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Democratic-Led States Sue Trump Over $7 Billion Federal Funding Freeze

But even in red states, officials say they are feeling the pinch to programs, from teacher training to summer camps.

The CARE Center outside Huntsville, Alabama, runs STEM programs, like an outdoor classroom at Madison County Elementary School. The center was about to cancel its services for the fall because of a federal funding freeze until the state education department came up with leftover funds to keep it going. (The CARE Center)

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Democratic-led states sued the Trump administration Monday over its freeze of nearly $7 billion in education funds, saying the delay has already “irreparably harmed” critical academic and extracurricular programs. 

For two weeks, the White House Office of Management and Budget has been conducting what it calls a “programmatic review” of funds for English learners, migrant programs, teacher training and afterschool programs — money it claims has been “grossly misused to subsidize a radical left-wing agenda.”

“President Trump seems comfortable risking the academic success of a generation to further his own misguided political agenda,” California Attorney General Rob Bonta said in a statement. “But as with so many of his other actions, this funding freeze is blatantly illegal, and we’re confident the court will agree.”

Blue state leaders aren’t the only ones feeling the pinch. In Thomasville, Georgia, a summer camp for 300 students was cut short, while an Ohio nonprofit says it will have to cancel afterschool programs this fall if the funds aren’t released. 

Georgia state Superintendent Richard Woods called releasing the funds a matter of fiscal responsibility. “In Georgia, we’re getting ready to start the school year, so I call on federal funds to be released so we can ensure the success of our students,” Eric Mackey, the Alabama state superintendent, said he was caught off guard by what he called a “bureaucratic process.” Losing the money, he told a local reporter, would be “a real problem for us.” 

Neither OMB nor the Education Department responded to requests for comment.

The lawsuit dropped the same day the U.S. Supreme Court ruled that the administration can proceed with firing roughly half of the Education Department’s staff, further adding to the chaos districts have felt since January. The delay has been one more jolt from an administration that’s been quick to withdraw funding that the Republican-led Congress already approved. These particular funds are part of the fiscal year 2025 budget that President Donald Trump signed in March. 

“We were looking really good, and then you get something like this,” said Gordon Klasna, executive director of secondary education for the Billings Public Schools, Montana’s largest district. He’s wondering how to pay for the nine teachers who keep elementary class sizes capped at 22 students. Without them, classes would grow to 28 students, which, Klansa said, “can be substantial when you have lots of kids who are behind.”

With a new resettlement office that opened last year, the city has seen an influx of refugees. The roughly $30,000 the district normally receives for English learners helps pay for curriculum and translation services — not just for immigrants, but also for Native American students and families, some of whom still speak an indigenous language at home. 

Elementary class sizes in Billings, Montana, could grow if the federal funding freeze continues. (Billings Public Schools/Facebook)

‘No idea it was coming’

District leaders shared similar stories on Capitol Hill last week during an annual advocacy visit to Washington, where many members of Congress said they were also blindsided by the freeze.

“The offices I visited with had no idea it was coming and were wondering what other people had heard,” said David Law, superintendent of the Minnetonka Public Schools in Minnesota and president of AASA, the School Superintendents Association.

Their stories prompted Democrats in both the House and Senate to put more pressure on OMB Director Russ Vought and Education Secretary Linda McMahon to free up the funds. In a letter, senators said they were “shocked by the continued lack of respect for states and local schools evidenced by this latest action.”

OMB pointed to a few examples of programs it alleged conflict with the administration’s priorities, including one in Washington state that it said “used funds to direct illegal immigrants toward scholarships intended for American students.” 

Sammi Payne, a management analyst with the Washington state education department, said officials aren’t sure which program OMB is referring to, but it could be the College Assistance Migrant Program. Established in 1972, the program, which expanded under both Democratic and Republican administrations, provides counseling, tutoring and housing assistance to migrant students during their first year of college.

“Our management and implementation of this funding is consistent with the law,” Superintendent Chris Reykdal said in a statement. “American prosperity has always been a function of embracing immigrants and lifting up those who need additional support to access education and opportunity.” 

‘Can’t write enough grants’

A few states have stepped in to provide short-term support during the pause. Just as an Alabama nonprofit was about to cancel an afterschool program for this fall, the state education department provided some funds left over from the previous year. 

“Our programs are the only option for our children and our working families,” said Andrea Bridges, executive director of the CARE Center, which serves a rural, high-poverty community about 30 minutes outside Huntsville. Federal 21st Century Community Learning Centers funds support services at three schools. “I can’t write enough grants to come up with $700,000. I could do babysitting, but that’s not what these programs are.” 

Students in the program receive academic support, work on a lot of STEM projects and learn to play musical instruments. But they also focus on college and workforce readiness. She’s watched the graduation rate climb from about 64%, when the nonprofit launched the program 25 years ago, to over 90%. 

“When I say these funds are essential, that’s what I’m talking about,” she said. “It changes the socioeconomic status of the whole community. Everybody wins when kids graduate from high school.”

Verlena Stewart, director of Community Building Institute in Middleton, Ohio, north of Cincinnati, also relies on federal funds to run afterschool and summer learning programs. She was about to shut the summer camp down two weeks early when the Middleton city manager called her and said, “Come pick up a check for $60,000,” she said.

That will get the camp for about 100 students through July 25 and means kids will still get to go on field trips to a movie and Jungle Jim’s, a massive international market and shopping destination. But if the funds aren’t reinstated, the nonprofit won’t be able to offer its afterschool program this fall. 

If the federal government doesn’t restore funding for afterschool programs, the Community Building Institute in Middleton, Ohio, will have to cancel its services this fall. (Courtesy of Verlena Stewart)

The center, she said, would keep its doors open for “less formal recreation,” but would have to recruit volunteers to help students with reading and math. 

‘Unfunded mandate’

The White House may no longer want to fund education for English learners and migrant students, but districts are still legally obligated to provide language support, whether they have the funds or not, said Tara Thomas, government affairs manager, for AASA. The Every Student Succeeds Act requires states to report students’ progress toward mastering English as well as their performance in math, reading and science.

“By cutting off these funds, you’re just expanding the unfunded mandate on schools,” Thomas said. Districts, she said, factored the federal money into their budgets months ago.

In Wyoming, Chase Christensen, superintendent and principal of the one-school Sheridan County School District, was expecting more than $15,000 to give teachers a second year of training in a new math curriculum. Now, he may have to find another way to pay the consultants providing the training.

In Sheridan County, Wyoming, Superintendent Chase Christensen was about to shut down a jiu jitsu program because of the federal funding freeze C (Sheridan County School District)

He doesn’t want to drop non-academic programs either. He was about to shut down a jiu jitsu program that costs about $20,000. But students love it, and he thinks it builds confidence and “sticktoitiveness” that helps them academically.

“It’s just amazing watching kindergarteners do their takedowns. It’s the only time in my career that I’ve had kids get black eyes at school, and I’m not getting calls from their parents about what happened,” he said. “I’m going to do everything I can to keep it going.”

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