The White House Office of Management and Budget Releases the President’s Fiscal Year 2026 Skinny Budget

5/2/2025

Briefings & Statements

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Action Summary

Budget Overview: President’s Fiscal Year 2026 “Skinny Budget” request reducing non-defense discretionary spending by $163 billion (23% from 2025 levels) while increasing defense and border security funding.
Non-Defense Cuts: Historic low non-defense spending by eliminating programs linked to DEI, critical race theory, Green New Scam funding, and bureaucratic programs viewed as harmful to American interests.
Defense & Homeland Security:
- Defense spending up by 13% with additional mandatory funding; rebuilds military strength and industrial base.
- Department of Homeland Security funding increases by nearly 65% to support border security measures and the mass removal campaign.
- Key investments include funding for ICE, border technology procurement, and boosting personnel numbers for Border Patrol and Customs & Border Protection.
Ending Government Weaponization:
- Elimination of programs from previous administrations, including disinformation offices and initiatives seen as targeting American communities.
- Revamping DOJ priorities by cutting more than 40 grant programs and reinforcing efforts to combat violent crime and preserve law and order.
Defunding Woke Ideologies:
- Cuts across Federal agencies to end funding for programs promoting intersectionality, racial equity, and gender ideologies.
Foreign Aid & International Policy:
- Realigns USAID under the Department of State and expands the U.S. International Development Finance Corporation (DFC) with a new $3 billion revolving fund.
Energy Dominance:
- Cancels over $15 billion in renewable energy and related IIJA funds, reorienting DOE investments toward domestic fossil fuels, advanced nuclear technologies, and baseload power.
Health & Veterans Initiatives:
- Make America Healthy Again (MAHA): Increases HHS resources to address nutrition, lifestyle, and food safety, including domestic sourcing through MAHA food boxes.
- Enhanced VA funding with $50 billion for toxic exposure and $1.1 billion targeted to combat veteran homelessness.
Social Security & Education:
- Preserves Social Security benefits while investing in improved SSA services and fraud reduction initiatives.
- Streamlines K-12 education funding by consolidating multiple grant programs, promoting parental choice and charter schools, as part of reducing the Federal role in education.
Workforce & Skills Development:
- Make America Skilled Again (MASA): Provides States greater flexibility to allocate Federal workforce dollars with an emphasis on apprenticeship programs.
Space & Research Initiatives:
- Redirects NASA’s funding to lunar exploration and Mars missions while cutting programs deemed ineffective or overly focused on “green aviation.”
- Increases investments in artificial intelligence and quantum information science to maintain U.S. technological leadership.
Tribal Support & Drug Abuse:
- Maintains funding for the Indian Health Service, Bureau of Indian Affairs, and Bureau of Indian Education while cutting radical grants.
- Focuses DEA resources on combating drug trafficking of fentanyl and other dangerous substances, particularly targeting international criminal networks.
Wildland Firefighting Reform: Proposes consolidating wildfire responsibilities into a new Federal Wildland Fire Service under the Department of the Interior to improve efficiency in addressing the wildfire crisis.

Risks & Considerations

The proposed budget cuts to non-defense discretionary spending could impact federal funding for educational programs, including those at Vanderbilt University. This may lead to reduced financial support for research and development initiatives, particularly those related to diversity, equity, and inclusion (DEI) and environmental sustainability.
The emphasis on defense and border security spending may shift federal priorities away from educational and research funding, potentially affecting grants and partnerships that Vanderbilt relies on for various programs.
The elimination of DEI programs and funding could affect Vanderbilt’s initiatives aimed at promoting diversity and inclusion within the university community. This may require the university to seek alternative funding sources to maintain these programs.
The focus on parental choice and the consolidation of K-12 education funding could influence the landscape of incoming students, affecting their preparedness and diversity. Vanderbilt may need to adapt its admissions and support strategies accordingly.
The budget’s emphasis on energy dominance and the reduction of funding for renewable energy initiatives could impact Vanderbilt’s sustainability efforts and research in green technologies.

