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Legal & Employment Guidance

Are the President's Actions About Public Schools Legal?

Attorneys weigh in on the Trump administration's recent education actions.
Published: March 27, 2025 Last Updated: February 27, 2026

Since Inauguration Day, the Trump administration has attacked public education and inclusive policies, often in direct conflict with existing law.

Here is a deeper look at the legality of the Trump administration’s actions.

View past legal updates:

February 27, 2026
February 13, 2026
January 30, 2026
January 9, 2026
December 12, 2025
November 21, 2025

Legal Rundown PDF archive to March 27, 2025


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February 27, 2026

Recent Executive Actions

Expanding Federal Authority to Withhold Funds Over DEI Programs

On January 28, the General Services Administration (GSA) published a notice of a proposed revision to government-wide pre-award registration requirements that would require current and potential recipients of federal funding through any agency to certify that they will not: engage in disfavored DEI programs; promote the “freedom of speech and religious liberty”; transport, conceal, harbor, or otherwise assist “illegal alien[s]”; or fund, subsidize, or facilitate “violence, terrorism, or other illegal activities that threaten public safety or national security.” The certification requirement not only would allow the government to deny federal funding to entities that do not agree to these conditions, but also opens up the possibility of criminal enforcement and civil liability under the False Claims Act for recipients who complete the certification and engage in activity that the Administration determines to violate one of the conditions. The notice is open for public comment until March 30.

Is this Legal?

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This proposed certification raises a host of constitutional issues, including: viewpoint discrimination, compelled speech requirements, and infringements on religious freedom and free association in violation of the First Amendment; impermissibly vague restrictions on funding recipients in violation of the Fifth Amendment Due Process Clause; and the imposition of new conditions on federal funding not enacted by Congress in violation of the Spending Clause. Further, its anti-DEI provision relies on the Administration’s interpretation of Title VI as prohibiting programs and policies that seek to promote racial diversity and equity, which courts have consistently found to conflict with Title VI precedent. GSA’s decision to pursue a requirement with such significant effects on funding recipients through a revision to information collection requirement instead of a notice-and-comment rule may make it procedurally invalid under the Administrative Procedure Act (APA).

Offloading ED Programs to HHS and State

On February 23, the Department of Education (ED) announced two new interagency agreements (IAAs) to further offload its required programs onto other agencies. The Department of Health and Human Services (HHS) will take over administration of multiple grant programs focused on school safety, student mental health, and supporting under-funded communities, including School Based Mental Health Grants and Full-Service Community Schools Grants. The Department of State (State) will take over enforcement of a Higher Education Act requirement that colleges and universities disclose foreign gifts of $250,000 or more and accompanying management of the foreign funding reporting portal.

Is this Legal?

The Elementary and Secondary Education Act, Higher Education Act, and other laws explicitly assign ED responsibility for the programs moving to HHS and State and do not authorize ED to shift those obligations. Further, the FY 2026 appropriations act bans ED from transferring funds appropriated to carry out its statutory duties to other agencies. Transfers of ED funds to HHS or State to implement these latest IAAs would violate this restriction.

Reaching Resolution Agreements with 31 Higher Ed Institutions

On February 19, ED announced 31 resolution agreements with institutions of higher education (IHEs), in which ED found that the IHEs’ partnerships with “The Ph.D. Project,” a nonprofit that supports students of color pursuing doctoral degrees, violated Title VI and the IHEs agreed to terminate the partnerships. ED opened investigations into 45 IHEs for these partnerships last March based on its interpretation of Title VI as prohibiting disfavored DEI initiatives.

Is this Legal?

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As numerous courts have already found, including in decisions by New Hampshire and Maryland district courts concerning ED’s February 14, 2025 Dear Colleague Letter, the Trump Administration’s position that Title VI bans programs and policies promoting DEI does not square with the statutory text or Supreme Court precedent. The resolution agreements’ determinations that the IHEs’ partnerships with The Ph.D. Project violated Title VI are therefore likely unfounded.

