Strings aren't always bad

Grants are routinely tied to requirements and objectives that are seemingly unrelated to the task the grant seeks to further. Often those seemingly side-requirements are a significant motivator for the grantor - the grant is there to encourage an organisation in a direction it might not otherwise go.

For example, grants may have terms that prohibit an organisation from working with nations and other organisations the grantor deems to be criminal, hostile or embargoed.

I don't think such terms are inherently bad, and they can IMO even be very positive. Though I happen to strongly disagree with the attitudes and beliefs this particular set of grant strings seeks to promote, and am relieved the PSF rejected the proposal.