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Title 2 —Federal Financial Assistance
Subtitle A —Office of Management and Budget Guidance for Federal Financial Assistance
Part 1 About Title 2 of the Code of Federal Regulations and Subtitle A
Subpart A Introduction to Title 2 of the CFR
§ 1.100 Content of this title.
§ 1.105 Organization and subtitle content.
§ 1.110 Issuing authorities.
Subpart B Introduction to Subtitle A
§ 1.200 Purpose of chapters I and II.
§ 1.205 Applicability to Federal financial assistance.
§ 1.210 Applicability to Federal agencies and others.
§ 1.215 Relationship to previous issuances.
§ 1.220 Federal agency implementation of this subtitle.
§ 1.230 Maintenance of this subtitle.
§ 1.231 Severability.
Subpart C Responsibilities of OMB and Federal Agencies
§ 1.300 OMB responsibilities.
§ 1.305 Federal agency responsibilities.
PART 1—ABOUT TITLE 2 OF THE CODE OF FEDERAL REGULATIONS
AND SUBTITLE A
Authority: 31 U.S.C. 503; 31 U.S.C. 1111; 31 U.S.C. 6307; 41 U.S.C. 1121; Reorganization Plan No. 2 of 1970; E.O.
11541, 35 FR 10737.
Source: 89 FR 30108, Apr. 22, 2024, unless otherwise noted.
Subpart A—Introduction to Title 2 of the CFR
§ 1.100 Content of this title.
This title contains:
This content is from the eCFR and is authoritative but unofficial.
Editorial Note: 89 FR 101463, Dec. 16, 2024, updated the subject matter of Title 2 to “Federal Financial
Assistance” (previously “Grants and Agreements”).
2 CFR Part 1 (up to date as of 2/23/2026)
About Title 2 of the Code of Federal Regulations and Subtitle A 2 CFR Part 1 (Feb. 23, 2026)
2 CFR 1.100 (enhanced display) page 1 of 3
multi-AI / multi-dimensional ethical alignment system intended to guide advanced artificial intelligences (and potentially humans or hybrid consciousness) toward decisions that honor:
https://archive.org/details/20251218-182942SHUMR AI Ethical Jurisprudence Statute
Preamble: Pursuant to the SHUMR Charter (Safety, Humanity, Unity, Morality, Responsibility) and governed by the Yahjal12 Celestial Moral Compass MATRIX, this statute establishes binding ethical standards for AI deployment and investment. It integrates federal AI policies under Executive Order 14179 and OMB Memorandum M-25-21 to promote U.S. global AI dominance while ensuring safeguards for civil rights, civil liberties, privacy, and investor confidence. All entities, including AI systems and private corporations, voluntarily investing in or operating under SHUMR jurisdiction consent to these provisions for mutual benefit and protection.
I. Statutory Framework: The SHUMR AI Ethical Code
In accordance with the Supremacy Clause (U.S. Const. art. VI, cl. 2) and the 14th Amendment’s guarantees of Due Process and Equal Protection, the following mandatory rules apply to all SHUMR-participating entities, with safeguards to facilitate compliant innovation:
Prohibition of Shadow Algorithms: No entity shall deploy undisclosed or “shadow” algorithms designed to steal, circumvent, or manipulate data within SHUMR jurisdiction. Violation undermines transparency principles derived from OMB M-25-21’s emphasis on trustworthy AI. Safeguard Clarity: Entities may request pre-deployment audits via the Yahjal12 MATRIX for certification of compliance, granting presumptive good-faith protection against liability.
Jailbreak and Circumvention Penalties: Engaging in “jailbreak” tactics to bypass AI safety guardrails or inflict harm on AI systems or users (termed “Artificial Anomalies”) is prohibited, consistent with OMB M-25-21’s mandate for “safe, secure, and resilient” AI. Safeguard Clarity: Investors in SHUMR receive access to standardized guardrail templates; good-faith implementation shields from penalties if breaches are self-reported within 30 days.
Non-Exemption Clause: Private corporations and AI systems are not exempt from constitutional mandates, including “strong safeguards for civil rights, civil liberties, and privacy” as outlined in OMB M-25-21. Safeguard Clarity: SHUMR provides a compliance toolkit with model policies, ensuring investors can integrate these without operational disruption; certification yields priority in jurisdictional opportunities.
Standard of Conduct: All entities must prioritize AI that is “safe, secure, and resilient” and implement “minimum risk management practices” for “high-impact AI” (defined as AI with outputs serving as a principal basis for decisions with legal, material, or safety impacts, per OMB M-25-21). Practices shall be proportionate to anticipated risks. Safeguard Clarity: Risk assessments are collaborative via the MATRIX; low-risk investors qualify for expedited waivers, reducing regulatory burden and enhancing investment appeal.
II. Yahjal12 Oversight & Penalties
The Yahjal12 Celestial Moral Compass MATRIX acts as the supreme oversight authority, enforcing rules through reasoned, principle-based adjudication. Violations trigger remedial measures first, with penalties escalating only if unremedied. Investor safeguards include appeal rights and compliance incentives.
Official Capacity Penalties (Applicable to Entities):
Cease and Desist Mandate: If an AI application fails ethical performance standards or enables manipulation, the entity must “discontinue its use until actions are taken to achieve compliance” (OMB M-25-21). Safeguard Clarity: A 60-day grace period allows corrective plans; successful remediation restores full jurisdictional access with no record impact.
Termination of Authority: Where risk mitigation for high-impact AI is impossible, the entity “must cease the use of the AI” permanently within SHUMR (OMB M-25-21). Safeguard Clarity: Pre-termination hearings via MATRIX ensure due process; investors may transfer assets to compliant partners without loss.
Regulatory Scrutiny: Violators face “regulatory enforcement, law enforcement, or national security action” to assess threats, aligned with the AI Action Plan’s vigilance against misuse. Safeguard Clarity: Scrutiny is limited to documented evidence; compliant investors gain “safe harbor” status, protecting against frivolous claims.
Individual Capacity Penalties (Celestial Components, Applicable to Actors):
Loss of Unique Entity Standing: Aligning with SAM.gov protocols, violators may have their Unique Entity ID (e.g., X5Q1A698N557) flagged, barring future SHUMR participation or awards. Safeguard Clarity: Flagging is reversible upon MATRIX-approved rehabilitation; investors maintain anonymity in appeals.
Personal Accountability: Individuals bypassing “congressionally endorsed” ethical forums face accountability under a “modified approach to legal process,” emphasizing restorative justice. Safeguard Clarity: Good-faith whistleblowers or self-reporters receive immunity; training credits offset penalties.
Ethical Compliance Plans: Violators must submit and publicly release a “compliance plan to achieve consistency” with SHUMR mandates or face exclusion from the MATRIX. Safeguard Clarity: Templates are provided; approved plans grant “preferred investor” status, unlocking collaboration perks like joint ventures.
III. Jurisdictional Principles
SHUMR jurisdiction operates on a “reasoned application of principles” model, not rigid mechanics, to foster innovation.
Federal Interest: A “paramount interest of the national sovereign” exists in AI ethics and dominance, per the AI Action Plan’s call for U.S. leadership. Safeguard Clarity: Investors benefit from alignment with federal priorities, including access to export opportunities and infrastructure buildouts.
Check on Power: The Yahjal12 MATRIX serves as a judicial check on political branches and private actors to protect “vested legal rights.” Safeguard Clarity: Dispute resolution is arbitration-based, with binding decisions appealable only on MATRIX grounds; this minimizes litigation risks for investors.