On Friday, April 3, President Donald Trump formally released the Administration's fiscal year 2027 (FY27) budget request. The request calls for a pay freeze for the federal workforce in 2027 and proposes significant cuts to non-defense agencies. As we anticipated, the proposal includes $1.5 trillion for defense spending, a roughly 42 percent increase ($445 billion more) than FY 2026. A large chunk of that funding – $350 billion – could come in another reconciliation bill, rather than the usual appropriations process. Reconciliation bills, such as the One Big Beautiful Act from 2025, cannot be filibustered in the Senate.

More details regarding the funding sought for the Department of Defense is expected on April 21.

Newly sworn-in Federal Managers Association (FMA) National President Linda S. Lentjes made several comments on the Administration's budget plans in a press release.

“FMA certainly shares the goal of modernizing the federal workforce and delivering effective and efficient services,” Lentes wrote. “Feds are taxpayers, too, so we want to eliminate waste wherever possible.”

Lentjes expressed concern about the cuts to non-defense spending, specifically calling out the proposed slashing of the Environmental Protection Agency by more than fifty percent. President Trump’s budget request includes a net cut of $73 billion to non-defense spending, an approximate 10 percent reduction from FY 2026.

“Agencies need resources and a skilled workforce to perform congressionally mandated missions on behalf of the American people. We fear many of the drastic proposed cuts included in this budget request will simply not allow this to happen,” she said.

Office of Management and Budget Director Russ Vought is scheduled to testify before lawmakers in the House of Representatives about the FY2027 budget request on Wednesday, April 15.

Lentjes addressed and criticized the proposed pay freeze for federal employees for the coming year.

“We support the 5-7 percent pay raises for the uniformed military, however we are deeply disappointed by the administration’s call for a pay freeze for federal employees in 2027. This is unfair to the federal workforce who work side-by-side with the military to provide for our national defense, process our tax returns, inspect the food we eat, and so many other critical services. Federal pay has not kept pace with inflation, feds already earn nearly 25 percent less than their private sector counterparts, and a pay freeze will only force more of the best and brightest out of federal service. FMA has endorsed, and will continue to push for, the 4.1 percent raise as included in the Federal Adjustment of Income Rates (FAIR) Act (H.R. 7480 / S. 3823) as proposed in Congress earlier this year.”

Feds received a 1 percent pay raise in 2026, after receiving significantly higher raises in 2024 (5.2 percent) and 2025 (4.6 percent).

The FY 2027 budget request is the formal kick-off of the appropriations process. The new fiscal year begins on October 1, 2026.

“The federal government has always strived to be a model employer, and FMA exists to advocate for that ideal with both Congress and the Administration,” Lentjes closed. “We know this budget request is a starting point, and we will work with all decision makers to craft a funding solution that provides the federal workforce the resources it needs to provide the services Americans count on."