May 22 Newsletter — OY Federal Updates
Let's Catch Up
House Committee Hearing on the Department of Education Budget
On May 14, U.S. Secretary of Education (ED) Linda McMahon testifying at a hearing on “Examining the Policies and Priorities of the Department of Education,” hosted by the House Education and Workforce Committee. Across parties, questions were asked about the ED interagency agreements - related to implementation as well as voicing clear opposition to these moves.
You can watch the full hearing and read Secretary McMahon’s testimony here.
Senate Hearing with Labor Acting Secretary on FY27 Budget
On May 19, Acting U.S. Department of Labor (DOL) Secretary Keith Sonderling testified to the Senate Appropriations Subcommittee on Labor, Health and Human Services, Education, and Related Agencies (Labor-HHS-Ed) to discuss the Administrations Fiscal Year 2027 (FY27) federal budget proposal.
During the hearing, Republicans and Democrats alike voices concerns about the approximately 25% proposed cut to DOL funding. Appropriations Committee Chairwoman Susan Collins (R-ME), for one, shared her support for Job Corps and spoke out against its proposed elimination. The proposed block granting of 12 programs into the “Make America Skilled Again” (MASA) grant was another common topic, along with concerns about the interagency agreements between ED and DOL. Acting Secretary Sonderling stated that DOL is set up to successfully execute these agreements. However, lack of staffing and unclear coordination leaves us concerned.
You can watch the full hearing and read Acting Secretary Sonderling’s testimony here.
Next Steps in FY27 Appropriations
Next on the calendar for the appropriations process, the House Appropriations Labor-HHS-Ed Subcommittee plans to markup their appropriations bill on June 5th for full Appropriations Committee markup on June 9.
Here’s how you can get involved: Use this action alert to let your member of congress know how important critical federal programs are to connecting young people to education, training, and workforce programs.
Workforce Pell Final Rule
ED released the final Workforce Pell Grant rule this week. Implementation can now begin on July 1, 2026. The rule includes:
Programs must be between eight and 15 weeks, and between 150-599 clock hours.
All programs must be approved by both the Governor and Secretary. Governors must develop and publish their criteria and approval process.
Accountability metrics will cover completion (70% of participants must complete within 150% of typical time to completion) and employment (70% of completers must be employed during the second quarter after program exit), as well as value-added earnings (difference between adjusted median earnings of completers and 150% of poverty guidelines for an individual). If a completer continues to on to additional education, they are not included in the value-added earnings.
Workforce Innovation and Opportunity Act (WIOA) Reauthorization
Last month, House Education and Workforce Committee Chair Tim Walberg (R-MI) introduced the House Republican proposal for a WIOA reauthorization bill. The new “A Stronger Workforce for America Act (ASWA) of 2026” is an iteration of the bipartisan and bicameral ASWA that nearly passed at the end of 2024. WIOA reauthorization is long overdue, and we voiced support for the 2024 ASWA legislation in the recent letter to Congress.
OMB Blocks FY26 for Education Department programs
As of May 21, OMB has apportioned little or no fiscal 2026 funding for 33 of the agency’s competitive grant programs totaling more than $1.8 billion. The office has also apportioned less than one-quarter of the $790 million allocation Congress approved earlier this year for the Institute of Education Sciences, the department’s research arm. Most of these funds aren’t expected to go out to grant recipients until later this year. And none of the department’s larger formula grants—including for Title programs and special education—is among the programs with missing or incomplete apportionments. The White House has twice proposed slashing IES funding and eliminating all 33 grant programs on this list. Congress rejected all of those proposed cuts for fiscal 2026; lawmakers will begin workshopping the fiscal 2027 budget in the coming weeks.
Education Department programs with FY26 funding blocked by OMB below:
Full chart can be found by clicking here
Take Action: Email Your Members!
We need YOUR help to urge Congressional members to fortify investments for all education and labor programs to provide more opportunities for young people to engage in economic advancement in FY27. Some of the key programs include:
WIOA Youth Activities
Apprenticeship
Adult Education State Grants
AmeriCorps State and National
AmeriCorps National Civilian Community Corps
McKinney-Vento Education for Homeless Children and Youth Program
Reentry Employment Opportunities (REO)
Runaway and Homeless Youth Act Program
YouthBuild
Job Corps
Federal investments have not kept pace with inflation, let alone demand from workers and employers. Tell your Members of Congress to fund programs that reconnect Opportunity Youth to education and employment.
CLICK HERE TO EMAIL YOUR MEMBERS!
Congressional Bipartisan Opportunity Youth Caucus
This month, Representatives Troy Carter (D-LA) and Rob Bresnahan (R-PA) launched the Bipartisan Opportunity Youth Caucus to address this crisis head on. The Caucus Co-Chairs shared a joint press release that emphasized their commitment to OY policy and re-engaging young people in education and the workforce.
The caucus will:
✅ Highlight federal policies that support disconnected youth
✅ Share local programs creating real pathways to success
✅ Elevate Opportunity Youth research and solutions
Backed by nearly 150 organizations, including many of our coalition members, this caucus creates momentum for scaling the policies and programs that help Opportunity Youth succeed!
Please contact info@noycoalition.org for more information about the Bipartisan Opportunity Youth Caucus or the National Opportunity Youth Coalition.
Resource Center
Getting Workforce Pell Right for Young People – What We’ve Learned from Career Technical Education
Advance CTE and the National Skills Coalition (NSC) discuss the movement of Workforce Pell from policy to practice, and how new opportunities for learners and workers can have to high quality education and training programs. This blog explores how policymakers can draw from learnings in Career Technical Education (CTE) to ensure that Workforce Pell is a meaningful bridge to new college and career possibilities for young people – not a detour that constrains their futures.
Opportunity in Action at the Louisiana State Capitol
In this blog, Opportunity Youth Congressional Liaison Samarah Bentley reflects on recently attending Opportunity in Action Day at the Louisiana State Capitol and how that experience is shaping her approach to national advocacy.
Fund the Workforce. Sustain the System.
The Forum for Youth Investment writes about how youth development is essential infrastructure, not an add-on, and sustaining it requires real investment in the systems, intermediaries, and workforce that support young people every day.
The Anne E. Casey Foundation invests in efforts to equip OY with the skills, credentials, and experiences needed to prepare for placement in their first job, gain experience, and grow their careers. This report highlights key strategies that Casey and its partners have implemented to help young people navigate transitions from school to work.
Monthly Opportunity Youth Policy Stakeholders Meeting
For all those with important perspectives to share and a willingness to engage in federal advocacy and implementation, but for whom weekly meetings would be overkill, we will host monthly meetings that cover the content from both meetings above (advocacy and implementation), briefing participants on key developments, soliciting views and priorities, and providing meaningful opportunities to engage. These meetings are designed particularly for organizations whose work is not primarily federal advocacy, but whose voices are critical to ensure federal efforts meet their needs, for example, Aspen Opportunity Youth Forum sites, LEAP sites, and NLC Reengagement Network participants.
Meetings are held on the last Monday of each month at 4pm (EST)
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