Impacted Programs

Peabody College of Education and Human Development may need to adjust its research focus and funding strategies in response to changes in federal education policies and funding priorities.
Vanderbilt’s Office of Equity, Diversity, and Inclusion could face challenges in maintaining its programs and initiatives if federal support for DEI is reduced or eliminated.
The Vanderbilt Institute for Energy and Environment may need to explore alternative funding sources for research in renewable energy and sustainability, given the budget’s focus on fossil fuels and nuclear energy.
Vanderbilt’s Financial Aid Office might need to reassess its strategies to accommodate changes in student demographics and financial needs resulting from shifts in K-12 education funding.

Financial Impact

The reduction in non-defense discretionary spending could lead to decreased federal funding opportunities for Vanderbilt, necessitating adjustments in grant application strategies and partnerships.
Vanderbilt may need to increase its reliance on private funding sources to support programs and initiatives that are no longer prioritized by the federal budget.
The potential changes in student demographics and preparedness could affect tuition revenue and financial aid distribution, requiring strategic adjustments by the university.
Opportunities for research and development in defense and border security technologies may increase, presenting potential new avenues for funding and collaboration.

Relevance Score: 4 (The budget presents a need for potential major changes or transformations of programs and funding strategies at Vanderbilt University.)

Key Actions

Vanderbilt’s Office of Federal Relations should closely monitor changes in federal funding, particularly the reduction in non-defense discretionary spending and the elimination of DEI programs. This will be crucial for understanding potential impacts on university funding and aligning with new federal priorities.
Peabody College of Education and Human Development should evaluate the implications of the streamlined K-12 education funding and the promotion of parental choice. Engaging with state education departments to align Vanderbilt’s educational programs with these changes could enhance the university’s influence in shaping educational reforms.
Vanderbilt’s Research Centers should explore opportunities in artificial intelligence and quantum research, as the budget supports these areas. By positioning itself as a leader in these fields, Vanderbilt can attract federal funding and partnerships.
Vanderbilt’s School of Engineering should consider the implications of the budget’s focus on space exploration and energy dominance. Opportunities may exist for collaboration with NASA and the Department of Energy on research and development projects.
Vanderbilt’s Medical Center should assess the potential impacts of the Make America Healthy Again (MAHA) initiative on healthcare services and research. Engaging with federal health agencies could provide opportunities for collaboration and funding.

Opportunities

The budget’s emphasis on supporting veterans presents an opportunity for Vanderbilt’s Military and Veterans Affairs Office to enhance its programs and services for veterans, potentially securing increased funding and partnerships with the Department of Veterans Affairs.
The focus on addressing drug abuse aligns with Vanderbilt’s Center for Addiction Research. By engaging in policy analysis and advocacy, the center can influence how resources are allocated to combat drug abuse and support affected communities.
The budget’s support for tribal nations offers an opportunity for Vanderbilt’s Office of Diversity and Inclusion to develop targeted outreach and support programs for Native American students, enhancing their educational opportunities and success.

Relevance Score: 4 (The budget presents potential for major process changes required for Vanderbilt’s programs due to funding impacts and opportunities in research and education.)

Average Relevance Score: 3.8

Timeline for Implementation

N/A – Although the document discusses the Fiscal Year 2026 budget, it does not specify explicit deadlines or enforcement delays for the various directives.

