Haley Howell, senior manager of political affairs and advoca
2 min read
All Members Advocacy
Key Points
  • President Trump signed a bipartisan FY26 spending package funding key federal agencies and providing short-term DHS funding.
  • The law authorizes and funds three STS-backed bills focused on pediatric access to care, preterm birth, and clinician wellbeing.
  • It restores $20 million for the Lung Cancer Research Program, which had been eliminated in the prior fiscal year.
  • The package increases medical research funding for NIH, ARPA-H, and AHRQ and blocks a proposed cap on indirect research costs.
  • The legislation extends telehealth flexibilities for two years, supporting continued access to care.

President Trump has signed into law the bipartisan federal spending package that provides full‑year appropriations for the remaining three FY26 funding bills — Labor‑HHS‑Education and Related Agencies, Defense, Transportation‑HUD — and provides two weeks of stopgap funding for the Department of Homeland Security.

The package provides extensive funding for several STS priorities and health programs, including authorization and appropriations for three major STS-backed bills:

  • The Accelerating Kids Access to Care Act: Requires states to establish a process allowing qualifying out-of-state pediatric providers to enroll in their Medicaid program for five years without undergoing redundant screenings.
  • Reauthorization of The PREEMIE Act: Ensures continued federal commitment to understanding the causes of preterm birth, supporting at-risk families, and implementing strategies to promote healthier pregnancies and babies.
  • The Dr. Lorna Breen Health Care Provider Protection Reauthorization Act: Helps prevent burnout among healthcare providers and improve workforce retention by authorizing funding for mental health and wellbeing programs in the healthcare industry.

Other key health programs and provisions funded include:

  • Restoration of Lung Cancer Program: Provides $20 million for the Lung Cancer Research Program, which had been eliminated in the previous fiscal year.
  • Medical Research:
    • Provides $47.2 billion for the National Institutes of Health (NIH), a $415 million increase over FY 2025. Importantly, Congress blocked the administration’s proposed 15% cap on indirect research costs as part of this bill.
    • Includes $1.5 billion for the Advanced Research Projects Agency for Health (ARPA-H).
    • Appropriates $345.38 million for the Agency for Healthcare Research and Quality, including $11.54 million for the United States Preventative Services Task Force and $10 million for long COVID research.
  • Telehealth & Acute Care: Allows a two-year extension of telehealth flexibilities.
  • Community Health Centers: Provides $4.6 billion for the Community Health Center Fund.
  • Pharmacy Benefit Manager (PBH) Reform: Prohibits PBM compensation in Medicare Part D from being tied to a drug manufacturer’s list price.