On April 3, 2026, the President Trump released his FY 2027 President’s Budget Request. Lawmakers will consider these recommendations as they draft next year’s appropriations bills. Congress holds the final constitutional authority to appropriate federal funds and has repeatedly demonstrated commitment to protecting Tribal programs from decreases. We do not expect lawmakers to enact the cuts that are included in the Budget Request. It is also worth noting that the President’s Budget follows a theme of cutting domestic programs to offset a large increase in defense spending. The proposed cuts to the Tribal programs reflect the implementation of that larger theme and not necessarily a specific skepticism towards Indian Country.
Bureau of Indian Affairs (BIA). The FY 2027 President’s budget proposal recommends $2.03 billion in funding for the BIA. This recommendation is 36.7% ($743 million) below the FY 2026 Enacted funding amount. The President continues to request full funding for contract support costs (CSC) and section 105(l) leases. Outside this, the request proposes increases for a few accounts, including Aid to Tribal Government and Real Estate Services.
Bureau of Indian Education (BIE). The Budget Request includes a recommendation of $930 million in funding for the BIE. This would be a 31.9% ($437 million) decrease from FY26 enacted funding levels. The only accounts for which the Administration requested increases were the ISEP Formula Fund and the Early Childhood and Family Development accounts.
Department of Housing and Urban Development, Native American Programs. The Native American Programs proposal requests $887 million. This is a decrease of 34.5% ($467 million) below the FY 2026 enacted funding. Most of the cuts are from the proposed elimination of the Native Hawaiian programs and the Indian Housing Block Grant Competitive program.
Indian Health Service (IHS). The Trump Administration is proposing $9.1 billion in discretionary funding for the IHS. This is a $1.1 billion (14%) increase over FY 2026 enacted levels. Most of that increase is going to CSC and section 105(l) leases, which are fully funded, though several programmatic accounts also received increases. The Budget also includes $5.6 billion in advance appropriations. This is an important inclusion as the Trump Administration did not request advance appropriations for the IHS last year.
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Inquiries may be directed to:
Elizabeth Bailey (ebailey@hobbsstraus.com)