Litigation Updates

NEA Victory: ED’s Anti-DEI Guidance Permanently Blocked

On February 18, a New Hampshire district court issued a final judgment in a lawsuit brought by NEA, ACLU, and other partners last year challenging ED’s February 14, 2025 Dear Colleague Letter and subsequent Certification Requirement that sought to restrict DEI efforts in schools and higher education institutions nationwide. The court dismissed the case without prejudice after ED conceded in a joint stipulation that the letter and certification requirement are vacated and agreed not to enforce them. ED’s concession follows a Maryland district court’s final judgment invalidating the agency actions.

SCOTUS Rejects Trump Administration’s Tariffs

On February 20, the U.S. Supreme Court ruled, in a 6-3 decision, that President Trump lacked power to impose sweeping tariffs under the International Emergency Economic Powers Act (IEEPA), the 1977 law the Administration cited to justify the policy. Chief Justice Roberts, joined by Justices Kagan, Sotomayor, Gorsuch, Barrett, and Jackson, held that IEEPA’s grant of authority for the President to “regulate . . . importation” does not allow him to impose tariffs. Justices Kavanaugh, Alito, and Thomas dissented.

California Sues ED Over Parental Notification Policy

On February 11, California filed a lawsuit challenging ED’s threat to withhold $4.9 billion in federal education funding on the grounds that a state law prohibiting mandatory disclosure of students’ gender identities violates the Family Educational Rights and Privacy Act (FERPA). ED has demanded that the state adopt a policy of affirmatively notifying parents of any changes to students’ gender identities. The state argues that its law complies with FERPA and ED’s threat to withhold funding violates the Constitution’s Spending Clause and the APA. A California district court granted a temporary restraining order prohibiting ED from withholding funds until the merits of the motion are fully resolved.

Appeals Court Allows Louisiana Ten Commandments Bill to Move Forward

On February 20, the en banc 5th Circuit vacated a Louisiana district court’s preliminary injunction blocking a state law that requires public schools to permanently display the Ten Commandments in every classroom. The unsigned opinion overturned a panel order denying the state’s motion to stay the preliminary injunction. It held that the challenge to the law was premature because classrooms have not yet posted the Ten Commandments and the courts thus cannot decide whether the displays violate the First Amendment in context. NEA and the Arkansas Education Association have filed an amicus brief in a similar case challenging Arkansas’ Ten Commandments law.


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February 13, 2026

Recent Executive Actions

Failing to Investigate Thousands of Civil Rights Cases

On February 2, the Government Accountability Office released a report examining how the Office for Civil Rights (OCR) at the Department of Education (ED) has functioned following the March 2025 RIF, which halved its workforce and cost more than $28.5 million in salaries and benefits for laid-off staff. Although OCR resolved over 7,000 of the more than 9,000 new complaints it received between March and September 2025, it dismissed 90% of the resolved cases without investigation (compared to 49%-81% dismissal rates in prior years). Meanwhile, media reports indicate OCR’s case backlog grew from around 12,000 open investigations in January 2025 to roughly 25,000 by January 2026. During that time, OCR disclosed just 177 resolution agreements (compared to 518 in 2024), none of which involved racial harassment. Likewise, none of the disclosed Title IX case resolutions involved sexual assault, sexual harassment, gender harassment, or pregnancy/parental status discrimination; instead, one quarter concerned policies permitting the inclusion of transgender students in athletics.

Is this Legal?

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OCR is required by statute to “effectuate” federal civil rights laws in ED-funded programs, and, under its regulations, must promptly investigate and resolve civil rights complaints. The few resolution agreements entered in 2025, the mounting backlog, and the high rate of dismissals without investigation show that OCR is unable to fulfill its statutory obligations in the wake of the March 2025 RIF. Multiple pending lawsuits, including a challenge by NEA and partner organizations to the dismantling of the Department of Education, contend that the Trump Administration’s gutting of OCR was unlawful.

Signing $79B Education Funding Bill Into Law

On February 3, President Trump signed the FY 2026 budget bill into law. The bill funds ED at $79 billion, rejecting the deep cuts to federal education funding proposed by the Trump Administration. The law requires ED to distribute formula grant funding to states and districts on time and to maintain sufficient staffing to fulfill its statutory responsibilities. These mandates appear to be a rebuke of ED’s withholding of billions in formula grant dollars for weeks last summer and elimination of about half of its career staff over the past year. The bill also continues a longstanding restriction prohibiting ED from transferring appropriated funds to other agencies.

