Trump Releases FY 2026 “Skinny” Budget Proposal
On May 2, 2025, Office of Management and Budget (OMB) Director Russell Vought released President Trump’s recommendations for discretionary funding levels for FY 2026 in a letter to Senator Susan Collins (R-ME), Chairwoman of the Committee on Appropriations. The budget proposal, referred to as the “skinny budget,” does not list specific funding requests for all federal programs.
In terms of overall education funding, the President’s request would reduce the Department of Education’s discretionary budget from $78.7 billion in FY 2025 to $66.7 billion in FY 2026. Specifically,
- The budget proposal returns Federal Work-Study (FWS) to the States and institutions of higher education that financially benefit from it. Currently, the program is funded at $1.2 billion, but the program would be cut by $980 million. According to the proposal: “FWS is a handout to woke universities and a subsidy from federal taxpayers, who can pay for their own employees.” Further, the proposal states that reform of this “poorly targeted program” should “redistribute remaining funding to institutions that serve the most low-income students and provide a wage subsidy to gain career-oriented opportunities to improve long-term employment outcomes of students.”
- The budget proposal eliminates the Supplemental Educational Opportunity Grants (SEOG) program. The budget proposal notes that “SEOG contributes to rising college costs that institutions of higher education have used to fund radical leftist ideology instead of investing in students and their success.” Further, the proposal said that “[i]t is duplicative of, and less targeted than, Pell Grants.” Finally, SEOG “is ineffective, poorly targeted, and inconsistent with the Administration’s priorities.”
- Other programs eliminated in the Administration’s proposal include the TRIO programs and Gaining Early Awareness and Readiness for Undergraduate Programs (GEAR UP).
- Other significant reductions include a $127 million cut to the Department’s program administration, which is part of the Administration’s efforts to dissolve the Department. “Program Administration funding is needed for: personnel compensation and benefits for staff retained; fixed and variable costs in non-personnel categories; and costs from deferred resignations, voluntary retirements, and reductions in force.”
Secretary of Education Linda McMahon issued a statement where she states that the proposal “puts students and parents above the bureaucracy.” Further, Secretary McMahon said: “The President’s skinny budget reflects funding levels for an agency that is responsibly winding down, shifting some responsibilities to the states, and thoughtfully preparing a plan to delegate other critical functions to more appropriate entities.”
A copy of the Secretary’s press release, which includes the text of the budget proposal, is found at:
After receiving the President’s budget proposal, Congress must work to create and pass a budget for FY 2026 before the September 30, 2025, deadline. The White House is also expected to offer a “rescissions package” in the coming days that would recommend to Congress that it rescind certain funds that were already appropriated.
House Republican’s Reconciliation Bill Would Change Student Loans and Limit Pell Grants
On April 29, 2025, the House Committee on Education and Workforce marked up its education portion of the reconciliation bill titled, Student Success and Taxpayer Savings Plan, to comply with reconciliation directives in the budget resolution. The House Committee advanced the bill with a vote of 21-14 and produced $351 billion in savings. Republicans argued that the bill would simplify student loan repayment and promote fiscal responsibility, but the Democrats argued that the bill would put higher education out of reach for millions of Americans. Significant work remains for the House to pass the larger reconciliation bill.
NOTE: The House Committee on Education and Workforce is just one committee considering changes as all committees are directed to make changes in their respective laws to achieve the needed savings. Further, the Senate has to come up with its own proposals, and both chambers have to eventually agree on specifics to turn President Trump’s “big beautiful bill” into law.
Some of the provisions that impact the federal student aid programs are:
- Amount of Need:
- Caps the total amount of federal student aid a student can receive annually at the “median cost of college,” which is defined as the national median cost of attendance for students enrolled in the same program of study nationally, which is calculated by the Secretary.
- Pell Grants:
- Makes those students with a student aid index that equals or exceeds twice the amount of the maximum Pell Grant amount ineligible for a Pell Grant.
- Defines full-time for purposes of Pell Grant as 30 semester or trimester hours or 45 quarter hours in each academic year.
- Requires students to be enrolled at least half-time to be eligible (15 semester or trimester hours) in each academic year for a Pell Grant.
