The U.S. Department of Education has announced the cancellation of $350 million in federal grants that had been designated for minority-serving institutions, and redirected hundreds of millions of funds to support historically Black colleges and universities (HBCUs).
In a Sept. 10 announcement, Education Secretary Linda McMahon stated that the department will “no longer award Minority-Serving Institution grants that discriminate by restricting eligibility to institutions that meet government-mandated racial quotas.”
HBCUs were not initially included in the cuts, as they are open to all students, regardless of race, with McMahon adding in her announcement that the administration intends to redirect the money toward programs “that advance administration priorities.”
As minority-serving institutions reel from last week’s announcement, concerned about critical funding to support students and campuses, the administration announced $435 million in previous discretionary funds to bolster HBCUs.
“This additional funding is nothing short of a godsend for HBCUs,” Lodriguez V. Murray, UNCF’s senior vice president for public policy and government affairs, said in a statement. “We are grateful to have worked with the Trump administration, Secretary McMahon, and her Department of Education team in achieving this one-time infusion of grant funding.”
A Major Blow to Minority-Serving Institutions
The funding minority-serving institutions have supported initiatives including laboratory equipment purchases, classroom improvements, student tutoring services, and endowment growth.
Last week’s cuts immediately drew criticism from leaders of colleges and universities who said the loss would harm students and damage institutions that depend on the resources.
“Without this funding, students will lose the critical support they need to succeed in the classroom, complete their degrees on time, and achieve social mobility for themselves and their families,” said Mildred García, chancellor of the California State University system.
David Mendez, interim CEO of the Hispanic Association of Colleges and Universities also emphasized the cut as a major blow to supporting students’ educational experiences and goals.
“These funds strengthen entire campuses, creating opportunities and resources that benefit all students, especially those pursuing STEM fields, as well as enhancing the communities where these colleges and universities are located,” said Mendez.
University of Hawaiʻi president Wendy Hensel added that the cuts will affect “all of our students, the programs that support them and the dedicated staff who carry out this work.”
UNCF Celebrates Funding, Emphasizes Need for More
Murray said the redirected funding is part of the president’s promise to support historically Black colleges and universities.
“When President Trump released his executive order for HBCUs during his first 100 days of this term,” Murray said, “many said that it did not produce funding. That is no longer the case. His order called for strengthening HBCUs by adding fiscal stability. These funds will begin that process.”

Despite the additional funding, the UNCF senior vice president emphasized that the support for HBCUs cannot stop with the Trump administration’s one-time grant funding.
“No one should be confused: HBCUs are currently and have been underfunded since their inception. While we are grateful for these funds, we are still under-resourced,” Murray continued.
The federal funding is through Title III of the Higher Education Act, which supports institutions with a high percentage of low-income enrollees or other disparities that make it challenging to serve students’ needs.
“Title III is considered the most essential out of all federal grants for HBCUs,” Murray said. “To nearly double that funding will have unprecedented positive impacts on our institutions this year. The additional funding will be used for acquiring property, construction, campus maintenance, laboratory equipment, faculty support, student services and more as authorized by the Higher Education Act.”
While the funds are helpful, he offered a call to action for other entities to support HBCUs.
“With the right investment and partners, our past, and present, does not have be our future,” Murray declared. “We hope the private sector will see this as a prime opportunity to invest in our going enterprise.”

