Advance CTE recently released a comprehensive report analyzing the current landscape of nondegree credentials, including certificates, industry-recognized credentials, apprenticeship certificates and occupational licenses. Through a national scan of state practices, a 50-state survey and interviews with state leaders, the report shares four key findings:

• Forty-four states have made lists of recognized credentials publicly available, including 34 states with a formal approval process. The most common approval strategy is employer recommendations, followed by educator recommendations, occupational demand data and wage data. Many states have multiple lists for different populations, programs or funding streams.  
• States are farther behind in developing consistent processes for revalidating approved credentials. Only 27 states have a process to revalidate credentials, while only 14 states take occupational wage information into consideration for reapproval. In addition, less than half of states have a process for phasing out credentials and 13 states reported not removing any credentials in the past five years. 
• States are investing in accountability measures and incentives to increase credential attainment. Twenty-six states include industry-recognized credentials in their ESSA and/or state accountability systems; 22 states measure credential attainment as a Perkins V secondary program quality indicator; and 10 states incorporate industry credentials in their high school graduation requirements. Thirty-five states fund credentials with either federal and/or state funds, including 30 states that cover assessment costs and 23 that fund specialized professional development for teachers. 
• Although 35 states collect data to inform their credential data systems, only 15 collect at least three leading indicators such as pass data, and only eight report examining the outcomes of credentials. Common data elements that many states track include certification names, CTE program enrollment and credential providers. 

For each of these findings, the report provides recommendations and reflection questions for state CTE leaders to consider as they work to improve their state’s credential system. Recommendations include taking a unified approach across K-12, postsecondary and workforce; developing stronger revalidation processes; and structuring incentives to focus on credentials that have demonstrated value.  

Alongside the report, Advance CTE also released two data dashboards: one contains information on how states are approaching credentials, and the other lists the top employer-requested credentials, filterable by Career Cluster and state. 

On Friday afternoon, May 30, the Trump Administration released its full Fiscal Year (FY) 2026 budget request. This comes after they released their “skinny” budget request last month.

The full budget reinforces the President’s request to cut $12 billion in discretionary spending for the Department of Education (ED). ACTE previously posted about the initial request when it was released in early May.

While information on CTE funding wasn’t included in the initial budget request, the more detailed budget does shed light on the Administration’s priorities related to Perkins. The budget calls for the Perkins State Grant to be level funded for FY 2026 at approximately $1.44 billion. However, there is language in the budget proposal that indicates the Administration wants to shift Perkins funds “to exclusively support middle and high school students at the district level,” and not postsecondary programs. This type of change could not be made without amendments to Perkins.

The National Programs account would be decreased by $2.2 million, leaving the account funded at $10.2 million. In the request, the Administration said that this funding would “support research, development, dissemination, evaluation, assessment, capacity building, and technical assistance activities.” Funds would also be allocated within that total for the Perkins Innovation and Modernization grant, which is suggested to be used “to enhance connections between the education system and Registered Apprenticeships to support unifying the public workforce system, States’ career and technical education systems, and the Registered Apprenticeship system.” This would represent a shift from the current grant purposes.

Additionally in the budget request, the Administration requested no funding for adult education programs, which would effectively eliminate the program if enacted. The budget states, “States and localities, not the Federal government, are best suited to determine whether to support the activities authorized under this program or similar activities within their own budgets and without unnecessary administrative burden imposed by the Federal government.” The document goes on to say that federal resources from this account would be redirected to programs like the Perkins State Grants; however, it does not formally move any additional funding into the Perkins account.

Other proposals for ED include:

• 80% reduction in Federal Work Study
• Cuts to the maximum Pell Grant award
• Level Funding for the Every Student Succeeds (ESSA) Title I Grants for local education agencies
• A new $2 billion block grant, called the “K-12 Simplified Funding Program,” would consolidate 18 formula and competitive grant programs but reduce overall funding by 69% across these programs
• $60 million increase for Charter Schools

Funding in the proposal for the Department of Labor (DoL) would be reduced by nearly 35 percent. The budget also calls for combining 11 existing programs into a $2.96 billion block grant called “Make America Skilled Again” (MASA), which would consolidate the following workforce development programs:

• Workforce Innovation and Opportunity Act (WIOA) Adult grants
• WIOA Dislocated Worker grants
• WIOA Youth grants
• Wagner-Peyser Employment Service State Grants
• Dislocated Worker National Reserve (including the Strengthening Community Colleges program)
• YouthBuild
• Apprenticeship Program
• National Farmworker Jobs Program
• Indian and Native American Programs
• Reentry Employment Opportunities
• Workforce Data Quality Initiative

The proposed funding level represents a 24% cut from current funding levels of these programs. The DOL budget proposal also includes the elimination of Job Corps and several other programs, and shifting the Bureau of Labor Statistics to the Department of Commerce.

