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Shrinking federal office space, more agencies spared from major cuts: Highlights from latest spending bills

Congressional appropriators are seeking less aggressive budget cuts for the IRS than what the Trump administration has proposed. Members of the House and Senate appropriations committees, in the latest package of spending bills for fiscal 2026, are also renewing efforts to shrink federal office space. Funding for the State Department remains relatively unchanged, despite a massive reorganization carried out last year. Meanwhile, lawmakers want a…

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Federal News Network broke the news in on Monday, January 12, 2026.
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