Takeaways from the House Energy-Water spending bill

By Andres Picon | 05/15/2026 05:00 AM EDT

The legislation would cut or transfer money away from renewable energy programs and increase spending supporting artificial intelligence.

Reps. Marcy Kaptur (D-Ohio) and Chuck Fleischmann (R-Tenn.).

Reps. Marcy Kaptur (D-Ohio) and Chuck Fleischmann (R-Tenn.), ranking member and chair of the House Appropriations Energy-Water Subcommittee, released their fiscal 2027 bill on Thursday. Francis Chung/POLITICO

The House’s new funding bill for federal energy and water programs lays out congressional Republicans’ vision for a retooled Department of Energy — one more focused on nuclear weapons, artificial intelligence and computing than ever before.

The fiscal 2027 Energy-Water bill, unveiled Thursday, outlines the GOP majority’s spending plans for DOE, the Army Corps of Engineers and a number of independent agencies and commissions.

The legislation leans into the Trump administration’s budget request, but it rejects some of the steepest cuts the White House proposed last month, including for Democratic priorities like renewable energy.

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The proposal comes at a critical moment not only for the Trump administration’s energy agenda — one challenged by soaring electricity costs, the growth of AI and the proliferation of power-intensive data centers — but also for Congress, as lawmakers scramble to address the affordability crunch ahead of the midterm elections.

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