Archives for category: Funding
« Older Entries
Newer Entries »

John Thompson: Trump’s “One Big Ugly Bill” Will Kill Millions of People And Won’t Save Money

By dianeravitch
July 22, 2025 //
4

Trump (or more likely, his puppetmaster Russell Vought, Director of the Office of Budget and Management [OMB]) pulled the wool over the eyes of the Republicans who control Congress.

Trump insisted that he would rein in the budget; he brought in Elon Musk and his Kiddie Corps, to shut down vital functions of the federal government and pare the federal workforce. But Trump’s newly enacted budget adds at least 3 trillions to the deficit.

But first a word about Russell Vought. He was the primary author and editor of Project 2025, which is a blueprint for Trump’s second term. He worked at the far-right Heritage Foundation before the election. Now as director of OMB, he holds the most consequential job in the federal government. OMB decides which programs are priorities and which are not, which need more funding and which do not.

To understand the Trump administration’s policies and goals, read Project 2025. During the campaign, Trump pretended to know nothing about Project 2025. He lied.

John Thompson, historian and retired teacher in Oklahoma, writes here about the real human costs of this evil plan.

He writes:

Even though my primary focus is on public education, I have been concentrating on President Trump’s so-called “Big, Beautiful Bill,” which is estimated to increase the federal deficit by $3.3 trillion, or more. 

My biggest concerns, however, were budget cuts that will likely result in the world-wide loss of untold millions of lives. For instance, even before Trump dramatically increased the subsidies for fossil fuel production, and undercut non-fossil fuel production, it was estimated that by 2049 global warming would cost the global economy $38 trillion per year, and that over 2 billion years of healthy lives would be lost by 2050.

Moreover, Robert F. Kennedy’s attacks on medical science and vaccines could result in pandemics that cost millions of lives. In fact, Kennedy’s attacks on Gavi vaccines would undermine a public health process which would likely save an estimated 8 million lives across the world by 2030.     

And it is estimated that the USAID programs Trump cut “have saved over 90 million lives over the past two decades.” It is now estimated that by 2030 those cuts could cost the lives of 14 million people.

Since the Trump plan passed through Congress, I’ve been catching up on the interconnected ways that it undermines education.

As Chalkbeat reported, this bill:

Slashes spending on Medicaid, which provides health insurance to some 37 million children and is a critical revenue source for schools. It also limits eligibility for the Supplemental Nutrition Assistance Program, or SNAP, which provides food assistance to over 13 million children and makes kids automatically eligible for free meals at school.

Its revised tax credit will hurt an additional two million children. 

Moreover, the cuts will hurt the funding of hospitals and other medical service providers.

And anti-immigration raids will increase chronic absenteeism rates, and “have significant effects on children’s physical and mental health, as well as on broader school climate.”

And that brings me back to the damage done to Oklahoma students. As the Oklahoma Voice reports:

The Trump administration is indefinitely withholding more than $70 million in federal education programs meant for Oklahoma students and educators, including money for teacher development, English learners, after-care programs and migrant children.

Every day I hear about the results caused by threats to the $15.68 million that were authorized, but not delivered for before- and after-school programs, and the “$6.43 million dedicated for the 13% of Oklahoma students learning English as their non-native language.” 

In the Oklahoma City Public Schools, for instance, “47% of students are learning English as their second language. The district expected $1.1 million in federal revenue from Title III, which supports English learners.”

Finally, I recently attended the OK Justice Circle’s Breaking Bread with the Hispanic Community where educators and service providers described the cruelty that Hispanic students were facing. For instance, as a panelist was leaving for the conference, a student told her that she is studying the Holocaust. The student was worried about the tragedies that immigrants like her were experiencing, and how awful they could become.

The educator further explained that a big majority of her students are Hispanic. Due in large part to the current deportation campaign, at times, absenteeism has surged to 30% to 40%. And many students come to school every day with their birth certificates in the backpack in case they have to face raids by the United States Immigration and Customs Enforcement (ICE).

The panelists explained how deportations of family members have produced a surge in the wide, interconnected, and painful crises that undermine student learning.

One of the services that schools can provide is referring students and families to nonprofit and public institutions. In an especially revealing set of discussions, educators described their “do-s and don’t-s” when sharing immigration information with patrons. 

But those statements are based on trust in the law and procedures that ICE agents are required to follow.  Today, it was agreed, it is hard to trust the immigration process.

As I struggled to reach the best possible emotional balance when evaluating the brutality imposed on children, families, and people across the world, I received a message from the Oklahoma Appleseed Center for Law and Justice. It’s Executive Director, Colleen McCarty, expressed the frustration that I continually hear:

Congress passed the so-called “Big Beautiful Bill”—a piece of legislation wrapped in soundbites and flag pins—that will strip thousands of Oklahomans of life-saving healthcare. It will supercharge Immigration and Customs Enforcement, giving new power and resources to deport millions of people, tear families apart, and criminalize human existence based on borders and skin color. 