- Workforce Pell Grants:
- Expands Pell Grant eligibility to students in high-quality programs with lengths between 150 and 600 clock hours and between 8 and 15 weeks. For a program to offer Workforce Pell Grants, it would have to be determined by the state in which it is located to provide an education aligned with the requirements of high-skill, high-wage, or in-demand industry sectors or occupations. Such programs would have to offer stackable credentials that would apply toward further study. Eligible students could not be enrolled in a short-term program that leads to a graduate credential or have already attained a graduate credential.
- The Department of Education must verify that the program:
- Is offered a minimum of one year at an eligible institution prior to receiving eligibility for Workforce Pell Grants;
- Must have a completion rate that is verified as 70% within 150% of the normal time frame of completion;
- Must have a job placement rate that is verified as 70% measured 180 days after completion; and
- Must have a positive return on investment (ROI), which is that the total amount of tuition and fees must not exceed value-added earning one-year post-completion. Value-added earnings are calculated as the difference between median earnings and 150% of the federal poverty level, adjusted for the institution’s location.
- Loans:
- Terminates authority to make Grad PLUS loans and subsidized loans for undergraduate students on or after July 1, 2026, but includes a three-year exception for students enrolled as of June 30, 2026, and who had received such loans for such program of study.
- Permits undergraduate students to annually borrow unsubsidized loans up to the median cost of their program of study (assessed nationally) minus any Pell Grant award received, which would be limited to $50,000 in the aggregate, for loans disbursed on or after July 1, 2026.
- Permits graduate students to annually borrow unsubsidized loans up to the median cost of their program of study and would be limited to $100,000 and $150,000 for graduate and professional degrees respectively, in the aggregate for loans disbursed on or after July 1, 2026.
- Requires undergraduate students to exhaust their unsubsidized loans before parents can utilize Parent PLUS loans to cover their remaining cost of attendance.
- Amends aggregate limit for Parent PLUS loans of $50,000 for parents on behalf of their dependent child or multiple children, includes a three-year exception for students enrolled as of June 30, 2026, and who had received such loans for such program.
- Allows financial aid administrators to reduce annual borrowing limits as long as such limits are applied consistently to all students enrolled in a program.
- Requires federal student loans to be proportionately reduced for students less than full-time.
- Campus-Based Programs: The bill introduces a new campus-based program, the Promoting Real Opportunities to Maximize Investments and Savings in Education (PROMISE Grants), which would be available beginning with the 2028-2029 award year and funded through institutional risk-sharing for unpaid portions of student loans. Promise Grants would be awarded on a non-competitive basis upon successful completion of an application to participate in the program and could be used for a variety of purposes related to postsecondary affordability, access, and success.
- Repayment Plans:
- Terminates all repayment plans except for borrowers with existing loans disbursed prior to July 1, 2026.
- Establishes two repayment plans: New standard repayment plan and Repayment Assistance Plans based on the borrowers’ total Adjusted Gross Income.
- Accountability:
- Creates skin-in-the-game accountability for colleges and universities to require institutions to reimburse the Secretary for a percentage of the non-repayment balance associated with loans disbursed on or after July 1, 2027. The reimbursement percentage is based on the total price charged students for a program and the value-added earnings of students after they graduate or in the case of students who do not graduate, the completion rate of the institution or program.
- Regulatory Relief:
- Repeals the Gainful Employment rule.
- Repeals the Biden-Harris Administration’s regulations pertaining to borrower defense to repayment and closed school discharges.
- Repeals the 90/10 rule.
A copy of the education portion of Student Success and Taxpayers Savings Plan is found at:
https://republicans-edlabor.house.gov/UploadedFiles/4.29_Reconciliation_Bill_Summary_FINAL.pdf.
Chairman of the House Committee on Education and Workforce Time Walberg (R-MI) said that the legislation was necessary to overhaul the student loan system and ensure that students and taxpayers are afforded fiscal accountability. “The Student Success and Taxpayer Savings Plan, which saves over $330 billion to help advance President Trump’s agenda to provide tax relief for American families and small businesses, rein in wasteful spending, and reduce the federal budget deficit.”
Ranking Member of the House Education and Workforce Committee Bobby Scott (D-VA) said: “The Republican’s budget raises the cost of going to college for students and families by restricting access to federal student aid and affordable student loan repayment plans, and it exposes students and taxpayers to predatory and low-quality institutions by repealing existing student protections. This is all to pay for tax cuts for billionaires and corporations.”
