Last week, the House and Senate appropriations committees held markup sessions for the FY 2026 Interior Appropriations Act, with both including significant federal investment in Tribal programs, though differing in total funding levels and strategic emphasis. The House bill provides a total discretionary allocation of $37.971 billion with notable increases including a 39% boost to Tribal Public Safety and Justice programs ($771.84 million), while the Senate version, which passed with a 26-2 vote, allocates $41.45 billion with $12 billion specifically designated for Tribal programs across the Department of Interior and Indian Health Service (IHS).
Key Tribal Investments
Both the House and Senate bills maintain healthcare funding for Tribal communities. The House allocates $8.41 billion to the IHS, which includes previous advance appropriations plus $6.05 billion in advance funding for fiscal year 2027. The Senate provides $8 billion, with $5.3 billion set aside as advance funding. Importantly, both bills preserve the advance appropriation system that ensures consistent healthcare funding for 2.5 million Tribal citizens. This mechanism provides funding stability by allowing money to be allocated ahead of time, reducing uncertainty in healthcare planning and delivery for Tribal communities.
Additionally, both versions strongly support Tribal education, with the House providing $1.53 billion for the Bureau of Indian Education, and the Senate maintaining $1.37 billion. This funding supports 183 schools and 33 Tribal colleges that serve nearly 57,000 students.
The House bill includes a major investment in public safety, proposing a significant 39% increase in Tribal Public Safety and Justice funding. This boost would strengthen Tribal law enforcement, support investigations into Missing and Murdered Indigenous Persons cases, and enhance Tribal court systems.
Both appropriations bills also provide vital funding to the Bureau of Indian Affairs. The House version includes $2.9 billion for operations, while the Senate version authorizes $1.91 billion. This funding ensures continued support for essential governmental services, including roads, housing, natural resources protection, and economic development programs that form the foundation of Tribal self-determination.
The fundamental difference between the bills lies in their positioning: the House version focuses on targeted increases and energy development provisions, while the Senate version emphasizes protection against proposed cuts and environmental safeguards. Both bills fully fund the Payments in Lieu of Taxes (PILT) program at $550 million and maintain Tribal sovereignty payments, including contract support costs affected by the recent Supreme Court ruling in Becerra v. San Carlos Apache Tribe.
Next Steps
Tribal leaders should monitor the reconciliation process closely, as the final appropriations bill will likely incorporate elements from both versions. Preserving advance appropriations for the IHS and maintaining strong funding levels for core Tribal programs indicates strong bipartisan support for federal trust responsibilities. Still, the final legislation may include varying policy riders and program details.
House & Senate Advance FY 2026 Interior
Appropriations Act
Overview
The House and Senate versions of the Fiscal Year 2026 Interior Appropriations Act both demonstrate strong commitments to supporting Tribal nations, though they take different approaches and emphasize varying priorities. The House bill showcases significant investment in Tribal public safety by providing $771.84 million for Tribal Public Safety and Justice programs, representing a substantial 39% increase that will strengthen law enforcement and judicial capabilities across Indian Country. Meanwhile, the Senate version takes a broader approach by allocating $12 billion total for Tribal programs while emphasizing its role in maintaining funding levels against proposed reductions.
Both versions prioritize Tribal healthcare, with the House bill providing $8.41 billion for the Indian Health Service (including prior year advance funding) and a notable $182 million increase over comparable fiscal year 2025 levels, while also securing $6.05 billion in fiscal year 2027 advance appropriations for long-term planning stability. The Senate bill offers $8 billion in total IHS resources with an $87.1 million program increase and $5.3 billion in advance appropriations, with both versions preserving the critical advance appropriation mechanism that provides budget certainty for healthcare services to 2.5 million people across Indian Country.
The two bills complement each other in supporting Tribal self-governance and essential services, with the House version
providing $2.9 billion for the Bureau of Indian Affairs overall and $1.53 billion for the Bureau of Indian Education, ensuring continued support for governmental services and educational opportunities. The Senate version allocates $1.91 billion specifically for Bureau of Indian Affairs operations (with a $22.2 million increase) and maintains $1.37 billion for the Bureau of Indian Education. Both versions fully fund important programs like the Payments in Lieu of Taxes (PILT) program at $550 million and prioritize Tribal sovereignty payments, demonstrating bipartisan recognition of federal trust responsibilities. The key distinction lies in their framing: the House bill focuses on targeted increases and new investments, while the Senate version emphasizes comprehensive protection of existing funding levels and program stability.
With the House and Senate having passed markedly different versions of the FY2026 Interior, Environment, and Related Agencies Appropriations Act, the bills now advance to the conference committee stage. This bicameral committee, composed of senior appropriators from both chambers, will work to reconcile the substantial differences between the two versions.
