President Trump Proposes Cuts to HHS Funding in 2026 Budget

May 06, 2025

The Trump administration released its discretionary budget request for fiscal year 2026 on May 2, outlining deep funding cuts to public health agencies and programs. While Congress is unlikely to adopt the proposal in its current form, the request signals the administration’s priorities for the coming year.

The proposal includes $93.8 billion for the Department of Health and Human Services, a 26.2% reduction from the 2025-enacted level. It also includes funding reductions and consolidations within the following federal agencies:

Centers for Disease Control and Prevention (CDC): A $3.58 billion funding reduction. The budget proposes consolidating the agency’s infectious disease, opioids, viral hepatitis, sexually transmitted infections and tuberculosis programs into a single $300 million grant program.
Health Resources and Services Administration (HRSA): A $1.73 billion reduction. The proposal calls for eliminating multiple health workforce programs.
National Institutes of Health (NIH): A $17.96 billion reduction. The administration proposes consolidating NIH research into five newly defined areas: the National Institute on Body Systems Research, National Institute on Neuroscience and Brain Research, National Institute of General Medical Sciences, National Institute of Disability-Related Research and National Institute on Behavioral Health. The Advanced Research Projects Agency for Health (ARPA-H) would remain intact.
Agency for Healthcare Research and Quality (AHRQ): A $129 million reduction. The budget proposes eliminating new grants and merging AHRQ’s functions into the proposed HHS Office of Strategy.
Centers for Medicare and Medicaid Services (CMS): A $674 million reduction. The proposal would eliminate CMS activities related to health equity, outreach and education.
Administration for Strategic Preparedness and Response (ASPR): A $240 million reduction. The budget would eliminate funding for the Hospital Preparedness Program.

The proposal would implement the plan to restructure HHS, which was announced in March. Under the plan, the department’s 28 agencies would be consolidated into 15, and several public health offices would be merged or dissolved. A new Administration for a Healthy America would absorb several remaining HHS agencies, including the Office of the Assistant Secretary for Health (OASH), which was responsible for several key activities related to blood availability. The budget proposal also includes $500 million to establish a Make America Healthy Again (MAHA) Commission.

AABB is Fighting for Federal Research Funding

AABB strongly opposes the proposed cuts to federal public health and research agencies included in the Trump administration’s fiscal year 2026 budget request. The budget proposal threatens to undermine scientific progress and jeopardize patient care across the health care continuum.

Over the past several months, AABB has actively engaged in advocacy efforts to underscore the critical importance of sustained federal research funding. In January, the Association hosted a Congressional briefing and highlighted how federal funding for research supports the blood and biotherapies community. Additionally, AABB submitted multiple communications to Congress urging support for robust NIH funding and firmly opposing the administration’s FY 2026 budget for HHS.

Federal research dollars have enabled significant advancements in transfusion safety and access. Federally funded studies such as the Recipient Epidemiology and Donor Evaluation Study (REDS) program and the ADVANCE study have shaped evidence-based policies, enhanced blood donor eligibility criteria and improved patient outcomes. Furthermore, federal investment in research has helped to advance our understanding of blood safety, enable the development of pathogen-reduction technologies and fuel innovation in emergency and battlefield transfusion care.

These investments are not theoretical — they have real, life-saving consequences. And federal research dollars continue to expand the development of critical, next-generation life-saving therapies, including CAR-T cell therapies and gene therapies, for previously untreatable Illnesses.

AABB is committed to advocating for robust, sustained federal investment in research and public health infrastructure. In the coming months, AABB will continue to:

Continue to engage with congressional offices to emphasize the value of federally funded research to the blood and biotherapies field.
Partner with peer organizations to strengthen collective advocacy on behalf of research programs.
Closely monitor budget negotiations closely and inform members of key opportunities to take action.

Continued federal support is essential to ensure this progress continues and reaches more patients. AABB urges Congress to reject the proposed budget cuts and instead strengthen investment in scientific research and public health.