S 2587 · 119th Congress

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Departments of Labor, Health and Human Services, and Education, and Related Agencies Appropriations Act, 2026

federal budgethealth research fundingeducation fundingsocial safety netlabor programs
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Last action 2025-07-31

Sponsored by Sen. Capito, Shelley Moore [R-WV] (R) — WV

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Would provide FY2026 appropriations to the Departments of Labor, Health and Human Services, and Education and related agencies — funding Medicaid, Medicare, NIH research institutes, Pell Grants, special education, workforce training, and dozens of other federal health, education, and social programs.

The bill also carries significant policy riders: rescinding $11.661 billion in unspent Inflation Reduction Act health funds, freezing NIH indirect cost approvals at FY2017 proportional levels, barring appropriated funds from being used for abortions except in cases of rape, incest, or life endangerment, and authorizing law enforcement protection for the Secretary of Labor.

What this bill would do

What it would do

The bill would appropriate FY2026 funding across three major federal departments and more than a dozen related agencies. For the Department of Labor, it would fund workforce development under the Workforce Innovation and Opportunity Act, Job Corps, OSHA, the Mine Safety and Health Administration, the Bureau of Labor Statistics, veterans' employment programs, and unemployment insurance administration. For HHS, it would fund Medicaid grants to states (over $508 billion), Medicare trust fund payments (nearly $594 billion), all National Institutes of Health research institutes, the CDC, SAMHSA mental health and substance abuse programs, refugee and entrant assistance, Head Start, child care block grants, and LIHEAP. For Education, it would fund Title I grants, special education under IDEA, Pell Grants (with the maximum set at $6,335), and career and technical education.

Beyond appropriations, the bill includes dozens of policy riders. It rescinds $11.661 billion in unobligated IRA health funds and $1.613 billion from the HHS Nonrecurring Expenses Fund. It prohibits any appropriated funds from being used for abortions, with narrow statutory exceptions. It freezes NIH indirect cost approvals at FY2017 proportional levels. It creates new overtime exemptions under the Fair Labor Standards Act for disaster claims adjusters and sets new H-2B visa rules for the seafood industry.

Key provisions

  1. 1Would appropriate $3,977,088,000 for WIOA workforce training, including $2,919,332,000 in state grants for adult, youth, and dislocated worker programs, and $1,760,155,000 for Job Corps operations, construction, and administration.Title I
  2. 2Would appropriate over $508 billion for Medicaid grants to states and nearly $594 billion for Medicare trust fund payments, along with billions for NIH institutes, CDC, SAMHSA, and other HHS public health and human services programs.Title II
  3. 3Would appropriate $15,517,264,000 for special education under IDEA, $19,157,790,000 for Title I education-for-the-disadvantaged grants, and $22,475,352,000 for Pell Grants, setting the maximum award at $6,335 for award year 2026-2027.Title III
  4. 4Would prohibit use of any appropriated funds or trust fund moneys for abortions or abortion health coverage, with exceptions for pregnancies resulting from rape or incest or where a physician certifies the pregnancy endangers the woman's life.Sec. 506–507
  5. 5Would permanently rescind $11,661,000,000 in unobligated balances appropriated under section 10301(1)(A)(iii) of Public Law 117-169 (the Inflation Reduction Act), and $1,613,000,000 from the HHS Nonrecurring Expenses Fund.Sec. 529, Sec. 236
  6. 6Would freeze NIH indirect cost rate approvals at the same proportional level applied in the third quarter of FY2017, prohibiting any expansion of deviation approvals beyond that baseline.Sec. 224
  7. 7Would amend the Fair Labor Standards Act to exempt disaster claims adjusters earning at least $591 per week from overtime requirements for up to two years after a major disaster declaration.Sec. 108

Who would be affected

Effectively every American is touched by this bill's scope. More directly affected are: Medicare and Medicaid beneficiaries; SSI recipients; K-12 students and school districts receiving Title I and special education funds; college students receiving Pell Grants; workers using unemployment insurance or job training; universities and researchers receiving NIH grants; and low-income families served by LIHEAP, Head Start, and child care programs.

