Change Text Color within formula

This can't be done by formatting the formula itself. You can only format text, not formulas (not even text within the formula).

In your example the formatting is simple and I would suggest doing this with conditional formatting which sets the font in that cell to red when Terms = "Budgetary Estimate Only".

After nearly 10 years I'm guessing the OP isn't interested any longer, but in case anyone else happens along... Please know that this has no error checking, and no conditional test as the OP needs, but I had a similar situation where I wanted to add colored text to every cell in a selection. This is what worked for me.

Sub AddGreen7()
'
' Add Green "(7)" Macro
'
' Keyboard Shortcut: Ctrl+g
'
    Dim rArea As Range
    Dim lCurrentRow As Long
    Dim lCurrentCol As Long
    Dim y
        
    
    
    For Each rArea In Selection.Areas
        For lCurrentRow = 1 To rArea.Rows.Count
            For lCurrentCol = 1 To rArea.Columns.Count
                With rArea.Cells(lCurrentRow, lCurrentCol)
                    y = Len(.Value)
                    .Value = .Value & "(7)"
                    .Characters(Start:=y + 1).Font.Color = -11489280
                End With
            Next lCurrentCol
        Next lCurrentRow
    Next rArea
    
End Sub