On April 3, the Trump Administration released its Fiscal Year (FY) 2027 budget request, outlining the Administration’s priorities for federal investments at the Department of Education (ED) and the Department of Labor (DOL) for the next fiscal year (school year 2027-28).

The Administration is requesting $76.5 billion in discretionary funding for ED, which is a decrease of $2.3 billion or 2.9%. However, the decrease to existing programs is actually much larger than it appears based on this total, as over $10 billion of the amount is designated to backfill the Pell Grant program, meaning other programs have deeper cuts to compensate. For DOL, the proposal includes $9.9 billion in discretionary funding, representing a large reduction of $3.5 billion, or 25.9%.

Within this, the budget requests level funding for the Carl D. Perkins Career and Technical Education Act state grants at $1,439,848,000, along with just over $10 million for Perkins Innovation and Modernization grants. In the budget request, this funding is transferred to the Department of Labor to match the Inter-agency Agreement signed last spring.

For other K-12 education programs, the Budget does call for maintaining funding at $18.4 billion for the Every Student Succeeds Act Title I Grant, which targets federal support to disadvantaged schools. However, a number of programs would be eliminated or consolidated into a new $2 billion block grant program, Make Education Great Again (MEGA), that is funded at a significantly lower level than the original programs.

Additionally, the Administration is proposing sweeping cuts to various higher education programs, and the complete elimination once again of the Adult Education program (which was also included in last year’s budget request but rejected by Congress). There is a proposed $354 million cut to Minority-Serving Institution programs and a cut of $136 million to the Fund for the Improvement of Postsecondary Education (FISPE). However, the Administration proposes an increase of $10.5 billion for the Pell program to address a looming funding shortfall while maintaining the maximum award of $6,335.

DOL is also facing significant budget cuts or program eliminations, including a proposal to eliminate the Job Corps program. The budget also calls for continued support for the block grant program created in FY 2026, the Make America Skilled Again (MASA) program, which would replace about a dozen current workforce development programs at a much lower funding level.

ACTE will share more information as more details emerge about the Administration’s proposals and the appropriations process progresses. Remember, the President’s request is just a suggestion, and it is ultimately up to Congress to determine funding levels for FY 2027. If you have any questions, please contact ACTE’s Government Relations Manager, Jimmy Koch (jkoch@acteonline.org).

Sen. Richard Blumenthal (D-CT), a longtime and committed CTE advocate, is circulating an important “Dear Colleague” letter addressed to the Chair and Ranking Member of the Senate Labor, Health and Human Services, and Education Appropriations Subcommittee. The letter requests increased funding for the Carl D. Perkins Career and Technical Education Act (Perkins) in the Fiscal Year (FY) 2027 Labor, Health and Human Services, and Education appropriations bill. It is critical that we secure as many signatures as possible to show the importance of sustained investment in Perkins funding in the Senate. This letter is similar to the House letter that circulated earlier in March, but now gives Senators a chance to signal their support.  

CLICK HERE to ask your Senators to sign the letter and support increased CTE funding in the FY 2027 Labor, Health and Human Services, and Education appropriations bill! 

Senators have until April 17 to sign the letter and can do so by contacting Sydney Lamb (sydney_lamb@blumenthal.senate.gov) in Sen. Blumenthal’s office. 

The inclusion of Workforce Pell in the One Big Beautiful Bill Act was a major win for learners seeking more access to short-term training programs aligned with in-demand careers. However, leaders across the country are grappling with many challenges related to the implementation of the new law as the federal government seeks comments on proposed implementation rules. Don’t forget to submit comments by April 8! While we await final rules, the following resources can serve as a guide for practitioners to ensure that high-quality programs can become and maintain eligible for the program.

