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President Trump Releases ‘Skinny’ FY26 Budget Proposal

Work on the federal fiscal year 2026 (FY26) budget officially began last week with the release of the White House Office of Management and Budget’s “skinny budget.” This initial proposal outlines major consolidations and substantial cuts to education programs.

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FERPA Update

In recent weeks, USED has leveraged the Family Educational Rights and Privacy Act (FERPA) as a policy tool to incentivize state compliance with other administration policy priorities. This blog post summarizes two sets of actions: specific communications with Maine and California, related to parent rights to access education records, and a broader ‘Dear Colleague’ letter about FERPA and students’ gender identity.

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ESSER Liquidation Update

On March 28, the Department informed SEAs that the Administration has canceled any prior approval for “late liquidation” of remaining funds from a variety of federal pandemic recovery funds, including American Rescue Plan Elementary and Secondary School Emergency Relief (ESSER and Homeless Children and Youth (HCY) funds.

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Reconciliation vs. Appropriations

With growing discussion around potential cuts to Medicaid and other critical programs, this resource clarifies the key differences between the reconciliation and appropriations processes—and what each could mean for education.

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ED Issues New DEI Directive for States

The U.S. Department of Education issued a new directive requiring every state education agency (SEA) to certify within 10 days that they are complying with federal civil rights laws, including Title VI of the Civil Rights Act of 1964 and the Supreme Court’s 2023 decision in Students for Fair Admissions v. Harvard (SFFA). The certification does not demand the end of DEI efforts, but instead reiterates the need to ensure those efforts are lawful under Title VI and to cease “illegal DEI practices.”

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Congress Passes CR to Complete FY25

After weeks of uncertainty about a potential government shutdown, Congress has approved a year-long continuing resolution (CR). This completes Fiscal Year (FY) 2025 appropriations and provides level-funding for most of the key K-12 formula programs, including IDEA, Title I, Title IV-A and REAP.

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