House Appropriations Subcommittee Approves Fiscal Year 2026 Appropriations Bill and Works to Fix President Trump’s Proposed Budget for Indian Affairs Programs and Services

07/22/2025

Washington, D.C. – On July 15, 2025, the House Subcommittee on Interior Appropriations approved its Fiscal Year (FY) 2026 bill for Interior, Environment, and Related Agencies.  The FY 2026 bill is a response to the President’s proposed budget and includes appropriations for the Bureau of Indian Affairs (BIA), Indian Health Service (IHS), Environmental Protection Agency (EPA), and more.  The bill now goes to the full Committee for consideration and then the full House of Representatives.

The Subcommittee ignored the Indian Affairs budget proposed by President Trump and approved a budget that would continue the same level of funding for Indian Affairs programs and services, including some increases over FY 2025.  The full Committee and Subcommittee includes a number of Congressional Members that have tribes in their Districts and are considered friends of Indian Country.  The Subcommittee is led by Chairman Mike Simpson (R-Idaho) and Ranking Member Chellie Pingree (D-Maine).  The full Appropriations Committee is led by Chairman Tom Cole (R-Oklahoma) and Ranking Member Rosa DeLauro (D-Connecticut).

In approving the bill, Subcommittee Chairman Simpson said:  “I have consistently said that I refuse to balance the budget on the backs of Tribes, so I am proud that this bill makes strong investments to further the Federal government’s trust and treaty responsibilities.”

The Interior, Environment, and Related Agencies Appropriations Bill provides a total discretionary allocation of $37.97 billion.  This is $2.54 billion less than FY 2025.  A substantial part of this reduction is due to a $2.1 billion reduction to the Environmental Protection Agency.  Below is a summary of significant Tribal provisions.

U.S. Department of the Interior

• Bureau of Indian Affairs:  $2.9 billion approved, which is a $1.2 billion increase over the President’s FY 2026 budget request, and a 16 percent increase over FY 2025.

  • Operation of Indian Programs:  $2.25 billion, which is $1 billion more than the President’s FY 2026 budget request, and a 19 percent increase over FY 2025.

  • Construction:  $167 million, which is $73.7 million more than the President’s  FY 2026 budget request, and a 25 percent increase over FY 2025.

  • Public Safety and Justice:  $771.84 million, which is $295.8 million more than the President’s FY 2026 budget request, and a 38 percent increase over FY 2025.

  • Indian Land and Water Claim Settlements:  $58.9 million.

  • Indian Guaranteed Loan Program:  $25 million, rather than eliminating the program as proposed in the President’s FY 2026 budget request and an 88 percent increase over FY 2025.

• Bureau of Indian Education:  $1.53 billion approved, which is a $613.9 million increase from the President’s FY 2026 budget request and a 12 percent increase over FY 2025.  This total $1.53 billion budget breaks down as follows:

• Operation of Indian Education Programs:  $1.24 billion approved, which is a $367.5 million increase from the President’s FY 2026 budget request and a 9 percent increase over FY 2025.
  

• Education Construction:  $295.4 million, which is a $247.3 million increase from the President’s FY 2026 budget request and a 26 percent increase over FY 2025.

U.S. Department of Health and Human Services

• Indian Health Service:  $8.41 billion approved for FY 2026, including the prior year advance, for the Indian Health Service, which is an increase of $182 million above the previous year’s level.  Provides $6.05 billion in FY 2027 advanced appropriations.
  

• Indian Health Facilities:  $865.9 million approved.

Other Significant Provisions

• Section 426 directing the Secretaries of the Interior and Health and Human Services for a Tribal consultation on 105(l) leases on how to implement a consistent and transparent process for the payment of leases. 

• Historic Preservation Fund:  $168.9 million approved for expenses necessary in carrying out the National Historic Preservation Act, which includes formula grants to fund Tribal Historic Preservation Officers (THPO).  President Trump had proposed a 93 percent decrease of the Historic Preservation Fund, which would include THPOs, but the Subcommittee approved level funding (no change) from FY 2025.

• U.S. Forest Service:  $280.96 million for State, Private, and Tribal Forestry to manage forest health.

• U.S. Fish and Wildlife:  State and Tribal Wildlife Grants:  $6.2 million for competitive grants for Indian Tribes for the development and implementation of programs for wildlife habitats.

• Office of Surface Mining Reclamation and Enforcement:  Abandoned Mine Reclamation Fund: $135 million to states and federally recognized Indian Tribes for reclamation of abandoned mine lands.  $11.75 million shall be available for grants to federally recognized Indian Tribes for reclamation of abandoned mine lands and other related activity.

• Office of Navajo and Hopi Indian Relocation is eliminated.

Skenandore Wilson LLP is dedicated to the representation of Tribal Nations, Tribal entities, and individual Tribal members throughout Indian Country.  Our mission is to support and advance the sovereignty, self-sufficiency, and self-governance of our Tribal clients.  To learn more about how we can assist you, contact us at info@skenandorewilson.com or 608-608-1210.