Greetings,
As of October 1, 2025, HHS fully adopted 2 CFR Part 200 (Uniform Administrative Requirements, Cost Principles, and Audit Requirements) and integrated HHS-specific modifications under 2 CFR Part 300. Please be aware of these changes.
With awards greater than $350,000, there has been a change in rebudgeting flexibility within the overall award amount (i.e., shifting funds among categories such as personnel, travel, supplies, contracts, etc.). Under the previous HHS policy, grantees could reallocate up to 25% of the total approved budget (cumulative across categories) without prior approval. Effective October 1, 2025, that threshold is reduced to 10% of the total approved federal budget. Shifts between categories greater than 10% will require prior approval from the awarding agency. This policy is cumulative across reallocations to a category, not necessarily each single reclassification.
Contracts subject to this requirement that are currently executed will be subject to this new policy effective 10/1/25.
If you have questions regarding your federal award, please contact your Grant Administrator.
If you have questions regarding your subcontracts, please contact subcon@healthresearch.org.
Thank you,
Michael A. Saglimbeni
Director, Office of Sponsored Programs
Health Research, Inc.
Riverview Center, 150 Broadway, Suite 280
Menands, NY 12204-2719
(P) 518-431-1265
(C) 518-935-8087
Website: www.healthresearch.org