But she is committed to “stand in one courtroom fighting for freedom,” even though she leaves “to find the government systematically dismantling it on the largest scale imaginable.” 

We also must continue to fight both legal and political battles in defense of our democracy.

Categories Accountability, Childhood, Cruelty, Disruption, Economy, Elections, Ethics, Evil, Extremism, Fraud, Funding, Health, Science, Trump

Write Secretary McMahon Now: Release the Money to Schools!

By dianeravitch
July 21, 2025 //
4

Secretary of Education Linda McMahon has frozen $8.6 billion that Congress appropriated for students this summer. The Administration is supposed to spend the money that Congress authorized and appropriated, not withhold it.

Write Secretary McMahon NOW.

The Network for Public Education urges you to take action!

Open the link and fill out the form to lodge your protest.

#RELEASEFUNDS4SCHOOLS

Just weeks before the school year begins, Secretary of Education Linda McMahon is refusing to release $8.6 billion in federal funds that Congress approved for public schools.

This is more than a funding freeze—it’s a test run for permanent cuts. And unless we act now, our schools will pay the price. Send your letter to Linda McMahon.

2. Email Congress. Even if you’ve written before, send another message.

3. Call the U.S. Department of Education: 1-800-647-8733. Press 5 to report a violation of law regarding the lack of disbursement of approved federal funds by the U.S. Department of Education.  You can leave a message. 

#ReleaseFunds4Schools

TAKE ACTION

FIRST NAME *

LAST NAME *

EMAIL *

STREET ADDRESS *

CITY *

ZIP/POSTAL CODE *

Not in US?

  • Opt in to email updates from Network for Public Education 

Network for Public Education

P.O. Box 227
New York, New York 10156

info@networkforpubliceducation.org
(646) 678-4477

We are a 501 (c)(3). Please make a tax deductible donation to the Network for Public Education.

EIN 35-2532243

Open the link and add your name!!

Categories Accountability, Funding, Network for Public Education, U.S. Department of Education

Trump Budget Guts Scientific Research

By dianeravitch
July 11, 2025 //
3

William J. Broad, science writer for The New York Times, reports on the Trump administration’s draconian cuts to scientific research. As the U.S. cuts back on investments in basic research, China is increasing its spending.

I invite anyone who reads this to try to explain why this administration is reducing spending on scientific research.

Broad writes:

President Trump’s budget plan guts federal science funding for the next fiscal year, according to an overview published by an external group. Particularly at risk is the category of basic research — the blue-sky variety meant to push back the frontiers of human knowledge and sow practical spinoffs and breakthroughs in such everyday fields as health care and artificial intelligence.

The group says it would fall by more than one-third.

The new analysis, made public Wednesday by the American Association for the Advancement of Science, a general scientific society based in Washington, D.C., added up cuts to the budgets of hundreds of federal agencies and programs that do scientific research or provide grants to universities and research bodies. It then compared the funding appropriated for the current fiscal year with the administration’s proposals for fiscal year 2026.

For basic science research, the association reported that the overall budget would fall to $30 billion from $45 billion, a drop of roughly 34 percent. For science funding overall — which includes money for basic, applied and developmental work, as well as for facilities for research and development — the analysis found that the federal budget would fall to $154 billion from $198 billion, a drop of 22 percent.

The new analysis shows that the Trump administration’s budget plan, if adopted, “would essentially end America’s longstanding role as the world leader in science and innovation,” said Toby Smith, senior vice president for government relations and public policy at the Association of American Universities.

His group, Mr. Smith added, is working with Congress to develop “a funding plan for strategic investment that would help to sustain continued American scientific leadership rather than destroying it.”

Mary Woolley, president of Research America, a nonprofit group that promotes science, said the new analysis showed that the budget plan “is threatening not only science but the American public. If approved by Congress, it will make the public less safe, poorer and sicker.”

Victoria LaCivita, a spokeswoman for the White House Office of Science and Technology Policy, did not reply to a request for comment on the new analysis.

In early May, the White House unveiled a budget blueprint that listed proposed cuts to a handful of science agencies. For instance, it sought a reduction in the budget of the National Science Foundation, which sponsors much basic research, to $3.9 billion from $8.8 billion, a drop of 55.8 percent.

Alessandra Zimmermann, a budget analyst at the science association, said in an interview that the comprehensive analysis drew on several hundred proposed budgets from federal science agencies and programs, as well as figures supplied by the White House Office of Management and Budget. In May, the budget office made public the rough sketch of the administration’s overall proposal for next year but included only a small number of science agencies and figures.

The Gutting of America’s Medical Research: Here Is Every Canceled or Delayed N.I.H. Grant. Some cuts have been starkly visible, but the country’s medical grant-making machinery has also radically transformed outside the public eye.

