Delaware has joined a growing coalition of more than 20 states, including Pennsylvania and New Jersey, in a legal battle against the Trump administration over sweeping education funding cuts. The lawsuit, announced on August 17, 2025, claims that the federal government illegally withdrew more than $11 million in grants from over 250 educational programs in Delaware alone, such as Head Start. The enforcement of these cuts is set to begin in September, leaving educators, families, and advocates scrambling for answers and alternatives.
But Delaware’s move is only one front in a much larger, rapidly unfolding national controversy. According to Disability Scoop, disability rights advocates are sounding the alarm that the U.S. Department of Education is preparing to cancel hundreds of grants made under the Individuals with Disabilities Education Act (IDEA) Part D. These grants, worth hundreds of millions of dollars collectively, fund everything from technical assistance and parent resource centers to the training of special educators. Many organizations that rely on these grants are mid-way through five-year funding cycles, but have not received renewal notifications for the coming year. Some grantees have even been told by their project officers to prepare for closure.
Robyn Linscott, director of education and family policy at The Arc, explained to Disability Scoop, "No Part D grantee has heard for sure, or has seen anything in writing, (but) there is credible information flowing that points to (the Office of Special Education Programs’) plan to cancel hundreds of grants in a few weeks." She added that many of the targeted grants appear to have been flagged by an AI scan for including diversity, equity, and inclusion (DEI) language—terms this administration has prioritized for termination.
The sense of uncertainty has galvanized a broad coalition of advocates and organizations. Over 150 representatives from federally funded Parent Training and Information Centers, Community Parent Resource Centers, and Parent Technical Assistance Centers signed a letter to Congress urging lawmakers to resist any plans to terminate IDEA Part D grants. The letter warned, "Eliminating these programs would not only undermine congressional intent but also jeopardize the essential services that families across the nation rely upon." Despite mounting pressure, the Education Department has not publicly commented on the fate of the Part D grants.
The controversy comes as President Trump pushes for major changes to IDEA, aiming to give states greater control over education funding. His budget proposal sought to merge preschool grants and many activities currently overseen by the Office of Special Education Programs under IDEA Part D into state-administered Part B grants. However, a key Senate panel—acting in a rare display of bipartisan unity—soundly rejected this plan in late July. Denise S. Marshall, CEO of the Council of Parent Attorneys and Advocates (COPAA), told Disability Scoop, "Saving money off the backs of our children and the school personnel who worked hard to educate them is appalling. Parents need to be meaningful partners in their education as required by statute (and) Part D funds allow them to be trained on their rights and receive support." Marshall added, "We’ve heard from reputable sources that the withdrawal of funds is imminent and we urge Congress, state legislators and governors to raise their voices to say no."
Meanwhile, the fallout from federal education cuts is already being felt in other critical areas. On April 29, 2025, the Department of Education canceled hundreds of millions of dollars in grant funding for school mental health services nationwide, including four grants in North Carolina, as reported by NC Health News. These grants, which were supposed to last five years, will now end abruptly in December 2025. The funding originated from the Bipartisan Safer Communities Act, passed in 2022 after the tragic school shooting in Uvalde, Texas, and included $1 billion for mental health services in schools.
Guilford County Schools and Wake County Schools in North Carolina received termination letters on April 29, while other districts such as Iredell-Statesville Schools and Surry County Schools, as well as North Carolina State University and the University of North Carolina, did not receive such notices and will continue their programs. The reasons for the cancellations have been shrouded in ambiguity. The Department of Education’s termination letters cited four possible justifications, including violations of federal civil rights law and conflicts with the department’s policy of prioritizing merit, fairness, and excellence.
However, as CBS News and Chalkbeat reported, department representatives have pointed to the use of grant funds for race-based actions—such as recruiting quotas for counselors of color or training therapists to address racial trauma—as a key factor. A department spokesperson defended the cuts to Education Week, stating, "Under the deeply flawed priorities of the Biden Administration, grant recipients used the funding to implement race-based actions like recruiting quotas in ways that have nothing to do with mental health and could hurt the very students the grants are supposed to help."
The impact of these cuts is profound. North Carolina, for example, has just one social worker for every 995 students—far from the recommended ratio of one for every 250. The 2023 CDC Youth Risk Behavior Survey found that nearly 40 percent of high school students reported persistent sadness and hopelessness, and 29 percent reported poor mental health. Research shows that school-based mental health services, funded by these grants, have led to significant decreases in suicide risk, absenteeism, and behavioral problems. In Guilford County, the grant enabled the hiring of 12 mental health clinicians and the contracting of 35 others, resulting in a 50 percent reduction in suicide risk assessments per year. "The work that we’re doing is important, and the services that we’re providing, not only to our students, but to our staff members and to the school district as a whole, is meaningful. And we’re getting great results from it," said Alex Tabori, executive director of mental and behavioral health services at Guilford County Schools, to NC Health News.
The sudden withdrawal of funding threatens to undo years of progress. In just one funding cohort, the Mental Health Service Professional Demonstration Grant Program trained 1,767 school mental health professionals and supported 1,191 supervised practicum placements, while the School-Based Mental Health Services Grant Program led to the hiring of 1,163 professionals and provided services to more than 774,000 students, according to a letter from Eric Rossen, executive director of the National Association of School Psychologists, to Congress. Rossen warned, "Their sudden non-continuation jeopardizes the incredible progress these programs have made expanding the workforce pipeline and recruiting and retaining professionals in high-need communities."
The controversy has united lawmakers from both parties in demanding clarity and accountability. More than 40 members of Congress, including North Carolina’s Senator Thom Tillis—a Republican who championed the Bipartisan Safer Communities Act—have written to the Secretary of Education seeking answers. Tillis’ office stated, "We share the Department’s goal to ensure this once in a generation legislation achieves Congressional intent, making historic strides towards increasing the quality and access of mental health resources for America’s youth."
As the new school year approaches, the stakes could not be higher. The fate of hundreds of millions of dollars in education and mental health funding—along with the futures of countless students, families, and educators—hangs in the balance. Lawsuits, letters, and legislative inquiries continue to mount, but for now, uncertainty reigns in classrooms and communities across the country.
