Trump Budget Would Slash Some Construction Spending, Boost Transportation Projects

The White Home proposed $163 billion in non-defense spending cuts in its 2026 discretionary budget request launched Could 2. Whereas Congress should nonetheless finalize the federal finances, the proposal offers a glance into Trump administration priorities that would come with each will increase and cuts for various packages funding development tasks.

The cuts would quantity to a 22.6% lower from the enacted 2025 finances. As proposed, the partial finances would formalize many cuts the president has moved to make by way of govt order, reminiscent of to environmental initiatives and variety, fairness and inclusion packages.

Among the largest cuts are proposed to the U.S. State Dept. and worldwide packages, amounting to a discount of $49.1 billion, or 83.7%. Division cuts of $33.6 billion would come from Housing and City Improvement and $33.3 billion from Well being and Human Providers. 

Setting and Power

The proposal would minimize billions of {dollars} in funding from environmentally centered packages. It will “cancel” $15.2 billion from numerous U.S. Dept. of Power packages reminiscent of these funding renewable vitality and carbon dioxide elimination from the air. 

The Trump finances request targets one other $2.5 billion from the U.S. Environmental Safety Company clear and ingesting water State Revolving Fund (SRF) method packages. White Home officers wrote in finances paperwork that “states needs to be chargeable for funding their very own water infrastructure tasks,” and claimed SRFs are duplicative of different packages just like the Water Infrastructure Finance and Innovation Act (WIFIA). One other $1 billion can be minimize from 16 EPA categorical grants for states and native governments. 

Additionally focused for cuts is $609 million from Bureau of Reclamation packages that fund efforts reminiscent of habitat restoration, however not constructing or sustaining water infrastructure. 

The finances would minimize $389 million from the Power Dept.’s Environmental Administration program, which leads nuclear and unsafe waste cleanup actions at 14 websites and operates the Waste Isolation Pilot Plant, a geologic disposal facility in New Mexico. White Home officers wrote that the finances maintains 2025 funding ranges for the Hanford Website cleanup in Washington state, however reduces funding for work at different websites. The cuts embody $178 million that officers attributed to the transition of obligations from the Environmental Administration program to the Nationwide Nuclear Safety Administration. 

The finances would additionally minimize $254 million from the federal Superfund program, which officers wrote nonetheless has $1.6 billion out there from the 2021 Infrastructure Funding and Jobs Act and the 2022 Inflation Discount Act. 

Sen. Sheldon Whitehouse (D-R.I.), rating member of the Senate Committee on Setting and Public Works, criticized the cuts as “an unmitigated catastrophe for everybody besides the looters and polluters” in an announcement. 

“By crippling the EPA, Trump would be sure that households nationwide are extra dangerously uncovered to unsafe ingesting water, poisonous waste and the skyrocketing prices of local weather change,” Whitehouse stated. 

The proposal additionally cuts $325 million from the Nationwide Institute of Requirements and Know-how. In finances paperwork, White Home officers wrote that NIST “has lengthy funded awards for the event of curricula that advance a radical local weather agenda” and its Round Financial system Program “pushes environmental alarmism.”

One other $80 million can be minimize from Dept. of the Inside renewable vitality packages underneath the proposal. 

Transportation Funding

A number of U.S. Dept. of Transportation packages serving to fund development tasks would see will increase underneath the proposed finances. These embody an extra $824 million for a Federal Aviation Administration program to improve U.S. Nationwide Airspace System services and change radar gear. 

The finances would add $770 million for the Infrastructure for Rebuilding America (INFRA) grant program, which the White Home praised for utilizing a “rigorous benefit-cost analyst” in selecting freeway, port and freight rail tasks to help. It additionally provides $400 million for rail security and infrastructure grants, and $596 million for shipbuilding and port infrastructure. 

Workforce Coaching

As a part of the White Home’s Make America Expert Once more initiative, officers have proposed handing states “extra management and adaptability to coordinate with employers.” States receiving associated grants must spend at the very least 10% of the award on apprenticeship packages, which the Trump administration has moved to boost. 

“At this level within the course of … the important thing worth in a proposal like that is it displays a few of the coverage priorities of the administration,” stated Brian Turmail, vp of public affairs and workforce on the Related Basic Contractors of America, by way of e mail. “To that finish, we had been inspired by the sturdy help for craft workforce growth within the proposal.”

Whereas consolidating a number of grants underneath this system, the White Home proposes reducing $1.6 billion in funding. Trump officers criticized Biden administration priorities for workforce coaching spending, indicating grants wouldn’t be out there for initiatives helping immigrants or specializing in range and inclusion. 

The finances additionally cuts one other $1.6 billion from the Job Corps, which officers wrote in finances paperwork is a “failed experiment,” and $405 million from a program that helped prepare and subsidize employment for low-income seniors. 

“President Trump’s first finances proposal reaffirms his unwavering dedication to placing American employees first, encouraging and empowering states to upskill their employees by increasing apprenticeship alternatives,” U.S. Labor Secretary Lori Chavez-DeRemer stated in an announcement.

Extra Cuts

A number of different packages funding development tasks are focused for funding cuts by the White Home’s proposal. They embody $3.3 billion from HUD’s Group Improvement Block Grant program centered on numerous neighborhood-level tasks. White Home officers known as the method funding program “poorly focused” and stated tasks that needs to be funded on the native stage.

The finances would minimize $1.1 billion from the U.S. Military Corps of Engineers Harbor Upkeep Belief Fund. About half of the $2.8 billion appropriated to it in 2024 has not been obligated as of the primary quarter of 2025, in accordance with the White Home. 

One other $73 million can be minimize from Nationwide Park Service development. The White Home goals to switch some smaller and less-visited parks to state or tribal governments, and officers wrote that park tasks needs to be managed regionally. 

Lawmakers will probably make some modifications earlier than finalizing their finances, though Home Speaker Mike Johnson (R-La.) known as the White Home proposal “a daring blueprint” and stated Home Republicans would work with the president “to implement a accountable finances.”

Democrats had been essential of the proposal. Rep. Rosa DeLauro (D-Conn.), rating member on the Home Appropriations Committee, stated Trump officers “are attacking training, housing, most cancers analysis and investments within the center class to pay for tax cuts for billionaires.”