Ms. Zimmermann added that the association’s new compilations would be updated as new budget data from federal agencies and programs became available. However, she said, the group’s estimates of cuts to federal basic research are “not going to be undone by a minor number change.”

The science group has long recorded the ups and downs of the federal government’s annual spending on science. Taking inflation into account, Ms. Zimmermann said the administration’s proposed cut of $44 billion would, if approved, make the $154 billion figure the smallest amount that the federal government has spent on science in this century…

In May, science appeared to be high on the list for significant funding cuts, while large increases were proposed for the Pentagon and Homeland Security. Until the science association updated its reports on the proposed presidential budget for fiscal year 2026, however, the public had no clear indication of the overall size of the federal cuts.

The proposed drop in federal funding for science research, if approved by Congress, could let China match or take the lead in global science investments, Ms. Zimmermann said.

In April, the science group published figuresshowing that China had greatly increased support for its scientific enterprise in the past two decades. As of 2023 — the most recent year available for comparisons — China’s investment was close to equaling that of the United States.

Experts say it could take years of data gathering to know if China is pulling into the lead.

Categories Budget Cuts, Economy, Extremism, Funding, Health, Research, Science, Stupid, Trump

Ted Cruz Slashed NOAA Funding for Weather Forecasting in Trump Budget

By dianeravitch
July 10, 2025 //
12

Since the disaster in Texas, where more than 100 lives were lost to a flash flood in the middle of the night, Senator Ted Cruz has been readily available to comment for every television camera.

He has warned Democrats and Republicans alike not to politicize the tragic events (forgetting that Republicans pounced on the Los Angeles fires to blame Democrats and DEI as the 98-mile-an-hour winds were still spreading disaster. They blamed Mayor Karen Bass [who is female and Black], they blamed the female leaders of the LA Fire Department, they blamed Governor Gavin Newsom for refusing to turn on an imaginary faucet in Northern California).

What Cruz has not mentioned is that he inserted a cut into Trump’s Big Ugly Bill that slashed $150 million from the National Oceanic and Atmospheric Administration’s budget for forecasting the weather.

The Guardian reported:

“There’s no doubt afterwards we are going to have a serious retrospective as you do after any disaster and say, ‘OK what could be done differently to prevent this disaster?’” Cruz told Fox News. “The fact you have girls asleep in their cabins when flood waters are rising, something went wrong there. We’ve got to fix that and have a better system of warnings to get kids out of harm’s way.”

The National Weather Service has faced scrutiny in the wake of the disaster after underestimating the amount of rainfall that was dumped upon central Texas, triggering floods that caused the deaths and about $20bn in estimated economic damages. Late-night alerts about the dangerous floods were issued by the service but the timeliness of the response, and coordination with local emergency services, will be reviewed by officials.

But before his Grecian holiday, Cruz ensured a reduction in funding to the National Oceanic and Atmospheric Administration’s (Noaa) efforts to improve future weather forecasting of events that cause the sort of extreme floods that are being worsened by the human-caused climate crisis.

Cruz inserted language into the Republicans’ “big beautiful” reconciliation bill, before its signing by Donald Trump on Friday, that eliminates a $150m fund to “accelerate advances and improvements in research, observation systems, modeling, forecasting, assessments, and dissemination of information to the public” around weather forecasting.

Cruz was vacationing in Greece with his family when the flood occurred. A few years ago, when the power grid in Texas collapsed during a bitter cold spell, Cruz and family were on their way to Cancun. Maybe he should put out public alerts about his vacations so we can all be prepared for disasters.

Politifact debunked the claim that Trump totally defunded NOAA and the National Weather Service, it acknowledged that cuts were made (at the insistence of DOGE).

“While the administration has not defunded the NWS or NOAA, it is proposing in 2026 to cut significant research arms of the agency, including the Office of Atmospheric Research, a major hot bed of research,” Matt Lanza, Houston-based meteorologist and editor of The Eyewall, a hurricane and extreme weather website, told PolitiFact. “Multiple labs that produce forecasting tools and research used to improve forecasting would also be impacted. The reorganization that’s proposed would decimate NOAA’s research capability.” 

Categories Accountability, Budget Cuts, Environment, Evil, Extremism, Failure, Funding, Stupid, Texas

Florida: Ousted Staff at New College Say DeSantis’ Allies Raided Restricted Funds to Pay President’s Bloated Salary

By dianeravitch
July 7, 2025 //
0

As part of his war on “woke,” Florida Governor Ron DeSantis packed the board of New College with likeminded right wingers intent on purging the small college’s progressive character.

Two financial officers who were ousted during the transition revealed that the DeSantis board dipped into restricted gifts to pay the bloated salary of DeSantis-selected President, Richard Corcoran, a politician with no academic credentials. In other words, one of DeSantis’s cronies.

