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“A Review of the President’s FY26 Budget Request for the Department of Health and Human Services”

Senate Appropriations Labor, HHS, & Education Subcommittee

May 20th, 2025 (recording linked here)

WITNESSES & TESTIMONIES

• The Honorable Robert F. Kennedy, Jr.: Secretary, Department of Health and Human Services

HEARING HIGHLIGHTS

MEMBER OPENING STATEMENTS

• Chair Capito highlighted the importance of this budget hearing as the first step in addressing the fiscal year 2026 proposal. Capito acknowledged the significance of HHS's work, particularly its impact on biomedical research, Alzheimer’s disease, and rural healthcare. She expressed concern about proposed funding cuts, especially to NIH and NIOSH, and emphasized the need to maintain effective and specialized programs, particularly those aiding West Virginia.

• Ranking Member Baldwin criticized the department's lack of transparency regarding its spending under the current continuing resolution, citing the absence of clear budgetary figures for over 530 programs. She condemned the administration’s reorganization efforts as chaotic and inadequately planned, warning of severe consequences from eliminating programs and firing staff. Baldwin strongly objected to the proposed $18 billion cut to NIH and deep cuts to CDC, arguing that such actions jeopardize research, public health, and community safety. She concluded by demanding accountability and urgent collaboration to prevent long-term damage to HHS and the services it provides to millions of Americans.

WITNESS OPENING STATEMENT

• Secretary Kennedy stated that the FY2026 HHS budget aimed to cut costs while improving health outcomes and restoring efficiency across the agency. He defended the administration’s structural reforms as necessary to counter rising healthcare costs and redirect funds toward programs with direct impact, including mental health, addiction, nutrition, and rural health. Kennedy emphasized preserving key legacy programs while consolidating others to focus on outcomes, particularly through the new "Administration for Healthy America." He committed to eliminating wasteful spending, reforming NIH research practices, particularly in Alzheimer’s studies, and using AI to improve data management and public trust in HHS.

QUESTION AND ANSWER SUMMARY

• Chair Capito questioned the impact of reorganization on clinical trials, indirect research costs, and rural health. Secretary Kennedy denied any cuts to clinical trials, acknowledged excessive indirect costs particularly at private institutions, and pledged support for rural health via telehealth, AI, and workforce programs.

• Ranking Member Baldwin pressed on HHS’s failure to provide detailed spending plans and accused the department of withholding billions in NIH research grants and key health program funds. Secretary Kennedy attributed delays to OMB decisions, defended cuts as administrative efficiency efforts, and argued that NIH spending had not yielded proportional health outcomes.

• Sen. Durbin criticized eliminating tobacco and ALS research staff and warned that cuts at NIH were devastating to patients and public health. Secretary Kennedy stated he was unaware of specific ALS cuts, promised to investigate, and emphasized his commitment to impactful research.

• Sen. Moran raised concerns about a measles outbreak, developmental disability programs, and Alzheimer’s research. Secretary Kennedy described HHS efforts to contain measles and support local responses, confirmed support for disability programs, and pledged to correct the direction of Alzheimer’s research at NIH.

• Sen. Reed demanded clarity on the status of the CDC’s lead poisoning program and criticized Medicaid cuts in the House budget proposal. Secretary Kennedy insisted the lead program continued in some cities but cited legal restraints on reorganizational discussion, and framed Medicaid reductions as anti-fraud efforts rather than cuts.

• Sen. Kennedy probed staff downsizing, NIH indirect cost abuses, and fraud in LIHEAP, and asked if Kennedy supported funding reform. Secretary Kennedy affirmed support for research, criticized university overhead costs, and endorsed reforms to ensure taxpayer funds directly support science.

• Sen. Murray condemned what she characterized as illegal impounding of funds and unapproved implementation of the proposed budget, and sought accountability on child care and NIH staffing cuts. Secretary Kennedy responded combatively, denied cutting critical programs, and accused her of misrepresenting facts about specific cases.

• Sen. Hyde-Smith expressed concern that the MAHA Commission might unfairly target agriculture and glyphosate. Secretary Kennedy assured her the draft report did not threaten farmers and reaffirmed that the commission would not take steps jeopardizing agriculture or its economic role.

• Sen. Shaheen emphasized the success of opioid response grants and diabetes prevention programs, and expressed concern over cuts to both. Secretary Kennedy highlighted his personal connection to addiction, supported community-based recovery models, and promised to review the diabetes study’s pause.

• Sen. Mullin criticized NIH’s use of funds for indirect costs and applauded efforts to trim administrative waste. Secretary Kennedy detailed NIH’s inefficiencies and outlined his plan to consolidate overlapping programs and eliminate bureaucratic redundancies.

• Sen. Britt praised HHS engagement with state universities and raised concerns about children’s mental health linked to social media, and ongoing support for Head Start. Secretary Kennedy committed to partnering on rural and mental health efforts and affirmed continued funding and reform for Head Start, including improving its food quality.

• Sen. Rounds asked about the shutdown of NIOSH’s Spokane division and modernization of NIH’s data systems for AI-driven research. Secretary Kennedy promised to investigate the NIOSH issue, supported expanding digital access to research data, and praised public-private partnerships for data reform.

• Sen. Merkley advocated for drug pricing reform through most-favored-nation status and expressed concern over potential Medicaid losses. Secretary Kennedy agreed on international pricing fairness and described Medicaid changes as targeting fraud, not cutting benefits for law-abiding citizens.

• Sen. Boozman pushed for more federal support for cancer prevention and rural health infrastructure, especially in underserved regions like Arkansas. Secretary Kennedy pledged support for NCI designation for Arkansas and outlined strategies to enhance rural care through HRSA, GME, and AI technologies.

• Sen. Schatz asked about the Secretary’s views on vaccine safety trials and DEI-related research targeting. Secretary Kennedy explained that prior vaccines lacked inert placebo safety trials but opposed unethical retroactive testing, and confirmed support for studying population-specific health differences regardless of DEI terminology.

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