Congress returns this week and will continue their work on full FY 2026 appropriations bills. As Congress continues this work, ACTE will be advocating for a robust investment in CTE (at both the secondary and postsecondary levels) as well as other critical programs that increase access to learners of all ages. If you have any questions, please don’t hesitate to reach out to ACTE’s Government Relations Manager, Jimmy Koch (jkoch@acteonline.org).

Congress was on recess this week but will return to DC on Tuesday. The Senate will begin work on the budget reconciliation bill (passed by the House before the Memorial Day recess), while the House is shifting in earnest to work on FY 2026 appropriations bills following the Administration’s release of its full budget request. ACTE will provide more coverage of these events as they unfold, keep reading for more details!

• Administration Releases Full Budget Proposal: Following the release of a budget outline early in May, late on Friday the Administration released its full budget proposal. The Department of Education budget request contains a few more details than the original outline, including a proposal for level funding for the Perkins Basic State Grant. However, there are many detailed cuts across both the education and labor portions of the budget, as originally included in the budget outline. More analysis will be available soon!
• Dear Colleague Letter Finalized in Senate: Forty senators signed a letter to the Senate Labor, Health and Human Services, and Education Appropriations Subcommittee requesting an increase in Perkins funding for FY 2026. Check out the letter and make sure to thank senators that signed on!
• House Committee on Education and Workforce to Hold Hearing on ED’s Priorities: Secretary McMahon plans to testify before the House Education and Workforce Committee in a hearing next Wednesday titled “Examining the Policies and Priorities of the Department of Education.” ACTE will cover this on social media and the blog, so be sure to tune in!
• House Education and Workforce Committee to Hold Hearing on DOL’s Priorities: Secretary Chavez DeRemer plans to testify before the House Education and Workforce Committee in a hearing next Thursday regarding the budget and priorities for DOL. ACTE will share any relevant updates!
• Senate Health, Education, Labor and Pensions (HELP) Committee to Hold Hearing on Education, Labor Nominees: The Senate HELP Committee is holding a hearing next Thursday on four of the Trump Administration’s nominees at ED, DOL and the Occupational Safety and Health Administration (OSHA).
• DOL Pauses Job Corps Center Operations: DOL announced it will begin a phased pause in operations at contractor-operated Job Corps centers nationwide. This will take effect by June 30, 2025, and aligns with the President’s FY 2026 budget proposal.
• Government Accountability Office (GAO) Releases Review of Registered Apprenticeships: The GAO released a general overview of earn-and-learn programs, primarily focusing on registered apprenticeships and covering programs across the Departments of Commerce, Defense, Veterans Affairs, Labor and Education.

Advance CTE has released two new resources for students, educators and other stakeholders interested in learning more about the updated National Career Clusters® Framework.

The Industry Sector Profiles compile industry-related information for each Career Cluster, including an analysis of quantitative and economic data organized by the North American Industry Classification System (NAICS) and Standard Occupation Classification (SOC) codes as well as national labor market data. Advance CTE also worked alongside various national CTSOs to develop a resource that highlights how the CTSOs are aligning with the Framework. 

For more information and resources, visit Advance CTE’s website. 

This has been a busy week on Capitol Hill as Congress held multiple hearings relevant to education and workforce development across both chambers. Secretary of Labor Lori Chavez-DeRemer and Secretary of Education Linda McMahon both testified before Congress this week to discuss the President’s Fiscal Year (FY) 2026 budget request. Meanwhile, the House passed its budget reconciliation bill, shifting the process to the Senate. Congress is scheduled to take recess next week, but will back in DC in June!  

