Locally Led Development and Humanitarian Response Act
Sponsored By: Representative Jacobs, Sara [D-CA-51]
In Committee
Summary
locally led development would become the central goal of U.S. foreign assistance by shifting more decision-making, funding, and program design to local actors. The bill would lower practical barriers to participation and create new authorities, staffing requirements, and reporting to help local groups win and manage awards.
Show full summary
- Local partners would gain easier access to direct funding, more multi-year and milestone-based awards, options for full cost recovery, and the ability to submit applications in local languages.
- The bill would raise the de minimis indirect cost rate by 5 percentage points and extend that rate to Title 48 acquisitions, while authorizing a local-competition acquisition authority capped at $25 million per award.
- Foreign assistance agencies would be required to adopt policy and rule changes within 180 days, report on contracting officer staffing within 180 days, review public international organizations’ support for locally led work within one year, and publish annual reports on direct funding and program leadership starting one year after the end of the first fiscal year.
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Bill Overview
Analyzed Economic Effects
5 provisions identified: 5 benefits, 0 costs, 0 mixed.
Allow applications in local languages
If enacted, the agency would study options and report to Congress within one year on using local languages across solicitations, proposals, evaluations, management, and closeout. The bill would also let agencies accept applications or proposals in languages other than English when that eases the burden on a local actor and the agency can effectively evaluate the submission.
Lower accounting and registration burdens
If enacted, agencies could raise the de minimis indirect cost rate by 5 percentage points for local partners and apply that rate to Title 48 acquisitions. Agencies could allow foreign awardees to use national or international GAAP instead of U.S. GAAP for certain covered contracts and grants after interagency consultation. Agencies could also delay requiring a unique entity identifier and SAM registration for up to 180 days, but the delay must end at least 30 days before an award's end date.
Make foreign aid more locally led
If enacted, the agency head would have to start policy steps within 180 days to make U.S. development and humanitarian aid more locally led. The steps would include accepting local languages, supporting full cost recovery and higher de minimis rates, offering multi-year and flexible awards, using other transaction authority, reaching informal or unregistered groups, investing in translation and workshops, and fixing delays in NICRA processes. Agencies would also be asked to diversify award types and improve staffing and oversight for local partners.
New reports on progress and staffing
If enacted, the agency must review within one year how public international organizations support locally led development and give Congress an action plan. Agencies must publish an annual report starting within one year after the first fiscal year end after enactment showing funding to local partners and use of new authorities. The agency must also report to Congress within 180 days on contracting and grants officer recruitment and retention with recommendations.
Local-only competition with caps
If enacted, the agency head could limit some contracts or acquisition instruments to competition among local entities when that saves costs, builds local capacity, or speeds delivery. No single award could exceed $25,000,000. Use of the authority could not exceed 10 percent of the agency's annual appropriations.
Sponsors & CoSponsors
Sponsor
Jacobs, Sara [D-CA-51]
CA • D
Cosponsors
Rep. Kim, Young [R-CA-40]
CA • R
Sponsored 11/20/2025
Rep. Lawler, Michael [R-NY-17]
NY • R
Sponsored 3/3/2026
Rep. Sherman, Brad [D-CA-32]
CA • D
Sponsored 3/3/2026
Roll Call Votes
No roll call votes available for this bill.
View on Congress.gov