Education secretary outlines FY26 plan to consolidate programs, reduce Department funding

Secretary McMahon testified before the Senate appropriations subcommittee on the president's fiscal year 2026 budget for the U.S. Department of Education, saying the request would shrink federal bureaucracy, consolidate multiple programs into simplified state-directed grants and reduce department funding by more than 15 percent.

The proposal would move many competitive and targeted federal education programs into broader allocations to states, which the secretary said would give governors, state superintendents and local leaders more flexibility. “We seek to shrink federal bureaucracy, save taxpayer money, and empower states who best know their local needs to manage their education in this country,” Secretary McMahon said.

Senators on the subcommittee broadly agreed on the goal of improving student outcomes but sharply disagreed about whether the administration’s approach would help. Ranking Member Senator Baldwin pressed the secretary on transparency, saying the department’s FY25 operating plan left billions “unallocated” and asked whether the administration planned to release those funds. Baldwin said the FY25 operating plan “included $13,000,000,000 in funding it characterized as allocated” and that the committee needs to know how appropriated funding will be spent. McMahon replied that the department was continuing to evaluate allocations and wanted to work with Congress on final decisions.

Several senators warned the committee that consolidating programs into a single state grant could amount to de facto elimination over time if funding fell and states did not backstop lost federal support. Senator Murray said the administration’s approach of simplifying programs and cutting staff risked degrading the department’s ability to execute statutory duties. Senator Reid and others said the proposed cuts would force difficult state budget choices and could be a “profound shock” to education systems if enacted.

The hearing also featured disputed arithmetic and framing: Secretary McMahon said the proposed cuts reflected eliminating duplication and regulatory burden, while several senators described the request as a sizeable reduction in programs that serve high‑need students. Senator Baldwin and others flagged specific cuts mentioned in the budget request, including proposed reductions to evidence‑based literacy programs, college access programs such as TRIO and GEAR UP, and cuts to research and statistics funding. Baldwin said the budget “would cut $12,000,000,000 from funding that supports students and educators.” The secretary characterized some of those figures differently while reiterating the administration’s preference for returning decision-making to states.

There were no formal votes at the hearing. Senators asked for follow-up information and for the department to provide more detailed allocation plans for FY25 funds; the hearing record was left open for questions for the record. The subcommittee chair said members could submit follow‑up materials, and McMahon said the department would work with Congress as allocations are finalized.