Why it matters

Without this appropriation, funding for programs serving tens of millions of Americans would lapse. The bill's policy riders go beyond funding levels: the $11.661 billion IRA rescission reverses prior spending commitments, the NIH indirect cost freeze constrains university research budgets, the abortion funding ban shapes healthcare coverage decisions across the federal system, and the H-2B seafood provisions affect both immigrant workers and coastal employers.

What would change

Changes to existing law

Amends Fair Labor Standards Act of 1938 (29 U.S.C. 207) (Sec. 108)

Adds a two-year overtime exemption for third-party disaster claims adjusters earning at least $591 per week, effective on enactment.

Amends An Act to create a Department of Labor (March 4, 1913) (Sec. 113)

Authorizes the Secretary of Labor to employ law enforcement officers and special agents to provide protective security for the Secretary and senior officials.

Amends Public Law 117-169 (Inflation Reduction Act), section 10301(1)(A)(iii) (Sec. 529)

Permanently rescinds $11,661,000,000 in unobligated balances from IRA health provisions.

Agencies directed to act

Department of LaborDepartment of Health and Human ServicesDepartment of EducationSocial Security AdministrationCorporation for National and Community ServiceFederal Mediation and Conciliation ServiceFederal Mine Safety and Health Review CommissionInstitute of Museum and Library ServicesNational Labor Relations BoardNational Mediation BoardOccupational Safety and Health Review CommissionRailroad Retirement BoardMedicare Payment Advisory CommissionMedicaid and CHIP Payment and Access CommissionNational Council on DisabilityCommittee for Purchase From People Who Are Blind or Severely DisabledNational Institutes of HealthCenters for Disease Control and PreventionCenters for Medicare and Medicaid Services

Effective dates

  • FLSA overtime exemption for disaster claims adjustersSec. 108(b)Upon enactment
  • Law enforcement protection authority for Secretary of LaborSec. 113(b)Upon enactment
  • Education Title I, Special Education, and other formula grants become availableTitle III2026-07-01
  • IRA rescission of $11.661 billion must be completedSec. 529Within fiscal year ending 2026-09-30
  • Overall fiscal year covered by this appropriations actFiscal year 2026

Funding and costs

  • $593,817,000,000FY2026

    Payments to Medicare Federal Hospital Insurance and Supplementary Medical Insurance Trust FundsTitle II

  • $508,148,791,000FY2026

    Medicaid grants to states under titles XI and XIX of the Social Security ActTitle II

  • $49,447,965,000FY2026

    Supplemental Security Income program under titles XI and XVI of the Social Security ActTitle IV

  • $22,475,352,000FY2026

    Pell Grants for postsecondary students (subpart 1, part A of title IV of the HEA)Title III

  • $15,517,264,000FY2026

    Special education under the Individuals with Disabilities Education ActTitle III

  • $19,157,790,000FY2026

    Education for the disadvantaged, including Title I grants to school districtsTitle III

  • $14,900,140,000FY2026

    Children and families services programs, including Head Start, child abuse prevention, and community services block grantTitle II

  • $8,831,387,000FY2026

    Child Care and Development Block Grant for low-income familiesTitle II

  • $7,374,159,000FY2026

    National Cancer Institute researchTitle II

  • $6,592,279,000FY2026

    National Institute of Allergy and Infectious Diseases researchTitle II

  • $5,691,033,000FY2026

    Refugee and entrant assistance, including unaccompanied children programsTitle II

  • $4,647,295,000FY2026

    Rehabilitation services, including vocational rehabilitation state grantsTitle III

  • $4,103,098,000FY2026

    Substance abuse treatment programs including the 21st Century Cures Act opioid grantsTitle II

