HHS Releases FY26 Budget in Brief

July 9, 2025

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On May 30, HHS released its FY2026 Budget in Brief outlining the Trump Administration’s health policy priorities and proposed funding levels for the upcoming fiscal year. The budget serves as a high-level summary of the department’s mandatory and discretionary spending requests.

For FY2026, HHS is requesting $94.7 billion in discretionary budget authority, a significant reduction from the $130.7 billion requested for FY2025. The proposal includes significant structural changes to federal public health administration. Chief among them is the consolidation of multiple agencies into a new entity, the Administration for a Healthy America.

The FY2026 Budget in Brief reflects a broader shift in federal health policy and strategy, reducing discretionary spending while restructuring core federal public health functions. While implementation details remain limited, the outlined changes suggest a continued emphasis on pairing down federal health operations heading into the following year.

Initiatives

Calls grow for Drug Patent reform

In a recent blog post, the Pharmaceutical Care Management Association (PCMA) highlighted increased attention to pharmaceutical companies’ abuse of drug patents. Last month, the Supreme Court unanimously ruled in favor of a generic drugmaker in a “skinny labeling” case, a victory for patients. Skinny labels allow generic and biosimilar competitors to launch products for non-patented indications, helping accelerate […]
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August 11, 2026

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perspectives

AHIP calls for Bipartisan reform to address health care cost drivers

On July 23, AHIP President and CEO Mike Tuffin wrote an opinion piece in The New York Times saying, “common-sense bipartisan reforms are needed to promote competition in care delivery and prescription drugs, protect consumers from providers and drugmakers’ anticompetitive practices and transition away from the perverse incentives of fee-for-service medicine.” Tuffin notes that health […]
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August 11, 2026

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Solutions

PCMA urges preserving patient access and flexibility in new fertility benefits rule

PCMA recently submitted comments to HHS, DOL, and the Treasury (the Departments) in response to the proposed rule establishing a new category of limited excepted benefits for fertility services. PCMA supports the Departments’ goal of expanding access to fertility care while encouraging employer innovation but urged several targeted refinements to ensure the framework is operationally […]
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August 11, 2026

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