Suncoast Searchlight reported:

Two former top finance officers at the New College Foundation say they were ousted in 2023 after pushing back against college administrators who sought to use donor-restricted funds to cover President Richard Corcoran’s salary and benefits — a move they said would violate the terms of the donations.

Ron McDonough, the foundation’s former director of finance, and Declan Sheehy, former director of philanthropy, said they warned administrators not to misuse a major gift — the largest donation in the school’s history — which they said was not intended to fund administrative salaries.

Both said their contracts were terminated after they raised concerns internally. 

“The college was trying to find the money to pay the president,” McDonough said. “And I kept on going back, saying, ‘We don’t have this unrestricted money.’”

The accounts of their final days on the job, shared publicly for the first time with Suncoast Searchlight, come as former foundation board members and alumni demand greater transparency and accountability from New College amid rising costs and sweeping institutional change.

Since Gov. Ron DeSantis appointed a new slate of trustees in early 2023, the small liberal arts college has undergone a dramatic transformation — eliminating its Gender Studies program, reshaping student life, and launching a costly new athletics department. Critics say the administration has also sidelined financial safeguards, raising questions about whether the college is honoring donor intent and maintaining public trust.

Last month, a group of former foundation board members sent Corcoran and New College Foundation executive director Sydney Gruters a demand letter requesting an audit of how restricted donor funds were used and threatening legal action if they do not comply. The letter follows a string of high-profile board resignations and dismissals, including those who held key financial oversight roles.

Their exits, and the college’s move last year to hand Corcoran the unilateral power to fire foundation board members, have deepened fears that independent checks on the foundation’s spending are being systematically dismantled.

A “direct support organization” with close ties to New College, the foundation has never operated independently of the school. But in giving the college president the power to unilaterally remove board members last year, the Board of Trustees further eroded its autonomy. 

“Good governance is not a side item,” said Hazel Bradford, a former foundation board member who sat on the organization’s investments committee and resigned in April, citing concerns about the college’s handling of the foundation. “It’s the beginning and end of any foundation handling other people’s money…”

After the DeSantis-backed overhaul of the Board of Trustees, New College named Corcoran president in early 2023, approving a compensation package that made him the highest-paid president in the college’s history —earning more than $1 million a year in salary and perks.

Because state law limits taxpayer funding for university administrator compensation to $200,000 — an amount that covered only the first four monthsof Corcoran’s salary — New College has turned to its foundation, which manages the school’s endowment and donor funds, to make up the difference.

“Corcoran’s salary is not a one-time thing,” said McDonough. “It’s not sustainable…” 

So the new leadership had to find money to pay Corcoran’s lavish salary, and they turned to the College’s foundation. Most of its funds were restricted by donors for purposes like scholarships. Donor intent is a crucial concept. If a donor give $1 million for scholarships, it should not be used to pay the College president’s salary. Future fundraising will be crippled by violation of that trust.

The older alumni, graduates of the only progressive college in the state, are not likely to make new donations to New College. The new alumni do not yet exist. Maybe Betsy DeVos will bail out New College, which is no longer “new.”

Categories Academic Freedom, DeSantis, Education Reform, Ethics, Florida, Funding, Higher Education

Texas Floods: Staff Cuts at Weather Service, Plus Local Refusal to Pay Taxes for Early Warning=Disaster

By dianeravitch
July 6, 2025 //
10

The disastrous floods that swept through Hill Country and caused the deaths of 80 or more people were made worse by human error.

The New York Times found that the local branches of the National Weather Service were short on staff; critical positions were empty. The computer specialists who worked for Elon Musk in an operation called DOGE decided that too many people worked for the National Weather Service. Some meteorologists took buyouts, others resigned.

Furthermore the affected area did not have an early warning ststem. Local taxpayers didn’t want to pay for it.

The quasi-libertarian belief that we don’t need government services and we shouldn’t pay for them took a toll on innocent people.

The combination of Musk’s ruthless cost-cutting and local hostility to taxes set the stage for a disastrous tragedy.

The Times reported:

Crucial positions at the local offices of the National Weather Service were unfilled as severe rainfall inundated parts of Central Texas on Friday morning, prompting some experts to question whether staffing shortages made it harder for the forecasting agency to coordinate with local emergency managers as floodwaters rose. 

Texas officials appeared to blame the Weather Service for issuing forecasts on Wednesday that underestimated how much rain was coming. But former Weather Service officials said the forecasts were as good as could be expected, given the enormous levels of rainfall and the storm’s unusually abrupt escalation.

The staffing shortages suggested a separate problem, those former officials said — the loss of experienced people who would typically have helped communicate with local authorities in the hours after flash flood warnings were issued overnight. 

The shortages are among the factors likely to be scrutinized as the death toll climbs from the floods. Separate questions have emerged about the preparedness of local communities, including Kerr County’s apparent lack of a local flood warning system. The county, roughly 50 miles northwest of San Antonio, is where many of the deaths occurred. 

