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ST. PAUL, Minn., July 1, 2025 – Education Minnesota condemned the Trump administration’s decision to withhold $6.8 billion in congressionally approved funding from states, calling the move an illegal attack on public education that will harm Minnesota’s students, families and communities.
Media outlets have reported the administration notified states on Monday that it would not release the funding by Tuesday’s July 1 deadline as required by federal law, breaking legal obligations to distribute resources that support critical programs for educators and vulnerable students.
Minnesota stands to lose approximately $67 million from this funding freeze, including about $27 million specifically earmarked for professional development that helps teachers stay current with best practices and educational innovations, according to data from the Learning Policy Institute.
The withheld federal grants also support the education of students new to the United States, after-school programs in high-poverty areas and English language learners – programs that serve some of Minnesota’s most at-risk student populations.
Minnesota relies on federal funding to supplement state and local resources, with the state’s E-12 schools receiving funding from a mix of local, state and federal sources. The sudden withholding of this congressionally appropriated money threatens about 11% of the state’s expected funding from the U.S. Department of Education, according to LPI.
“This is not just a budget cut – it’s an assault on the rule of law and our commitment to every child’s right to a quality education,” said Monica Byron, president of Education Minnesota. “Trump is stealing money from classrooms to pay for more tax breaks for billionaires, and Minnesota students will pay the price.”
The withheld funding compounds the damage from the “One Big Beautiful Bill Act,” which the U.S. Senate narrowly passed this morning, which includes more than $1 trillion in cuts to Medicaid and food stamps, slashes essential education funding and creates a federal school voucher system that will divert taxpayer dollars to private schools. Federal cuts of that size would cause chaos in the state budget, which provides most of the money for Minnesota school districts. The federal bill now goes back to the U.S. House for approval.
“By withholding funding that Congress has already approved, the Trump administration is playing politics with our children’s futures,” Byron said. “To protect our schools from devastating cuts from Washington, many voters may be asked this fall to approve tax increases. It’s unfortunate, but right now our students are at the mercy of Republicans in Congress who will either stand up to the president or pass the buck to local taxpayers.”
Byron became president of Education Minnesota on July 1. Former president Denise Specht did not run for reelection.
About Education Minnesota
Education Minnesota is the voice for professional educators and students. Education Minnesota’s members include teachers and education support professionals in Minnesota’s public school districts, faculty members at Minnesota’s community and technical colleges and University of Minnesota campuses in Duluth and Crookston, retired educators and student teachers. Education Minnesota is affiliated with the American Federation of Teachers, National Education Association and AFL-CIO.