Important Federal Updates for the UMBC Community

Dear UMBC Community,

We write to you today on behalf of the Federal Orders and Actions Core Team to update you on some recent federal government actions and how they will or may impact UMBC.

OMB Proposed Regulation for Federal Assistance

On May 29, 2026, the Office of Management and Budget (OMB) proposed the Regulation for Federal Financial Assistance to substantially revise the federal grants framework. OMB’s proposed "Regulation for Federal Financial Assistance" is the most significant update to the Uniform Guidance in decades, impacting over $60 billion in federal research and social assistance programs, such as Medicaid and FEMA. The proposed rule expands executive branch authority and incorporates several executive orders—including restrictions on DEI and gender-affirming care funding.

The 320-plus proposed revisions to the Uniform Guidance would fundamentally alter the awarding and monitoring of federal grants. For higher education and research institutions, these changes threaten to increase administrative and compliance burdens, shift more costs to recipients, and expand institutional liability. Ultimately, these revisions risk slowing the pace of U.S. scientific discovery and innovation.

The significant changes in this proposal were highlighted in a three-page joint statement recently issued by the Association of American Universities (AAU), the Association of Public and Land-grant Universities Council on Research (APLU-COR), and the Council on Government Relations (COGR).

The proposed rules are prompting coordinated responses nationwide. We are in regular contact with colleagues across the University System of Maryland (USM) regarding these proposed changes and are discussing options for an institutional response in coordination with other USM institutions to inform our federal congressional delegation of the potential impact should these proposed regulations become law.

The proposal is currently open for public comment through July 13, 2026, with a stated intent for the regulation to become effective October 1, 2026. We are also actively reviewing the proposed revisions, monitoring updates from AAU, and contributing to and benefitting from the national conversation through APLU-COR and COGR.

We will continue to update you as the situation with this proposed rule evolves. 

Update on USCIS Adjudicative Hold on Applications and $100,000 H1-B Policy

There have been developments in two federal policy court cases as outlined below. 

• U.S. Citizenship and Immigration Services (USCIS) Adjudicative Hold on Applications for Certain Immigration Benefits Struck Down by District Court

On January 1, 2026, USCIS issued an updated policy memorandum, expanding on its December 2, 2025, memorandum, directing USCIS personnel to place a hold on all pending immigration benefit applications submitted by nationals of countries and territories included in the Trump administration's travel ban. It also called for a review of previously approved applications.

On June 5, 2026, the U.S. District Court for the District of Rhode Island issued a memorandum and order declaring the USCIS Global Asylum Hold Policy, the Comprehensive Re-Review Policy, and the Country-Specific Factors Policy unlawful. 

On June 12, 2026, USCIS confirmed that it would follow the terms of the court’s order pending possible further judicial review.

The Trump administration has indicated that it intends to appeal the court’s decision, but unless and until that happens, UMBC students, faculty, and staff from travel ban countries and territories should no longer be subject to adjudicative holds or reviews of approvals previously made by USCIS.

• $100,000 H-1B Fee Policy Vacated by District Court, However Vacate Order is Temporarily Paused to Allow an Appeal

Last September, President Trump issued a proclamation, “Restriction on Entry of Certain Nonimmigrant Workers,” requiring employers to make payment of a $100,000 government fee per each individual H-1B employee seeking to enter the United States, unless an exception is granted. In response, the State of Maryland joined a coalition of 19 other states in suing over this policy. UMBC filed a declaration supporting this multi-state suit.

On June 8, 2026, the U.S. District Court for the District of Massachusetts ruled that the $100,000 fee created a tax for which the president did not have the authority to impose. However, on June 12, 2026, the district court temporarily paused its order vacating that fee because the government is requesting an appeal. The district court has given the government until June 18, 2026, to file its appeal. If the government does not file their appeal by that deadline, the lower court’s vacate order will be reinstated.

While the vacate order is paused, USCIS is permitted to require the $100,000 fee for petitions that are filed for or require consular processing.

We recognize that the unpredictability of federal rulemaking and policy can be distressing for members of our UMBC community. Please be assured that we are doing everything we can to stay ahead of the shifting landscape and communicate to our community about what we are doing in response. We appreciate your partnership and understanding as our campus community navigates the current environment. 

Regards,

Karl V. Steiner
Vice President for Research and Creative Achievement and Chief Research Officer

David L. Di Maria
Vice Provost for Global Engagement