
Published by American Association of Port Authorities
April 6, 2026
FY27 President’s Budget Proposes Mixed Outlook for Ports, Maritime Programs
Washington, D.C. – On Friday, April 3rd, the Trump Administration released its Fiscal Year 2027 (FY27) President’s Budget (PBUD), outlining a broad shift in federal transportation, environmental, and maritime funding priorities. While the proposal includes notable investments in maritime revitalization and port infrastructure, it also proposes significant reductions or eliminations to several core port-related grant programs that ports rely on. The PBUD is a signal to the Legislative Branch, the first step in a long Congressional appropriations process.
The budget proposes $500 million in annual appropriations for the Port Infrastructure Development Program (PIDP), reinforcing its importance as the primary federal grant program dedicated to port infrastructure. Though $50 million less than the Administration's FY26 budget request, this investment aligns with a broader “Maritime Action Plan” and a whole-of-government effort to restore U.S. maritime dominance, including funding for shipbuilding, workforce development, and modernization of the U.S. Merchant Marine Academy.
Simultaneously, the PBUD proposes eliminating or significantly reducing several longstanding infrastructure and environmental programs. The Rebuilding American Infrastructure with Sustainability and Equity (RAISE) grant program is not funded in the request, creating uncertainty around its future (despite indications it may continue under a different name, such as BUILD). The Diesel Emissions Reduction Act (DERA) grant program is eliminated in the PBUD, which would remove a key funding source to modernize equipment and reduce emissions.
The budget also proposes a reduction in funding for the U.S. Army Corps of Engineers (USACE), with a request of approximately $4.9 billion – about 28 percent less than the FY26 enacted level. However, the PBUD has historically proposed lower funding levels for USACE as part of broader budget scoring practices, a trend seen across multiple administrations, including President Biden's. Therefore, AAPA does not anticipate this proposal resulting in significant reductions in final congressional appropriations for USACE.
Despite these cuts, the PBUD includes several policy and investment priorities that could benefit ports and project delivery. These include efforts to streamline federal permitting processes, notably through consolidation of Endangered Species Act and Marine Mammal Protection Act reviews, alongside new investments in permitting technology to reduce project delays. Additionally, the Administration continues to emphasize expanding the maritime industrial base and domestic shipbuilding capacity, including funding for commercial shipyards and new federal vessel procurement.
AAPA will continue working with Congress to secure robust, predictable funding for port infrastructure, dredging, and freight mobility, while also preserving programs that directly support port efficiency, sustainability, and competitiveness. As the appropriations process progresses, we will keep members informed and welcome your feedback.
Find the full PBUD here.