A copy of Chairman Walberg’s press release is found at:
https://edworkforce.house.gov/news/documentsingle.aspx?DocumentID=412398.
A copy of Ranking Member of the House Education and Workforce Bobby Scott’s (D-VA) is found at:
The American Council of Education (ACE), along with five other higher education, sent a letter to the Department of Education, describing its concerns with the reconciliation bill. While there are elements of the bill that they have long supported, including stabilizing the Pell Grant program, there are provisions that would cause real harm, including significant cuts to federal aid programs, limits to access to affordable repayment options, and a risk-sharing scheme that would penalize institutions serving low-income and underrepresented students.
A copy of the press release, which includes the text of the ACE letter, is found at:
A Group of Congressional Democrats Files Amicus Brief on Lawsuit to Stop Dismantling of the Department of Education
On April 23, 2025, a group of Congressional Democrats filed an amicus brief in the District Court of Massachusetts. The brief asks a federal judge to authorize a preliminary injunction as requested by a group of State Attorneys General (AGs) in a recent lawsuit challenging President Trump’s Executive Order (EO) on dismantling the U.S. Department of Education (ED). The original lawsuit brought by 21 State AGs argues that the Secretary of Education does not have the authority to dismantle the agency without congressional approval, even though in the lawsuit they acknowledge that the Secretary does have the authority to modestly restructure the Department. The amicus brief focuses on how the actions to dismantle ED are contrary to Congress’s will and how the Trump Administration has violated Congress’s statutory mandate regarding the Department’s structure and constitutional authority to create the Department.
President Trump Signs Education-Related Executive Orders
On April 23, 2025, President Trump signed six Executive Orders to address systemic problems in K-12 and postsecondary education systems. Of particular interest is the Executive Order on accreditation titled, “Reforming Accreditation to Strengthen Higher Education.” Secretary of Education Linda McMahon issued a statement that said:
“America’s higher education accreditation system is broken. A small number of institutional accreditors – private, nongovernment entities – decide which institutions and their programs qualify to receive over $100 billion annually in Pell Grants, federal student loans, and other taxpayer-subsidized higher education funding. The existing accreditation monopoly raises costs, contributes to the ever-increasing tuition and fees faced by American families, favors legacy four-year institutions, blocks new accreditors from the market, interferes with states’ governing board decisions, and pushes universities in ideological directions when they should be focused on core subjects. The result is more bureaucracy less innovation, sprawling DEI administrative complexes, and burdensome oversight by unaccountable accreditors rather than state education leaders and duly appointed governing board members.”
The Executive Order calls out the American Bar Association and the Liaison Committee on Medical Education for requiring institutions to demonstrate their commitment to diversity, equity, and inclusion (DEI) in recruitment of students and faculty. The Executive Order orders the Secretary of Education to hold accreditors accountable for unlawful actions:
- The Secretary of Education shall hold accountable accreditors who fail to meet the applicable recognition requirement by requiring institutions seeking accreditation to engage in unlawful discrimination under the guide of DEI initiatives.
- The Attorney General and the Secretary of Education shall investigate and take action to terminate unlawful discrimination by American law schools that advance unlawful DEI requirements.
- The Attorney General and the Secretary of Education, in consultation with the Secretary of Health and Human Services, shall investigate and take appropriate action to terminate unlawful discrimination by American medical schools or graduate medical entities advanced by the Liaison Committee on Medical Education or the Accreditation Council for Graduate Medical Education, including DEI requirements under the guise of accreditation standards.
The Executive Order sets forth the following principles, which will realign accreditation with high-quality, valuable education for students:
- Accreditation requires higher education institutions to provide high-quality, valuable academic programs free from unlawful discrimination or other violations of Federal law;
- Barriers are reduced that limit institutions from adopting principles that advance credential and degree completion and spur new models of education;
- Accreditation requires that institutions prioritize intellectual diversity amongst faculty in order to advance academic freedom, intellectual inquiry, and student learning;
- Accreditors are not using their role under Federal law to encourage an institution to violate State laws; and
- Accreditors are prohibited from engaging in practices that result in credential inflation that burdens students with unnecessary costs.