• House Passes Reconciliation Bill: The House of Representatives passed its budget reconciliation proposal on May 22. The process now shifts to the Senate where it is certain to face many changes from Senators. Budget reconciliation allows for changes to tax and mandatory spending programs and can sidestep the filibuster in the Senate. It cannot impact discretionary spending, which will be addressed in the FY 2026 appropriations bills. Read more about how the bill would impact education on the blog.  

• Senate HELP Committee Advances Nominee for Assistant Secretary for Career, Technical and Adult Education (OCTAE): The Senate HELP Committee voted to advance several of the President’s nominees at the Department of Labor (DOL), the Federal Mine Safety and Health Review Commission and the Department of Education (ED). Included in these nominees is Kevin O’Farrell, nominated to serve as Assistant Secretary of OCTAE. Learn more about O’Farrell from ACTE’s statement regarding his nomination.  

• McMahon Testifies Before House Appropriations Committee: Secretary McMahon testified before the House Appropriations Subcommittee on Labor, Health and Human Services, Education and Related Agencies. Her testimony focused on the Trump Administration’s budget proposal outline for FY 2026. Read more on the blog. 

• Senate Health, Education, Labor and Pensions (HELP) Committee Holds Hearing on the State of Higher Education: The Senate HELP Committee held a hearing on the state of higher education. One of the witnesses, Russell Lowery-Hart, is the chancellor of Austin Community College and spoke of the critical role that community colleges play in innovation and workforcetraining. Senator Tim Kaine (D-VA) used this hearing to promote short-term Pell Grants, pressing the committee to mark up the JOBS Act, which is endorsed by ACTE.  

• House Subcommittee on Education and Workforce Development Holds Hearing on DEI: The House Subcommittee on Education and Workforce Development held a hearing to address DEI issues in education, discussing some of the recent funding cuts and other actions taken related to the Administration’s agenda around this topic.  

• Secretary Lori Chavez De-Remer Testifies Before Senate HELP Committee: Secretary Chavez-DeRemer testified before the Senate HELP Committee regarding the President’s “Skinny” Budget Request for DOL. Check out the blog to learn more about the budget request.  

• Democratic Lawmakers Send Letter to Secretary McMahon on Federal Funding Delays: Several lawmakers with minority leadership roles sent a letter to Secretary McMahon to address recent delays in providing states and school districts with information about formula funding that had been previously appropriated. While Perkins allocations for FY 2025 have been released, many other grant allocations have not.  

• Judge Rules Against Staffing Cuts at ED: A federal judge has ordered the reinstatement of hundreds of employees fired at the Department of Education through a “Reduction in Force” earlier this year, stating that the firings were akin to dismantling the agency, which only Congress can do, would keep the agency from fulfilling its core functions. The Administration has appealed the ruling and next steps in the legal process are uncertain.   

• More on Staffing Challenges at ED: Related to the legal argument that layoffs have impeded core activities at the Department, a recent survey, published by the National Association of Student Financial Aid Administrators (NASFAA) found that postsecondary financial aid offices nationwide have reported recent operational delays, breakdowns in federal support systems and insufficient communication with ED.  

• Secretary McMahon Announced Proposed Priorities for ED Discretionary Grants: Secretary McMahon announced her first three proposed priorities for ED discretionary grants, including evidence-based literacy, expanding education choice and returning education to the states. The Administration will align discretionary grant competitions with these priorities in the future.  

Latest Postsecondary Enrollment Data: The National Student Clearinghouse Research Center recently released spring 2025 postsecondary enrollment data. Major takeaways include:

• Total postsecondary enrollment grew by 3.2% compared to spring 2024.
• Growth occurred at all institutional levels, with community colleges seeing the greatest increase in enrollment (+5.4%) for both men and women. 
• Undergraduate certificate enrollment grew by 4.8% and is now 20% higher compared to 2020. Community colleges accounted for two-thirds of this growth. 
• Public two-year schools that strongly focus on CTE program areas saw their third consecutive year of significant growth (+11.7%). Compared to 2020, enrollment has increased by 19.4%.  
• Among two-year colleges, programs that saw significant growth include construction trades (+15%), health professions (+11.7%) and precision production (+8.9%). 
• Most racial/ethnic groups saw enrollment growth, led by Black students with a 10.3% increase in enrollment. White students experienced their first enrollment increase since the start of the COVID-19 pandemic. 