One of the central themes for implementation is the importance of quality data systems. Workforce Pell requires significant reporting that can only be accessed through strong alignment between education and labor market data.  Without this data infrastructure, many programs will not even be able to apply for Workforce Pell, and access may be uneven across states and populations. National Skills Coalition recently made recommendations to state and local policymakers to help implementation of Workforce Pell work more smoothly from a data perspective:

1. Streamline access to earnings data.
2. Modernize state wage record systems.
3. Standardize definitions and metrics.
4. Elevate data governance alongside program governance.

The Data Quality Campaign also emphasized data infrastructure in their recent brief, “What States Can Do Now to Get Ready for Workforce Pell.” This article states that successful implementation of Workforce Pell will depend heavily on states’ ability to build strong, connected data systems and governance structures. Many institutions currently lack access to critical outcomes data—especially wage and employment records—requiring states to enable data-sharing across agencies, clarify legal barriers, and strengthen partnerships among governors’ offices, workforce boards, and higher education systems.

DQC goes on to emphasize the need for long-term investment in data quality, capacity, and cross-agency coordination so states can accurately determine program eligibility, track outcomes, and continuously improve the program over time, ultimately ensuring Workforce Pell delivers real value for students and the workforce.

Also on the data front, the new Workforce Pell Data Collaborative released a Model Data Framework to create a common reference for Workforce Pell Data. Shifting to the programmatic pieces of workforce Pell, community colleges and area CTE centers will be at the center of Workforce Pell implementation, and several organizations have begun developing practical tools to support them. ACT developed the WorkKeys Workforce Pell Toolkit which provides:

• Guidance on meeting performance and accountability requirements
• Strategies for aligning programs with skills-based credentialing systems
• Tools to support career readiness and employability outcomes

Authors from New America and MDRC pulled together a number of studies on short-term programs into an article that highlights the need for career coaching or advising for participants. New America also published a piece on how Workforce Pell might support apprenticeships.

Many of the key components of Workforce Pell programs are summed up in a brief from Advance CTE and National Skills Coalition, “Getting Workforce Pell Right for Young People – What We’ve Learned from Career Technical Education.” It explores six different lessons for Workforce Pell, ranging from a focus on quality to aligned definitions and systems.

Implementation will also depend heavily on state leadership. Guidance from the National Governors Association highlights how governors can use Workforce Pell to:

• Align education and workforce systems with state economic priorities
• Build regional talent pipelines tied to high-demand industries
• Modernize data systems and accountability frameworks

The Education Commission of the States also launched a Workforce Pell blog series. The first post looks at how different state higher education governance systems will have different implications for implementation.

As Workforce Pell moves towards July 1, 2026, launch, ACTE will continue to provide updates and resources to members. If you have any questions, please contact ACTE’s Government Relations Manager, Jimmy Koch (jkoch@acteonline.org).

This week was ACTE’s annual National Policy Seminar, where approximately 400 attendees had the opportunity to hear the latest education policy developments from policymakers, participate in visits to Capitol Hill to advocate for CTE programs nationally and attend a reception highlighting students across eight Career and Technical Student Organizations (CTSOs). As ACTE advocates were on the Hill, Congress was wrapping up a work session and preparing for a two-week recess, so there was lots of activity. Read more policy updates below!  

• House Dear Colleague Letter Secures 57 Signatures: The letter, which was circulated by Rep. Glenn Thompson (R-PA) and Rep. Suzanne Bonamici (D-OR), shows continued bi-partisan support for increases in CTE funding. We expect to have a Senate letter soon! 

• U.S. Chamber of Commerce Announces Career-connected Grant Opportunity: On March 11, the U.S. Chamber of Commerce announced that it is seeking employer-led consortia to partner with state and local education agencies to develop meaningful alignment between K-12 education and industry needs. Selected consortia will receive up to $365,000 in funding to develop strategies and initiatives that bridge education and workforce systems together. Applications are due by April 20. 

• NSF Announces AI Workforce Initiative: On March 25, the National Science Foundation announced the TechAccess: AI-Ready America Initiative, which aims to equip employers and workforce programs with AI tools and resources through Coordination Hubs that are housed in states. The deadline for states to submit full proposals is July 16, and the Department will be hosting a webinar for interested states on April 14. 

