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The Trump administration is eliminating several federal grant programs long reserved for colleges serving large numbers of minority students, saying the initiatives amount to unconstitutional racial quotas.
The Education Department announced Wednesday it would withhold about $350 million in grants budgeted this year, most of it targeted for Hispanic-Serving Institutions — colleges and universities where at least 25% of undergraduates are Latino. The move marks a sharp break with decades of bipartisan support for such programs, first established to close racial gaps in college enrollment and graduation.
“Diversity is not merely the presence of a skin color,” Education Secretary Linda McMahon said in a statement. “Stereotyping an individual based on immutable characteristics diminishes the full picture of that person’s life and contributions, including their character, resiliency, and merit.”
Programs Affected
The largest cut, more than $250 million, comes from the Hispanic-Serving Institution program, created by Congress in 1998 to boost Latino student success. Other programs being cut include $22 million for schools where at least 40% of students are Black, as well as programs for campuses with significant Asian American, Pacific Islander, or Native American student enrollment.
Funding for Historically Black Colleges and Universities (HBCUs) will not be affected. HBCUs are open to all students regardless of race and have separate congressional funding streams.
McMahon said she would work with Congress to repurpose the money for schools that serve “underprepared or under-resourced” students without using race-based criteria. She did not provide details on how the money would be redirected.
Legal and Political Battles
The grants for Hispanic-Serving Institutions are already under legal challenge. Tennessee and the group Students for Fair Admissions sued the federal government, arguing the 25% Hispanic enrollment threshold is unconstitutional. The Justice Department declined to defend the programs, saying the requirement violates equal protection principles.
Advocates counter that the funding is critical to leveling the playing field. More than 500 colleges and universities — including the University of Texas at Austin, the University of Arizona, and numerous community colleges — currently qualify as Hispanic-Serving Institutions.
Democrats blasted the cuts. Sen. Patty Murray, D-Wash., accused Trump of “putting politics ahead of students simply looking to get ahead,” warning that the administration was exploiting temporary funding authority under Congress’s stopgap spending bill.
“This is another important reminder of why Congress needs to pass full funding bills,” Murray said, “so Congress — not Donald Trump or Linda McMahon — decides how taxpayer dollars are spent.”
Broader Shift on Education
The Education Department will still release about $132 million in minority-serving grants considered mandatory under existing law, though officials said they are “reviewing the underlying legal issues” around that funding.
The decision underscores a broader reversal of Biden-era policies. Last year, President Joe Biden signed an executive order elevating Hispanic-Serving Institutions and creating a presidential advisory board. Trump revoked the order on his first day back in office earlier this year.
With Congress divided and lawsuits pending, the future of federal support for minority-serving institutions is now uncertain — leaving hundreds of colleges and millions of students in limbo.