  • $4,045,000,000FY2026

    Low Income Home Energy Assistance Program (LIHEAP) payments to statesTitle II

  • $3,977,088,000FY2026

    WIOA training and employment services, including state grants and national programsTitle I

  • $1,500,000,000FY2026–FY2028

    Advanced Research Projects Agency for Health (ARPA-H)Title II

  • $2,571,041,000FY2026

    Ryan White HIV/AIDS programTitle II

How implementation would work

Funds are appropriated to specific agency accounts for the fiscal year ending September 30, 2026, unless a longer period is expressly stated. Within 45 days of enactment, each funded agency must submit an operating plan detailing program-level allocations and must update it quarterly. Transfer authority is generally capped at 1 percent between accounts, with 15-day advance notice to the Appropriations Committees required for any transfer, reprogramming over $500,000, or significant organizational change. General provisions in Title V govern government-wide requirements — covering anti-lobbying rules, abortion funding restrictions, needle-exchange limits, computer network pornography filters, and grant announcement timelines. Quarterly balance reports are required from Labor, HHS, Education, and SSA.

Legislative status & sources

Latest action

Placed on Senate Legislative Calendar under General Orders. Calendar No. 140.

2025-07-31

Official CRS summary

Show the CRS summary

This bill provides FY2026 appropriations to the Departments of Labor, Health and Human Services, and Education; and related agencies.

The bill provides appropriations to the Department of Labor for

  • the Employment and Training Administration,
  • Veterans' Employment and Training,
  • the Employee Benefits Security Administration,
  • the Pension Benefit Guaranty Corporation,
  • the Wage and Hour Division,
  • the Office of Labor-Management Standards,
  • the Office of Federal Contract Compliance Programs,
  • the Office of Workers' Compensation Programs,
  • the Occupational Safety and Health Administration,
  • the Mine Safety and Health Administration,
  • the Bureau of Labor Statistics,
  • the Office of Disability Employment Policy, and
  • Departmental Management.

The bill provides appropriations to the Department of Health and Human Services for

  • the Health Resources and Services Administration,
  • the Centers for Disease Control and Prevention,
  • the National Institutes of Health,
  • the Substance Abuse and Mental Health Services Administration,
  • the Agency for Healthcare Research and Quality,
  • the Centers for Medicare and Medicaid Services,
  • the Administration for Children and Families,
  • the Administration for Community Living,
  • the Administration for Strategic Preparedness and Response, and
  • the Office of the Secretary.

The bill provides appropriations to the Department of Education for

  • Education for the Disadvantaged;
  • Impact Aid;
  • School Improvement Programs;
  • Indian Education;
  • Innovation and Improvement;
  • Safe Schools and Citizenship Education;
  • English Language Acquisition;
  • Special Education;
  • Rehabilitation Services;
  • Special Institutions for Persons with Disabilities;
  • Career, Technical, and Adult Education;
  • Student Financial Assistance;
  • Student Aid Administration;
  • Higher Education;
  • Howard University;
  • the College Housing and Academic Facilities Loans Program;
  • the Historically Black College and University Capital Financing Program Account;
  • the Institute of Education Sciences; and
  • Departmental Management.

The bill also provides appropriations to several related agencies, including

  • the Committee for Purchase From People Who Are Blind or Severely Disabled,
  • the Corporation for National and Community Service,
  • the Federal Mediation and Conciliation Service,
  • the Federal Mine Safety and Health Review Commission,
  • the Institute of Museum and Library Services,
  • the Medicaid and CHIP Payment and Access Commission,
  • the Medicare Payment Advisory Commission,
  • the National Council on Disability,
  • the National Labor Relations Board,
  • the National Mediation Board,
  • the Occupational Safety and Health Review Commission,
  • the Railroad Retirement Board, and
  • the Social Security Administration.

The bill also sets forth requirements and restrictions for using funds provided by this and other appropriations acts.