• Federal Judge Extends Deadline for Colleges to Submit Admissions Data: On March 24, a federal judge extended the deadline for colleges and universities to submit raced-based admissions data to ED from March 18 to April 6. The extension applies only to public postsecondary institutions in the 17 states that sued the Department. 

• FAFSA User Updates Planned for this Summer: The Office of Federal Student Aid announced at a conference earlier this month that it is planning to roll out updates to the FAFSA form this summer focused on improving user experiences. The changes also include an enhanced fraud detection system to combat financial aid fraud. ED celebrated over 10 million submitted 2026-27 FAFSA forms this week. 

• ED Updates College Scorecard Data: This week, ED updated earnings, graduation and cost data on the College Scorecard, with plans to update data on federal loan borrowing and transfer outcomes later this year.    

• ED Announces SIP Eligibility for FY 26: On March 24, ED launched the FY 26 eligibility application for the Strengthening Institutions Program (SIP). The SIP is a capacity-building grant for low-resourced colleges under the Higher Education Act. This application allows colleges to prove they serve high numbers of low-income students and have low per-student expenditure in order to compete for Title III and Title V grants. The deadline for applications is April 23, 2026.   

• DOL Launches ‘Make America AI-Ready’ Initiative: On March 24, DOL announced the launch of “Make America AI-Ready,” a free artificial intelligence literacy course that will help American workers learn the basics of AI.  

• ED to Move Out of Lyndon B. Johnson Building in Washington, DC: On March 26, ED announced that they will be moving out of the Lyndon B. Johnson headquarters in order to downsize and save approximately $4.8 million annually in operating costs.  

• Senators Urge ED to Reverse Actions Regarding Office of Civil Rights: On March 20, Sen. Schiff (D-CA), along with other Senate Democrats, released a letter to ED expressing concerns for the Office of Civil Rights (OCR) within the department. They wrote that the Reduction in Force (RIF) orders have undermined OCR’s capacity to carry out their mission and urge ED to reverse these actions.   

The National Policy Seminar is finally here! ACTE staff will be supporting state leaders next week as they
meet with their representatives on the Hill to advocate for legislation that supports and expands CTE programs and opportunities. In other news, we are still gathering signatures on a House letter distributed last week to support increased CTE funding in FY 2027, and you can ask your representative to sign the letter here! The deadline has been extended to Tuesday, March 24. Read more updates below.