Is this Legal?

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The Administration must comply with conditions Congress sets for its use of appropriated funds. As Congress’s joint explanatory statement confirms, ED cannot transfer funds appropriated to carry out ED’s statutory duties to other agencies without violating the budget bill’s ban on interagency transfers of appropriated funds. ED’s ongoing implementation of seven interagency agreements transfers funding for core programs to other agencies and is therefore unlawful.

Issuing Guidance Allowing Teacher Prayer in Public Schools

On February 5, ED issued guidance claiming that public school employees may engage in religious expression — including “visible, personal prayer” with students “during the conduct of their work.” ED interprets the U.S. Supreme Court’s 2022 decision in Kennedy v. Bremerton School District to mean that educators’ religious expression at school only violates the First Amendment if it is offered “on behalf of the school or in contexts that students cannot opt out of” or is otherwise coercive. In ED’s view, the simple fact of prayer being visible to students is not itself coercive. The move replaces ED’s 2023 guidance on religious expression in public schools, which maintained that educators may engage in private prayer during the workday, but could not do so while carrying out official duties and could not encourage or discourage students’ participation in religious activities.

Is this Legal?

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As explained in NEA’s religious expression toolkits, the First Amendment guarantees educators’ and students’ rights to private religious practice at school while also prohibiting religious coercion. Kennedy held that educators may pray at work only when off-duty and so long as they do not pressure students to participate. ED’s new guidance stretches that holding, claiming that educators may pray not just during off-duty time, but anytime they are not actively performing duties like teaching, coaching, or counseling, through which their speech could be attributed to the school district. By going beyond Kennedy, the guidance risks undermining students’ right to be free from religious coercion at school.

Litigation Updates

NEA Files Emergency Motion to Stop ICE Enforcement Near Schools

On February 12, NEA filed an emergency motion for relief in a lawsuit challenging the Trump Administration’s January 2025 rescission of a longstanding policy limiting immigration enforcement at “sensitive locations,” such as schools, hospitals, courthouses, and churches. The motion, which argues that the policy change is arbitrary and capricious under the Administrative Procedure Act (APA) and irreparably harms educators around the country, is supported by testimony from 60 teachers and health care workers from 18 states. Earlier last week, Education Minnesota and two Minnesota school districts also filed a lawsuit seeking to restore the sensitive locations policy. The complaint similarly alleges that the rescission violated the APA and its implementation at or near Minnesota public schools has caused significant disruption, including school closures and declines in attendance.

Appeals Court Vacates Injunction Blocking Anti-DEI Executive Orders

On February 6, the Fourth Circuit vacated a preliminary injunction that blocked implementation of two executive orders (EOs) targeting DEI practices in the federal government and private sectors, including higher education. While the plaintiffs lacked standing for some claims and were unlikely to succeed in showing other EO provisions were facially unconstitutional, the court left open the possibility that use of the EOs in specific enforcement actions could be unlawful. The case has been remanded to the lower court.

Academic Labor Union Challenges Trump’s “Gold Card” Executive Order

On February 3, the American Association of University Professors and several prospective visa applicants filed a lawsuit challenging Trump’s “Gold Card” visa program, which fast tracks applicants who pay $1 million under visa programs designed to admit highly talented individuals to the United States based on their merit and ability. Plaintiffs argue that the “Gold Card” program exceeds the President’s authority under the Immigration and Nationality Act by changing the statutory criteria for the impacted visa programs and violates the APA. They are seeking declaratory and injunctive relief.

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January 30, 2026

Litigation Updates

SCOTUS Hears Arguments in Transgender Student Athlete Cases

On January 13, the U.S. Supreme Court heard arguments in West Virginia v. B.P.J and Little v. Hecox, challenges by students to laws in West Virginia and Idaho that prohibit transgender girls and women from joining school sports teams that align with their gender identity. NEA filed an amicus brief in support of the students. At oral argument, the Court appeared inclined to find that the bans do not violate either Title IX or the Equal Protection Clause. A decision is expected by June.