From the Congressional Research Service.

Legislative subjects

Abortion; Administrative remedies; Adoption and foster care; Adult education and literacy; Aging; Alabama; Allergies; Appropriations; Birth defects; Blood and blood diseases; Border security and unlawful immigration; Broadcasting, cable, digital technologies; Cancer; Cardiovascular and respiratory health; Census and government statistics; Centers for Disease Control and Prevention (CDC); Child care and development; Child health; Child safety and welfare; Coal; Committee for Purchase from People Who Are Blind or Severely Disabled; Computer security and identity theft; Computers and information technology; Congressional oversight; Corporation for National and Community Service; Corporation for Public Broadcasting; Data collection, sharing, protection; Dental care; Department of Education; Department of Health and Human Services; Department of Labor; Detention of persons; Digestive and metabolic diseases; Disability and paralysis; Disability assistance; Domestic violence and child abuse; Drug trafficking and controlled substances; Drug, alcohol, tobacco use; Economics and Public Finance; Education of the disadvantaged; Education programs funding; Educational facilities and institutions; Elementary and secondary education; Emergency planning and evacuation; Employee benefits and pensions; Employment and training programs; Employment discrimination and employee rights; Energy assistance for the poor and aged; Environmental health; Evidence and witnesses; Executive agency funding and structure; Family planning and birth control; Family services; Federal Mediation and Conciliation Service; Federal Mine Safety and Health Review Commission; Foreign labor; Foreign language and bilingual programs; Fraud offenses and financial crimes; Genetics; Georgia; Government employee pay, benefits, personnel management; Government information and archives; Government lending and loan guarantees; Government trust funds; HIV/AIDS; Health care coverage and access; Health care quality; Health facilities and institutions; Health information and medical records; Health personnel; Health programs administration and funding; Health promotion and preventive care; Health technology, devices, supplies; Hearing, speech, and vision care; Hereditary and development disorders; Higher education; Homelessness and emergency shelter; Housing and community development funding; Immigrant health and welfare; Immunology and vaccination; Indian social and development programs; Infectious and parasitic diseases; Intergovernmental relations; Kentucky; Labor standards; Labor-management relations; Law enforcement administration and funding; Lawyers and legal services; Libraries and archives; Maine; Marshall Islands; Maryland; Medicaid; Medical research; Medical tests and diagnostic methods; Medicare; Medicare Payment Advisory Commission; Mental health; Micronesia; Migrant, seasonal, agricultural labor; Mining; Minority education; Minority health; Mississippi; Musculoskeletal and skin diseases; Museums, exhibitions, cultural centers; National Institutes of Health (NIH); National Labor Relations Board (NLRB); National Mediation Board; National and community service; Neurological disorders; New Hampshire; New York State; North Carolina; Nursing; Occupational Safety and Health Review Commission; Ohio; Pennsylvania; Pension Benefit Guaranty Corporation; Photography and imaging; Poverty and welfare assistance; Preschool education; Protection of officials; Public contracts and procurement; Railroad Retirement Board; Railroads; Refugees, asylum, displaced persons; Research administration and funding; Rural conditions and development; School administration; Seafood; Sex and reproductive health; Sexually transmitted diseases; Social Security Administration; Social security and elderly assistance; South Carolina; Special education; State and local finance; State and local government operations; Student aid and college costs; Teaching, teachers, curricula; Temporary and part-time employment; Tennessee; Transportation employees; Unemployment; Vermont; Veterans' education, employment, rehabilitation; Veterans' loans, housing, homeless programs; Veterinary medicine and animal diseases; Virginia; Vocational and technical education; Wages and earnings; West Virginia; Women's employment; Women's health; Worker safety and health; World health; Youth employment and child labor

Committee report

S. Rept. 119-55

Congressional Bill

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S 2587: Departments of Labor, Health and Human Services, and Education, and Related Agencies Appropriations Act, 2026 | Legislation Reporter