• ED and Treasury Announce Student Aid Partnership: On March 19, ED and the Treasury Department announced the Federal Student Assistance Partnership, which aims to enhance the administration of federal student aid programs. Under the interagency agreement, the Treasury will assume responsibility for collecting defaulted federal student loan debt and provide operational support to ED.
• ED and DOL Announce First Joint Grant Competition: On March 17, the Departments of Education (ED) and Labor (DOL) announced the FY 2026 grant competition for federal TRIO programs, with an emphasis on connecting disadvantaged students to workforce training opportunities such as Registered Apprenticeships – a significant shift away from the traditional focus of the program. The competition is the first to be held under ED’s postsecondary education partnership with the DOL. Applications are due on May 1, and interested practitioners can view the grant here.
• White House Proposes AI Framework: On March 20, the White House released its proposed framework for a national AI policy. The document outlines six key objectives, including one around “Educating Americans and Developing an AI-Ready Workforce,” that the Administration hopes Congress will address through legislation. We will have more analysis soon!
• Senators Collins and Murray Release FY 27 Appropriations Guidance: On March 18, Senators Collins and Murray, Chair and Vice Chair of the Senate Appropriations Committee, released guidance for Fiscal Year (FY) 2027 programmatic, language, and Congressionally Directed Spending (CDS) requests in the Senate. Requests for the Labor, Health and Human Services (HHS), Education, and Related Agencies Appropriations Subcommittee are due to the Committee from Senators on April 21.
• House Education Committee Advances Student Aid Fraud Prevention Bills: On March 17, the House Education & Workforce Committee advanced three bills focused on preventing fraud in the federal student aid programs. These bills were the Student Aid Fraud Oversight and Accountability Act of 2026, the No Aid for Ghost Students Act of 2026, and the FAFSA Verification Efficiency Act.
• DOL Hosts National Apprenticeship Week 2026 Virtual Town Hall: On March 26 at 3:00 PM EST, DOL is hosting a virtual Town Hall in celebration of National Apprenticeship Week (NAW) 2026. The Town Hall will bring together ApprenticeshipUSA partners and stakeholders to discuss strategies for getting involved in NAW 2026, mobilizing local networks, and engaging with DOL leadership.
• Kent Highlights Potential Changes on Mergers: Speaking at an event this week, ED Under Secretary Nicholas Kent indicated potential federal policy changes to ease mergers and acquisitions for postsecondary institutions.
• IHEP Launches Project to Reform the NCES: On March 19, the Institute for Higher Education Policy (IHEP) announced the launch of a national project and task force to reform the postsecondary data infrastructure at the National Center for Education Statistics (NCES). Members of the task force include former leaders at the NCES and experts from state agencies, think tanks and other research organizations.
• NSF Invests $11M on AI Professional Development for Teachers: On March 19, the National Science Foundation announced that it was awarding $11 million to the Computer Science Teachers Association to support the dissemination of AI professional development. The multi-state initiative aims to expand computer science and AI integration and knowledge for K-12 teachers.
• Judge Blocks Administration Demand for Admissions Data: On March 13, a federal judge temporarily blocked the Trump Administration from demanding detailed student admissions data from colleges. The order is a temporary win for universities, as they were facing potential financial penalties if they missed a March 18 deadline to hand over the data.
• ED Reproaches Accreditors over their DEI Standards: On March 16, ED Under Secretary Nicholas Kent sent letters to two accreditors alleging that diversity, equity and inclusion practices in their standards conflict with federal law. ED ultimately renewed the accreditors’ federal recognition.

Impact of CTE Funding in Michigan: An article by Thomas Goldring, Brian A. Jacob, Daniel Kreisman and Michael David Ricks in the Journal of Policy Analysis and Management examines the impact of legislative CTE funding changes in Michigan. In 2015, the state altered its CTE funding formula, giving schools higher reimbursements for students who advance further in CTE programs instead of basing funding on student enrollment hours. Under the new formula, CTE completers carry the greatest weight at 10, followed by concentrators at 5 and participants at 1.  

Analysis of state administrative data revealed that, after the funding change, CTE completion increased by 14 percentage points and CTE concentration increased by 10 percentage points. CTE participation, however, remained stable. The researchers also found evidence that some administrators reorganized coursework to increase the likelihood that students become CTE concentrators or completers, resulting in higher CTE completion rates in higher-income and non-urban school districts. Furthermore, while both high- and low-income school districts experienced funding increases after the 2015 change, the gains for low-income districts eroded by 25%-40% in subsequent years as CTE completion rates in wealthier districts rose significantly. Similar trends were observed in urban and non-urban school districts. 

The Landscape of Career-connected Learning in NYC: A report from the Research Alliance for New York City Schools examines the landscape of career-connected learning in New York City by analyzing the Future Ready NYC (FRNYC) and Career Readiness and Modern Youth Apprenticeship (CRMYA) programs, which both launched in fall 2022. FRNYC programs are pathways that lead to high-wage, high-demand careers in one of six identified industries while CRMYA programs connect students with apprenticeship opportunities. 

Utilizing administrative data, the researchers found that between the 2021-22 and 2024-25 school years, the percentage of high schools offering career-connected learning (CTE, FRNYC and/or CRMYA) grew from 28% to 48%, nearly 100 additional high schools. The growth in program offerings is primarily driven by the expansion of FRNYC programs. Most of the growth also occurred in academically focused high schools rather than comprehensive and CTE-dedicated schools. Conversely, CRMYA programs grew at a slower pace across schools. 

