Trump releases $7 billion in frozen education funding after pressure

On June 30, 2025, OMB Director Russ Vought ordered the Education Department to freeze $6.8 billion in K-12 funds headed to all 50 states via a three-sentence email, claiming a 'programmatic review' to align with President Trump's priorities.

The freeze violated the Impoundment Control Act of 1974, which prohibits the executive branch from refusing to spend money Congress has appropriated without congressional approval.

Ten Republican senators, led by Sen. Shelley Moore Capito (R-WV), chair of the Senate education funding subcommittee, broke party ranks on July 16 to demand the funds' release, writing 'We do not believe that [radical left-wing programs] is happening with these funds.'

NYNew York Attorney General Letitia James coordinated a 24-state lawsuit on July 14, 2025, arguing the freeze violated constitutional separation of powers. 🌴California stood to lose $939 million, 🗽New York $463 million.

Title IV-B (21st Century Community Learning Centers) provides $1.4 billion annually for before-school, after-school, and summer programs—the only federal funding source dedicated to these services, serving approximately 965,000 students nationwide.

Title II-A ($2.2 billion) supports teacher professional development, mentorship programs, and recruitment in high-need subjects. Title III-A ($890 million) funds English learner services. Both programs faced disruption right before the 2025-26 school year.

After 25 days of bipartisan pressure and legal threats, Vought released all $6.8 billion on July 25, 2025. Schools had already cancelled summer programs and frozen fall hiring during the freeze.

Education Week reported school administrators cited the freeze as proof they can't rely on federal funding commitments, even for programs Congress specifically authorized, damaging long-term federal-state education relationships.