To advance the above policies, the Secretary of Education shall:
- Resume recognizing new accreditors to increase competition and accountability in promoting high-quality, high-value academic programs focused on student outcomes;
- Mandate that accreditors require member institutions to use data on program-level student outcomes to improve such outcomes;
- Promptly provide to accreditors any noncompliance findings relating to member institutions issued after an investigation conducted by the Office of Civil Rights under Title VI or Title IX;
- Launch an experimental site to accelerate innovation and improve accountability by establishing new flexible and streamlined quality assurance pathways for higher education institutions that provide high-quality, high value academic programs;
- Increase the consistency, efficiency, and effectiveness of the accreditor recognition review process;
- Streamline the process for higher education institutions to change accreditors; and
- Update the Accreditation Handbook to ensure that the accreditor recognition and reauthorization process is transparent, efficient, and not unduly burdensome.
Chairman of the House Education and Workforce Committee Tim Walberg (R-MI) released a statement that said:
“I am glad the Trump administration is taking decisive action to reform the college accreditation process. Accreditors are supposed to develop standards, inform prospective students about the quality of a school, and inform Congress about which schools shall participate in federal student aid programs. Unfortunately, this influence has been abused as accreditors increasingly base evaluations on partisan, left-wing ideology instead of outcomes – diminishing free speech and diversity of thought as a result.”
A copy of the Executive Order is found at: https://www.whitehouse.gov/presidential-actions/2025/04/reforming-accreditation-to-strengthen-higher-education/.
A copy of the accompanying Fact Sheet is found at: https://www.whitehouse.gov/fact-sheets/2025/04/fact-sheet-president-donald-j-trump-reforms-accreditation-to-strengthen-higher-education/.
A copy of the press release is found at: https://www.ed.gov/about/news/press-release/secretary-of-education-statements-president-trumps-education-executive-orders.
A copy of Chairman Walberg’s press release, which addresses his comments on all six Executive Orders, is found at:
https://edworkforce.house.gov/news/documentsingle.aspx?DocumentID=412373.
Another Executive Order, titled “Transparency Regarding Foreign Influence at American Universities,” requires the Secretary of Education to take all appropriate actions to enforce the requirements of Section 117 of the Higher Education Act of 1965, a provision that requires institutions of higher education to report significant sources of foreign funding.
A copy of the Executive Order is found at: https://www.whitehouse.gov/presidential-actions/2025/04/transparency-regarding-foreign-influence-at-american-universities/.
A copy of the accompanying Fact Sheet is found at: https://www.whitehouse.gov/fact-sheets/2025/04/fact-sheet-president-donald-j-trump-demands-transparency-regarding-foreign-influence-at-american-universities/.
A third Executive Order, titled “Preparing Americans for High-Paying Skilled Trade Jobs of the Future,” requires the Secretary of Education to consolidate and streamline fragmented Federal workforce development programs that are too disconnected from propelling workers into secure, well-paying and high-need American jobs. The Executive Order also calls for the expansion of registered apprenticeship programs.
A copy of the Executive Order is found at: https://www.whitehouse.gov/presidential-actions/2025/04/preparing-americans-for-high-paying-skilled-trade-jobs-of-the-future/.
A copy of the accompanying Fact Sheet is found at: https://www.whitehouse.gov/fact-sheets/2025/04/fact-sheet-president-donald-j-trump-modernizes-american-workforce-programs-for-the-high-paying-skilled-trade-jobs-of-the-future/.
The other Executive Orders relate to promoting HBCUs, reinstating common sense school discipline policies, and preparing the next generation of students for Artificial Intelligence (AI) at the K-12 level.
Copies of all Executive Orders are found at: www.whitehouse.gov/presidential-actions/executive-orders/.
Copies of all Fact Sheets are found at: https://www.whitehouse.gov/fact-sheets/.
ED Seeks Neg Reg Nominations and Discloses the Schedule of Committee Meetings and Topics
On May 12, 2025, the Department of Education announced in the Federal Register the establishment of the negotiated rulemaking committee and disclosed the schedule of committee meetings. The Department is also seeking negotiated rulemaking nominations. After considering the information received at the public hearings and the written comments, the Department decided to establish the Student Loans and Affordability Committee to address:
- Refining definitions of a qualifying employer for the purposes of determining eligibility for the Public Service Loan Forgiveness (PSLF) program.
