Prime Highlights

• The U.S. Education Department will send over $6 billion in grants to K-12 schools following a delay of a month.
• The funds fund vital programs like after-school programs, English-language learner programs, and teacher training.

Key Facts

• It had already spent some $1.3 billion on summer and after-school programs earlier.
• Bipartisan political pressure and litigation pushed the administration into making the remaining funds available.

Key Background

The U.S. Education Department announced last week that it will disburse more than $6 billion in federal school grants delayed since July 1, 2025. The funds are for the 2025-26 school year and are essential to K-12 programs for English-language learners, migrant children, teacher professional development, and after-school enrichment. The Trump administration freeze has caused lawmakers, educators, and advocacy groups into panic regarding the disruption of essential school services.

It was a result of the administrative review conducted by the Office of Management and Budget to ensure that all the programs to which funds were being awarded were in line with contemporary administration policy. Both parties criticized the action, where schools and nonprofits looked down upon the elimination of programs and personnel matters. Organizations like the YMCA and Boys & Girls Clubs of America had had summer camps and educational programs threatened with shutdown due to funding shortfalls.

School leaders threatened that withholding the grants would affect millions of students and drastically cut opportunities for poor communities. An American Association of School Administrators survey found that almost 75% of districts would cut academic and enrichment programs if funds were not made available right away.

The government, acting on intensifying bipartisan pressure, such as from 10 Republican senators, has begun to flex its phased funding release. Approximately $1.3 billion was accelerated ahead of schedule for summer and after-school education programs, and the remainder will follow suit now. New guidance will be made to prioritize federal priorities while sustaining priority education programs, Education Secretary Linda McMahon said.

The money being disbursed will fund such programs as adult literacy, bilingual education, and teacher training, bringing much-needed consistency as schools get ready to open the new year.