ED Drops Appeal Over Anti-DEI Guidance Ruling

On January 21, the Department of Education (ED) withdrew its appeal of a Maryland district court’s August order striking down its February 14th anti-DEI Dear Colleague Letter and accompanying Certification Requirement. In April, the court had issued a stay blocking ED from implementing these efforts pending litigation; its August decision granted partial summary judgment for the plaintiffs and vacated the Letter and Certification Requirement. NEA brought a separate suit challenging ED’s anti-DEI moves and, in April, obtained a preliminary injunction barring their implementation at any school that employs an NEA member.

District Judge Blocks Head Start Layoffs and Anti-DEI Directive

On January 6, a Washington state district judge blocked the Department of Health and Human Services (HHS) from implementing office closures and mass layoffs in the Head Start program and requiring grantees to certify that they do not promote DEI. The court’s preliminary injunction decision found these changes were arbitrary and capricious and kept providers from complying with the law. The ruling follows a previous preliminary injunction that blocked HHS from restricting Head Start participation to verified U.S. citizens and immigrants with legal status.

District Judge Orders ED to Reevaluate TRIO Grant Cancellations

On January 16, a D.C. district judge issued a preliminary injunction vacating ED’s decisions denying or discontinuing certain TRIO grants. The court found these actions unlawful on several grounds, including that the agency improperly penalized grantees and applicants for allegedly promoting “DEI” and did not follow statutory procedures. ED now must reconsider the challenged grant determinations.

Oregon Appeals Court Affirms Dismissal of ULP Challenge to Teachers’ Strike

On January 22, the Oregon Court of Appeals affirmed the state Employment Relations Board (ERB)’s dismissal of an unfair labor practice (ULP) complaint against the Portland Association of Teachers (PAT) and the Oregon Education Association. The complaint was brought by parents seeking class damages for childcare costs and learning loss allegedly incurred during PAT’s November 2023 strike. The court held that under Oregon’s labor-relations statute, only the public employer — not third parties like parents have standing to bring a ULP complaint challenging the legality of a public-employee strike.

Recent Executive Actions Impacting Education

Transferring ED Higher Education Grants and Staff to DOL

On January 15, ED announced that it has taken new steps to implement a September interagency agreement to shift higher education program administration to the Department of Labor (DOL). Staff in the Higher Education Programs Division of ED’s Office of Postsecondary Education have been detailed to DOL, and grantees will transition to DOL's grant and payment management system. The ED-DOL agreement says DOL will administer the grant programs, while ED retains authority over budgets, program criteria and priorities, and functions like hiring.

Is this Legal?

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The Higher Education Act and other statutes explicitly assign ED responsibility for administering the programs that have now moved to DOL and do not authorize ED to shift that duty elsewhere. Moreover, the recent continuing resolution funding ED through January 2026 and the FY 2026 appropriations bill (expected to pass Congress soon) both ban ED from transferring appropriated funds without explicit authorization from Congress. These latest steps to implement ED’s interagency agreement with DOL violate both sets of restrictions.

Launching Title IX Investigations into 18 Educational Institutions

On January 14, ED announced a string of Title IX investigations into 18 K-12 and higher education entities with policies that allow transgender students to play on sports teams aligning with their gender identity. The entities under investigation include New York City Department of Education, Washington’s Tacoma Public Schools, and Hawaii State Department of Education.

Is this Legal?

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As NEA explained in this guidance, under existing legal precedent, Title IX protections should be understood to extend to transgender students. ED cannot change Title IX or overrule court decisions interpreting it. The U.S. Supreme Court is expected to decide later this year whether state laws limiting transgender athlete participation violate Title IX or the Equal Protection Clause.

Implementing New Federal Student Loan Caps

On January 30, ED published a proposed rule implementing the One Big Beautiful Bill Act’s limits on the federal student loan aid available to graduate students. Under the Act, starting in July 2026, new borrowers can take out only $20,500 per year in federal student loans for most graduate programs, but students in “professional degree” programs may borrow up to $50,000 per year. ED’s proposed rule would classify teaching, nursing, and social work degree programs, among others, as “non-professional” and therefore subject to the lower cap. The proposal is open for public comment until March 2.

