This week, a wide-ranging budget reconciliation package was approved in the House, moving the process to the Senate in the coming weeks. Elsewhere in Congress, the fiscal year 2026 (FY26) budget and appropriations continued to take shape as both the U.S. Department of Education (ED) Secretary Linda McMahon and U.S. Department of Labor (DOL) Secretary Lori Chavez-DeRemer testified before Congress. Meanwhile, a Senate Committee advanced a slate of new ED and DOL nominees, including leaders responsible for Career Technical Education (CTE) administration and oversight.
Budget Reconciliation Package Advances
After several setbacks last week, House Republicans narrowly advanced their long-anticipated reconciliation bill this week by a margin of 215-214. Internal disagreements within the House Republican conference persisted over the last several days related to several issues including changes and cuts to social safety net programs and state and local tax deductions. An analysis from the nonpartisan Congressional Budget Office (CBO) found that many aspects of the legislation would impact low-income communities and families acutely. Further, the CBO analysis estimates that the House Education & the Workforce Committee will reduce the deficit by $349 billion over ten years, with the majority of funding cuts impacting postsecondary student aid programs. Read that estimate here.
Members of the House Education & the Workforce Committee have put together materials summarizing the potential impacts of the legislation, with Republican committee members providing a fact sheet and a section-by-section summary and Democrats providing two different fact sheets on student aid and another on the impact of cuts to the Supplemental Nutrition Assistance Program (SNAP) and Medicaid on school meals. Of note for the CTE community, the legislation includes a proposal to expand federal Pell Grant program eligibility for certain shorter-term, high-quality CTE programs and also makes changes to tax-advantaged 529 savings accounts to cover a broader array of potential postsecondary expenses.
Having cleared the full House, the legislation is now set to be considered by the Senate following Congress’ Memorial Day recess period next week. It is widely expected that the Senate will make changes to the House-passed version of the emerging legislation. Unlike the House, Senate rules will also impact the allowable provisions currently in the bill. Known as the Byrd Rule, these requirements bar the inclusion of “extraneous” provisions in a budget reconciliation package.
Advance CTE will continue to report on the budget reconciliation process and its impacts on the Career Technical Education (CTE) community and broader workforce and education policy landscape.
Secretary of Education Testifies in House Regarding ‘Skinny Budget’
This week, U.S. Department of Education (ED) Secretary Linda McMahon appeared before the House Appropriations Committee as part of the early stage in the fiscal year 2026 (FY26) appropriations process and in response to President Trump’s ‘skinny budget’ released earlier this month. Secretary McMahon highlighted the administration’s priorities for federal education policy in regard to education and reaffirmed the intent to reduce the federal role in education and return authority to state and local governments. The hearing was an early opportunity for committee members to ask questions to Secretary McMahon regarding the administration’s budget priorities as part of the FY26 appropriations process and the dearth of available detail included in the administration’s proposed budget to consolidate programs impacting K-12 and higher education. Watch the full hearing here.
In related news, House Appropriations Committee Chairman Rep. Tom Cole (R-OK) released the House markup schedule for FY26 appropriations bills this week. The Labor, Health and Human Services, Education, and Related Agencies (Labor-H) bill, which provides funding for the Carl D. Perkins Career and Technical Education Act (Perkins V) and other related education and workforce development funding, is scheduled for markup on July 21, with a full committee markup on July 24.
Advance CTE will continue to advocate for strengthened federal investments in Perkins V and other critical funding streams in support of CTE throughout these processes currently underway in Congress.
Secretary of Labor Testifies in Senate
On Thursday, U.S. Department of Labor (DOL) Secretary Lori Chavez-DeRemer testified on the Labor Department budget before the Senate Appropriations Subcommittee on Labor, Health and Human Services, Education, and Related Agencies (Labor-H). Secretary DeRemer presented the FY26 budget request and offered testimony that emphasized her commitment to American workers through streamlined operations and reduction of unnecessary regulations to enhance job growth and innovation. Similar to Secretary McMahon’s testimony this week, the leader of DOL emphasized the Administration’s desire to consolidate and streamline existing workforce development programs, increasing flexibility for states and local stakeholders and reducing overall levels of federal investment in these efforts. Watch the hearing here.
Senate Holds Hearing on Higher Education
The Senate Health, Education, Labor, and Pensions (HELP) committee convened a hearing this week on “The State of Higher Education,” gathering a panel of postsecondary leaders and policy experts to hear of the current challenges and opportunities facing U.S. colleges and universities. The hearing focused on a wide array of issues, including the cost of higher education, the importance of ensuring career relevance in education, and the role Diversity, Equity, and Inclusion (DEI) initiatives play in the wider higher education landscape.
Of particular note, Senator Tim Kaine (D-VA) emphasized that higher education must be flexible and inclusive, noting that “one size does not fit all” when it comes to learners. In his comments, he highlighted the importance of dual enrollment and his longstanding support for CTE, advocating for an expansion of Pell Grant eligibility to include high-quality, shorter-term CTE programs. Watch the hearing here.
Senate HELP Committee Considers Nominations in Executive Session
This week, the Senate HELP Committee held an executive session to consider nominations for several key roles in the Departments of Education (ED) and Labor (DOL). Two of these nominees have formerly served as State CTE Directors in Florida, including Dr. Kevin O’Farrell to serve as the next Assistant Secretary for Career and Technical Education. This position that leads the Office of Career, Technical, and Adult Education (OCTAE) and manages the implementation of Perkins V through ED alongside the Assistant Secretary of Labor at DOL, the position that leads the Employment and Training Administration (ETA) in overseeing workforce development programs, like WIOA. President Trump has nominated Henry Mack to serve as the next Assitant Secretary of Labor at DOL. The committee advanced the entire slate of eight nominees on a party-line vote of 12-11.
Following the vote, Sen. Susan Collins (R-MN), who voted to advance the nominations, voiced reservations regarding recent speculation that the Office of Career, Technical, and Adult Education (OCTAE) could be moved to DOL. According to press reports, Sen. Collins said, “I just learned this morning that there is a plan to transfer career and technical education from the Department of Education to the Department of Labor. That is a huge change, and it will be overseen by some of the nominees that we just approved. So I just want to go on record, and I need much more information to justify that change. I did vote to advance the nominees today, but I certainly want to have further discussions.”
Read the statement from Advance CTE regarding Dr. O’Farrell’s nomination here.
Department of Education Announces Grant Priorities
This week, ED announced competitive grant priorities for use in currently authorized discretionary grant programs and those that may be authorized in the future. The first proposed priority is promoting evidence-based literacy, referencing the latest results from the National Assessment of Educational Progress (NAEP) scores that showed a lag in literacy for 4th and 8th grade learners. Second, ED proposes prioritizing an expansion of educational choice through an increase in charter school access and resources related to Science, Technology, Engineering, and Math (STEM) education and CTE. This priority also references a need for more choice in curriculum that incorporates work-based learning and leads to apprenticeship opportunities. The third priority is returning education to the states through supporting governors, workforce development agencies, higher education agencies, and state educational agencies. Read more about the priorities on the federal register. ED is soliciting comments and feedback from the public on these proposed priorities over the next 30 days.
