First Look: Leaked Budget Document Previews Potential Cuts to HHS Grants

/ 25-06

A “budget passback” document, dated April 10, 2025, recently made its way into the public sphere. It appears to represent the Office of Management and Budget’s (OMB’s) funding recommendations for the reorganized Department of Health and Human Services (HHS) as part of the fiscal year (FY) 2026 president’s budget submission. It focuses primarily on discretionary funding. HHS features prominently in the state-federal fiscal relationship, accounting for a large share of grants and funding.

The leaked document states, “Passback levels reflect the reforms necessary to enable agencies to fulfill their statutory responsibilities in the most cost-effective manner possible. Many difficult decisions were necessary to reach the funding level provided in this Passback.” The document is labeled “pre-decisional,” suggesting it is subject to change. According to news reports, HHS agencies may request changes but have been told they cannot change bottom-line funding.

This “First Look” Budget Brief focuses narrowly on proposed discretionary funding changes for FY 2026. A spreadsheet accompanies this brief, listing 109 HHS discretionary grants that FFIS includes in its Appropriations Tracker and indicating:

  • FY 2026 proposed funding compared to appropriations in FY 2025 and FY 2024
  • Program eliminations
  • Program reorganizations, which HHS announced in March; they are detailed at the program level in the OMB document

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