The Trump administration’s “skinny budget” released Friday reflects its previously stated general priorities, including dramatically reduced domestic spending and the targeting of programs defined as “woke.” As outlined below, higher education is not exempt.
The skinny budget that a new presidential administration typically releases before unveiling its full budget proposal does not generally contain much information about proposed funding for individual programs. If anything, Friday’s release is even skinnier than usual.
The administration’s budget proposes to decrease non-defense discretionary spending by $163 billion, or 22.6%. Spending cuts include those that reflect the large-scale federal workforce reductions that have already taken place. In contrast, the budget requests significant increases for defense and border security.
Block grants to states, localities
Another theme that runs throughout the budget, in addition to those mentioned above, is federalism – making states and localities responsible for functions and resources that the federal government currently provides. Several programs are consolidated and turned into block grants to the states, usually for less funding than is currently allocated to the individual programs.
Such is the case at the Department of Labor, where the budget proposes a “Make America Skilled Again” consolidation grant that would “give States and localities the flexibility to spend workforce dollars to best support their workers and economies, instead of funneling taxpayer dollars to progressive non-profits finding work for illegal immigrants or focusing on DEI.”
It is not clear exactly which programs this consolidation grant would replace, but it would cut spending in this area by $1.6 billion.
Impact on ED
The Education Department (ED) would see a 15% reduction, with steep decreases for administration and salary expenses that reflect the massive cuts already made to the department’s workforce.
The proposal would eliminate Federal Work Study, Supplemental Educational Opportunity Grants, Adult Education, Childcare Access Means Parents in School, TRIO, GEAR-UP and the HEA Title III-A Strengthening Institutions Program. With regards to the latter, the budget states that “IHEs with their States and local communities — not the Federal Government — should be responsible for fiscal health of an institution and promoting student success. These funds have been used to promote DEI, inconsistent with the Administration’s priorities and Executive Orders.”
The budget would also substantially cut other important agencies to community colleges, including the National Science Foundation (-56%) and the Department of Agriculture (-18%).
Keep in mind
It is important to remember that Congress has the last word in federal funding, though the current dynamics between the legislative and executive branches calls that into question. But in fact, Congress rejected similar-sized spending reductions proposed by the first Trump administration. Passing appropriations bills requires bipartisan support, at least as long as the filibuster remains in place, but getting to that point won’t be easy. Many months of budgeting battles are up ahead.
The American Association of Community Colleges’ fiscal year 2026 funding priorities are on the advocacy section of the AACC website. AACC will present a webinar on the latest developments in Washington on May 8
