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EPABudget PDF pp. 69–71

Environmental Protection Agency

FY2026 enacted
$8.8B
FY2027 proposed
$4.2B
Change
$-4.6B
-52.3%
Budget reduction severity52.3% cut

Overview

The FY2027 budget proposes cutting the EPA's funding by more than half, from $8.8 billion to $4.2 billion. The largest reductions hit water infrastructure funding, state grants for air and water quality programs, and environmental cleanup efforts like Superfund sites and diesel emission upgrades, while environmental justice programs would be eliminated entirely. These cuts would broadly affect state environmental agencies, communities near polluted sites, and local water systems that rely on federal support for infrastructure and pollution control.

7 programs affected · $4.7B total proposed reduction

Program-level cuts

reduction Alabama impactBudget PDF p. 70

State Revolving Funds

Clean Water and Drinking Water State Revolving Funds

$2.5B
75.0% cut

48,900+ water infrastructure projects since 1987; $650B in needed drinking water infrastructure

reductionBudget PDF p. 70

Categorical Grants

Grants to States for Environmental Programs

$1.0B
50.0% cut

State environmental agencies administering Clean Air Act, Clean Water Act; Brownfields programs (159,814 acres cleaned)

reduction Alabama impactBudget PDF p. 71

R&D

EPA Research and Development Programs

$400M
60.0% cut

EPA research staff; environmental health studies

reduction Alabama impactBudget PDF p. 70

Superfund

Hazardous Substance Superfund (Discretionary Portion)

$300M

Communities near 1,300+ contaminated sites; 50% of Americans live within 3 miles of a Superfund site

elimination Alabama impactBudget PDF p. 69

Environmental Justice

Environmental Justice Grants and Programs

$300M
100.0% cut

Communities disproportionately affected by pollution; environmental justice organizations

eliminationBudget PDF p. 70

Atmospheric Protection

Climate Change Regulation Program

$100M
100.0% cut

SmartWay transport program partners; greenhouse gas reporting entities

eliminationBudget PDF p. 71

DERA

Diesel Emissions Reduction Act Grants

$90M
100.0% cut

Diesel fleet operators; 73,700 engines upgraded; $8B in health benefits; 850 premature deaths prevented