In an interview, Rob Kelly, the Kerr County judge and its most senior elected official, said the county did not have a warning system because such systems are expensive, and local residents are resistant to new spending. 

“Taxpayers won’t pay for it,” Mr. Kelly said. Asked if people might reconsider in light of the catastrophe, he said, “I don’t know.”

The National Weather Service’s San Angelo office, which is responsible for some of the areas hit hardest by Friday’s flooding, was missing a senior hydrologist, staff forecaster and meteorologist in charge, according to Tom Fahy, the legislative director for the National Weather Service Employees Organization, the union that represents Weather Service workers.

The Weather Service’s nearby San Antonio office, which covers other areas hit by the floods, also had significant vacancies, including a warning coordination meteorologist and science officer, Mr. Fahy said. Staff members in those positions are meant to work with local emergency managers to plan for floods, including when and how to warn local residents and help them evacuate.

That office’s warning coordination meteorologist left on April 30, after taking the early retirement package the Trump administration used to reduce the number of federal employees, according to a person with knowledge of his departure. 

Sign up for Your Places: Extreme Weather.  Get notified about extreme weather before it happens with custom alerts for places in the U.S. you choose. Get it sent to your inbox.

Some of the openings may predate the current Trump administration. But at both offices, the vacancy rate is roughly double what it was when Mr. Trump returned to the White House in January, according to Mr. Fahy.

Categories Accountability, Disruption, Extremism, Funding, Musk, Elon, Texas

GOP Tax on College Endowments Excludes Some Lucky Winners

By dianeravitch
July 6, 2025 //
2

In 2017, Trump pushed through a 1.4% tax on college endowments. Not on all colleges, but on those that had a large endowment relative to the size of their student body. No President had ever thought to tax endowments, which typically subsidize scholarships and maintenance.

This time around, Trump proposed a draconian increase in the tax on college endowments, 4% for some, 8% for another group, and 21% for the colleges with the largest endowments.

But Republicans wanted to shield one college: the ultra conservative Hillsdale College in Michigan.

They tried eliminating the tax from religious colleges, but the Senate Parliamentarian nixed that idea.

They finally settled on a solution that protected Hillsdale and certain other private colleges.

Emma Whitfield of Forbes wrote:

These 26 Rich Private Colleges Just Got A Tax Cut From Republicans

Republicans were aiming to shield Hillsdale College, a small conservative Christian liberal arts school in Michigan, from the endowment tax.

While 11 schools, including Princeton, MIT, Yale and Harvard, were hit with a higher tax on their endowments’ investment earnings, Congress exempted wealthy small schools, including Swarthmore, Amherst, Hillsdale and CalTech, from the levy.

Strange things happen when details of a massive tax and budget bill, like the one President Donald Trump signed yesterday, are tweaked behind closed doors. Among them: A couple dozen of the nation’s wealthiest small private colleges will be getting a tax cut next year, even as bigger rich universities, including Princeton, MIT, Yale and Harvard, will be slammed with higher taxes.

It all began as an effort by House Republicans to dramatically raise the excise tax imposed on the earnings of college endowments, and particularly the endowments of wealthy “woke” schools like Harvard University that they (and President Donald Trump) have targeted.

But as it turns out, while Harvard’s tax bill will likely more than double, some smaller schools with famously left-leaning student bodies (e.g. Swarthmore College and Amherst College) are getting tax relief. That’s because schools with fewer than 3,000 full-time equivalent tuition-paying students will be exempt from the revamped endowment tax beginning next year. It currently applies to private schools with more than 500 full-time equivalent tuition-paying students and endowments worth more than $500,000 per student.

Using the latest available federal data from fiscal year 2023, Forbes identified at least 26 wealthy colleges that are likely subject to the endowment tax now, but will be exempt next year based on their size. Along with top liberal arts schools like Williams College, Wellesley College, Amherst and Swarthmore, the list includes the California Institute of Technology, a STEM powerhouse, and the Julliard School, the New York city institution known for its music, dance and drama training. Grinnell College in Iowa, which enrolled 1,790 students in 2023, will save around $2.4 million in tax each year as a result of the change, President Anne Harris said in an email to Forbes.

Here’s what happened. As passed by the House in late May, the One Big Beautiful Bill (its Trumpian name) increased the current 1.4% excise tax on college endowments’ investment earnings to as high as 21% for the richest institutions—those with endowments worth more than $2 million a student. (While these schools are all non-profits and traditionally tax exempt, the 1.4% tax on investment earnings was introduced by Trump’s big 2017 tax bill. According to Internal Revenue Service data, 56 schools paid a total of $381 million in endowment tax in calendar 2023.)

Along with raising the rate, the House voted to exempt from the tax both religiously-affiliated schools (think the University of Notre Dame) and those that don’t take federal student financial aid. (The religious exemption was structured in a way that Harvard, founded by the Puritans to train ministers, wouldn’t qualify.) The House also sought to penalize schools like Columbia University, with heavy international student enrollments, by excluding students who aren’t U.S. citizens or lawful permanent residents from the per capita calculations.