- Revisiting family size, restructuring repayment plan provisions, including the alternative repayment plan, and certain other provisions of the July 10, 2023 rule.
The Notice describes the constituencies for the Negotiated Rulemaking Committee and seeks nominations for those constituencies. The Department also invites nominations for an advisor, who will not be a member of the Committee and will not impact the consensus vote; however, the advisor will serve as a resource to the Committee for the purpose of expanding the definition of qualifying employment under the PSLF program. The advisor must have knowledge of Federal immigration laws and laws that prohibit illegal discrimination and curtail domestic support of terrorism. Nominations are due on or before June 2, 2025.
The Committee will meet in-person in Washington, DC for only one session to be held on June 30 – July 2, 2025.
A copy of the Federal Register Notice is found at:
FSA Announces Updated Information about Foreign Gifts and Contracts
On May 9, 2025, Federal Student Aid (FSA) posted updated information about foreign gifts and contracts reported by institutions as of February 28, 2025. Section 117 of the Higher Education Act of 1965, as amended, requires institutions of higher education that receive federal financial assistance to disclose semiannually to the Department of Education any gifts received from and/or contracts with a foreign source that, alone or combined, are valued at $250,000 or more in a calendar year. The statute also requires institutions to report information when owned or controlled by a foreign source. Reporting is required twice per year no later than January 31st or July 31st, whichever is sooner.
FSA’s latest foreign gift and contract reporting data set shows over 529 additional foreign gift and contract transactions valued at about $290 million since the last release from the July 31, 2024 reporting period. There were over 269 institutions that self-reported transactions from over 131 countries. The largest dollar amounts of gifts and contracts reported to the Department between the July 31st reporting period and the January 31st reporting period were from sources in Canada, Hong Kong, Japan, Norway, and Saudi Arabia. The institutions reporting the largest total dollar amounts in foreign gifts and contracts since the last reporting period were Harvard University, Stanford University, University of California, Berkley, University of California, Los Angeles, and Yale University.
A copy of the Electronic Announcement is found at: https://fsapartners.ed.gov/knowledge-center/library/electronic-announcements/2025-05-09/updated-foreign-gift-and-contract-data-reported-institutions-february-2025.
ED Announces Nominee for Assistant Secretary for Postsecondary Education
On May 9, 2025, the Department of Education announced President Trump’s nominee for Assistant Secretary for Postsecondary Education, Dr. David Barker. Dr. Barker’s work will be to “improve outcomes and accountability in postsecondary education, including by helping to lead reforms to accreditation, improving federal student aid programs, and ensuring its grant programs are invested in agency priorities.” If confirmed, Dr. Barker would work under nominated Undersecretary Nicholas Kent.
Dr. Barker holds a Ph.D. in economics from the University of Chicago and has taught economics at both the University of Chicago and the University of Iowa. For the past six years, he has served on the Iowa Board of Regents, which oversees Iowa’s public universities. According to the press release, “Dr. Barker has played a key role in advancing cost control measures, promoting academic freedom, and ending discriminatory DEI programs.”
A copy of the press release is found at: https://www.ed.gov/about/news/press-release/us-department-of-education-celebrates-president-trumps-nominee-assistant-secretary-postsecondary-education.
ED Requests Nominations for the National Advisory Committee on Institutional Quality and Integrity
On May 7, 2025, the Department of Education published a Notice in the Federal Register requesting nominations for individuals to serve on the National Advisory Committee on Institutional Quality and Integrity (NACIQI). Secretary of Education Linda McMahon is seeking to fill at least six upcoming vacancies on the NACIQI. One of the six must be a student who, at the time of the appointment, is attending an institution of higher education. The terms of service for these vacancies would begin October 1, 2025, and expire on September 30, 2031. Nominations must be received no later than June 6, 2025.
A copy of the Federal Register Notice is found at:
FSA Announces FY 2026 Sequester-Required Changes to the Title IV Student Aid Programs
On May 5, 2025, Federal Student Aid (FSA) issued an Electronic Announcement providing information about the sequester-required increases to Direct Loan fees. The FY 2026 sequester fees are the same as the FY 2025 sequester fees. This means that for all loans where the first disbursement is made on or after October 1, 2020, and before October 1, 2026, the loan fees are as follows:
- 057% for Direct Subsidized Loans and for Direct Unsubsidized Loans. The Electronic Announcement offers the following example: The loan fee on a $5,500 loan would be $58.13.
