Skip to content
Advertisement
News

Trump releases nearly $7bn in frozen US school funds

United States President, Donald Trump, administration has reversed its decision to withhold nearly $7 billion in federal funding meant for public education, opting instead to release the full amount following a controversial freeze that began earlier in July.

A senior official within the administration told CNN that a programmatic review has been completed, clearing the way for states to receive the remaining funds.

Previously, only $1.3 billion of the total had been made available.

“Guardrails are in place to ensure these funds will not be used in violation of Executive Orders or administration policy,” the official said.

Advertisement

The abrupt suspension of the funding had left schools and community programs scrambling to adjust, especially as they prepared for summer and fall activities. Many institutions faced serious concerns about their ability to continue operations through the summer months.

The funds in question were earmarked for K-12 initiatives, including teacher training, English language instruction, student enrichment efforts, and partnerships with nonprofit educational centers.

A large portion of the funding supports services for children in low-income communities.

Originally scheduled to be disbursed on July 1, the Department of Education had instead issued a letter to grant recipients pausing distribution.

Advertisement

“The Department will not be issuing Grant Award Notifications obligating funds for these programs on July 1 prior to completing that review,” the letter read. “The Department remains committed to ensuring taxpayer resources are spent in accordance with the President’s priorities and the Department’s statutory responsibilities.”

Administration officials claimed the delay was prompted by concerns that some programs might be promoting “leftwing” ideologies, leading to a sweeping internal review.

The freeze came amid broader efforts by the Trump administration to scale back or even dismantle the Department of Education, including plans for major staff reductions and significant budget cuts.

Public outcry intensified last week as the impact of the freeze became clear, particularly on organizations such as the Boys and Girls Club and other nonprofits dependent on the 21st Century Community Learning Centers (21st CCLC) program. In response, the Office of Management and Budget authorized the release of $1.3 billion to support summer and after-school programs.

Advertisement

However, the rest of the funds remained inaccessible, until now.

The situation also sparked legal action, with approximately two dozen states governed by Democrats filing a federal lawsuit earlier in July, demanding the Department of Education comply with congressional approval and release the withheld funds.

Share

Top News