Reconciliation Package Progresses Amid Uncertainty

Public Policy
• May 16, 2025

This week, House Republicans marked up several remaining components of their budget reconciliation package. However, progress has stalled more recently due to disagreement on some aspects of the emerging legislation. Elsewhere in Congress, support for investment in Career Technical Education (CTE) through the Carl D. Perkins Career and Technical Education Act (Perkins V) grows ahead of the fiscal year (FY) 2026 appropriations process. In addition, the Trump administration announced Perkins V allocations and other actions impacting education and workforce development.

Budget Reconciliation Package Takes Shape Amid Disagreements

This week, House Republicans moved forward with reconciliation legislation as individual committees finalized their respective portions of a legislative package intended to advance the majority of President Trump’s legislative agenda. Several committees successfully marked up portions of this proposed legislation, including several provisions that have implications for education and workforce development. The House Ways and Means Committee proposed a new nationwide school voucher program estimated to cost roughly $20 billion over the next four years and a new tax on private, secular postsecondary institutions with larger endowments. These committees have also proposed reducing food assistance through cuts to Supplemental Nutrition Assistance Program (SNAP) that could significantly impact state and local budgets and school funding.

The House Budget Committee was expected to begin combining these component pieces of the reconciliation bill earlier today – a key next step on the broader budget reconciliation process – but conservative Republicans on the Committee blocked this effort this morning when a key procedural vote failed 21-16. The legislation was previously expected to move to the full House for consideration next week but is now stalled at this stage in the process. House leadership has since sent lawmakers home for the weekend.

This latest development centers on disagreement within the House Republican conference that has persisted this week regarding the size and scope of funding reductions and other policy issues in the emerging legislation. These include disagreements over changes and significant cuts to Medicaid, SNAP, and other social safety net programs. Conservative factions of the Republican conference are seeking larger cuts and other policy changes related to these and several other programs, while other lawmakers have expressed concerns about these cuts and the potential work requirements that could result in the loss of healthcare coverage for 8.6 million and 11 million people, respectively. Elsewhere, House Republicans have struggled to find consensus on key tax provisions in the reconciliation package, including deductions for state and local taxes.

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.

Bipartisan Support for CTE Funding Continues to Grow

In the Senate, Sen. Richard Blumenthal (D-CT) and colleagues recently began circulating a “Dear Colleague” letter that requests increased funding for the Perkins V for the upcoming 2026 fiscal year (FY26).

Click here to ask your Senators to sign the letter and support increased CTE funding ahead of the deadline on Monday, May 19.

Earlier this month, House CTE Caucus Co-Chairs, Rep. Glenn “GT” Thompson (R-PA) and Rep. Suzanne Bonamici (D-OR) circulated a letter to their House colleagues to garner support for increased federal funding for CTE through Perkins V for FY26. The letter received 78 signatures, an increase from 71 sign-ons during the last appropriations cycle, representing a growing interest in Perkins V and underscoring the the impact of CTE on learners nationwide.

Advance CTE is grateful for the leadership in both chambers of Congress to advocate for increased investment in CTE nationwide through Perkins V and looks forward to raising awareness and support for CTE in the wider budget and appropriations process.

Department of Labor Secretary Chavez-Deremer Testifies Ahead of FY26 Appropriations

Yesterday, Secretary Chavez-Deremer testified before a House subcommittee focused on the Administration’s recent “skinny budget” appropriations request for the U.S. Department of Labor (DOL) in federal fiscal year 2026 (FY26). As a reminder, the initial FY26 budget request for DOL proposed to cut the Department’s budget by 35% and outlined significant consolidation of many existing workforce development programs and related cuts. Lawmakers discussed this proposal in part and also highlighted broader support for other workforce development strategies. An archived webcast of the hearing, including Secretary Chavez-DeRemer’s testimony and opening statements, can be found here.