- 228% for Direct PLUS Loans (for both Parent and Graduate and Professional students). The Electronic Announcement offers the following example: The loan fee on a $10,000 loan would be $422.80.
A copy of the Electronic Announcement is found at: https://fsapartners.ed.gov/knowledge-center/library/electronic-announcements/2025-05-05/fy-26-sequester-required-changes-title-iv-student-aid-programs.
ED Calls on Institutions to Share Repayment Information with Student Borrowers
On May 5, 2025, the Department of Education released an Electronic Announcement requesting that Title IV-participating institutions reach out to their former students and current borrowers with information on student loan repayment in an effort to ensure more borrowers enter repayment and stay current on their student loans. The request follows the Department’s notice on April 21, 2025 (see below) in which ED announced that on May 5, 2025, the Office of Federal Student Aid (FSA) would restart the Treasury Offset Progrm, and later in the summer, begin administrative wage garnishment for Direct Loan borrowers in default.
While this outreach is not required for institutions to perform, ED said that “maintaining the integrity” of the Title IV loan programs has “always been a shared responsibility among student borrowers, the Department, and participating institutions.” The Secretary urges each participating institution to provide the following information to all borrowers who ceased to be enrolled since January 1, 2020, if they have contact information:
- Remind the borrower that he or she is obligated to repay any federal student loans that have not been repaid and are not in deferment or forbearance;
- Suggest that the borrower review information on StudentAid.gov about repayment options; and
- Request that the borrower log into StudentAid.gov using their StudentAid.gov username and password to update their profile with current contact information and ensure that their loans are in good standing.
ED stressed the importance of institutions keeping their cohort default rates (CDR) low, or they could possibility lose Title IV funding if their CDR exceeds 40 percent for a single year, or 30 percent for three consecutive years. ED reminded institutions that the repayment pause on student loans ended in October 2023, so CDRs published in 2026 will include borrowers who have entered default since the payment pause and the on-ramp period have sunset.
A copy of the Electronic Announcement is found at: https://fsapartners.ed.gov/knowledge-center/library/electronic-announcements/2025-05-05/request-institutions-provide-repayment-information-former-students-prevent-defaults.
ED to Begin Federal Student Loan Collections
On April 21, 2025, the Department of Education announced that its Office of Federal Student Aid (FSA) will resume collections of its defaulted federal student loan portfolio on May 5, 2025. The Department has not collected on defaulted loans since March 2020. While Congress mandated that student and parent borrowers begin to repay their student loans in October 2023, the Biden-Harris Administration refused to lift the collections pause and allowed borrowers to remain in limbo. The Biden-Harris Administration failed to process applications for borrowers who applied for income-driven repayment and “continued to push misguided ‘on-ramps’ and illegal loan forgiveness schemes to win points with borrowers and mask rising delinquency and default rates.”
Secretary of Education Linda McMahon said: “American taxpayers will no longer be forced to serve as collateral for irresponsible student loan policies.” The press release said that as of the date of its release, 42.7 million borrowers owe more than $1.6 trillion in student debt. Further, more than 5 million borrowers have not made a monthly payment in over 360 days and are in default. Of all the borrowers, only 38 percent are in repayment and current on their student loans.
FSA will restart the Treasury Offset Program on May 5, 2025. All borrowers in default will receive an email communication from FSA within two weeks of the announcement making them aware of these developments and urging them to contact the Default Resolution Group. FSA plans to enlist all of its partners, which include states, institutions, financial aid administrators, college access and success organizations, third-party servicers, and other stakeholders, to assist in the campaign to “restore commonsense and fairness with the message: student and parent borrowers – not taxpayers – must repay their student loans.”
A copy of the press release is found at: https://www.ed.gov/about/news/press-release/us-department-of-education-begin-federal-student-loan-collections-other-actions-help-borrowers-get-back-repayment.
