Latest news with #USDepartmentofEducation
Boston Globe
an hour ago
- Politics
- Boston Globe
School districts, teachers unions sue over Trump's freeze on education funding
Related : The new case comes as the US Department of Education has agreed to release about $1.3 billion in funding for after-school and summer programming, out of $6.8 billion withheld. No decision has been made yet about the rest of the money, a notice to states on Friday said. Advertisement The money released is for 21st Century Community Learning Centers, which include nonprofits such as the Boys & Girls Clubs that serve high-poverty, low-performing districts with after-school and summer programs. The frozen funds prompted alarm that those programs would have to shut down or significantly scale back in the coming weeks if the money remained frozen. Get Rhode Map A weekday briefing from veteran Rhode Island reporters, focused on the things that matter most in the Ocean State. Enter Email Sign Up The funds were released after 10 Rhode Island Education Commissioner Angélica Infante-Green said the state received $6.5 million from the released after-school funds, but the Department of Education 'hasn't provided any information about when — or if — the remaining Congressionally allocated education funds will be released.' Advertisement Rhode Island had 'Unnecessary delays and cuts to education funding for students are irresponsible,' Infante-Green said. 'Students and teachers in every school district in Rhode Island will be negatively affected.' The funds that remain withheld support the The Department of Education and Office of Management and Budget did not immediately comment on the new lawsuit. But OMB previously said it was withholding the funds, which are typically disbursed on July 1, in order to review whether the programs were spreading a 'radical leftwing agenda' including support for undocumented immigrants. Miriam Weizenbaum, the attorney for the plaintiffs, said the administration would have to follow the appropriate federal procedures to seek to withhold money for that reason, which wasn't done here. 'You get more notice and opportunity to be heard with a speeding ticket,' Weizenbaum said. The new lawsuit said the 'uncertainty' about the funds is 'causing significant anxiety and confusion among the Teachers Unions' members right before the start of the school year.' 'The Teachers Unions are under intense stress and pressure to help members determine exactly how their jobs will be affected,' the suit said. 'Some members will be scrambling to find new jobs.' If cuts take place, class sizes could grow, the lawsuit said, making it 'more difficult for teachers to effectively perform their jobs' and harder for districts to retain teachers. The plaintiffs include the Anchorage School District in Alaska, the largest district in that state, along with two other Alaskan districts, the Cincinnati Public Schools, and large teachers unions in California, Pennsylvania, Florida, New York, Rhode Island, Illinois, Ohio, and Texas. Advertisement Weizenbaum, who was previously a top litigator in the Rhode Island Attorney General's Office, said it's unclear if the judge in the separate case would making a ruling that affects all 50 states, or just the 23 states who sued, which would leave out some of the districts in the new case. She said teachers unions also wanted to bring the separate suit in order to make sure their experience of what the funding cuts will bring is heard before the court. 'Their on-the-ground perspective needs to be before a court,' Weizenbaum said. 'This is a big hit across the country at all levels.' Maribeth Calabro, the president of the Rhode Island Federation of Teachers, wrote in a declaration attached to the lawsuit that a wide range of jobs in Providence are funded with the withheld money, including instructional coaches, social workers, and behavioral specialists. The withheld money 'has created widespread uncertainty about staffing levels, student support services, and professional development availability for the upcoming school year,' Calabro wrote. She said Rhode Island's ability to teach the science of reading could be in jeopardy, along with Providence's compliance with a US Department of Justice settlement over properly teaching English to multilingual learners. The group asked for a preliminary injunction to release the funding as the case is heard. A hearing date has not yet been set. Steph Machado can be reached at
Time of India
a day ago
- Business
- Time of India
One Big, Beautiful Bill: How Pell Grant expansions will support millions in workforce training programs starting 2026
