Trump releases nearly $1B in delayed funds for California, SLO County schools
AI-generated summary reviewed by our newsroom.
- Trump administration releases funding withheld from California.
- Funding reinstates support for adult education, after-school and teacher training in SLO County.
- Lawsuits from state officials and educators pressured reversal of funding freeze.
The Trump administration will release $5.5 billion in federal education funding that was previously withheld from public schools in 33 states, including an estimated $939 million that California schools were relying on for their 2025-26 academic year — including some that were withheld from the San Luis Obispo County Office of Education.
The freed-up grants support state programs including adult education, after-school services, teacher training, and services for marginalized students such as children of migrant workers and English learners. Nationwide, the freeze had thrown school districts into budget turmoil just weeks before the academic year, disrupting plans for staffing, curriculum, and student support services.
In SLO County, the hold forced the county office to operate its summer migrant education programming at just a fraction of what it normally would, leaving children without the bulk of the summer learning support they would typically receive.
The freeze also put other programs and staffing positions at risk, according to SLO County assistant superintendent of educational support services Joe Koski, who prior to the release of the funds, described the disruptive freeze as “unprecedented.”
The Trump administration faced growing bipartisan pressure over its decision to withhold nearly $7 billion in education funding approved by Congress, according to The New York Times, including a rare public letter from 10 Senate Republicans urging the White House to release the money.
The disbursement on July 1 was abruptly frozen the day prior.
In its brief letter announcing the freeze, the U.S. Department of Education notified states that it was reviewing several grant programs for compliance with President Donald Trump’s policy priorities after finding some money had been “grossly misused to subsidize a radical left-wing agenda.” The agency said final decisions had not been made about awards for the upcoming school year.
But an administration official, acknowledging the pushback, said Friday that “guardrails” would ensure funds are not used in violation of executive orders or administration policy, according to The Washington Post.
California school programs ‘can breathe a little easier’
Despite the uncertainty, California officials viewed the move as a victory.
Earlier this month, California Attorney General Rob Bonta joined a suit alongside 23 other state attorneys general, arguing the freeze violated federal law by blocking funds already allocated by Congress. Separately, the California Federation of Teachers joined a federal lawsuit led by school districts, teachers, and education advocates.
CFT President Jeffrey Freitas said he learned of the reversal while attending an event in Washington, D.C., for the American Federation of Teachers.
“Everyone in that room is an educator throughout the country and they knew what this impoundment meant and they know what freeing these dollars up means from the students and for public education,” he said.
Freitas called the release a win, but said ongoing legal and political resistance was necessary.
“It just proves that he’s continually violating the law and we’ll have to continue fighting him through the courts, through protests and nonviolent marches,” he said. “But he needs to be stopped eventually through the ballot box.”
Also on Wednesday, Bonta and 20 other attorneys general reached an agreement blocking the administration from expanding ineligibility for public benefits based on immigration status. The policy shift would have affected access to programs such as Head Start and adult education.
“The Trump administration threw Head Start and other social safety net programs into chaos when it abruptly reversed nearly three decades of federal law and policy that opened these programs up to all,” said Bonta. “With today’s agreement, these critical programs — and the families who rely on them — can breathe a little easier. California will not back down in the fight to protect access to these programs that help ensure that our communities thrive.”
The blocked funding included more than $2 billion nationally for teacher recruitment and training in underserved areas, arts and music programs, and language instruction for English learners — services heavily relied upon by both urban and rural districts.
Ten Republican senators joined Democrats in a rare bipartisan letter urging the administration to reverse course, citing widespread disruption in school operations across the country.
How were SLO County schools affected?
The funding freeze, announced one day before scheduled disbursements, disrupted school budgets statewide. Districts had already made staffing and programming decisions based on anticipated federal aid.
Although the grants account for less than 1% of the state’s annual K-12 budget, educators said the cuts would have had significant effects. Freitas warned that schools faced the prospect of larger class sizes, teacher layoffs, and reduced programming.
In SLO County, the Office of Education runs a year-long migrant education program, but the summer programming is typically the most popular.
As a result of the funding freeze, the program was operating at about 30% of what it normally would, leaving students with fewer resources and supports, Koski said, prior to the funds being released.
By reducing the program by 70%, the county also had to reduce staff, he said.
Though the migrant education program took one of the heaviest hits, Koksi said the funding freeze was affecting other county programming including juvenile education and other programs.
At the district level, staff could have lost out on professional development opportunities and after-school programs, according to the county office.
Koski also warned that staff positions funded by federal dollars — typically paraprofessionals staged in classrooms to offer extra support to students — could have been if the funds remained frozen.
This story was originally published July 28, 2025 at 2:31 PM with the headline "Trump releases nearly $1B in delayed funds for California, SLO County schools."
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