Washington Policy Brief

$1.5T Defense Budget Push

$1.5T Defense Budget Push

Key Questions

What increases are planned in the FY27 defense budget?

Hegseth has proposed FY27 hikes including AI, cyber, and a potential War Department rename. These build on the broader $1.5T defense push.

How much is allocated for nuclear modernization in the Energy & Water bill?

The House Energy & Water markup advances $27.1B for NNSA nuclear modernization and the AI Genesis Mission. This is part of the first 2027 spending bill.

What AI and drone initiatives are being discussed in DoD hearings?

DoD AI and drone hearings are expanding the MAVEN program amid Iran-related developments. Federal AI spending aligns with the Trump Action Plan.

What is the status of the MilCon/VA funding vote?

The MilCon/VA funding bill was voted on in the House with strong bipartisan support. It provides $157 billion for veterans and military construction.

How is federal AI spending evolving in 2026?

Federal agencies are increasing AI contracts with growth aligned to the administration's AI Action Plan. New frameworks guide risk management and policy.

What concerns has Congress raised about AI cyber threats?

Congress is pressing the White House on rising AI cyber threats. Hearings and markups address these security challenges.

What role does the NNSA play in the current budget proposals?

NNSA nuclear modernization receives $27B through the Energy & Water appropriations process. This supports broader defense and AI initiatives.

How does the defense budget tie into veterans funding?

The MilCon/VA bill combines military construction with significant veterans support. It passed the House as part of regular order spending efforts.

Hegseth FY27 hikes/AI/cyber/War Dept rename advance; House Energy & Water markup advances $27.1B NNSA nuclear modernization and AI Genesis Mission; DoD AI/drone hearings expand MAVEN amid Iran ties; MilCon/VA funding voted. Federal AI spending aligns with Trump Action Plan.

Sources (9)
Updated May 19, 2026
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