Definitely agree that periodic adjustment is necessary given the volatility of GNO. The GNO allocation in this proposal is an example of this.
Our previous budget proposal included a GNO allocation targeted at $100k per team member (denominated in USD rather than GNO, I wonder if keeping this denomination would have made a difference to how this proposal has been perceived?), at the time of the proposal the GNO price was hovering between $350 and $450. Our allocations from the previous year, denominated in GNO, are in line with the levels you mentioned. However, by the time team members received the allocations, the price had dropped significantly below the target USD rate.
Given that this was a new budget proposal, it felt natural to make that periodic adjustment to the amount of GNO to accommodate the price movement and bring the GNO compensation back in line with the target.