(AI Image) The US government is set to expand Pell Grants to include new workforce training programs as part of the landmark legislation signed by President Donald Trump. The law, known as the "One Big, Beautiful Bill Act," aims to provide financial aid to students enrolled in short-term post-high school training programs lasting between eight and 15 weeks. This expansion is scheduled to begin in July 2026, marking a significant shift in how federal aid supports non-traditional education paths. Under this law, the US Department of Education will be responsible for vetting and authorizing schools to receive Pell Grant funding for these new programs. The move is designed to assist millions of Americans seeking quick, targeted training in fields such as cosmetology and welding, thereby expanding access to career-focused education beyond traditional college degrees. Pell Grant expansion to short-term workforce training programs The One Big, Beautiful Bill Act establishes a new type of Pell Grant specifically for students enrolled in workforce training programs that are shorter than traditional college semesters. The expansion covers programs lasting from eight to 15 weeks, addressing the growing demand for flexible educational opportunities aligned with labor market needs. This initiative will allow students in approved programs to qualify for federal financial aid, providing critical support for individuals pursuing skills-based training. The Education Department is tasked with beginning the review and approval of eligible programs by July 2026, ensuring that schools meet federal standards to access Pell funds. Federal student loan repayment plan overhaul The legislation also replaces all existing federal student loan repayment programs for new borrowers after July 1, 2026, with two streamlined options: a standard repayment plan and an income-based plan. This change affects new borrowers, while the over 40 million Americans who currently hold federal student loans will retain access to some legacy repayment plans. However, around 8 million borrowers enrolled in President Joe Biden's signature repayment program will be required to transition to one of the new plans by 2028. The Federal Student Aid office, a division of the Education Department, will oversee this transition and manage repayment operations. New accountability rules for colleges In addition to financial aid changes, the bill mandates the Education Department to enforce new accountability standards on colleges and universities. The so-called "do no harm" test aims to prevent federal loans from being available to programs that fail to deliver a positive return on investment for students. To implement these rules, the Education Department will need to analyze extensive data from multiple sources, including colleges, the Internal Revenue Service, the Bureau of Labor Statistics, and state agencies. This data-driven process will assess program outcomes across thousands of schools and tens of thousands of programs over several years. Department of Education staffing and implementation challenges The Education Department faces considerable challenges in executing the new law amid significant workforce reductions. Since the beginning of the year, the department's staff has been cut by half, and recent Supreme Court rulings have allowed layoffs of more than 1,000 employees to proceed while legal disputes continue. Beth Akers, a senior fellow at the American Enterprise Institute, expressed concerns about the department's capacity to implement the legislation effectively. She told USA Today during a recent webinar, "I do have significant concerns that the speed of the cuts will have left us with a department that is unable to effectively implement this legislation." Similarly, Jon Fansmith, senior vice president for government relations at the American Council on Education, warned of upcoming difficulties, as reported by USA Today : "You can definitely anticipate a lot of problems." Previous challenges with federal student aid programs The department's recent history includes difficulties implementing large-scale changes. For example, the rollout of FAFSA simplification legislation in 2020 experienced significant problems that jeopardized financial aid for millions of students. Staffing shortages and reliance on contractors were among the factors cited for the flawed execution. Despite this, Education Department officials maintain that the agency is prepared to carry out the One Big, Beautiful Bill Act's mandates. Jeffrey Andrade, a senior official, released guidance for implementation on July 18, with promises of more detailed information in the following weeks and months. Deputy press secretary Ellen Keast told USA Today , "We will continue to deliver meaningful and on-time results while implementing the President's OBBB ('One Big Beautiful Bill') to better serve students, families, and administrators." Outlook for students and schools Financial aid administrators have already raised alarms about the potential for disruption as the department reallocates responsibilities to meet new demands. Melanie Storey, president of the National Association of Student Financial Aid Administrators, stressed to USA Today the need for clear plans: "With significantly more work on the horizon to implement the One Big Beautiful Bill Act, we reiterate our concerns that the Trump administration has not shared the details of a plan to redistribute the Department's work in a way that does not cause significant disruption for America's college students." As the US prepares for these major changes in student aid and workforce training support, both students and educational institutions will be closely watching the department's progress in meeting the ambitious goals set by the new law. TOI Education is on WhatsApp now. Follow us here . Ready to navigate global policies? Secure your overseas future. Get expert guidance now!
Time of India
2 days ago
- Business
- Time of India
One Big Beautiful Bill: A bold reset or another layer of complexity?
