Press "Enter" to skip to content

U.S. Education Department to Release $5 Billion in Withheld Grants

U.S. Education Department to Release $5 Billion in Previously Withheld Grants

The U.S. Department of Education is set to release over $5 billion in education grants that had been withheld by the Trump administration. This decision follows a period of uncertainty for many school districts across the nation.

In late June, the Trump administration had temporarily withheld these federal grants, prompting concern and confusion among educational institutions. The freeze was announced just before the traditional July 1 disbursement deadline, causing significant disruption as schools prepared for the new academic year.

The largest portion of this grant funding, amounting to approximately $2.2 billion, is allocated for the professional development of educators. These funds are crucial for continued teacher training, as emphasized by Tara Thomas of The School Superintendents Association (AASA), who noted, “At the end of the day, it’s really just funding that makes teachers better at their jobs.”

Earlier this month, the administration reversed its decision on grants for before- and after-school programs. Madi Biedermann, a deputy assistant secretary at the Education Department, confirmed that the Office of Management and Budget (OMB) has now directed the release of all formula funds, with distributions to states expected to begin next week.

This move comes after bipartisan pressure from lawmakers who highlighted the financial strain the withholding had placed on states and communities. Additionally, several states initiated legal action to compel the release of these funds. The withheld grants support a range of educational programs, including those for migrant education, English language learners, and adult education.

It’s noteworthy that this isn’t the first instance of the Trump administration targeting these education programs; the proposed FY 2026 budget included cuts to all the grants that were frozen.