ED Announces It's Withholding Many FY25 Funds
July 01, 2025
Yesterday afternoon, less than 24 hours before all federal education funds are expected to be available, the U.S. Department of Education notified states that it was not going to allocate FY25 funds for Title I-C, Title II-A, Title III-A, Title IV-A and Title IV-B until further review.
Specifically, ED stated: Given the change in Administrations, the Department is reviewing the FY 2025 funding for the [Title I-C, II-A, III-A, IV-A, IV-B] grant program(s), and decisions have not yet been made concerning submissions and awards for this upcoming academic year. Accordingly, the Department will not be issuing Grant Award Notifications obligating funds for these programs on July 1 prior to completing that review. The Department remains committed to ensuring taxpayer resources are spent in accordance with the Presidents priorities and the Departments statutory responsibilities.
The programs in question represent more than $6 billion that schools districts have already budgeted for and are relying on to provide vital supports and services for students.
51蹤獲 released a statement last week urging the Department not to delay the funds further. We have been explicit on how disruptive this will be for school districts across the country and are deeply disappointed with the Administrations decision.
Read and 51蹤獲s statement on the withholding of funds. (Note: Our statement from last week references $4.7 billion in stead of $6 billion because it did not include Title IV-A since we were unaware that program was in jeopardy).