Is this Legal?

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ED’s proposed rule reflects consensus reached in negotiated rulemaking under the Higher Education Act, but ED still must follow standard APA notice and comment procedures to finalize the rule. After publishing the proposal and accepting comments, ED next must consider significant comments and address them in its final rule. Failure to do so could invalidate the regulation.

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January 9, 2026

Litigation Updates

NEA Victory: Court Halts Trump Administration Effort to Close FMCS

On December 30, a New York district judge granted summary judgment vacating a new Federal Mediation and Conciliation Service (FMCS) policy limiting the kinds of labor disputes eligible for mediation. FMCS enacted the policy in response to a March Executive Order that directed Trump Administration officials to shutter the Federal Mediation and Conciliation Service (FMCS). The court ruled that the policy, which bars smaller bargaining units from pursuing mediation in labor disputes, and the resultant mass layoffs of FMCS employees, were arbitrary and capricious under the Administrative Procedure Act (APA). As a result, FMCS was ordered to reverse the reductions-in-force (RIFs). The lawsuit was brought by a coalition of unions, including NEA and the Ohio Education Association.

District Judge Rules School-Based Mental Health Grant Cancelations Unlawful

On December 19, a Washington state district judge granted summary judgement vacating the Department of Education's (ED's) discontinuations of school-based mental health grants in 16 states based on grantees’ alleged “DEI activities.” The court found that the discontinuations violated the APA because ED did not comply with regulatory procedures, provide individualized explanations for the decisions, or account for reliance interests. ED must now make new continuation decisions for each of 138 grants in the plaintiff states. The ruling builds on an October preliminary injunction that blocked many of the discontinuations, and came one week after ED awarded $208 million in new school-based mental health grants, with the condition that grantees may not use funds to promote “gender ideology” or DEI.

District Judge Blocks Federal RIFs From October 1 - January 30

On December 17, a California district judge issued a preliminary injunction barring the Trump Administration from implementing RIFs at ED and other agencies between October 1st and January 30 and directing the Administration to rescind all RIF notices issued to employees at those agencies during last fall’s government shutdown. The order forces the Administration to comply with a provision in the November 2025 Continuing Resolution that prohibits any further federal RIFs through January 30. The Administration appealed the order in late December, but withdrew its appeal without explanation on January 2.

District Judge Upholds Trump H-1B Visa Fee Proclamation

On December 23, a D.C. district judge upheld as lawful President Trump’s September 19 proclamation requiring employers to pay an additional $100,000 fee before new H-1B visa applications may be processed. On December 12, a coalition of 20 states filed a separate lawsuit in Massachusetts challenging the proclamation. An NEA analysis shows that in fiscal year 2025, over 2,300 H-1B visa holders were employed across more than 500 K–12 public school districts nationwide.

DOJ Sues Virginia Over In-State Tuition for Undocumented Students

On December 29, the Department of Justice (DOJ) sued the state of Virginia, claiming that its policy allowing undocumented students to pay in-state tuition at public colleges and universities is preempted by federal immigration laws. Virginia officials filed a joint motion siding with the federal government, a first step toward a consent judgment to end the policy. The Legal Aid Justice Center and the ACLU of Virginia filed an emergency motion to intervene on behalf of the Dream Project. This is DOJ’s seventh such challenge. Cases in California, Minnesota, Illinois, and Kentucky (where a third-party intervenor is defending the state’s policy) are pending; Texas and Oklahoma agreed in consent judgments to end their policies.

Texas AFT Sues State Over Alleged Retaliation for Educators’ Speech

On January 6, the Texas American Federation of Teachers (Texas AFT) filed a lawsuit against the Texas Education Agency, challenging its policy directing school districts to report off-duty educator speech perceived as critical of right-wing activist Charlie Kirk following his assassination. The complaint contends that the policy violates the First Amendment by retaliating against public-school employees for views expressed in their social media posts and has resulted in the firing, suspension, and discipline of AFT members. Texas AFT alleges that the directive is unconstitutionally vague and overbroad, thereby enabling arbitrary enforcement, and seeks a preliminary injunction.

