The National Endowment for the Arts (NEA), an independent federal agency that funds arts and arts education across the United States, announced on Feb. 6 that it has updated its grant guidelines for the 2026 fiscal year.
The news comes after a Jan. 27 memo from the White House office of budget and management paused all federal grants, with unknown effects on the NEA, before rescinding that freeze on federal funding. The latest announcement does not concern how the NEA is funded, but rather the process by which its funds are awarded.
The NEA has canceled the Challenge America grant for FY 2026. According to a press release from the department, “This change is to focus NEA staff resources on the Grants for Arts Projects category,” referring to another category of grants they award.
The Challenge America grants were designed to support “projects that extend the reach of the arts to underserved groups/communities,” according to the NEA website. The program primarily served small arts organizations, first-time applicants, those who had previously received a Challenge American Grant as well as those that had applied for other NEA grants and had not been granted funding via those avenues.
These grants were at the level of $10,000 and were structured as matching grants, meaning that only organizations that could demonstrate a cost share or match of $10,000 in cash and/or in-kind contributions were eligible. The grant had also required that the project cost $20,000 or more.
Organizations that have already applied or were planning to apply for a Challenge America grants for the upcoming fiscal year have been recommended to apply for funding from Grants for Arts Projects.
There have also been changes to the Grants for Art Projects. The original deadline of Feb. 13 has been canceled. Instead, applications for GAP 1 will be due on March 11 and those for GAP 2 will be due on July 10. Any organization that has already submitted an application for funding in the Grants for Arts Projects category must resubmit according to the new guidelines.
According to the NEA press release, “Under the updated guidelines, the NEA continues to encourage projects that celebrate the nation’s rich artistic heritage and creativity by honoring the semiquincentennial of the United States of America (America250). This can include incorporating an America250-related component or focus within a larger project.”
Additionally, applicants to the Grants for Arts Projects initiative must have a five-year history of arts programming. If programming had been interrupted due to the COVID-19 pandemic, which occurred in the past five years, applicants can include examples dating back as far as 2018 to prove eligibility.
Finally, applicants may apply for funding from either Grants for Arts Projects or Our Town.
The NEA will be hosting a webinar on Feb. 18 at 2 p.m. ET to answer questions about these updates. Registration is required.