Assessing the Professional Development Needs of Traditionally and Alternatively Certified CTE Teachers in Virginia: An article by Natalie Ferand, Bradley Bowen and Brett Milliken in the May 2025 issue of the Journal of Research in Technical Careers examines the professional development needs of traditionally and alternatively certified CTE teachers in Virginia. The researchers surveyed traditionally and alternatively certified CTE teachers along with teachers traditionally certified in a non-CTE subject area who later received a CTE endorsement.  

The researchers found varying professional development needs for each group: 

• Alternatively certified CTE teachers were most interested in information about CTSOs and adapting instruction for students with special needs. 
• Traditionally certified CTE teachers were most interested in information about managing stress, student behavior and work/life balance. 
• Traditionally certified non-CTE teachers who later received a CTE endorsement were most interested in information about motivating students, managing stress and Perkins funding.  
• Teachers across all three groups need help with managing stress. Managing time, Perkins funding and supporting students with special needs were other professional development needs shared across teachers from different pathways into the profession. 

Curricular-credential Decoupling: How Schools Respond to CTE Policy: A report from the Annenberg Institute examines the implementation of CTE and industry-based certification (IBC) policy in Texas, including House Bill 5 (2013) that created five areas of concentration; 2017 legislation that added IBCs to the state’s accountability system; and 2019 policy that incentivized schools for student attainment of IBCs.  

Analysis of state longitudinal data reveals that there was a nine-point increase in the percentage of students completing a CTE program from 2017 to 2018, coinciding with the first class to graduate under House Bill 5. From 2018 to 2022, the CTE program completion rate held steady.  

In comparison, from 2017-2022, the rate of IBC attainment increased by much more: 25 percentage points. However, over this same period, the rate of students earning IBCs aligned to their CTE program areas decreased by 16 percentage points. Business, manufacturing and construction had the highest CTE-IBC alignment; conversely, health sciences, human services and public service had the lowest CTE-IBC alignment.  

The researchers suggest that the financial incentive may have encouraged schools to focus on quick, easy-to-earn IBCs regardless of those credentials’ alignment to CTE program areas.  

This week, the House of Representatives passed its budget reconciliation proposal. The bill passed the House in a 215-214 vote, along party lines. The process now shifts to the Senate where it is certain to face many changes from Senators. 

Separate from the appropriations process, budget reconciliation allows for changes to tax and mandatory spending programs and can sidestep the filibuster in the Senate. It cannot impact discretionary spending, which will be addressed in the FY 2026 appropriations bills.  

This reconciliation bill is the culmination of a series of markups from different committees who were tasked with putting together their portions of the bill based on instructions they received in the budget resolution that passed earlier this year. The House Education and Workforce Committee had produced legislation in April to contribute to the broader bill that was ultimately passed by the House. In some positive news, the reconciliation bill would authorize the Workforce Pell Grant Program, designed to expand Pell Grant eligibility to students enrolled in short-term training programs. 

However, the primary goal of the education portions of the bill was to reduce mandatory spending by at least $330 billion over 10 years. To accomplish this, the bill would implement several critical changes to financial aid and student loan eligibility, limits and repayment options. Key changes include:  

• Placing new maximum caps on student loans for students and parents, and eliminating some loan options  

• Eliminating the “SAVE” student loan repayment plan  

• Consolidating other loan repayment options into one fixed plan and one income-driven repayment plan (with higher payments than current options)  

• Instituting a “risk-sharing” program where colleges are responsible for some defaulted loans  

• Eliminating some student loan borrower protections as well as the gainful employment rule  

• Limiting Pell grants only to students who are enrolled at least half-time, and redefining full-time as 15 credit hours per semester compared with the current 12 hours  

Additionally, lawmakers included in the Ways and Means portion of the bill a proposal that would use the tax code to offer vouchers that students could use to attend private secular or religious schools. The Educational Choice for Children Act would create a federal tax credit for individuals who donate to groups that provide school choice scholarships to students. ACTE opposes any proposal that would take resources away from public education. 

In the coming weeks, the Senate will take up the bill. If the Senate makes changes, which is likely, then it will head back to the House for final passage and to President Trump’s desk. 

ACTE will continue to monitor the bill and communicate the latest developments as they occur. If you have any questions, please don’t hesitate to reach out to ACTE’s Government Relations Manager, Jimmy Koch (jkoch@acteonline.org).