This client alert was co-authored by Bruce Thompson, Nina Gupta, Reagan Sauls, Beth Morris, and MaryGrace Bell Kittrell of Parker Poe. 

Due to campaign promises and statements made by the incoming Trump administration, we thought we would give our clients an update on the state of the potential elimination of the U.S. Department of Education (DOE), including how it could happen and what it would mean for K-12 schools and colleges and universities. 

Efforts to eliminate the DOE actually go back more than four decades. But due to political opposition, proposals over the department’s existence have not led to significant change. 

That debate is back at the forefront with the election last month of President-elect Donald Trump. Sen. Mike Rounds, R-SD, introduced legislation in mid-November to abolish the agency. Democrats control the Senate, so there will be no action on the bill this year. However, Rounds will likely introduce identical legislation next year when Republicans regain control of that chamber in January 2025. Rep. Thomas Massie, R-KY, also announced that he will file legislation in the next Congress to accomplish this goal. Republicans will maintain a slim majority in the House of Representatives for the next session of Congress. 

For K-12 schools and colleges and universities, the swirl of national headlines on the topic can lead to serious questions not only over the future of the DOE, but what the legal, regulatory, and legislative processes entail to abolish a federal agency. Our intention is to ensure that you are informed of the actual process and what it could mean to you. There is a great deal of confusion and apprehension about what the next steps might be, let alone the potential ramifications. Questions about the DOE’s future include: What does this mean for oversight of local educational agencies? What happens to federally funded educational programs? What about the billions in higher education grant funding? 

Beyond the talking points, having a seat at the table is of utmost importance as Congress and the new Trump administration will attempt to make sweeping changes. Opposition to those proposed changes will need to be present during important policy discussions, which makes a federal strategy imperative. 

Legislation Needed to Eliminate the Department

Dismantling the DOE would be a complex process involving significant legal, political, and practical challenges. 

The primary method for dismantling a federal agency such as the DOE would be through legislation. It cannot be eliminated by executive order alone. Congress would need to pass a bill to abolish the department, outlining the transfer or cessation of its functions. The bill would need to pass through both chambers of Congress and be signed by the president to become law. Republicans hold the majority in both chambers — but with only narrow margins and could afford to lose only a few votes (assuming all Democrats voted in opposition to the bill). Thus, it is not all that likely (but not impossible) that such a bill would pass.

Potential Fallout if DOE Is Eliminated

While education is not explicitly mentioned in the U.S. Constitution, the federal government has been involved in education for over a century, particularly since the 1960s. A proposal to dismantle the DOE might raise legal and constitutional concerns over how education policy is shaped without federal oversight.

Federal laws governing education, such as the Civil Rights Act, the Individuals with Disabilities Education Act (IDEA), and the Elementary and Secondary Education Act (ESEA), would need to be readdressed and possibly revised to ensure that the protections currently in place are maintained at the state level.

If the DOE were dismantled, its responsibilities would need to be reassigned. Some of its functions might be transferred to other federal agencies, such as the Department of Health and Human Services (HHS) for certain programs like Head Start, or the Department of Labor (DOL) for workforce development initiatives.

In theory, many of the DOE’s functions, such as school funding, curriculum standards, and testing, could be fully transferred to individual states. Education policy could become entirely a state responsibility, with federal oversight dramatically reduced or eliminated.

Importantly, a significant portion of the DOE’s responsibilities involves distributing federal funds for K-12 education, higher education, and student loans. Dismantling the department would create a logistical challenge for managing these funds, and new systems would need to be established to ensure that these funds were still allocated as they are currently.

Impact of DOE Dismantling on K-12 Education

Most importantly, K-12 schools across the country rely on the federal government for critical funding programs such as those that support low-income students (including through Title I) and students with disabilities (under the IDEA), potentially reducing or eliminating money for schools. Besides those two programs, the DOE also will spend $2.18 billion on career, technical, and adult education in the 2024 fiscal year. 

K-12 school administrators should consider the following in case the DOE is eliminated:

• How funding will be provided for key programs and whether state and local governments will have to fill the gaps.
   
• How oversight of federal laws will be implemented and by what agency, state or federal. 
   
• What sort of structure will need to be in place at the state level to ensure IDEA is completely funded and how those decisions are made. 
   
• How the calls for school choice/school voucher mandates could impact local educational agencies and funding for current public education.
   
• How data on educational programming will be collected and distributed, if at all.

Impact of DOE Dismantling on Higher Education

Undergraduate and graduate students in 2023 and 2024 received a little over $160 billion in federal grant aid. That number illustrates the significant ties between federal funding and higher education institutions.

Without the DOE, potential funding programs could be significantly impacted. In the 2024 fiscal year, the federal government will spend:

• $24.6 billion on federal student aid programs, including $31.4 billion on Pell Grants. The maximum Pell Grant award for the 2024–2025 award year is $7,395.
   
• $1.2 billion on Federal Work-Study (FWS) programs
   
• $3.3 billion on higher education programs
   
• $910 million on the Federal Supplemental Educational Opportunity Grant (FSEOG) program
   
• $171 million on the Fund for the Improvement of Postsecondary Education 

Higher education institutions should consider the following in case the DOE is eliminated:  

• Students could have a harder time accessing federal financial aid.
   
• Responsibility for accrediting universities and colleges could be transferred to the states.
   
• Research data on colleges would no longer be provided.

Final Takeaways

While eliminating the DOE is legally and legislatively possible, it would require a significant political push and cannot be done through a presidential executive order. In outlining his view of eliminating the department, Trump talked about "sending all education and education work and needs back to the states" and he and his allies have discussed wanting to expand school choice, which would allow students and families to select alternatives to public schools.  

Any effort to dismantle the DOE would face serious opposition from those who view federal involvement in education as essential for ensuring equity and quality. Such a change would have deep and far-reaching implications for the educational landscape in the United States.

Organizations that support students, teachers, and marginalized groups in education would likely strongly oppose the dismantling of the DOE, arguing that it ensures fairness and access to quality education across all states. 

Many educators rely on federal guidelines, support, and funding for their classrooms, and the loss of federal oversight might lead to disparities in education quality between states or regions.

We plan to provide more information for our education clients in two upcoming webinars at the beginning of the year.

• Click here to register for our January 17 webinar for K-12 schools.
   
• Click here to register for our February 7 webinar for higher education institutions.

For more information on what you and your organization can do proactively, please contact Ken Preede with Parker Poe Federal Strategies or Bruce Thompson of Parker Poe. You can also contact your regular Parker Poe Consulting contact.