ED Announces Trump-Vance Appointees
On April 15, 2025, the Department of Education released a press release announcing additional appointees to support the Trump Administration’s vision for returning education to the states and reforming higher education. The new appointees include:
- Paul Moore, Assistant General Counsel and Chief Investigative Counsel
- Benjamin May, Deputy General Counsel
- Brandy Brown, Deputy Assistant Secretary, Office of Legislation and Congressional Affairs
- Sarah Wilson, Deputy Assistant Secretary, Office of Elementary and Secondary Education
- Lauren McCarthy, Senior Counsel
- Michael Brickman, Senior Advisor
- Noah Pollak, Senior Advisor
A copy of the press release, which describes each of the appointee’s biography, is found at:
ED’s OIG Will Review Impact of RIF on ED Programs and Responsibilities
On April 9, 2025, the Department of Education’s (ED) Office of Inspector General (OIG) responded to a number of Senate Democrats who had sent a letter on March 27, 2025, which sought information on ED’s programs and operations following the recent workplace changes. According to the letter, the OIG will be conducting a series of reviews to examine how changes in the Department’s workforce impact ED’s programs and responsibilities. These workforce changes will include employment separations via the Deferred Resignation Program, Voluntary Separation Incentive Payment and Voluntary Early Retirement incentives, and reduction of force actions. “These reviews are consistent with our statutory responsibility to conduct audits and investigations relating to the Department’s programs and operations, and to promote economy, efficiency and effectiveness in such programs and operations.” According to Acting OIG René L. Rocque, they plan on issuing their reports in the summer 2025.
A copy of the Senator Elizabeth Warren press release, which includes the text of the initial letter sent to acting ED Inspector General Rocque, is found at:
https://www.warren.senate.gov/imo/media/doc/letter_to_ed_ig.pdf.
A copy of the OIG response is found at:
https://www.warren.senate.gov/imo/media/doc/ed_oig_letter_to_senators_4-9-2025.pdf.
President Trump Directs Federal Agencies to Repeal Unlawful Regulations that are Inconsistent with his Priorities
On April 9, 2025, President Trump sent a memorandum to the heads of Executive Departments and Agencies regarding the repeal of unlawful, unnecessary, and onerous regulations that impede the top priorities of the Administration, which are to promote growth and American innovation. The memorandum instructs agency heads to move forward with a government-wide “review-and-repeal effort,” and instructs agencies to do so without providing advance notice or going through the traditional public input process. Agencies now have 60 days to identify regulations that are unconstitutional, raise significant constitutional difficulties, or are based on an unlawful delegation of legislative power, and to take steps to repeal or modify those regulations.
The memorandum cites 10 recent Supreme Court rulings as justification for replacing the regulations, stating that many existing regulations have now been rendered illegal. To bypass the traditional public review process, President Trump pointed to an exception included in the Administrative Procedure Act, which is known as the “good cause” exception that allows agencies to skip the notice-and-comment process when it would be “impracticable, unnecessary, or contrary to the public interest.”
A copy of the memorandum is found at: https://www.whitehouse.gov/presidential-actions/2025/04/directing-the-repeal-of-unlawful-regulations/.
ED Files Memorandum in Opposition to the AFT’s IDR Lawsuit
On April 8, 2025, the Department of Education published a memorandum in opposition to the recent restraining order filed against them by the American Federation of Teachers (AFT) in which the AFT charged that ED was blocking borrowers’ progress toward Public Service Loan Forgiveness (PSLF) and affordable monthly payments by removing the online application for income-driven repayment (IDR) plans. ED responded to the concerns about the application in late March, and reopened the online application for IDR plans, except for the Saving on a Valuable Education (SAVE) plan.
However, the processing has still not started. In the memorandum, the Department said that federal loan servicers are expected to resume processing new applications for ICR, PAYE, and IBR, including placing former SAVE borrowers into these repayment plans they applied to be moved into, by May 10, 2025. It is unclear how ED will address the SAVE plan borrowers who did not elect to move to a new repayment plan.
A copy of the memorandum is found at:
https://storage.courtlistener.com/recap/gov.uscourts.dcd.278527/gov.uscourts.dcd.278527.25.1.pdf.
House Democrats’ Task Force Challenges the Trump Administration’s Efforts to Close the Department of Education
According to an article in Inside Higher Ed on April 24, 2025, the Litigation and Rapid Response Task Force led 192 House Democrats in filing an amicus brief, which challenged the Trump Administration’s efforts to close the Department of Education in State of New York v. Linda McMahon. Ranking Member of the House Committee on Education and Workforce Bobby Scott (D-VA) said: “Abolishing a federal agency requires an act of Congress. The Administration’s decisions to focus its attention on laying off staff rather than administering and monitoring federal education programs accomplish nothing to improve student outcomes or deliver for working people. If the Administration’s goal is to root our waste, fraud, and abuse of federal funding and promote the most effective use of federal funds under the law to address challenges students and families face, we could work together to address those shared goals.”
