Trump Shifts $500M to HBCUs, Cuts Hispanic Grants/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ The Trump administration is channeling nearly $500 million in federal funding to historically Black colleges and tribal colleges, offset by cuts to grants for Hispanic-serving institutions. Officials argue the previous programs were unconstitutional, sparking backlash from Democrats and educators. The move delivers a one-time 48% increase for HBCUs while doubling tribal college funding.

Trump’s HBCU Funding Boost: Quick Looks
- Funding Shift: $500M redirected to HBCUs and tribal colleges.
- Offset Cuts: $350M cut from Hispanic-serving institutions and other minority programs.
- Administration’s Rationale: DOJ argues Hispanic-serving grants unconstitutional due to racial thresholds.
- Education Secretary: Linda McMahon says move targets “merit and excellence.”
- Additional Funding: $60M to charter schools, $137M to civics/history grants.
- Trump’s Record: Previously secured $250M annually for HBCUs, pledged advisory board and summits.
- Legal Battle: Tennessee and Students for Fair Admissions suing to stop HSI program.
- Political Reaction: Democrats decry move, citing decades of bipartisan support for minority-serving programs.
- Budget Context: Enabled by stopgap bill expanding executive spending authority.
- Impact: One-time 48% boost for HBCUs, doubling tribal college funding.

Deep Look: Trump Administration Redirects $500M to HBCUs, Cuts Grants for Hispanic-Serving Institutions
WASHINGTON (AP) — The Trump administration announced Monday it is redirecting nearly $500 million in federal funds to historically Black colleges and universities (HBCUs) and tribal colleges, a sweeping move financed largely by cuts to other programs that served minority students — particularly Hispanic-serving institutions.
The Education Department revealed the funding shift days after cutting $350 million in grants for schools with large Hispanic student populations, arguing that those programs violated constitutional protections by restricting eligibility based on race or ethnicity.
McMahon Defends Funding Redirection
Education Secretary Linda McMahon framed the changes as an effort to uphold fairness while strengthening programs that produce results.
“The Department has carefully scrutinized our federal grants, ensuring that taxpayers are not funding racially discriminatory programs but those which promote merit and excellence in education,” McMahon said in a statement. She described the redirected money as going “from ineffective and discriminatory programs toward those which support student success.”
Boost for HBCUs and Tribal Colleges
The Education Department said the shift translates into a 48% one-time increase in HBCU funding and more than doubles funding for tribal colleges and universities. Additional money is being directed toward charter schools ($60 million) and American history and civics education ($137 million), consistent with Trump’s executive orders prioritizing school choice.
Legal and Political Context
The changes come as part of Trump’s broader education agenda, made possible by a stopgap spending bill granting the executive branch expanded authority to reallocate discretionary funds.
The move, however, reverses decades of precedent. The Hispanic-Serving Institution (HSI) program, created by Congress in 1998, was designed to close persistent educational gaps between Latino and white students. Cutting its funding has sparked fierce backlash from Democrats, who argue the program enjoyed bipartisan support and lifted thousands of working-class students.
A Justice Department memo released in July argued that the HSI program is unconstitutional, as eligibility requires that at least 25% of undergraduates be Hispanic. The DOJ has declined to defend the program in court after a lawsuit was filed by the state of Tennessee and Students for Fair Admissions, the anti-affirmative action group behind the recent Supreme Court case.
Tennessee’s filing contends that all of its public universities enroll Hispanic students, but none qualify for the funding due to the “arbitrary ethnic threshold.” As a result, the state argues, its schools are losing out on tens of millions of dollars annually.
Trump’s Record on HBCUs
President Donald Trump has long positioned himself as a supporter of HBCUs. During his first term, Congress approved an additional $250 million per year in HBCU funding. Earlier this year, Trump signed an executive order pledging annual White House HBCU summits, an advisory board, and broader support for historically Black institutions.
Redirecting Other Programs
A source familiar with the Education Department’s decision, speaking anonymously, confirmed that funding is also being diverted away from gifted and talented programs, magnet schools, international education, and teacher training initiatives. Many of these programs, the source added, are expected to be eliminated in Trump’s 2026 budget request.
Backlash and Uncertainty Ahead
Democrats argue the administration is using constitutional arguments to undermine programs that helped historically underserved communities, while redirecting money in ways that advance Trump’s political priorities.
The lawsuit against the HSI program remains pending, setting up a broader legal fight over the role of federal funding in addressing educational disparities.
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