The agreement moved work but not statutory responsibility
A June 2026 interagency agreement directs HHS to support grant administration, monitoring, enforcement, technical assistance and performance assessment for Education’s special-education and rehabilitation programs. Education retains statutory responsibility, policy decisions and oversight.
The agreement uses the Economy Act: Education obligates and transfers funds to HHS for reimbursable work, while Education personnel loaned to HHS are expected to carry out much of it. The public decision does not state the dollar amount on the obligating Form 7600B.
| Function | Lead described |
|---|---|
| Statutory responsibility | Education |
| Policy and final determinations | Education |
| Grant administration support | HHS under Education direction |
| Monitoring and performance support | HHS under Education direction |
GAO called it a rule—and then applied exceptions
GAO concluded the agreement meets the Administrative Procedure Act definition of a rule because it is an official agency statement with future effect that describes organization and procedure. Education did not submit it under the Congressional Review Act.
The watchdog nevertheless found no CRA submission was required because the agreement is a rule of particular applicability between identified agencies and relates to agency management or personnel. Both conclusions can be true: the agreement is a rule for one definition but excluded from the review statute.
Education did not provide its views to GAO
GAO says it contacted Education on July 15, 2026, seeking factual information and the agency’s legal position. Education did not respond. The absence did not stop GAO from reaching a decision using the agreement and public record.
That silence is an accountability limitation, not evidence that Education conceded wrongdoing. The published decision supplies GAO’s reasoning but not the department’s explanation of implementation controls, funding or claimed efficiencies.
Method and limits
What’s the Scoop With Broach mapped the functions in GAO’s decision to the agency assigned to perform or control them and separated the APA definition from the CRA exceptions. No funding amount was inferred because the decision does not publish one.
GAO’s ruling addresses submission requirements, not whether services to students improved or declined. Measuring outcomes would require grant, staffing, compliance and beneficiary data after implementation.
Sources and further reading
GAO decision B-338536, Education-HHS interagency agreement, November 5, 2026 ↗
Education Department headquarters photograph and reuse record ↗