Law & Courts

20 States Push Back as Ed. Dept. Hands Programs to Other Agencies

By Matthew Stone — December 01, 2025 4 min read
Education Secretary Linda McMahon appears before the House Appropriation Panel about the 2026 budget in Washington, D.C., on May 21, 2025.
  • Save to favorites
  • Print

A coalition of states that sued months ago to stop mass layoffs at the U.S. Department of Education is now also challenging the department’s recent moves to shift many of its core functions to the U.S. Department of Labor and other federal agencies.

The Democratic attorneys general from 20 states and the District of Columbia argue in an amended complaint filed on Nov. 25 that federal laws require the U.S. Department of Education carry out its own programs.

But the department this year has signed seven agreements to have four other federal agencies take over day-to-day management of key grant programs. Under these agreements, the Labor Department is now tasked with managing most K-12 grant programs, distributing more than $20 billion annually to schools.

See Also

U.S. Secretary of Education Linda McMahon is interviewed by Indiana’s Secretary of Education Katie Jenner during the 2025 Reagan Institute Summit on Education in Washington, D.C., on Sept. 18, 2025.
U.S. Secretary of Education Linda McMahon is interviewed by Indiana Secretary of Education Katie Jenner during the 2025 Reagan Institute Summit on Education in Washington, D.C., on Sept. 18, 2025. The U.S. Department of Education on Tuesday unveiled six agreements moving administration of many of its key functions to other federal agencies.
Leah Millis for Education Week

The departments of Health and Human Services, the Interior, and State have also taken over smaller parts of the Education Department’s portfolio, with the moves all stemming from a March executive order from President Donald Trump telling Secretary of Education Linda McMahon to “facilitate” the closure of her department.

The 1979 federal law that created the Education Department allows the secretary of education some latitude to reorganize the agency, but not as much latitude as the Trump administration has taken, the expanded lawsuit argues.

The Trump administration’s “plan to eliminate the department has been anything but lawful,” the lawsuit reads. “Their strategy is simple: fire the department’s employees and redistribute the department’s programs and money to other federal agencies.”

In addition to the 20 Democratic-led states and the District of Columbia, the plaintiffs in the lawsuit include two Massachusetts school districts; affiliates of unions representing teachers, paraprofessionals, university professors, and college and university employees; and a group that advocates for people with developmental and intellectual disabilities.

“It’s no surprise that blue states and unions care more about preserving the D.C. bureaucracy than about giving parents, students, and teachers more control over education and improving the efficient delivery of funds and services,” said Madi Biedermann, an Education Department spokesperson, in a statement.

The legal challenge to the interdepartmental program moves is the latest development in a legal battle dating back to March that challenged the first round of Education Department layoffs and the president’s March executive order. The lawsuits led to a temporary pause in those layoffs before the U.S. Supreme Court allowed the Trump administration to move ahead with them.

Four federal agencies have taken over Ed. Dept. programs

McMahon has acknowledged that the Trump administration needs congressional approval to eliminate the U.S. Department of Education, which was a Trump campaign pledge.

Short of securing that approval, the administration has eliminated about half of the department’s staff and started redistributing its portfolio to other federal agencies. McMahon last month described the interdepartmental moves as a “pilot program” to prove to Congress that the changes could work long term.

See Also

President Donald Trump signs an executive order regarding education in the Oval Office of the White House, Wednesday, April 23, 2025, in Washington, as Commerce Secretary Howard Lutnick, Labor Secretary Lori Chavez-DeRemer, and Education Secretary Linda McMahon watch.
President Donald Trump signs an executive order regarding education in the Oval Office of the White House on April 23, 2025, as Commerce Secretary Howard Lutnick, Labor Secretary Lori Chavez-DeRemer, and Education Secretary Linda McMahon watch. The Trump administration on Tuesday announced that it's sending many of the Department of Education's K-12 and higher education programs to other federal agencies.
Alex Brandon/AP

Under agreements the Education Department has signed so far, the Labor Department is overseeing the Education Department’s single largest grant program—the $18.4 billion Title I program that sends out funding to about 95% of school districts to support students from low-income families.

The agency is also in charge of other formula funds that schools use to pay for teacher professional development (Title II), services for English learners (Title III), after-school programs (Title IV-B), and student support and in-school enrichment activities (Title IV-A). A wide range of competitive grant programs that provide funding for charter schools, literacy initiatives, private school vouchers for District of Columbia students, and more are now under Labor Department management as well.

