July Policy by the People Federal Update

/ Building Pathways to Adulthood, Connecting Families, Schools, & Communities, Events, Federal Government, IEL Initiatives & Partnerships, Leading Across Boundaries, Policy/Legislation, Resources / By

What’s Happening in Washington 

*Please note: This update may not include all the changes currently happening in the federal government.

Here’s what’s happened in federal education policy in the month of July, and what lies ahead.

The U.S. Congress

The Rush Before August Recess: The U.S. House of Representatives left Washington on July 23 for August Recess and is set to return for votes in the last week of the month; the U.S. Senate breaks on August 10. The House passed its FY27 Labor-HHS funding bill through committee in June, and the Senate has not yet scheduled a markup of its version of the bill. On July 22, the House passed a Continuing Resolution (CR), funding the federal government at FY26 levels through December 4, 2026, with the goal of avoiding a government shutdown during the Midterm elections. The Senate is expected to pass its version of the CR before the recess.

House Education & Workforce Committee Passes 10-Bill Package to Codify IAAs: On July 15, the U.S. House of Representative Committee on Education and Workforce passed a package of 10 bills along party lines. This bill would codify some of the Trump Administration’s Inter-Agency Agreements (IAAs) to shift education programs to other federal agencies. This package, titled “Less Bureaucracy, Better Education,” includes the shift of federal student aid programs to the Department of the Treasury, as well as moving the Office of Career, Technical and Adult Education, the Office of Elementary and Secondary Education, and Higher Education programs to the Labor Department, and the Office of Special Education and Rehabilitative Services and Full-Service Community Schools to the Department of Health and Human Services. This bill awaits a floor vote but is unlikely to pass the Senate. On July 21, Senator Tim Kaine (D-VA) introduced a bipartisan bill S.5046 in opposition to this package. On July 30, the Senate HELP Committee is scheduled for a closed-door Executive Session to discuss Senator Kaine’s bill, vote on nominees for the Department of Labor and HHS, and consider other legislation.

The U.S. Department of Education

U.S. Department of Education Approves Returning Education to the States Waivers for Arkansas and South Dakota: In early July, the Department of Education approved Returning Education to the States Waivers for Arkansas and South Dakota. These waivers aim to provide state education officials with greater discretion over their federal education dollars. Arkansas is also the first state to receive approval for Ed-Flex authority, which allows states to waive select federal requirements for local education agencies. Arkansas and South Dakota now join Vermont, Indiana, Iowa, and Louisiana in receiving approved waivers.

ED Eliminates Civil Rights Compliance Reviews From CTE Programs: On July 22, the Department of Education’s Office for Civil Rights (OCR) announced a deregulatory action eliminating the Method Administrations program, which eliminates the requirement for states to conduct compliance reviews of Career and Technical Education (CTE) programs’ adherence to federal civil rights laws.  

The U.S. Supreme Court

SCOTUS Releases Final Decisions of Term: The U.S. Supreme Court concluded its 2025-2026 term at the end of June and is now on recess until October 2026. The Court ruled 6-3 on Trump v. Barbara, upholding birthright citizenship as defined in the 14th Amendment. The Court also ruled 6-3 on West Virginia v. B.P.J. andLittle v. Hecox, ruling that West Virginia and Idaho schools were not in violation of Title IX by only allowing biological females on female sports teams.

During this session, the Supreme Court denied petitions to hear two cases around student freedom of speech in schools: E.D. v. Noblesville School District and C.S. v. Craig McCrumb. Both cases involved the expression of students’ First Amendment rights including expressing political beliefs in promotional materials and a decision on what counted as an appropriate clothing choice.

IEL Policy Updates 📜

  • Tracking the States: Governors’ Education Priorities vs. Legislative Outcomes
    Check out IEL’s most recent policy resource!  This brief is a mid-year progress report on our 2026 State of the State Analysis. Roughly 77% of analyzed budgets reflected the governor’s education priorities named in their addresses, which includes literacy, CTE, free school meals, and early childhood as top priorities. Community Schools received strong investments by Maryland, California, and New Mexico.
  • Policy & Advocacy Resources and Tools: Whether you are looking for easy how-to guides to reach out to your federal or state representatives or to share the impact of Community Schools on your community, we have a resource for you! Also, check out our previous policy webinars for refreshers on the federal budget process, the role of data, formula grants, and more! 


Events & Resources

Webinars & Capacity Building Events 💻


New Research, Reports, & Analysis 📝

 

Start typing and press enter to search

Scroll to Top