Earlier this week, the State of Maine was listed as a co-plaintiff in a lawsuit against the Trump Administration over $6.8 billion worth of federal education funding that frozen ahead of its scheduled distribution date of July 1.
The lawsuit alleges that this freeze is “contrary to law, arbitrary and capricious, and unconstitutional.”
By taking legal action, the states involved hope to have the courts force the Administration to release this funding as soon as possible.
Although Congress voted in March to extend the prior year’s funding levels government-wide for the next fiscal year, an email sent by the Department of Education (DOE) on June 30, according to reporting from EdWeek, outlined several public education programs that would not be receiving funding in accordance with the expected timeline.
Impacted programs are said to include those that support the children of migrant agricultural workers under Title I-C, as well as those who are learning the English language under Title III-A. The total value of funds frozen for this programs were $375 million and $890 million respectively.
$2.2 billion in Title II-A funding for professional development was also held, alongside $1.3 billion in Title IV-A funding for academic enrichment and $1.4 billion in Title IV-B funding for before- and after-school programs, particularly in “high-poverty and low-performing schools.”
“Decisions have not been made concerning submissions and awards for this upcoming academic year,” the email reportedly said. “Accordingly, the Department will not be issuing Grant Award Notifications obligating funds for these programs on July 1 prior to completing that review.”
All five of these programs had previously been flagged for cuts or elimination by President Donald Trump (R) in his so-called “Skinny Budget” for fiscal year 2026.
According to NPR, the DOE’s message to state officials said that the agency “remains committed to ensuring taxpayer resources are spent in accordance with the President’s priorities and the Department’s statutory responsibilities.”
A spokesperson from the DOE has reportedly directed all questions regarding the held funding to the Office of Management and Budget (OMB).
Details have not been released regarding the timeline for reviewing the funding that has been withheld for the current fiscal year.
The lawsuit filed earlier this week argues that the federal government is obligated to distribute the $6.8 billion worth of frozen funding immediately.
“Under federal law, these funds—federal formula funds appropriated by Congress for
six [DOE] programs authorized by Congress (Impacted Programs)—must be made available to the States on July 1 in order for the States and their local school districts to have the resources necessary to staff, to supply materials for, and to prepare facilities for the imminent school year,” the lawsuit argues.
“This year, contrary to decades of legal requirements (and OMB’s and [DOE]’s consistent compliance with those requirements), those funds have been withheld,” the suit asserts.
“Defendants’ actions now jeopardize these critical programs—the loss of which has irreparably harmed and will irreparably harm the Plaintiff States, their schools, and the students and families they serve,” the states suggest.
Not only does Congress require that Defendants make funds available for obligation to the States,” the lawsuit explained, “Congress, in conjunction with [DOE] regulations, also directs the timing of when those funds should be made available.”
“The budgets for many local educational agencies (LEAs) have already been approved and staffing plans have been developed so that LEAs can perform their responsibilities for the Impacted Programs,” they said. “Now, as a result of Defendants’ actions, Plaintiff States find themselves in the position of being unable to fulfill these commitments.”
As a result of this lawsuit, the states are hoping to have the courts issue declaratory and injunctive relief, compelling the Trump Administration to release the frozen funds immediately.
