McMahon Defends President Trump’s FY 27 Budget Request at Senate Appropriations Hearing
By Maria Carrasco, NASFAA Staff Reporter
Education Secretary Linda McMahon defended President Donald Trump’s fiscal year (FY) 2027 budget request at a Senate appropriations hearing on Tuesday, after receiving pressing questions from lawmakers about why the administration is requesting to severely cut funding for campus-based aid and federal TRIO programs.
The hearing, held by the Senate Appropriations Subcommittee on Labor, Health and Human Services, Education, and Related Agencies, focused on reviewing Trump’s budget request for the Department of Education (ED) for FY 2027. Notably, Trump’s request called for the elimination of the Federal Supplemental Educational Opportunity Grant (FSEOG) program and drastic cuts to the Federal Work-Study (FWS) program. However, the administration’s proposal also requests $10.5 billion for the federal Pell Grant program to address the projected funding shortfall.
In her opening remarks, McMahon shared several achievements from ED and Federal Student Aid (FSA). Notably, McMahon stated that the Trump administration has “returned integrity to the broken federal student aid system” and highlighted the administration’s launch of the 2026-27 FAFSA. She also shared that the administration is working to implement the Working Families Tax Cuts Act, which is another name to describe the One Big Beautiful Bill Act (OBBBA).
“And thanks to our strength and security measures, we have prevented over $1 billion in federal student aid fraud,” McMahon said in her opening remarks. “So far, we're also hard at work implementing the Working Families Tax Cuts Act, which simplifies federal student loan repayment, launches a new Workforce Pell program, and will make post secondary education more affordable. And today, we're putting forward a request that accelerates these reforms.”
Sen. Shelley Moore Capito (R-W.V.), chair of the subcommittee, opened the hearing by saying that she was glad the Trump administration’s budget request addresses the projected funding shortfall for the Pell Grant and that it maintains the maximum award from FY 2026 at $7,395.
“Pell is critical to help provide financial access to postsecondary education for our students in West Virginia and across the nation who need it the most,” Capito said. “I'm also encouraged by the steps the department has taken to return student loan borrowers to repayment and remind them of the responsibility that they take on when taking out a loan. After years of borrowers not being required to pay their loans by the prior administration, there is more work that needs to be done.”
However, Tammy Baldwin (D-Wisc.), ranking member of the subcommittee, criticized the administration for seeking to cut essential campus-based aid programs that make college affordable for students.
“Your budget request would also make higher education more expensive and harder to access for working families,” Baldwin said. “While increased funding for the Pell Grant program is important, that just maintains current benefits. At the same time, the budget eliminates nearly every other program to help students pursue and afford higher education.”
A key part of Tuesday’s hearing concerned the administration’s proposed elimination of the federal TRIO programs.
Sen. Susan Collins (R-Maine), chair of the Senate Appropriations Committee, along with several other senators, voiced concerns about the proposed elimination of the program and shared stories of how TRIO programs have benefited their own constituents and staff. Collins questioned McMahon on the administration’s proposal, in which McMahon responded that the TRIO programs have not “achieved its own goals” and that the administration is looking to reform the programs.
Additionally, Sen. Jon Husted (R-Ohio) asked McMahon about funding for the Pell Grant program. He questioned whether the budget requested enough money to fund implementation of the Workforce Pell Grant program, which will allow students to use Pell for eligible short-term programs. McMahon said the administration’s budget request makes sure that there is money to fund the expansion of Pell Grant eligibility, calling the program “vital.”
Another aspect of the hearing concerned the administration’s implementation of OBBBA. Sen. Jeff Merkley (D-Ore.) shared concerns with McMahon that the new student loan caps made under OBBBA could push many students, particularly those in nursing programs, to the private loan market.
McMahon said that nursing programs are not being targeted, and noted that the definition of professional degree in OBBBA was written by Congress. She added that the department has not issued final rules on the OBBBA student loan caps, but will “soon.”
Additionally, some senators touched on the administration's efforts to dismantle the department, including the massive layoffs to ED’s workforce. Sen. Jeanne Shaheen (D-Maine) noted that many of her constituents are reporting issues with accessing the Public Service Loan Forgiveness (PSLF) buyback program due to ED’s large processing backlog. Shaheen asked McMahon how ED intends to deal with this backlog, along with ED’s plans to transfer the student loan portfolio to the Treasury Department.
McMahon said the move to transfer the student loan portfolio to Treasury is “down the road.” She added that the PSLF buyback program is “tedious,” and ED is working for a long-term solution to address the growing backlog of applications.
In the coming weeks, the Senate Appropriations Committee will release its own budget proposal to fund ED. The Senate and House must then work together to pass legislation to fund the federal government by September 30, to prevent a government shutdown from impacting ED’s operations. Stay tuned to Today’s News for more updates on the appropriations process.
Publication Date: 4/29/2026
John G | 4/29/2026 4:16:52 PM
Serious question: where is the documented/believable proof that THIS Department has prevented over $1B in fraud?
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