Recent Executive Actions Impacting Education

Terminating $168 Million in Community Schools Grants

On December 12, the Department of Education abruptly canceled $168 million across 19 grants in 11 states and D.C. under the Full-Service Community Schools program (FSCS). The grants, which supported school-based wraparound services for students, families, and communities, were discontinued just two weeks before the grantees expected to receive their 2026 funding, on January 1st. ED claims that the canceled awards promoted disfavored “DEI activities” that the Trump Administration considers unlawful.

Is this Legal?

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Three lawsuits have been filed challenging the discontinuations. ED can only cancel or discontinue previously awarded grants through statutory and regulatory processes, and only for limited reasons that generally do not include policy or political disagreements with grantees’ planned activities. ED has not complied with these requirements, making the discontinuations unlawful. Further, as several courts have already found, Title VI precedent does not support the Administration’s claim that programs and policies promoting DEI are unlawful.

Waiving ESEA Requirements for Iowa

On January 7, ED approved the state of Iowa’s request for a waiver of statutory restrictions on its use of certain federal funds under the Elementary and Secondary Education Act (ESEA). ED’s decision allows Iowa to consolidate a small portion of its state-activities funds from four separate ESEA formula grants into a single state-level block grant instead of managing them separately. Iowa requested the waiver, which marks the first time ED has allowed a state to consolidate ESEA funds, after ED encouraged states to apply for permission to bypass statutory limits on ESEA funds in a July Dear Colleague Letter.

Is this Legal?

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The Secretary of Education has relatively broad authority under the ESEA to waive statutory and regulatory requirements, subject to important limits set forth in the law. For example, the Secretary cannot change the allocation or distribution of federal formula grants to states, school districts, or other recipients and cannot allow states to skirt the ESEA’s accountability requirements. The Iowa waiver, which applies only to ESEA funds allocated for state-level activities, appears to comply with these restrictions. In contrast, a decision by ED to grant Indiana’s pending request to convert all of its ESEA funds into a single, unrestricted block grant would likely be unlawful.

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December 12, 2025

Recent Executive Actions Impacting Education

Rescinding Title VI Disparate Impact Regulations

On December 10, the Department of Justice (DOJ) published a final rule that eliminates regulations providing for disparate-impact liability under Title VI. This move ends longstanding civil-rights protections that prohibit DOJ funding recipients from maintaining policies that disproportionately harm people of color. DOJ claims its new policy is consistent with Trump’s April executive order (EO) directing the Attorney General to repeal disparate-impact regulations and the U.S. Supreme Court’s decision in Students for Fair Admissions v. President & Fellows of Harvard College (“SFFA”). The rule takes immediate effect and was issued without prior notice or opportunity for public comment. While the rescission formally applies only to DOJ programs, DOJ’s role in coordinating Title VI enforcement across the federal government means that other agencies are likely to follow.

Is it Legal?

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The “serious concerns” that DOJ has asserted regarding the legality of disparate impact are baseless. The Supreme Court has repeatedly upheld the constitutionality of disparate-impact liability (as recently as 2015) and did not consider it in SFFA, which addressed only race-conscious college admissions under the Equal Protection Clause. Additionally, the Administrative Procedure Act (APA) requires DOJ to provide prior notice and an opportunity for public comment before issuing a final rule. While the APA excuses agencies from these procedural requirements in certain circumstances, those exceptions do not apply here. DOJ’s final rule also upends decades of civil rights practice by making it easier for federal funding recipients to unlawfully discriminate. The APA demands that when a rule has a profound effect on civil rights and issues of public concern, the public must be given an opportunity to weigh in.

Directing RIF’d OCR Employees to Return to Work Amidst Complaint Backlog

On December 5, the Department of Education (ED) ordered approximately 250 Office for Civil Rights (OCR) employees currently on administrative leave to return to work to help tackle a backlog of over 25,000 discrimination complaints. ED laid off the impacted workers in March and subsequently reinstated them pursuant to a court order. After an appellate court stayed that order, on October 14, ED issued new reduction-in-force (RIF) notices to the employees, which are subject to renewed legal challenges. ED did not specify how many of the 250 workers will return to duty starting December 15th, but indicated that it still intends to proceed with the RIFs moving forward.