Then the bill went to the Senate, where the Finance Committee settled on more modest–albeit still stiff–rate hikes. Schools with endowments of $500,000 to $750,000 per capita would still pay at a 1.4% rate, while those with endowments above $750,000 and up to $2 million would pay 4%. Those with endowments worth more than $2 million per student would pay an 8% tax on their earnings, not the 21% passed by the House.

Enter Senate Parliamentarian Elizabeth MacDonough, who makes decisions on the Senate’s Byrd rule, which requires parts of a budget reconciliation bill like this one to have a primary purpose related to the budget—not other types of policy. The Byrd rule was put in place because reconciliation isn’t subject to filibuster. “You can’t get into a lot of prescriptive activity” in a budget reconciliation bill, explains Dean Zerbe, a national managing director for Alliantgroup, who worked on college endowment issues back when he was tax counsel for Sen. Chuck Grassley (R-Iowa). “Like, ‘you’ve got to hop on one foot,’ or ‘you’ve got to make tuition affordable,’ or ‘you’ve got to do better in terms of admission.’”

The Parliamentarian ruled that those three House provisions—exempting religious-affiliated schools, exempting schools that don’t take federal aid, and excluding foreign students from the per capita calculation—didn’t pass the Byrd test.

At that point, Republican senators settled on the 3,000-student threshold in large part to specifically exempt one school from the tax: Hillsdale College, an ultra-conservative, Christian liberal arts college in Hillsdale, Michigan and a GOP darling. It enrolled 1,794 students in 2023, had an endowment worth $584,000 per-student, and notably accepts no federal money, including student aid. (So both the religious exemption and the one for schools taking no federal student aid would have presumably shielded Hillsdale from the endowment tax—before the Parliamentarian gave them the thumbs down.)

There was also a broader group of small schools pushing for the exemption, notes Jonathan Fansmith, senior vice president for government relations and national engagement at the American Council on Education. “They made an argument that I think got some positive reception among Republican senators of saying that essentially, while their endowments may be big relative to the fact that they have small student bodies … their endowments weren’t big.” A school like Amherst, he adds, “might have a big endowment for a small school, but they don’t have a big endowment relative to the Ivies and the more heavily resourced [universities].”

House Republicans, under intense pressure to meet Trump’s July 4th deadline, ended up accepting the final Senate product in full. That meant exempting the smaller schools, including the “woke” ones, while levying a rate of up to 8% on the endowments of bigger schools. Congress’ Joint Committee on Taxation estimates colleges will now pay an extra $761 million in tax over 10 years, compared to the extra $6.7 billion they would have paid under the House version with its higher 21% rate and broader reach.

Based on data from 2023, Forbes estimates that at least 11 universities will have their endowment earnings taxed at an 8% or 4% rate in 2026, while five will continue to pay the 1.4% rate.

Three schools—Princeton University, Yale University, and the Massachusetts Institute of Technology—will likely be required to pay an 8% excise tax on their endowment earnings. Another eight, including Harvard, Stanford University, Dartmouth College and Vanderbilt University, will likely pay a 4% tax. The remaining five schools—Emory University, Duke University, Washington University in St Louis, the University of Pennsylvania, and Brown University—would pay the same 1.4% endowment tax rate they’re paying now, based on fiscal 2023 numbers.

One school that will likely pay 4% is the University of Notre Dame, a Catholic-affiliated school which would have been exempt from the tax were it not for the Byrd rule. “We are deeply disappointed by the removal of language protecting religious institutions of higher education from the endowment tax before passage of the final bill,” Notre Dame wrote in a statement to Forbes. “Any expansion of the endowment tax threatens to undermine the ability of a broad range of faith-based institutions to serve their religious purpose. We are proud to have stood with a coalition of these institutions against that threat, and we are encouraged by the strong support for a religious exemption received from both chambers.”

Fansmith, for his part, won’t call the exemption of the small schools a win. “We think the tax is a bad idea and it’s bad policy, and no schools should be paying it. But, by the standard that fewer schools are paying, it’s better, but it’s still not good,” he says. “It’s not really about revenue,” adds Fansmith. “It’s really about punishing these schools that right now a segment of the Republican party doesn’t like.” The schools make the argument that it’s students who are being punished, since around half of endowment spending pays for student scholarships.

Meanwhile, Zerbe warns the now exempt schools shouldn’t take that status for granted. “Once revenue raisers are in play and out there, they come back again and again,” he says. “It would be a disaster for [colleges] to think somehow this was a win for them. This was a billion dollar hit on them and there’s more to come later.”

To see the list of private colleges that were exempted, and those that will see an increase, open the article.