New student loan rules and funding changes begin under Trump's OBBB. (AI Image) The US Department of Education has announced the immediate implementation of higher education provisions within the One Big Beautiful Bill Act (OBBB). The move follows the signing of the legislation into law by President Trump, delivering wide-ranging changes aimed at federal student aid programs and student loan repayment systems. On July 18, 2025, the Department released a Dear Colleague Letter (DCL) to provide initial guidance to higher education institutions and Federal Student Aid (FSA) partners. The DCL outlines near-term regulatory changes and marks the first phase of the OBBB implementation process. Major changes to student loan repayment The OBBB introduces major updates to income-based repayment (IBR) plans, offering a more streamlined approach for borrowers. The reforms target simplification of loan repayment systems, including new repayment options for parent borrowers and revised loan limits for part-time students. The bill addresses regulations from the previous administration, including those related to borrower defence to repayment and closed school discharge policies. These changes affect how borrowers can seek relief from student loan obligations in cases of institutional misconduct or closure. Pell Grant funding and vocational training expansion One of the core provisions of the OBBB is the allocation of funds to cover a $10.5 billion shortfall in the Pell Grant programme. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Top 3 Casino Games in Sheffield Lounge 777 Play Game Undo This funding aims to stabilise the program, ensuring continued support for low-income students. Additionally, the bill establishes a new Workforce Pell Grant programme, intended to expand access to short-term, career-focused training. These programmes are designed to prepare students for high-demand job sectors and are expected to launch next year as part of a phased implementation. Eliminating aid to underperforming institutions The OBBB includes new accountability measures for higher education institutions. Under the new law, colleges that offer programmes leaving students worse off financially than before enrolment will lose access to federal student loan funding. This provision is intended to ensure that only institutions providing clear economic value to students will remain eligible for federal aid. The Department of Education has stated that additional guidance and regulatory updates will be issued as these measures are developed further. Next steps in implementation While several provisions take immediate effect, others—including the full rollout of the new Repayment Assistance Plan and the Workforce Pell Grant programme—will become effective in the following year. The Department of Education has indicated that further updates will be provided in future guidance documents and through formal regulatory processes. Acting Under Secretary James Bergeron described the announcement as the first step in advancing the President's vision for postsecondary education and workforce development. The Department will continue working with stakeholders as the broader implementation of the OBBB unfolds over the coming years. TOI Education is on WhatsApp now. Follow us here . Ready to navigate global policies? Secure your overseas future. Get expert guidance now!
Time of India
2 days ago
- Business
- Time of India
Why are millions of US student borrowers suddenly facing $27 billion in new interest charges?
Trump administration dismantling of US Department of Education ends SAVE Plan benefits for millions. (AP Photo) Millions of federal student loan borrowers in the US are facing a sharp increase in their debt as $27 billion in new interest charges are set to accrue over the next 12 months. This change affects around 8 million borrowers who had previously benefited from a Biden administration plan that temporarily paused interest accumulation. The sudden return of interest charges follows a series of legal and administrative actions, including the dismantling of the US Department of Education and a federal court ruling that blocked the Biden-era repayment plan known as the SAVE Plan. These developments have disrupted federal student loan servicing and repayment programs, impacting millions of Americans. The end of the SAVE Plan and department of education dismantling The SAVE Plan, introduced during the Biden administration, capped monthly payments at 5% of discretionary income for undergraduate loans and 10% for graduate loans while maintaining a zero percent interest rate. This program aimed to ease repayment burdens for borrowers with financial difficulties. However, a federal court injunction blocked the SAVE Plan in June 2024. The Trump administration declared the plan illegal and said it would resume charging interest to 'bring fiscal responsibility to the federal student loan portfolio,' as reported by Politico. With the US Department of Education being dismantled under an executive order signed by Trump, the agency lost its ability to maintain or defend the plan. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like No annual fees for life UnionBank Credit Card Apply Now Undo A spokesperson for the Education Department told Politico, 'Loan servicers cannot process these applications as SAVE is no longer an option, as it is illegal.' Who is affected and the scale of financial impact Approximately 8 million borrowers will have interest charges resumed on their loans starting August 1. Newsweek reports that this will result in an estimated $27 billion in new interest costs over the next year. In addition, nearly 460,000 applications from borrowers seeking income-driven repayment plans with the lowest monthly payments are expected to be rejected. These applications represent 31% of a backlog of 1.5 million federal student loan applications, as cited by Politico. Key figures Details Borrowers affected 8 million Estimated interest charges $27 billion Applications rejected 460,000 Percentage of backlog rejected 31% of 1.5 million applications Legal and policy background behind the changes The Trump administration has maintained that previous Biden-era student loan forgiveness programs were unlawful. A spokesperson quoted by Politico said, 'Congress designed these programs to ensure that borrowers repay their loans, yet the Biden Administration tried to illegally force taxpayers to foot the bill instead.' The executive order signed by Trump directs the closure of the US Department of Education 'to the maximum extent appropriate and permitted by law,' shifting control of education programs to states and local communities. This shift has created uncertainty around loan servicing, repayment schedules, and forgiveness programs. TOI Education is on WhatsApp now. Follow us here . Ready to navigate global policies? Secure your overseas future. Get expert guidance now!
