Student loans, Pell grants will continue despite DOE downsizing, expert says

In a groundbreaking move, President Donald Trump has taken steps to downsize and ultimately dismantle the Department of Education. Despite concerns about the future of education programs, funding, student loans, and civil rights protections, an expert in contact with White House stakeholders has assured that these vital functions will continue.
Sarah Parshall Perry, a top legal expert at the Heritage Foundation, emphasized that the administration is committed to ensuring that essential programs such as Title I funding for disadvantaged students, civil rights protections, and equality in education will remain intact. She explained that until these responsibilities can be shifted to other departments through congressional action, the Department of Education will continue to enforce these crucial initiatives.
Trump’s recent executive order, signed on Thursday, directs Education Secretary Linda McMahon to begin the process of shutting down the Education Department and transferring key functions to other federal agencies. This move aligns with Trump’s campaign pledge to eliminate the Department of Education and empower states to make decisions regarding education policy.
Perry clarified that the initial focus of the department’s downsizing has been on eliminating critical race theory and diversity, equity, and inclusion initiatives. However, she stressed that the administration is dedicated to maintaining civil rights enforcement and financial aid programs until they can be transitioned to other agencies.
While there have been concerns about potential budget shortfalls and school closures due to the department’s downsizing, Perry reassured that federal funding accounts for less than 10% of per-pupil funding in states. The majority of funding comes from local and state taxpayers, rather than federal taxpayers.
Since its inception in 1979, the Education Department’s budget has significantly increased, reaching approximately $268 billion in Fiscal Year 2024. The department’s role in administering federal student loans dates back to the Guaranteed Student Loan Program established in 1965.
Moving forward, Perry emphasized the importance of strengthening education at the state and local levels while maintaining federal oversight of student loans, civil rights laws, and Title I funding for underprivileged students. She suggested that federal programs could be separated or divested from the Department of Education to streamline administration.
Trump’s executive order reflects his commitment to returning control of education to local communities and promoting school choice amidst ongoing cultural debates. This bold move aims to reshape education policy and empower states to make decisions that best serve their students.
As the Department of Education undergoes significant changes, it is crucial to prioritize the needs of students and ensure that essential programs and protections remain in place. The administration’s focus on maintaining civil rights enforcement, financial aid programs, and educational equality highlights their dedication to supporting all students across the country.