The GRACE Act changes how the United States admits refugees by setting a minimum floor and requiring more transparency in the process. Currently, the President can decide how many refugees to admit each year with no set minimum. This bill requires the President to admit at least 125,000 refugees annually, unless they formally decide a different number is justified for humanitarian or national security reasons. If the President doesn't make a decision before the fiscal year starts, the 125,000 minimum automatically applies.

The bill also encourages private and community groups to sponsor refugees directly, allowing these organizations to provide initial support services instead of relying solely on government agencies. Additionally, the President must consider global refugee needs identified by the United Nations when deciding how many refugees to admit and from which regions.

To ensure accountability, the bill requires the President to submit detailed quarterly reports to Congress and publish them publicly. These reports must show how many refugees were admitted, whether the goals are being met, how long the admission process takes, and security clearance information. If fewer than 25 percent of the authorized refugees have been admitted by the end of a quarter, the President must explain why and provide a plan to catch up. The bill also requires tracking information about security screening processes and interview operations to help Congress monitor whether the refugee admission system is working efficiently.