Time of India
3 days ago
- Politics
- Time of India
US Education Department releases $1.3 billion for after-school programs after legal and political pressure
The US Department of Education has announced the release of $1.3 billion in federal funding earmarked for after-school and summer programs, bringing partial relief to school districts and nonprofit organisations across the country. Tired of too many ads? go ad free now The decision follows mounting political pressure from Republican lawmakers and a legal challenge launched by more than 20 states against the Trump administration's controversial freeze on more than $6 billion in federal education grants. The released amount pertains to the 21st Century Community Learning Centres (CCLC) program, which supports before-school, after-school, and summer enrichment activities, especially in underserved and low-income areas. These programs had been abruptly stalled after the administration initiated a spending review on July 1 to assess whether the grants aligned with federal priorities. What the funding supports The 21st Century CCLC program has long been a key federal initiative designed to provide safe, structured learning opportunities outside regular school hours. It serves millions of children nationwide, especially those from working-class families who depend on free programming for child care, homework help, and enrichment in STEM, arts, and literacy. Beyond academics, the centres also serve as community hubs—offering meals, counselling, and recreation. In many rural and economically marginalised communities, they are the only structured options available to families after school. The $1.3 billion now being released will allow these programs to proceed with hiring, contracts, and scheduling for the 2025–26 academic year. However, many organisations report having already faced severe setbacks, including the loss of staff, cancellation of summer initiatives, and withdrawal of enrolled students due to uncertainty. Tired of too many ads? go ad free now Delay triggers nationwide disruption The decision to withhold funding came without prior notice, catching states and districts off guard during a critical planning period. As schools and nonprofits scrambled to adjust budgets and operations, many were forced to cancel fall programming, halt hiring processes, and cut back on planned services. Administrators in several states reported that the two-week delay led to furloughs, reduced staffing for the summer term, and delays in opening registrations for the fall. Some rural and inner-city programs, where budgets operate on razor-thin margins, have already experienced lasting damage. Education advocacy organisations said the temporary freeze had real-world consequences for vulnerable children and families who rely on these services for both academic support and basic care. States push back: Lawsuit filed over $6 billion freeze While the administration's review of the 21st Century program is now complete, approximately $5 billion in additional education funding remains frozen. These include grants for adult literacy, English as a Second Language (ESL) instruction, teacher training, and other state-administered initiatives. On Monday, a coalition of more than 20 states, led by California, filed a federal lawsuit challenging the legality of the funding freeze. The states argue that the money was already approved by Congress and signed into law by President Trump earlier this year, and that withholding it unilaterally violates both constitutional and administrative protocols. The suit also asserts that delaying these funds threatens public education systems, especially in high-poverty districts, and undermines bipartisan efforts to improve literacy, language access, and adult education outcomes. Political pushback from Republican senators Adding to the pressure, 10 Republican senators, led by Sen. Shelley Moore Capito of West Virginia, sent a letter to the Office of Management and Budget (OMB) urging the administration to lift the freeze. The senators emphasised that the affected programs enjoy longstanding bipartisan support and are critical for communities in both red and blue states. The letter clarified that while lawmakers are aligned with the administration's efforts to prevent misuse of federal funds, there is no indication that these particular grants are being used inappropriately or to advance political agendas. Several of the letter's signatories serve on education-related committees and expressed concern that the freeze undermines local control of education—an issue frequently championed by conservative leaders. Education groups demand immediate action Education policy experts, school administrators, and nonprofit coalitions have called on the White House to expedite the release of the remaining funds. The AASA (School Superintendents Association) warned that continued delays would lead to staffing cuts, halted adult education programs, and reduced ESL services, just as schools are preparing for the new academic year. These programs often support recent immigrants, job seekers, and parents returning to the workforce—groups that are already vulnerable and have fewer alternatives. With school budgets already strained due to inflation and rising operational costs, federal funding plays a crucial role in keeping these services afloat. As of now, there is no confirmed timeline from the Office of Management and Budget on when the rest of the education funds will be released. School districts continue to navigate uncertain conditions, with many fearing they will have to make staffing and programming decisions without clarity on federal support. Funding future still undecided While the release of $1.3 billion is a relief for many after-school programs, the broader issue of federal interference in already-appropriated funds has raised concerns across the education sector. Many see the freeze—and the method by which it was implemented—as a dangerous precedent that could impact future grant cycles. Educators, lawmakers, and community leaders alike are watching closely to see how and when the administration resolves the remaining $5 billion freeze. For now, schools are being asked to plan for the academic year with limited certainty—placing crucial programs, jobs, and student services at continued risk. TOI Education is on WhatsApp now. Follow us .