Categories Funding, Higher Education

DOGE Cuts to NOAA and National Weather Service Blamed for Deaths in Texas Floods

By dianeravitch
July 5, 2025 //
28

Among its many stupid decisions, Elon Musk’s DOGE cut the staff of NOAA and the Natuonal Weather Service. Experts warned that people would die without accurate warnings. Trump ignored the warnings; so did Republicans in Congress. The cuts were imposed. The savings were a pittance. Unprepared for the storm and flooding in Texas a few days ago, people died.

Ron Filipowski wrote at The Meidas Report:

As the best and the brightest were being fired at the National Weather Service and the National Oceanic and Atmospheric Administration by senseless and draconian ‘DOGE’ cuts earlier this year under Trump, with no reason given except for the need to cut a paltry amount of the government’s budget, experts warned repeatedly that the cuts would have deadly consequences during the storm season. And they have.

Dozens and dozens of stories have been written in the media citing hundreds of experts which said that weather forecasting was never going to be the same, and that inaccurate forecasts were going to lead to fewer evacuations, impaired preparedness of first responders, and deadly consequences. I quoted many of them in my daily Bulletins and wrote about this issue nearly 20 different times. 

And the chickens have come home to roost. Hundreds of people have already been killed across the US in a variety of storms including deadly tornadoes – many of which were inaccurately forecasted. And we are just entering peak hurricane season. Meteorologist Chris Vagasky posted earlier this spring on social media: “The world’s example for weather services is being destroyed.” 

Now, after severe flooding in non-evacuated areas in Texas has left at least 24 dead with dozens more missing, including several young girls at a summer camp, Texas officials are blaming their failure to act on a faulty forecast by Donald Trump’s new National Weather Service gutted by cuts to their operating budget and most experienced personnel. 

At a press conference last night, one official said: “The original forecast we received on Wednesday from the National Weather Service predicted 3-6” of rain in the Concho Valley and 4-8” of rain in the hill country. The amount of rain that fell in these locations was never in any of their forecasts. Everybody got the forecast from the National Weather Service. They did not predict the amount of rain that we saw.” 

Reuters published a story just a few days ago, one of many warning about this problem: “In May, every living former director of the NWS signed on to an open letter with a warning that, if continued, Trump’s cuts to federal weather forecasting would create ‘needless loss of life’. Despite bipartisan congressional pushback for a restoration in staffing and funding to the NWS, sharp budget cuts remain on pace in projections for the 2026 budget for the NOAA, the parent organization of the NWS.”

But Commerce Secretary Howard Lutnick, whose agency oversees NOAA, testified before Congress on June 5 that the cuts wouldn’t be a problem because “we are transforming how we track storms and forecast weather with cutting-edge technology. Under no circumstances am I going to let public safety or public forecasting be touched.” Apparently the “cutting edge technology” hasn’t arrived yet.

And now presumably FEMA will be called upon to help pick up the pieces of shattered lives in Texas – an agency that Trump said repeatedly that he wants to abolish. In fact, Trump’s first FEMA director Cameron Hamilton was fired one day after he testified before Congress that FEMA should not be abolished. 

The voters of Texas decided that they wanted Donald Trump and Greg Abbott to be in charge of the government services they received. That is exactly what they are getting. And as of this writing on Saturday morning, Trump still hasn’t said a word about the storm and the little girls who were killed at the camp. 

However, Trump was seen dancing on the balcony of the White House last night celebrating the latest round of cuts in his budget bill that just became law so billionaires and corporations can have huge tax cuts. People are dying and more will die because of their recklessness, just like we saw during covid. And now millions won’t even have health insurance to deal with the consequences.

Categories Accountability, Budget Cuts, Cruelty, Evil, Extremism, Failure, Funding, Texas

Jan Resseger: Administration Cancels Federal Funding on Short Notice

By dianeravitch
July 3, 2025 //
7

Jan Resseger reports on an unprecedented stoppage in federal funding of Congressionally authorized school programs. School districts across the nation were informed on June 30 that the funding for five important programs would be withheld on July 1 pending further review. The administration really would like to terminate the programs but since they can’t do that under current law, they decided to withhold funding for undetermined reasons for an indeterminate length of time.

She writes:

Last week, this blog reported, “Chaos and Confusion at U.S. Department of Education May Threaten School Programming this Fall.”  This week the situation intensified.

“The U.S. Department of Education told states in a three-sentence memo on Monday afternoon (June 30) that when federal funding for the next school year arrived July 1, as it typically does and is supposed to under federal law, funding for five key programs would not be there.”  Education Week‘s Mark Lieberman published that explanation on Tuesday, July 1, 2025, the day the federal funding failed to arrive.  Lieberman adds: “Those formula programs—worth $6.8 billion in total—are under review, the memo said, without specifying when the review would wrap up, what the review is aiming to determine, or whether the funds will go out once it’s finished.”

