On February 2, 2026 the FY26 education funding bill was finally signed into law. As a result, the U.S. Department of Education (USDE) is now funded for fiscal year 2026. The compromise measure won final approval from the U.S. House by a 217-214 vote. The budget funds the USDE at $79 billion through September 30, 2026, which is approximately $217 million above FY 2025 levels. The bill requires on-time formula grant funding available to states and school districts at levels dictated by Congress in the funding bill. It also adds a new requirement to maintain the USDE staff at levels necessary to fulfill its statutory responsibilities, including carrying out programs and activities funded in the bill.
However, the funding plan does not put a halt to USDE efforts to transfer statutorily required program responsibilities to other federal agencies, but it directs the agencies involved to provide Congress with biweekly reports on the implementation of any interagency agreements.
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