Relevance Score: 1

Impacted Government Organizations

Office of Management and Budget (OMB): Sends the President’s FY2026 Budget request and sets spending priorities that steer multiple Federal programs.
Department of Defense (DoD): Receives increased funding to rebuild the military and enhance national defense capabilities.
Department of Homeland Security (DHS): Gains a significant funding boost for border security operations and law enforcement activities.
Cybersecurity and Infrastructure Security Agency (CISA): Experiences changes through the elimination of its disinformation programs, altering its operational focus.
Environmental Protection Agency (EPA): Faces budget cuts aimed at discontinuing programs related to environmental justice directives.
Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF): Sees a shift in priorities from regulating legal gun ownership to targeting illegal firearms trafficking.
Department of Justice (DOJ): Tasked with restoring law and order, it also eliminates several grant programs while refocusing on field operations.
Federal Bureau of Investigation (FBI): Benefits from enhanced support to reinforce its crime-fighting capabilities.
U.S. Immigration and Customs Enforcement (ICE): Is provided with additional resources to expedite the removal of illegal aliens and strengthen border controls.
Customs and Border Protection (CBP): Receives increased personnel and technology investments to secure the border.
U.S. Agency for International Development (USAID)/Department of State: USAID is reorganized into the Department of State to align foreign aid with the America First agenda.
U.S. International Development Finance Corporation (DFC): Is expanded to support national security initiatives and better manage foreign aid spending.
Department of Energy (DOE): Faces reoriented funding that cancels funds for renewable projects in favor of fossil energy and nuclear technology research.
Department of Transportation (DOT): Experiences cuts by eliminating funding for programs such as electric vehicle charger grants.
Department of Health and Human Services (HHS): Gains resources under the Make America Healthy Again initiative to address public health and nutrition challenges.
Department of Veterans Affairs (VA): Receives a substantial funding increase to expand healthcare services and support veteran homelessness initiatives.
Social Security Administration (SSA): Is upgraded with additional resources to improve service delivery and program integrity.
Department of Education (ED): Undergoes restructuring by streamlining and consolidating multiple K-12 and special education funding programs.
National Aeronautics and Space Administration (NASA): Gets targeted investments to boost lunar exploration and Mars programs while streamlining internal operations.
Indian Health Service (IHS), Bureau of Indian Affairs (BIA), and Bureau of Indian Education (BIE): Continue to receive funding and program adjustments aimed at better serving tribal communities.
Drug Enforcement Administration (DEA): Is directed to refocus efforts on dismantling dangerous drug trafficking networks.
Department of the Interior / Federal Wildland Fire Service: A new consolidated fire service is proposed within the Department of the Interior to coordinate federal wildfire response efforts.

Relevance Score: 5 (The directive impacts 22 Federal agencies and sub-agencies, spanning defense, security, energy, health, education, and more.)

Responsible Officials

Director of the Office of Management and Budget – Oversees the formulation and execution of the Fiscal Year 2026 Budget request and coordinates budget-related directives across federal agencies.
Secretary of Homeland Security – Charged with implementing enhanced border security measures and the mass removal campaign as outlined in the Budget.
Secretary of State – Responsible for the reorganization of U.S. foreign aid by integrating USAID’s functions into the Department of State.
Secretary of Defense – Tasked with rebuilding and revitalizing the Nation’s military capabilities per the increased defense spending directive.
Secretary of Energy – Implements the reorientation of energy funding priorities, shifting emphasis from renewable programs to domestic fossil energy and related research.
Secretary of Health and Human Services – Executes the MAHA Commission directives by tackling nationwide health issues and supporting initiatives like domestic food safety programs.
Secretary of Veterans Affairs – Oversees the expansion of healthcare services and initiatives aimed at alleviating veteran homelessness.
Administrator of the Social Security Administration – Charged with improving customer service and implementing technological upgrades to Social Security operations.
Secretary of Education – Responsible for adjustments in federal K-12 education funding, including the streamlining of multiple grant programs and the eventual reduction of the Federal role in education.
Administrator of NASA – Tasked with refocusing human space exploration efforts, including increased investments in lunar and Mars missions.
Secretary of the Interior – Expected to consolidate and enhance federal wildfire management by establishing the new Federal Wildland Fire Service.
Director of the Drug Enforcement Administration – Responsible for redirecting resources to combat the trafficking of deadly drugs and addressing the nation’s overdose crisis.

Relevance Score: 5 (Directives significantly impact multiple Cabinet-level officials and White House priorities.)