Federal Updates and Developments
- Pati Ortiz
- Jun 12
- 2 min read
Updated: Jun 20
June Update from Capitol Advisors:
Individuals with Disabilities Education Act (IDEA)
The President’s Request provides $14.89 billion, an increase of $677.5 million over FFY 2024, for the IDEA Grants to States Program. However, this does not appear to be an actual “increase in IDEA funding,” as the additional funding is tied to the President’s intent to consolidate 6 other IDEA-funded programs into the Grants to States Program. Under this proposal, the Grants for States Program would now combine IDEA Part B formula grants programs and IDEA Part D competitive grant programs into a single State formula grant program.
However, unlike with the K-12 Simplified Funding Program, it looks like the President would increase funding for the “new” Grants to State Program in an amount roughly equal to what the 6 consolidated programs were funded at in FFY 2024.
While IDEA funding would receive a slight increase compared to prior year funding levels, it still means the federal government would only be funding 11% of their obligation (compared to the 40% it had promised when IDEA was first enacted).
Outside of the consolidation proposal, the Request would still keep the Grants for Infants and Families ($540 million) and the Special Olympics ($36 million) as standalone programs, funded at the same levels as FFY 2024.
Updates Federal Updates from our national partners, National Association of Private Special Education Centers
“One Big Beautiful Bill Act” Passes House:
On Thursday, the House of Representatives narrowly passed H.R. 1, the budget reconciliation bill that has been the focus of debate for weeks, by a vote of 214 to 215. The multitrillion-dollar tax and spending package would deliver on President Trump’s campaign promises to extend the tax cuts enacted in 2017 and steer more funding to the military and border security. The bill cuts a combined $1 trillion from Medicaid and the Supplemental Nutrition Assistance Programs (formerly food stamps), altering eligibility requirements for both programs and hindering the way states fund these programs more broadly. These changes could have a ripple effect on early intervention and school programs that receive Medicaid funding, P-12.
The bill also cuts $350 million via education programs by changing Pell Grant eligibility, eliminating federally subsidized school loans, and ending loan repayment deferment for unemployment and/or economic hardship. The legislation now heads to the Senate, where it is expected to face an amendment process that could potentially alter the bill. The exact process for Senate reconciliation remains unclear. Similar targets for deficit reduction are expected, but with some differences in provisions.
Linda McMahon Offers Few New Specifics on Ed. Dept. Budget Cuts:
U.S. Secretary of Education Linda McMahon offered few specifics on how the Department of Education would consolidate funding streams and cut billions of dollars from its bottom line, but repeatedly reassured lawmakers during a budget hearing that vital dollars would remain even as she seeks to close the agency. The hearing before a House of Representatives appropriations subcommittee followed the release of President Donald Trump’s “skinny budget” earlier this month, which lays out broad proposals with details yet to be filled in. The early budget stops short of executing Trump’s campaign promise to eliminate the department and move its vast portfolio to other agencies, but the plan seeks to reduce the agency’s overall spending and footprint.
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