That agency is also taking over a number of higher education grant programs, including some that prepare K-12 students for college and fund teacher-preparation programs at historically Black colleges and other universities with large minority populations.

Schools with large amounts of federal land within their boundaries or large numbers of students with parents who work on federal property will now also receive their regular Impact Aid payments from the Labor Department.

Earlier this year, the Labor Department took over day-to-day management of the Perkins grant program, which is the largest federal funding source for career and technical education, and grants for adult education.

Some states have reported delays in accessing their Perkins funds since the switch while others have reported no hiccups.

See Also

The U.S. Department of Education building is seen behind the Dwight D. Eisenhower Memorial on Oct. 24, 2025 in Washington, D.C.
The U.S. Department of Education building is seen behind the Dwight D. Eisenhower Memorial on Oct. 24, 2025 in Washington, D.C. The department is shifting many of its functions to four other federal agencies as the Trump administration tries to downsize it. State education chiefs stand to be most directly affected.
Maansi Srivastava for Education Week

But the lawsuit argues such a move is illegal and that it “upends decades of work that took place at the state and local level to embed CTE programs into secondary and postsecondary offerings and improve the quality of CTE and adult education.”

Other interdepartmental program changes include the movement of most grant programs focused on Native American students to the Department of the Interior; a program that provides child care to parents enrolled in college to Health and Human Services; and higher education programs supporting international and world language education to the State Department.

Education Department officials have confirmed they’re exploring other partnerships with federal agencies that could move functions including civil rights enforcement, special education oversight, and student loan administration elsewhere.

Events

This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
College & Workforce Readiness Webinar
Smarter Tools, Stronger Outcomes: Empowering CTE Educators With Future-Ready Solutions
Open doors to meaningful, hands-on careers with research-backed insights, ideas, and examples of successful CTE programs.
Content provided by Pearson
Recruitment & Retention Webinar EdRecruiter 2026 Survey Results: How School Districts are Finding and Keeping Talent
Discover the latest K-12 hiring trends from EdWeek’s nationwide survey of job seekers and district HR professionals.
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Professional Development Webinar
Recalibrating PLCs for Student Growth in the New Year
Get advice from K-12 leaders on resetting your PLCs for spring by utilizing winter assessment data and aligning PLC work with MTSS cycles.
Content provided by Otus

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

Law & Courts Supreme Court Signals Support for State Bans on Trans Girls in Sports
The U.S. Supreme Court weighed Idaho and West Virginia laws that bar transgender girls from sports.
7 min read
Becky Pepper-Jackson holds hands with her mother Heather Jackson outside the Supreme Court after arguments over state laws barring transgender girls and women from playing on school athletic teams on Jan. 13, 2026, in Washington.
Becky Pepper-Jackson holds hands with her mother, Heather Jackson, outside the U.S. Supreme Court after arguments over state laws barring transgender girls and women from playing on female athletic teams on Jan. 13, 2026, in Washington.
Julia Demaree Nikhinson/AP
Law & Courts After 60 Years, a Louisiana District Fights to Exit Federal Desegregation Order
St. Mary Parish is on the frontlines of a legal battle to end ongoing school desegregation cases dating back to the civil rights era.
Patrick Wall, The Advocate, Baton Rouge, La.
6 min read
School bus outside Patterson High School in St. Mary Parish, in Louisiana.
School bus outside Patterson High School in St. Mary Parish, in Louisiana.
Brad Kemp/The Advocate
Law & Courts School Sports Case Reaches the Supreme Court at a Fraught Time for Trans Rights
The justices will consider state laws that bar transgender girls from participating in female sports.
8 min read
Fifteen year-old Becky Pepper-Jackson tosses a discus at home in West Virginia.
Fifteen-year-old Becky Pepper-Jackson tosses a discus at home in West Virginia. Her challenge to the state’s ban on transgender girls in school sports is now before the U.S. Supreme Court.
Scout Tufankjian/ACLU
Law & Courts Judge Bars Trump Admin. From Purging DEI Terms From Head Start Funding Requests
The federal judge also prohibited further layoffs of staff from the federal Office of Head Start.
2 min read
Students ride tricycles during aftercare at a Head Start program run by Easterseals, an organization that gets about a third of its funding from the federal government, Jan. 29, 2025, in Miami.
Students ride tricycles during aftercare at a Head Start program run by Easterseals, an organization that gets about a third of its funding from the federal government, Jan. 29, 2025, in Miami.
Rebecca Blackwell/AP