On Labor Day, House Republicans unveiled their FY26 appropriations bill, which aims to advance several of President Trump’s key budget priorities for education. 

The Labor, Health and Human Services, Education, and Related Agencies Appropriations Act proposes a total discretionary allocation of $184.5 billion for FY26—a $13.7 billion (7%) reduction from FY25. The bill includes a 15% cut to the U.S. Department of Education’s budget to $67 billion, in line with the Trump administration’s “skinny budget.”

K-12

  • The proposal includes a $5.2 billion cut (-27%) to Title I funding for low-income schools and districts and rescinds nearly $1 billion of FY25 Title I funds that would go out in October 2025.
  • However, the proposed budget increases funding for special education (+$26 million), charter schools (+$60 million), and career and technical education (CTE) state grants (+$25 million).
  • Notably, the proposal does not consolidate current competitive formula funding grant programs into one formula grant program—a feature of President Trump’s “skinny budget,” with the goal of allowing states to apply for and utilize federal dollars more freely.

Higher Education

  • As expected with the additional Pell Shortfall funding from the One Big Beautiful Bill, the proposed spending bill preserves the Pell Grant, flat-funding the program to maintain a maximum award of $7,395 for FY26. (The bill also proposes renaming Workforce Pell Grants as “Trump Grants,” but includes no other changes to the new program.)
  • Federal Supplemental Educational Opportunity Grants (FSEOG), which provides need-based aid to undergraduates with financial need, would be eliminated entirely.
  • Funding for the Federal Work-Study (FWS) program, which provides part-time work opportunities to college students with financial need, would be reduced to $779 million (-37% YOY).
  • The proposal also seeks to cut funding for the Education Department’s Office for Civil Rights (OCR). Under the proposed bill, OCR would be allocated $91 million, reflecting a $49 million decrease from FY25.
  • The proposal would maintain funding levels for TRIO and Gear Up, programs that help low-income and underserved student populations access and complete college. This goes against President Trump’s desire to terminate funding for both programs, which are popular with policymakers across the aisle.

What’s next: The House and Senate must come to agreement on a final version of an appropriations bill before it can be sent to the president for his signature. Unlike budget reconciliation, there is no negotiating—bipartisan consensus must be reached.

If the House and Senate can’t finalize appropriations (they often don’t), they will likely pass a Continuing Resolution to delay a government shutdown from October 1 until November 1. This would keep funding at the same level as FY25 until the appropriations bill passes both chambers.

This article is sourced from Whiteboard Notes, our weekly newsletter of the latest education policy and industry news read by thousands of education leaders, investors, grantmakers, and entrepreneurs. Subscribe here.