Alliance Alert: Today Congress passed a $1.2 trillion appropriations package that fully funds the federal government through the end of the fiscal year on September 30, 2026, bringing the short shutdown to an end and stabilizing funding for the vast majority of federal agencies. The package passed the House in a narrow 217–214 vote and is expected to be signed by the President.
Ending the Shutdown Was Critical, But Challenges Remain
The shutdown that began earlier this month created widespread uncertainty for federal employees and the continuity of federal programs. While most agencies are now funded, one major exception remains. Funding for the Department of Homeland Security was extended only temporarily through February 13 and remains the subject of sharp partisan disagreement.
For health and human services advocates, the bipartisan agreement to reopen the government is a welcome development. However, the funding that matters most to people and communities still requires vigilance and action.
What the Funding Package Means for HHS and Behavioral Health
Under the fiscal year 2026 funding bill now headed to the President’s desk:
- The Department of Health and Human Services (HHS) has been funded at approximately $116.8 billion, restoring funding levels above earlier House proposals and rejecting many proposed cuts.
- Within HHS, the Substance Abuse and Mental Health Services Administration (SAMHSA) received approximately $7.4 billion, roughly level with fiscal year 2025. This includes continued investments in mental health services, substance use disorder prevention and treatment, suicide prevention through the 988 Lifeline, and trauma services for children.
- The final appropriations rejected efforts to dismantle or consolidate SAMHSA into a larger agency structure, preserving its role as the federal government’s lead agency for mental health and substance use services.
- Funding also supports related agencies and programs, including the National Institutes of Health (NIH), workforce development initiatives, rural health access, and emergency services infrastructure that directly impact behavioral health systems nationwide.
Why This Matters for Mental Health and Substance Use Services
Funding stability at HHS and SAMHSA is essential because these dollars support:
- Community-based mental health and substance use treatment, prevention, and recovery services
- Crisis response systems, including the 988 Suicide and Crisis Lifeline
- Grants to states, nonprofit providers, and local partners delivering frontline services
- Workforce development initiatives critical to retaining clinicians and peer providers
Recent disruptions underscored how fragile this system becomes when funding is uncertain. Earlier this year, an abrupt attempt to terminate billions in behavioral health grants was reversed only after significant bipartisan pushback, shaking confidence among providers and communities nationwide.
What’s Next
With the shutdown over and most appropriations finalized, Congress will now turn its attention to resolving DHS funding. At the same time, this agreement allows federal agencies to move forward with implementing behavioral health programs for the remainder of the fiscal year.
The Alliance will continue to monitor federal implementation closely and advocate to ensure that mental health and substance use funding is protected, strengthened, and used to expand access to effective, community-based services. See below for more details.
Congress Ends Shutdown, Approves $1.2T in Funding — And Sets Up DHS Cliff
Jennifer Scholtes and Katherine Tully-McManus | Politico | February 3, 2026
Congress approved a spending package Tuesday afternoon that secures funding for the vast majority of federal agencies through September, ending the second government shutdown in the span of four months.
But what’s left unfinished — funding for the Department of Homeland Security — will be a doozy, with partisan tensions over President Donald Trump’s immigration enforcement agenda threatening another lapse for the embattled department that also includes TSA, FEMA and other crucial agencies.
The package the House passed in a bipartisan 217-214 vote Tuesday afternoon only funds DHS through next week. Democrats are refusing to support months of additional cash until Republicans agree to rein in the actions of ICE and Border Patrol agents following the fatal shootings last month of two U.S. citizens in Minnesota.
Trump is expected to swiftly sign the legislation, ending the partial government shutdown that began early Saturday morning after the Senate passed the altered package, punting the measure back to the House.
But if Republicans don’t concede to enacting significant new mandates for DHS by the new Feb. 13 deadline, the department many Democrats have called “rogue” will face another funding lapse or short-term patch.
“We have a list that we want done, and we aren’t settling for half-measures,” Rep. Pete Aguilar (D-Calif.), the No. 3 party leader, told reporters Tuesday. He warned that if Senate Majority Leader John Thune and Speaker Mike Johnson “don’t want to come to the table and negotiate real reform, then they’re going to have to explain to the American public why they’re shutting down agencies.”
House GOP leaders signaled Tuesday that they will defer to Trump in negotiating a DHS agreement with Democrats.
“We will keep the wheels of progress turning and let the president do what he does best, and that’s negotiate a final deal on his signature issue,” Rep. Lisa McClain (R-Mich.), the No. 4 GOP leader, said Tuesday. “If anyone can get this deal done that is going to crack down on illegal criminal aliens to protect our community, that’s going to be President Donald J. Trump.”
By advancing the trillion-dollar package, Congress has approved more than 95 percent of the government funding it approves each year to run federal agencies, after clearing full funding for some agencies in November and another slate in January.
Under the legislation that now awaits the president’s signature, the Pentagon and all remaining domestic agencies besides DHS will get new funding levels through the end of the fiscal year, which started with the longest government shutdown in U.S. history.
“We finalized true, bipartisan, bicameral bills to fully fund our government in a member driven, district focused way,” House Appropriations Chair Tom Cole (R-Okla.) said on the House floor. “Funding the government is not an optional exercise. It’s the most basic duty we have in Congress.”
Only 21 Democrats voted yes on passage, highlighting the challenge leaders face over the next 10 days in negotiating new immigration enforcement rules that can attract enough Democratic support for funding DHS into the fall.
“I refuse to send another cent to Stephen Miller or Kristi Noem,” Rep. Jim McGovern (D-Mass.) said this week. “They are undermining our Constitution, and the department they run is murdering American citizens in the streets.”
To ensure Democratic leaders on both sides of the Capitol are aligned heading into negotiations with Republicans over changes to DHS immigration operations, House Minority Leader Jeffries is set to meet Tuesday afternoon with Senate Minority Leader Chuck Schumer.
House Democrats are demanding that Jeffries have a seat at the bargaining table after many groused this week about the altered funding package Senate Democrats brokered with the White House.
“They need to talk to Hakeem — the House and Senate are equal partners,” Rep. Debbie Dingell (D-Mich.) said in an interview.
House Democrats contend that they have a better understanding of Trump’s immigration enforcement actions in communities throughout the country, as well as the sentiment of Americans.
“We are the ones that are closest to the anger and the frustration of our constituents,” Rep. Pramila Jayapal (D-Wash.) said in an interview. “We need [Senate Democrats] to start negotiating with us and carrying out our demands instead of constantly caving to Republicans.”