A copy of the Congressman’s press release is found at: https://bobbyscott.house.gov/media-center/press-releases/house-democrats-litigation-task-force-defends-department-education
Johnson & Wales University to Lay Off 91 Faculty and Staff
A number of news reports, including a report in the May 8, 2025 Higher ED Dive, announced that Johnson & Wales University plans to lay off 91 faculty and staff, which is about 5 percent of the workforce. The private nonprofit faces an operating deficit of $34 million after a decade of enrollment declines. The decline in overall enrollment since fiscal year 2012 was attributed to demographic declines, fewer international students, and shifting attitudes about higher education. The University has invested in a wide range of new programs to try to attract new students.
Columbia University Rejects Consent Decree
On April 14, 2025, Acting President Claire Shipman of Columbia University released a statement that it is rejecting a potential consent degree with the Trump Administration. She wrote: “We would reject heavy-handing orchestration from the government that could potentially damage our institution and undermine useful reforms that serve the best interests of our students and community. We would reject any agreement in which the government dictates what we teach, research, or who we hire.” Columbia University has already agreed to significant changes in response to allegations of antisemitism on campus related to the pro-Palestinian protests.
A copy of the Acting President’s press release is found at:
https://president.columbia.edu/news/sustaining-columbias-vital-mission.
Harvard University Sues the Trump Administration Over Federal Funding Freeze After Rejecting Slate of Reforms
On April 21, 2025, Harvard University sued the Trump Administration over the $2.2 billion federal funding freeze enacted after the University rejected a slate of reforms demanded of the University. The Trump Administration had demanded Harvard overhaul university governance, hiring, admissions, and more. The lawsuit comes as the Trump Administration has threatened to cut off Harvard’s ability to enroll international students and reportedly to freeze another $1 billion in research funding.
The lawsuit was filed in the U.S. District Court in Massachusetts and names the Departments of Health and Human Services, Justice, Education, Energy, Defense, the General Services Administration, the National Science Foundation, the National Aeronautics and Space Administration, and the associated agency heads.
ED Initiates Records Request from Harvard University After Discovering Inaccurate Foreign Financial Disclosures
On April 18, 2025, the Department of Education sent a records request to Harvard University after a review of the University’s foreign reports revealed incomplete and inaccurate disclosures of foreign source gifts and contracts. “As a recipient of federal funding, Harvard University must be transparent about its relations with foreign sources and governments,” according to Secretary of Education Linda McMahon. Under Section 117 of the Higher Education Act, colleges and universities receiving federal financial aid must disclose gifts, contracts, or restricted agreements from foreign sources valued at $250,000 or more annually.
A copy of the press release is found at: https://www.ed.gov/about/news/press-release/us-department-of-education-initiates-records-request-harvard-university-after-discovering-inaccurate-foreign-financial-disclosures.
Harvard University Faculty Sue the Trump Administration Over Federal Funding Freeze
On April 11, 2025, the Harvard University chapter of the American Association of University Professors (AAUP) filed a lawsuit against the Trump Administration over the Administration’s recent action to freeze about $9 billion in federal funding to the University. The faculty union is seeking a temporary restraining order to block the Trump Administration from freezing Harvard’s federal funding and forcing the institution to implement a set of demands. The demands include eliminating diversity, equity, and inclusion programming and banning masks at protests. The University must also “commit to full cooperation” with the Department of Homeland Security and other federal regulators and “make organizational changes as necessary to enable full compliance” among other demands.
The faculty union states in the lawsuit that these demands are unconstitutional as they seek to stifle speech, lessons, and research on campus that President Trump disagrees with. Currently, the Trump Administration is investigating Harvard’s response to antisemitism on campus after protests took place on campus last year following Hamas’ attacks on Israel. The lawsuit argues that the Trump Administration demands go beyond addressing antisemitism on campus and instead seek to transform the University and force it to comply with the Administration’s agenda.