Is this Legal?

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The October 14 OCR re-RIF notices are part of a pending lawsuit in California challenging the legality of the Administration’s mass RIFs during the government shutdown. Last week, the judge issued a temporary restraining order blocking the firings of State Department employees, citing Congress’s November continuing resolution which bars the Administration from initiating or implementing RIFs announced during the shutdown until January 31, 2026. The plaintiffs claim that implementation of the OCR re-RIFs, which ED initiated during the shutdown, would similarly violate the continuing resolution. A preliminary injunction hearing is scheduled for December 17.

Proposing New Federal Student Loans Caps

On November 6, ED announced a proposed rule that would implement changes to Federal Student Aid as required by the One Big Beautiful Bill Act,” including a new Repayment Assistance Plan that would lower the federal student loan cap for most graduate students. The law subjects new borrowers to annual federal lending limits of $20,500 for graduate programs starting in July 2026 and requires ED to identify “professional degree” programs eligible for a higher federal loan cap of $50,000 per year. ED’s proposed rule would comply with this requirement by classifying teaching, nursing, and social work degree programs, among others, as “non-professional” degree programs and therefore ineligible for the higher borrowing limits. The proposed rule will be published in the Federal Register and open for public comment in early 2026.

Is this Legal?

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The proposed rule reflects consensus reached by the negotiated rulemaking committee pursuant to the Higher Education Act, but still must go through the standard APA notice and comment procedure before it is final. A failure by ED to complete this process or to address significant comments received could invalidate the final rule.

Litigation Updates

SCOTUS Will Hear Birthright Citizenship Challenge

On December 5, the U.S. Supreme Court granted certiorari in Trump v. Barbara, one of several cases challenging Trump’s EO purporting to eliminate birthright citizenship. A New Hampshire district court partially enjoined the EO in July, barring the Administration from enforcing the EO against children born on or after February 20, 2025.

Courts Weigh Trump’s Authority to Fire Independent Agency Leaders

On December 5, the D.C. Circuit held in a 2-1 decision that the President can remove members of the National Labor Relations Board and Merit Systems Protection Board at will. The majority reasoned that these independent agencies exercise executive rather than quasi-legislative or quasi-judicial authority, and Congress therefore cannot restrict the President’s power to fire their members. On December 8th, the U.S. Supreme Court heard oral argument in a third removal case, Trump v. Slaughter, which challenges Trump’s firing of a Federal Trade Commissioner. The decision in Slaughter will likely be issued by June 2026 and is expected to overturn decades-old precedent holding that the President can remove independent agency officials only for cause, and instead hold that the President has unlimited power to remove independent and quasi-independent agency officials.

SCOTUS Orders Appeals Court to Reconsider Exemptions to School Vaccine Policies

On December 8, the U.S. Supreme Court directed the Second Circuit to rehear Miller v. McDonald a case upholding New York’s 2019 decision to eliminate religious exemptions from school vaccine mandates following a severe measles outbreak in light of Mahmoud v. Taylor, which held that schools must allow parents to opt their children out of curricular activities and materials that conflict with their religious beliefs. The instruction suggests that the Court may be disposed to find that the First Amendment requires states to permit religious exemptions from otherwise-universal vaccine mandates.

Appeals Court Upholds Block on ED's Termination of School Mental Health Grants

On December 4, the Ninth Circuit denied ED’s motion to stay a preliminary injunction that blocks the agency from discontinuing 49 school-based mental health grants in 15 states pending the government’s appeal on the merits of the order. A Washington state district court enjoined the discontinuations in October, finding them to be arbitrary and capricious in violation of the APA and likely to inflict concrete, irreparable harm on the plaintiff states, students, parents, and educators.

DOJ Sues California Over In-State Tuition for Undocumented Students

On November 20, DOJ sued the state of California, claiming that its policy allowing undocumented students to pay in-state tuition at public colleges and universities is preempted by federal immigration laws. This is DOJ’s sixth such challenge: Texas and Oklahoma agreed in consent judgments to end their policies, while cases in Minnesota, Illinois, and Kentucky (where a third-party intervenor is defending the state’s policy) are still pending.

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