Federal Funding
House Narrowly Passes $57B Energy and Water Development Funding Package
While four Republicans joined Democrats to oppose the House energy and water development appropriations package, it squeaked through in a 214-213 vote on Sept. 4.
Republicans in the House of Representatives narrowly advanced, in a 214-213 vote on Sept. 4, their $57.3-billion energy and water development appropriations bill—even with four Republicans joining Democrats in voting against it. The package deals another setback to renewable energy following various rescissions and terminations by the Trump administration but shows support for nuclear power development.
The third 2026 appropriations package advanced by the House so far, It includes funding for U.S. Army Corps of Engineers civil works, as well as for the U.S. Dept. of Energy and U.S. Dept. of Interior Bureau of Reclamation.
The bill shows partisan influences. The administration requested $54.4 billion in discretionary appropriations, 11% below the $61.3 billion enacted for fiscal 2025 and including no appropriations for wind and solar energy or for hydrogen fuel research and development. At $57.3 billion, the House bill is closer to this year’s enacted level but still makes significant cuts in some areas.
“Energy strength is national strength—fueling jobs, innovation and resilience in every community—and no longer will traditional energy sources be punished for being affordable and reliable,” said Rep. Tom Cole (R-Okla.), chair of the House appropriations committee, in a statement.
The bill appropriates $1.8 billion for DOE’s Office of Energy Efficiency and Renewable Energy, a 47% cut from the current enacted level. It also reduces funding for vehicle technologies from $240 million to $215 million; for building technologies from $148 million to $100 million; and for geothermal technologies from $488 million to $125 million.
“By slashing the budget for energy efficiency and renewable energy nearly in half, House Republicans are attacking the programs that help working families, create good-paying jobs in our communities and keep America competitive,” said Rep. Rosa DeLauro (D-Conn.), ranking appropriations committee member, in a statement.
Also, about $5.1 billion in rescinded funds previously appropriated to programs under the Infrastructure Investment and Jobs Act—including DOE renewable energy programs the Office of Clean Energy Demonstrations and other programs, would transfer under the bill to a program supporting small modular reactor deployment projects. It would boost funding for the U.S. Nuclear Regulatory Commission by 3% to $971 million, and increase funds for DOE’s Office of Science 2% to $8.4 billion. But its Advanced Research Projects Agency-Energy (ARPA-E) would see a funding drop of $110 million to $350 million.
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A provision in the bill would prohibit its funding from supporting DOE’s May 2024 rule on clean energy in federal buildings, which requires new and renovated federal buildings to be designed in a way to reduce their fossil fuel-generated energy consumption.
Meanwhile, Democrats proposed adding a provision that would have prevented federal awards from the bill from being terminated, and would have reinstated terminated funding under previous terms. But a motion to add the amendment was rejected along party lines 218-209.
Army Civil Works
The appropriations package includes $9.9 billion for the Corps, a 14% increase compared to the $8.7 billion enacted for this year and 48% above the Trump administration’s request. That includes $2.6 billion for construction, up from $1.9 billion in 2025.
The bill includes funding for 15 projects included in the administration’s request, plus nine others and various environmental infrastructure projects. It would fund two studies on potential projects.
Cole said the bill “backs vital investments in water infrastructure, ports and flood control.” From the Harbor Maintenance Trust Fund, the bill appropriates $3.5 billion for eligible projects. The package also provides that inland waterway project costs come from the Inland Waterways Trust Fund.
Cleanup Programs
But the bill includes no funding for the Corps’ Formerly Utilized Sites Remedial Action Program (FUSRAP), although a committee report says the agency will carry over “significant unobligated funds” that can continue progress at all active program sites.
Some Democrats criticized the move. “By turning their backs on communities suffering from the long lasting impact of our early atomic weapons programs, Republicans show the callous disregard they have for America’s forgotten communities,” said Rep. Marcy Kaptur (D-Ohio), in a statement.
Other cleanup programs under DOE’s Office of Environmental Management would still receive funding. The package includes $6.96 billion for the Defense Environmental Cleanup account that finances cleanup of former nuclear weapons production sites, and $332 million for the Non-Defense Environmental Cleanup account that covers federal nuclear energy research sites.
The Senate has not yet advanced its own energy and water development package. The government’s fiscal year ends Sept. 30.
