Federal Project Grants are monetary awards provided to those who wish to perform project work for charitable public purposes. The financial assistance is only given to the grantee if they can meet specified requirements and obligations. If they do not fulfill these as required then legal repercussions can be possible. Nonprofit, tax-exempt organizations, specified as 501C3 organizations under the I.R.S tax code, are eligible for these funding awards. In addition, state or county governments can qualify for these grants too.

These type of grants are primarily set up for medical or other types of research projects. They can be very competitive and are awarded only for community focused partnerships and projects expressing grand innovation.