Hearing Report: TSA Testifies About FY26 Priorities: Staff Reductions, Privatization, and Technologies Were Discussed

May 20, 2025

This afternoon, Acting TSA Administrator Ha McNeill briefly testified before the House Homeland Security Appropriations Subcommittee about the agency’s priorities. The detailed fiscal year 2026 budget request has not been submitted to Congress yet; only high-level details have been provided to date.
 
During the hearing, she focused on TSA efforts to: make the organization more accountable, leverage technology at the pace of innovation, and renew their focus on passenger experience and security. McNeill specifically mentioned the upcoming 2026 FIFA World Cup and 2028 Summer Olympic Games as transformative opportunities.
 
Hearing highlights include:
 
Staff Reductions: The skinny budget proposes a $247 million reduction (-3%) in funding for the agency’s Transportation Security Officers (TSOs). When questioned about this cut by Ranking Member Lauren Underwood (D-IL), McNeill explained that half of the reduction will be from staff monitoring exit lanes, noting that this is not the best use of those officers’ skills. She promised to “work with the Subcommittee on alternative ways to address the exit lane requirement.” Rep. Michael Guest (R-MS) later raised exit lane staffing, noting that the agency would save $100 million if the lanes could be automated or if “that responsibility could be shifted to other agencies or airport police”, a concept he supported because that” would make the current staff more efficient and would return TSA to its core mission.” AAAE will continue to advocate against shifting the cost of monitoring exit lanes to airports, as the administration has proposed every year since 2017.
 
As to the remainder of the proposed reduction, McNeill elaborated that it represents a two percent decrease in the current TSO workforce across 435 airports, which is a reduction she believes “the agency can manage”. McNeill emphasized to Subcommittee members that TSA is well prepared for the busy summer travel season.
 
Privatizing TSA Screening: Rep. Veronica Escobar (D-TX) questioned McNeill about the potential privatization of TSA as recommended by Project 2025. When directly asked if she believed TSA should be privatized, McNeill responded that “privatization has always been part of the TSA screening construct”, and TSA regulates that workforce. As they “look to modernize TSA, Congress and stakeholders will be part of that discussion. Nothing is off the table. The agency needs to drive for the highest level of security and the best passenger experience in the most efficient way possible. If new privatization schemes make sense, they are happy to have that discussion. But it is not an all-or-nothing game. Airports can choose to privatize, and others will not do that. Airport choice is a very important part of this process.”
 
Next Generation Security Technologies: McNeill’s opening and written statement highlighted the importance of deploying state-of-the-art security technologies, like computed tomography (CT) and credential authentication technology, that enable the TSA workforce to assess potential threats quickly and efficiently while supporting a more seamless experience for the traveling public. Unfortunately, procurement of these technologies was funded at the 2024 level in the full-year CR ($39.6 million), which means that the timeline to fully deploy CTs nationwide has shifted to 2043, one year later than the previous deadline. McNeill would like to accelerate this timeline and noted in response to a question from Rep. Guest about ending the diversion of some TSA fees to deficit reduction, that having access to those fees would help accelerate the deployment of these technologies to provide full operating capabilities within this administration.
 
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