California Secures $800M School Funding Amid Legal Battle Over Federal Compliance Conditions
July 27, 2025
The U.S. Education Department has announced it will release over $800 million in withheld school funding to California, effective next week, after nearly a month of delays.
This funding is crucial for essential services, including after-school programs, professional development for teachers, and $100 million allocated for adult education.
California officials have expressed that the funding delays have negatively impacted students and educational services, leading to some programs shutting down or reducing their offerings.
The withholding of funds has resulted in layoffs across several California counties, prompting a lawsuit from California Attorney General Rob Bonta against U.S. Education Secretary Linda McMahon.
The Trump administration has imposed conditions on the released funds, requiring compliance with the U.S. Constitution and federal non-discrimination laws, which may restrict certain educational programs.
California school officials are cautiously optimistic about the release but are concerned about the compliance requirements that may limit the use of the funds.
Despite the ongoing litigation, many school officials view the eventual release of funds as a victory for advocacy efforts, acknowledging the significant disruptions caused by the delays.
California's Department of Education has expressed hope that the administration would expedite the funding process, even amidst ongoing legal challenges.
After partial releases of funds were allowed under certain conditions, the administration confirmed that it would fully release the remaining funds starting Monday, still under compliance conditions.
The decision to withhold over $800 million, which was made known on June 30, aimed at essential services for California schools, has led to significant advocacy efforts for the release of these funds.
An additional $100 million for adult education, which covers English-language learning and high school equivalency courses, was also part of the withheld funds.
Following the announcement of the funding withholding on June 30, many California counties were forced to lay off workers in response to the funding crisis.
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