Lexology January 22, 2026
Shumaker Loop & Kendrick LLP

As Congress continues negotiations over federal funding priorities, health care providers, research institutions, and other industry stakeholders are closely monitoring developments that could affect reimbursement, compliance obligations, and program funding. On January 20, the U.S. House of Representatives released the text of the Consolidated Appropriations Act, 2026, which includes the FY26 Labor, Health and Human Services, and Related Agencies appropriations bill. The legislation reflects a bipartisan agreement and funds federal agencies for the remainder of FY26 as part of a broader “minibus” package designed to prevent a government shutdown.

Notably, the bill provides $116.6 billion to the U.S. Department of Health and Human Services (HHS) and rejects many of the deeper funding cuts and structural changes initially proposed by the...

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