House Appropriators Take Step Forward on Upcoming Fiscal Year
The House Appropriations Subcommittee on Labor, Health and Human Services, Education, and Related Agencies (Labor-HHS-ED) considered a federal fiscal year 2027 (FY27) funding proposal this week. Broadly, the legislation is similar to the House’s proposal last year and proposes significant funding cuts to major education and workforce development programs. Of note for the Career Technical Education (CTE) community, the bill appears to propose a slight increase in funding for the Carl D. Perkins Career and Technical Education Act (Perkins V) state grant program of roughly $8 to $14 million over currently enacted levels of investment.*
Broadly, the legislation proposes to cut the U.S. Department of Education’s (ED) budget by roughly 10% and the U.S. Department of Labor’s (DOL) budget by 27%. Title I funding under the Every Student Succeeds Act would be reduced by roughly $2 billion, or 10%, while eliminating or significantly reducing funding for a number of other education programs. Under DOL, the majority of the proposed funding cuts would be centered on the public workforce system, where core Title I formula funding from the Workforce Innovation and Opportunity Act (WIOA) would see a 62% decrease in federal funding.
The House Labor-HHS-ED subcommittee marked up the legislation earlier today and passed it narrowly along party lines. The legislation now moves on to wider consideration by the full House Appropriations Committee sometime next week, although these plans could shift in the coming days. While the path forward for this legislation remains unclear, full-year FY27 funding would need to clear both the House and Senate. The upper chamber has yet to propose similar FY27 funding legislation, but is unlikely to craft legislation similar to the current House proposal. A Republican summary of the House bill can be found here, along with a summary from House Democrats here.
As these efforts take shape, Advance CTE will continue to advocate for strengthened investments in CTE along with other critical education and workforce development programs critical to CTE’s continued success.
Trump Administration Proposes Changes to Federal Grant Process
Last Friday, the Office of Management and Budget (OMB) announced a proposed overhaul that seeks to make broad changes to federal grant administration and oversight across the entire federal government. The proposal would revise government-wide requirements for grants and other forms of federal financial assistance, including a review process for grant awards to be completed by political appointees in a given agency or department. The proposal also appears to include language that would limit the use of federal funding for professional development, including membership in professional associations and organizations, along with related conferences, unless it is explicitly approved by a federal agency and included in the grant’s award terms.
The proposal is open for public comment through July 13, 2026, and could affect how federal education, workforce, and research grants are used in the future. Advance CTE is continuing to analyze this proposal for potential impacts on the wider CTE community. Click here to access the OMB notice on the Federal Register.
New Condition of Education Report Released
Last week, the National Center for Education Statistics (NCES), an agency within the U.S. Department of Education (ED) Institute of Education Sciences (IES), released the 2026 edition of The Condition of Education. The annual report provides a comprehensive overview of national education indicators, including data on secondary and postsecondary enrollment, educational attainment, workforce outcomes, and learner demographics. Read the NCES report here.
Department of Education Opens New Grant Opportunities
Last week, ED announced several grant competitions through the Fund for the Improvement of Postsecondary Education (FIPSE) to support postsecondary learners’ educational attainment by addressing basic needs and fostering postsecondary innovation. Another competition will support the Centers of Excellence for Veteran Student Success, which aims to strengthen postsecondary supports and services for military-connected learners.
Federal Aviation Administration Announces Workforce Grants
Last week, the Federal Aviation Administration (FAA) announced approximately $26 million in workforce development grants to support aviation education and workforce pipeline initiatives. The funding will support programs that prepare learners for careers as pilots, aviation maintenance technicians, and other aviation occupations facing workforce shortages. The investments continue ongoing federal efforts to strengthen talent pipelines for high-demand transportation and aviation careers and may create opportunities for partnerships with secondary and postsecondary CTE programs. Read more about the FAA announcement here.
Federal Student Aid Announces Training on Ability to Benefit Implementation
Over the coming weeks, the Federal Student Aid (FSA) will host a series of webinars and virtual office hours between May and July focused on implementing recent regulations related to the Ability to Benefit (ATB) provisions. Announced last week, these sessions are intended to support institutions as they navigate regulatory requirements and implementation considerations. Postsecondary CTE providers and institutions serving adult learners may find the training useful as they continue to expand access to federal student aid for eligible learners without a high school diploma or equivalent. Read more about the FSA webinars here.
*At the time of this writing, further information is required to determine the exact amount being proposed.