The researchers also found that FRNYC programs are aligned to occupations that require more postsecondary education than regular CTE programs. When disaggregating program offerings by cluster, technology pathways are the most common across schools, followed by business, arts and health care. 

Scaling Work-based Learning: A new framework from the Strada Foundation outlines how employer intermediaries can support the development and expansion of work-based learning (WBL) experiences within businesses across high-demand sectors. The foundation convened a working group that identified five key functions of intermediaries that effectively support WBL. 

• Employer Engagement: Develop relationships with employers of all sizes and build buy-in for WBL experiences. 

• Solutions Design: Assist employers in designing and implementing WBL experiences, ensuring that industry and student needs are met. 

• Solutions Brokering: Connect employers with education and training institutions to develop partnerships and cultivate strong WBL program outcomes. 

• Implementation Support: Provide employers with hands-on support through technical assistance and other resources for the long-term sustainability and success of programs. 

• Administrative Support: Simplify administrative processes for employers through assistance with paperwork, compliance, funding and other logistical tasks. 

What Works in Health Science: The Project on Workforce at Harvard University recently published preliminary findings from a study of four health care-focused high schools in Boston, Charlotte, Dallas and Houston. These schools are part of a broader network launched in 2024 that aims to prepare students to enter the health care workforce. Excluding the Charlotte school due to data limitations, the researchers analyzed initial enrollment and attendance data and found the following: 

• The majority of students enrolled in each school are Black or Latino, higher than each state’s average for secondary Health Science CTE concentrators. 

• Although the majority of students in each school are female, the Boston and Dallas schools are more gender-balanced compared to statewide data on Health Science concentrators, suggesting that the sites expand access for male students. 

• The Boston and Houston schools have a smaller share of English language learners compared to their respective school districts, while the Dallas school has a higher share. 

• While the Houston and Dallas schools exhibit average attendance rates, the Boston school has particularly high chronic absenteeism in its accelerated CNA and EMT programs for seniors.  

ACTE has analyzed the recently signed FY 2026 appropriations bill and found that 159 CTE-related projects are slated to receive over $209 million in funding through earmarks. These provisions in federal appropriations bills direct funding to educational institutions, nonprofits, state government agencies and other partners for specific projects. Members of Congress request funding based on submissions from their state or district. 

The FY26 budget bill allocates the following for CTE-related projects: 

• Department of Education’s Higher Education Account: $139,430,000 

• Department of Education’s Innovation and Improvement Account: $20,508,000 

• Department of Labor’s Employment and Training Administration Account: $49,349,000 

Of the 37 states that received earmarked funding for CTE-related projects, Mississippi received the most funding ($16 million) while Michigan and Maryland had the greatest number of funded projects (10 each). Projects that received funding include: 

• $6.5 million for East Carolina University’s biomanufacturing education programs, including equipment purchases 

• $5.3 million for Mississippi State University to expand a workforce training program in skilled manufacturing 

• $2.5 million for Central Vermont Career Center School District, on behalf of the Vermont Association of Career and Technical Directors, to expand and enhance CTE programs 

• $1.5 million for Northwest Maritime in Washington to develop a maritime workforce pilot program for high school students to develop workforce-ready skills and competencies 

• $1 million for Hall County School District in Georgia to develop a career pathway program in meat processing 

When examined by Career Cluster, the Supply Chain & Transportation Cluster received the most funding ($39.8 million, 25 projects), followed by Healthcare & Human Services ($35.2 million, 24 projects) and Advanced Manufacturing ($23.1 million, nine projects). 

Practitioners can use this spreadsheet to examine the specific projects tracked and filter by state, Cluster and project cost. You may also view all the earmarks here. If you have any questions, please reach out to ACTE’s Research and Policy Coordinator Jesus Galvan.