Create a free Diverse: Issues In Higher Education account to continue reading. Already have an account? Enter your email to access the article.

House Democrats Demand Release of $7 Billion in Withheld Education Funding

Rep. Lucy McBathRep. Lucy McBath A coalition of 150 House Democrats led by Rep. Lucy McBath (D-Ga.) is demanding the immediate release of nearly $7 billion in federal education funding that the Trump administration has withheld from states and local school districts, calling the decision illegal and harmful to millions of students.

In a letter dated July 10, 2025, to Education Secretary Linda McMahon and Office of Management and Budget Director Russell Vought, the lawmakers accused the administration of illegally withholding congressionally appropriated funds that were scheduled for release on July 1.

The withheld funding represents at least 10 percent of federal K-12 funding in every state and supports critical programs including student learning initiatives, after-school programs, teacher training, and adult education, according to the letter.

The Department of Education notified states on June 30 — just one day before the funds were to become available — that funding would not be released as scheduled. The department cited the "change in Administrations" and said it was reviewing fiscal year 2025 funding, providing no timeline for when a final decision would be made.

"This late-breaking decision, which provided no timeline for which states can expect a final decision, is leaving states financially vulnerable and forcing many to make last minute decisions about how to proceed with K12 education in this upcoming school year," the lawmakers wrote.

The funding delay is already resulting in layoffs, program cancellations, and delays that affect both K-12 students and adults seeking education services, according to the letter.

The withheld money includes resources from several key federal education programs:

The trusted source for all job seekers
We have an extensive variety of listings for both academic and non-academic positions at postsecondary institutions.
Read More
The trusted source for all job seekers