Congress and White House Negotiate 2026 Federal Budget

Congress and the White House are negotiating the federal budget for fiscal year 2026, the yearly plan that decides how the government will spend public money. Lawmakers must approve spending bills for departments ranging from education to defense before current funding expires. Each year, this process determines funding levels for schools, transportation projects, health programs, and other services that touch millions of American households. Negotiators are working to reconcile differing priorities between the two major parties, a task that has grown more contentious in recent years.

If lawmakers cannot reach an agreement in time, parts of the federal government could shut down temporarily. During a shutdown, many federal employees are furloughed without pay, and some government services pause until funding resumes. Past shutdowns have disrupted national parks, delayed government paperwork, and created uncertainty for federal workers and their families. Because of these risks, congressional leaders from both parties have said they hope to avoid a lapse in funding this year, even as they debate the details of spending levels.

Budget talks are expected to continue over the coming weeks as deadlines approach. Analysts say the outcome could affect everything from infrastructure projects to social programs that families rely on. The negotiations also reflect broader disagreements in Washington over the size and priorities of federal spending. Many Americans are watching closely, since the final budget will shape government services well into next year.