It has been a turbulent stretch for the Institute of Education Sciences (IES). In addition to staffing cuts and canceled contracts over the last 18 months, the agency now faces a steep funding cut in the House’s Fiscal Year 2027 (FY27) spending bill, ongoing delays in releasing already appropriated funds, and a shifting internal structure.
FY27 House Bill
On June 9, the House Appropriations Committee (HAC) approved its FY27 Labor, Health and Human Services, and Education (LHHS) bill in a party-line vote. The bill delivers a staggering blow to the agency, allocating just $493.5 million for IES — a nearly 38 percent reduction from the FY26 final appropriation and a 33.3 percent reduction from the House’s FY26 proposed budget (see FABBS article). The bill calls for the elimination of funding in several critical areas, including the Regional Educational Laboratories (RELs), the Statewide Longitudinal Data System (SLDS) program, and Special Education Studies and Evaluations.
House appropriators justified the slash by pointing to the agency’s substantial amount of “unspent” carryover funding. According to apportionment data, $279 million of IES’s $768.1 million FY25 budget remains unallocated by the Office of Management and Budget (OMB). However, as FABBS and our coalition partners have warned, those stalled FY25 funds will expire on September 30, meaning they will return to the Treasury rather than supporting researchers.
While the Senate Appropriations Committee (SAC) has not yet released its full FY27 LHHS spending bill due to larger disagreements over spending caps, senators have launched a bipartisan effort to address the current spending crisis. Senators Jeff Merkley (D-OR), Thom Tillis (R-NC), and Elizabeth Warren (D-MA) co-led a letter to Education Secretary Linda McMahon on May 11, signed by Susan Collins (R-ME) and 15 other senators, asking for the immediate release of unapportioned funds.
More broadly, roughly $2 billion in Department of Education discretionary funding remains unallocated by OMB. This delay triggered formal legal action on June 30, when a coalition of disability advocacy groups filed a lawsuit against the Department and OMB. Represented by Protect Democracy, the plaintiffs allege the administration is violating the Anti-Deficiency Act by using the apportionment process to unlawfully block congressionally approved spending. The suit asks the court to force the release of the funds before the looming expiration date.
New Programs
On June 4, four programs from the Office of Elementary and Secondary Education (OESE) officially transitioned into IES, part of an effort to place emphasis on evidence-building. The Education Innovation and Research (EIR) Program and the Javits Gifted and Talented Students Education Program have joined the National Center for Education Research (NCER). Meanwhile, the Comprehensive Centers Program and the Equity Assistance Centers Program moved to the National Center for Education Evaluation and Regional Assistance (NCEE). It’s important to note that the House FY27 proposal would eliminate funding for both the Comprehensive Centers and the Javits program.
At the same time, severe staffing shortages are degrading long-standing research infrastructure at the institute. The National Center for Education Statistics (NCES) released its annual Condition of Education 2026 report in May with severely slimmed-down data. Due to budget and capacity limitations, the report was scaled back significantly, leaving scientists with fewer comprehensive data indicators to track national educational trends.
Leadership Transitions at NCSER
Finally, IES is navigating a major leadership transition in its special education portfolio. Nathan Jones, who has served as the Commissioner of the National Center for Special Education Research (NCSER) since 2023, stepped down on July 1 to return to the faculty at Boston University.
Dr. Elizabeth Albro, Commissioner of NCER, has also assumed leadership of NCSER. While Dr. Albro brings extensive expertise to the dual role, the consolidation raises concerns among stakeholders about the agency’s long-term capacity to maintain a dedicated, singular focus on special education and disability-specific research during a period of such profound institutional strain.
