E-Verify, and expanded termination authority for competitive grants.
Ready to Learn Programming — FY 2026 (Federal, Competitive via HHS)
Supports development of educational television and digital media for preschool and elementary children. Now administered by HHS Administration for Children and Families. Submit via Grants.gov (FR 2026-09716). Contact: [email protected].
Quick take: Media organizations and early childhood program partners primarily. NM districts with Head Start partnerships may be relevant implementation partners. Note the July 8 deadline for awareness.
Compliance / deadlines watch
- NMPED ESSA Participation Data Review Window — Closes June 19, 2026: One week remains. Submit all NM-MSSA and iMSSA participation corrections via SAGE portal now. Contact [email protected] immediately for access issues. No corrections accepted after June 19.
- Teacher Quality Partnership (TQP) — June 23, 2026 (11:59:59 p.m. ET): Deadline is this week. Confirm all LEA partnership authorization is complete. Contact [email protected].
- Comprehensive Centers Program — June 30, 2026 (11:59:59 p.m. ET): Research orgs, IHEs, nonprofits. Via Grants.gov (ED-GRANTS-050826-001). Contact [email protected].
- Ready to Learn Programming — July 8, 2026 (11:59:59 p.m. ET): Media organizations and early childhood program partners. Contact [email protected].
- OMB Uniform Grants Regulation — Comment Deadline July 13, 2026: Docket OMB-2026-0034 on regulations.gov. Read AASA’s LEA-specific summary and coordinate with NMPED or your state association on comment strategy. Proposed effective date October 1, 2026.
- NMPED DTC & Accountability Lead Designation — July 31, 2026: Required under 6.10.7 NMAC. Complete before end of school year. Controls SAGE and iTester portal access for SY 2026–27. Staff transitions make early completion critical.
- NMPED ESSA Embargo Review Window — August 10–28, 2026: Districts review and appeal aggregated school-level accountability data before public release. Use embargoed preliminary NM-MSSA vendor data now to identify anomalies and begin SY 2026–27 school improvement planning.
- FY 2027 Title II-A Rescission & House Education Bill — Monitor: House Appropriations Committee advanced FY 2027 bill 34–28 on June 9. Senate markup expected in coming weeks. Document Title II-A budget dependencies and maintain contingency plans for October disbursement.
- SEED Grant Competition — Closed June 1, in peer review: Award announcements expected by September 30. Keep SAM.gov registrations current for all partner organizations.
Practical spotlight
What the OMB Uniform Grants Regulation means for NM federal program directors: five things to do before October 1
The proposed UGR is a proposed rule, not a final rule — and it will face legal challenges, a 45-day comment period that multiple organizations are trying to extend, and a compressed October 1 effective date that many analysts consider aggressive. Prudent federal program directors should neither panic nor ignore it. Here are five concrete actions appropriate right now.
1. Read AASA’s LEA-specific summary. AASA has published a plain-language analysis identifying the three provisions of greatest concern to LEAs: the new per-payment justification requirement, the ban on using federal funds for recruitment advertising, and the conference attendance pre-approval requirement. These are the issues most likely to affect your day-to-day grant management if finalized.
2. Assess your E-Verify status. The proposed rule would require all grant recipients and subrecipients performing work in the U.S. to participate in E-Verify. LEAs that are not currently enrolled should consult legal counsel about timeline and implementation before October 1. This requirement, if finalized, would apply to employees whose work is funded by any federal award — including Title I, IDEA, and Title III formula grants.
3. Identify your competitive grants. The expanded discretionary termination authority applies to competitive grants — not formula grants. Make a list of every competitive award your district currently holds. Those grants are the exposure point.
4. Review your current drawdown and payment practices. The proposed payment justification requirement would require a written explanation linking each payment request to specific project milestones. If your district uses payment schedules without narrative justification, that practice may need to change.
5. Consider commenting. Submit comments to OMB-2026-0034 on regulations.gov by July 13. District-level comments from NM LEAs describing the operational impact of the conference attendance restriction, payment justification requirement, or E-Verify mandate on rural or small districts carry real weight in the administrative record. Coordinate with NMPED or NMPSIA on any joint comment effort.
1. Read AASA’s LEA-specific summary. AASA has published a plain-language analysis identifying the three provisions of greatest concern to LEAs: the new per-payment justification requirement, the ban on using federal funds for recruitment advertising, and the conference attendance pre-approval requirement. These are the issues most likely to affect your day-to-day grant management if finalized.
2. Assess your E-Verify status. The proposed rule would require all grant recipients and subrecipients performing work in the U.S. to participate in E-Verify. LEAs that are not currently enrolled should consult legal counsel about timeline and implementation before October 1. This requirement, if finalized, would apply to employees whose work is funded by any federal award — including Title I, IDEA, and Title III formula grants.
3. Identify your competitive grants. The expanded discretionary termination authority applies to competitive grants — not formula grants. Make a list of every competitive award your district currently holds. Those grants are the exposure point.
4. Review your current drawdown and payment practices. The proposed payment justification requirement would require a written explanation linking each payment request to specific project milestones. If your district uses payment schedules without narrative justification, that practice may need to change.
5. Consider commenting. Submit comments to OMB-2026-0034 on regulations.gov by July 13. District-level comments from NM LEAs describing the operational impact of the conference attendance restriction, payment justification requirement, or E-Verify mandate on rural or small districts carry real weight in the administrative record. Coordinate with NMPED or NMPSIA on any joint comment effort.
Looking ahead
Watch next week for the close of the NMPED ESSA Participation Data Review window on June 19 — this marks the end of the district correction opportunity for the full 2025–26 accountability cycle. At the federal level, the Senate Appropriations Committee is expected to schedule its FY 2027 LHHS markup, which will be the first concrete signal of whether the House’s Title I cuts and Title II-A rescission face serious Senate opposition. Also watch for legal challenges to the UGR proposed rule and any OMB response to requests for a comment period extension. The Comprehensive Centers application deadline on June 30 is two weeks away.
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