Conference committees typically convene within 2-4 weeks of the second chamber’s passage, though scheduling depends on leadership priorities and the broader appropriations calendar.
The House Version
This Interior, Environment, and Related Agencies Appropriations Act for 2026 demonstrates a significant commitment to supporting Tribal nations through substantial funding increases and program enhancements. The bill provides $771.84 million for Tribal Public Safety and Justice programs, representing a notable 39% increase over the Fiscal Year 2025 enacted level, which will strengthen law enforcement and judicial capabilities in Tribal communities. Additionally, the legislation allocates $2.9 billion for the Bureau of Indian Affairs and $1.53 billion for the Bureau of Indian Education, maintaining critical funding for Tribal governance, services, and educational infrastructure.
The bill also prioritizes Tribal health services through the Indian Health Service, which receives $8.41 billion for Fiscal Year 2026 (including prior year advance funding), marking an increase of $182 million above the comparable Fiscal Year 2025 level. This funding increase addresses long-standing healthcare disparities in Tribal communities and ensures continued access to essential medical services. Furthermore, the legislation includes $6.05 billion in Fiscal Year 2027 advanced appropriations for the Indian Health Service, providing greater budget certainty and planning capabilities for Tribal healthcare systems.
The appropriations bill maintains support for Tribal involvement in natural resource management and environmental programs through the U.S. Forest Service allocation, which includes $280.96 million for State, Private, and Tribal Forestry programs. Additionally, the legislation ensures that State and Tribal Assistance Grants receive $3.7 billion, which will support environmental and infrastructure projects in Tribal communities, though this represents a decrease from the previous year.
The bill also fully funds the Payments in Lieu of Taxes (PILT) program at an estimated $550 million, which provides crucial compensation to local governments, including Tribal governments, for federal lands within their boundaries that cannot be taxed.
See House summary of the Interior, Environment, and Related Agencies Appropriations Act.
The Senate Version
This Senate version of the Interior, Environment, and Related Agencies Appropriations Act for Fiscal Year 2026 demonstrates a strong commitment to supporting Tribal nations by providing $12 billion in total funding for Tribal programs across the Department of the Interior and Indian Health Service, while explicitly rejecting President Trump’s proposed cuts of nearly $1 billion from these critical programs. The bill maintains essential funding for Tribal governments to provide basic governmental services across Indian Country and upholds the federal government’s trust responsibility to Tribal nations.
The legislation provides substantial support for Tribal healthcare through $8 billion in total resources for the Indian Health Service, representing a program increase of $87.1 million over fiscal year 2024 to maintain critically important health care services and staffing for doctors, nurses, and health services staff at existing and newly opened facilities.
Importantly, the bill preserves the historic advance appropriation mechanism for IHS by providing $5.3 billion for fiscal year 2027, ensuring budget certainty for a health care system that serves 2.5 million people across Indian Country. This advanced appropriation structure, which was established for the first time in fiscal year 2023, provides the funding stability that IHS needs to deliver essential health services in the following fiscal year.
The bill strongly supports Tribal self-governance and essential services by providing $1.91 billion for the Bureau of Indian Affairs’ operations of Indian programs, representing an increase of $22.2 million and rejecting President Trump’s proposed $911 million cut to these vital services. This funding supports critical governmental functions, including roads, housing improvement, natural resources protection, Tribal courts, economic development, and social services that serve as the lifeblood for Tribal governments exercising self-determination. Additionally, the legislation boosts Tribal public safety and justice programs with $558.8 million, an increase of $3.2 million above fiscal year 2024, while rejecting a proposed $107 million cut, ensuring continued support for police services, Missing and Murdered Indigenous Persons initiatives, Tribal courts, and detention and corrections officers.
Education remains a priority through the bill’s maintenance of $1.37 billion for the Bureau of Indian Education, rejecting a proposed $187 million cut and continuing to support a school system of 183 schools and 33 Tribal colleges and universities serving nearly 57,000 students. The funding includes $1.1 billion for education programs and operations, supporting teachers, school staff, operational requirements, Native language programs, scholarships, and school connectivity capabilities, along with $1.3 billion for the construction of educational facilities to improve educational opportunities for Native
American students.
Finally, the bill fully funds Tribal Sovereignty Payments, including contract support costs and lease payments, with particular attention to increased costs resulting from the Supreme Court’s June 2024 ruling in Becerra vs. San Carlos Apache Tribe, ensuring that Tribes receive adequate funding for administrative overhead costs associated with self-governance under the Indian Self-Determination Education and Assistance Act.
See Senate summary of the Interior, Environment, and Related Agencies Appropriations Act.
