 Most grants have a term of one year (although some may have a longer lifespan, even indefinitely), and the recipient must use the assistance within that timeframe.This is done because federal assistance is tied to the federal government's budget process, and any funds not used by a recipient within the specified time limit is reverted to other uses.As a condition of receiving Federal awards or grants, recipients must agree to comply with the applicable laws and regulations related to the program and its agency, as well as any provisions included in the contracts and grant agreements entered between the recipient and the agency.