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Trump Administration Withholds $6.8 Billion in K–12 Grants

States are mounting Impoundment Control Act challenges as they await the outcome of a federal review of paused FY 2025 education grants.

Sen. Patty Murray, D-Wash., asks a question during a Senate Health, Education, Labor, and Pensions (HELP) Committee hearing, Wednesday, June 18, 2025, on Capitol Hill in Washington. (AP Photo/Mariam Zuhaib)
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President Donald Trump in the East Room of the White House, Thursday, June 12, 2025, in Washington. California officials are criticizing the Trump administration for withholding $7 billion in federal education funds, impacting schools statewide.

Overview

  • On July 1, the Department of Education emailed states to pause Grant Award Notifications for five FY 2025 K–12 grant programs pending a policy review.
  • The freeze affects an estimated $6.2–6.8 billion in funding for migrant education, English learner support, teacher training, academic enrichment, and after-school and summer programs.
  • Many school districts had already hired staff and planned programs with these dollars, forcing them to delay summer learning activities and cancel professional development.
  • Under the Impoundment Control Act, the administration must seek congressional approval within 45 days to retain the appropriations or otherwise release them.
  • More than 20 states and education associations are preparing legal and legislative challenges, arguing the impoundment violates federal law.