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Pennsylvania Governor Shapiro files lawsuit against the Trump administration due to withheld education funds, following Supreme Court's approval of Department of Education workforce reductions.

Federal disputes concerning education financing are at the forefront this week, with potential repercussions for schools in Philadelphia and Pennsylvania.

Governor Shapiro files a lawsuit against the Trump administration due to withheld education funds,...
Governor Shapiro files a lawsuit against the Trump administration due to withheld education funds, allowing the Department of Education to proceed with layoffs, following the Supreme Court's approval.

Pennsylvania Governor Shapiro files lawsuit against the Trump administration due to withheld education funds, following Supreme Court's approval of Department of Education workforce reductions.

In a significant move, Governor Josh Shapiro of Pennsylvania has filed a lawsuit against the Trump administration, seeking to overturn the withholding of $230 million in education funding. The funds, part of a broader $6.8 billion freeze by the U.S. Department of Education (USED) and Office of Management and Budget (OMB), were abruptly frozen on June 30, 2025, just a day before states typically receive this money to plan for the upcoming school year.

The lawsuit, filed in the U.S. District Court of Rhode Island alongside 25 other states and the District of Columbia, argues that the funding freeze is unlawful, arbitrary, capricious, and unconstitutional as Congress had already appropriated these funds for vital education programs.

The withheld funds support critical initiatives such as teacher training and recruitment, language instruction for English-learning students, academic enrichment, school climate and safety, student well-being, and technology use. They also fund after-school programs, STEM and arts curricula, bullying and suicide prevention services.

Governor Shapiro emphasised that withholding this money harms Pennsylvania schools, leaving taxpayers responsible and threatening programs that benefit students, including children with special learning needs. He positioned the lawsuit as a defence to ensure Pennsylvania’s students and schools receive the promised and necessary federal funding to meet budgets, maintain quality teaching, and provide equitable programs.

This lawsuit is part of Governor Shapiro’s broader legal efforts to challenge the Trump administration's actions on federal funding and protections, reflecting ongoing disputes related to education and public health during Trump's presidency.

Meanwhile, the Supreme Court's ruling has allowed the Trump administration to officially terminate approximately 1,400 Department of Education employees, including the entire staff of Philadelphia's regional outpost for the DOE's Office for Civil Rights. The Philadelphia Office for Civil Rights has been shuttered, leaving families in the region without a free legal mechanism to pursue civil rights complaints, which has an outsized impact on students with disabilities.

The developments in the DOE staffing cuts make them difficult to reverse regardless of the courts' ultimate ruling. The DOE is currently operating at half its original size, with only about 2,183 of the original 4,133 employees responsible for distributing critical funding streams to states, enforcing non-discrimination policy, gathering and sharing data on student performance and more.

The terminated employees have been off-duty since March and were initially placed on administrative leave with full pay and benefits until June 9. The loss of the Philadelphia Office for Civil Rights has been identified as a devastating setback for students with disabilities who have thrived in supportive, inclusive classrooms.

Providers such as the Sunrise of Philadelphia are uncertain whether they can maintain their after-school programs if their expected funding never arrives. Philadelphia has the fourth-largest amount of dollars to lose out of all school districts across the nation due to the withholding of funds.

The annual report of national education data was significantly delayed before the department stated that it would be released on a rolling basis and then released a starkly small amount of data compared to past precedent. The distribution of Title I funding has taken three times as long as it did last year due to the reduction in DOE staff.

The erosion of civil rights protections is a potential consequence of the reduction in DOE staff, particularly in the enforcement of disability laws. The missing funds accounted for at least $26,930,000 of Philadelphia's school district budget last year.

The Supreme Court's ruling does not amount to an immediate change to DOE functions, as the nearly 1,400 affected employees have already been off-duty and in limbo since March. The U.S. Supreme Court has allowed the Trump administration to terminate over 1,300 Department of Education employees. The move to withhold the funds is being argued as illegal by 23 states and the District of Columbia.

As the legal battle unfolds, Pennsylvania and other states affected by the funding freeze continue to navigate the challenges posed by the Trump administration's actions, with the potential impact on education and civil rights protections being a significant concern.

  1. The lawsuit, filed by Governor Shapiro and other states, aims to overturn the Trump administration's policy and legislation that withheld $230 million in education funding, arguing that it's unlawful and unconstitutional as the funds support vital education programs, including teacher training, language instruction, school climate and safety, technology use, and student well-being.
  2. In addition to the education funding freeze, the Trump administration's actions have led to the termination of approximately 1,400 Department of Education employees, including the entire staff of Philadelphia's regional outpost for the DOE's Office for Civil Rights, leaving families without a free legal mechanism to pursue civil rights complaints and students with disabilities without necessary protections and support.
  3. The developments in online education have been impacted by the reduction in DOE staff and funding, with the annual report of national education data being significantly delayed and the distribution of Title I funding taking three times as long, potentially affecting the quality of learning and equitable programs for all students.

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