The House Interior Subcommittee released its appropriations bill for FY 2026 Interior, Environment and Related Agencies Bill on July 14, 2025. The proposed spending bill includes cuts to the U.S. Environmental Protection Agency (EPA) and the Clean Water and Drinking Water State Revolving Funds (SRFs). The bill now moves to the Senate.
Proposed EPA cuts
The bill proposes a $2.12 billion cut to the EPA, which is a 23% reduction in funding compared to FY 2025. If enacted, the cuts would include programs like:
- Science and Technology: $233.7 million cut – 30.9% reduction compared to FY 2025.
- Environmental Programs and Management: $922.9 million cut – 28.9% reduction compared to FY 2025.
- State and Tribal Assistance Grants: $679.8 million cut – 15.5% reduction compared to FY 2025.
The bill also proposes $282.75 million for the Hazardous Substance Superfund program, which is equal to the budget request.
Clean Water State Revolving Funds
According to the bill, $1,208,314,000 would be made available for the Clean Water State Revolving Funds (CWSRF), down from $1.6 billion in FY 2025 – a 25% cut.
Under the CWSRF, the EPA provides grants to all 50 U.S. states and Puerto Rico. It was created by the 1987 amendments to the Clean Water Act (CWA) as a financial assistance program for a wide range of water infrastructure projects.
The $2.1 billion in SRF funding would be the lowest levels since 2008.
This article originally ran as "EPA & SRFs witness cuts in 2026 House appropriations bill" on Waterworld, an Endeavor Business Media partner site.