The problem is that the funds aren’t merely late; the Trump administration is trying to cancel the programs altogether.  The NY Times‘ Sarah Mervosh and Michael Bender explain: “The administration has suggested that it may seek to eliminate the nearly $7 billion in frozen funding. Russell Vought, the director of the White House Office of Management and Budget, said during a Senate Appropriations Committee hearing last week that the administration was considering ways to claw back the funding through a process known as rescission. The administration would formally ask lawmakers to claw back a set of funds it has targeted for cuts. Even if Congress fails to vote on the request, the president’s timing would trigger a law that freezes the money until it ultimately expires. ‘No decision has been made,’ Mr. Vought said.”

In an article published on Monday afternoon, right after states received the memo declaring that funding would not arrive as scheduled, Education Week‘s Lieberman provides some background: “(I)n an unsigned email message sent after 2 p.m. Monday… the Education Department informed states that the agency won’t be sending states any money tomorrow from the following programs:

  • “Title I-C for migrant education ($375 million),
  • “Title II-A for professional development ($2.2 billion),
  • “Title III-A for English-learner services ($890 million),
  • “Title IV-A for academic enrichment ($1.3 billion),
  • “Title IV-B for before-and after-school programs ($1.4 billion.).”

Lieberman adds: “In a separate email sent (Monday) at 4:27 p.m., the department told congressional staffers that it’s holding back funds from all the programs listed above, as well as grants for adult basic and literacy education ($729 million nationwide). Questions about the changes, the letter says, must go to the Office of Management and Budget, not the Education Department.”

The elimination of these programs had been proposed in the Trump administration’s formal FY 2026 budget proposal for next fiscal year—which, if passed by Congress, would fund public schools beginning in fall 2026. In proposing to cancel the programs this fall, the Trump administration is attempting to eliminate programs already promised under an FY 2025 continuing budget resolution. (To make things even more complicated, it’s important to remember that the “One Big Beautiful” bill is a tax and reconciliation bill and not, in fact, the current year’s FY 2025 federal budget—which remains unaddressed by Congress.)

Last week Mark Lieberman clarified the schedule by which federal public school funding is supposed to be delivered: “The federal fiscal year begins Oct. 1, but for most education programs, half the upcoming year’s allocated funding flows to states each year on July 1. Congress still hasn’t agreed on a final budget for the current fiscal year, even though it’s almost over.  Instead, lawmakers in March approved a continuing resolution bill that broadly carries over funding levels from the previous fiscal year. That means states and schools have been expecting for months that funding levels for key federal programs would closely mirror last year’s numbers. Thousands of school districts and nearly 30 states have already locked in their own budgets for the upcoming fiscal year.”

In his coverage on Monday, June 30, of the complex wrangling behind the holdup of funds for the current school year, Lieberman places responsibility not on Linda McMahon or staff at the Department of Education, but instead on Russell Vought, who was the co-author of the Heritage Foundation’s Project 2025 and who now heads the Office for Management and Budget:

“Lawsuits are likely to follow, as they have for similar funding changes the administration implemented earlier this year. Federal law prohibits the executive branch from withholding congressionally appropriated funds unless it gives federal lawmakers an opportunity to approve or reject the move within 45 days. The U.S. Constitution gives Congress, not the president, the power of the purse—but top administration official Russell Vought, whom Trump appointed to lead the Office of Management and Budget, has said he believes restrictions on impoundment are unconstitutional. On Capitol Hill last week, Vought said the administration hadn’t decided whether to ask Congress for permission to impound education funding.”

Last week, the Washington Post‘s Jeff Stein, Hannah Natanson, Carolyn Johnson, and Dan Diamond predicted that Russell Vought will attempt to interfere with spending as the year continues: “Though billionaire Elon Musk’s U.S. DOGE Service drew significant attention for its speedy cuts, Russell Vought, Trump’s budget director, is expected to be key to the coming fight over spending. Vought has spearheaded the administration’s campaign to assert sweeping executive power over spending, arguing that the Impoundment Control Act, the law at issue now, is unconstitutional. The Trump administration has justified its cost-cutting measures by pointing out that the United States is $36 trillion in debt, although the type of funding that officials have targeted represents a small fraction of the overall budget.”

Although costs for federally funded 21st Century Learning Center after-school programs, federally funded professional development programs for teachers, federally funded classes for English language learners in public schools, federally funded programs for the education of the children of migrant workers, and federally funded academic enrichment programs make up only a minute percentage of the federal budget, the abrupt obliteration of these programs will cause enormous disruption right now as public school leaders are getting crucial programming for their schools in place for fall. Public schools are incredibly complex institutions. In addition to providing special services for disabled students, school boards and school leaders patch together local, state, and federal dollars for programming to serve the specific needs of their students, which differ by region, by the income level of a school district’s families, by the primary languages of the families in their communities, and by enormous inequity in states’ investment in public education.

Clearly Russell Vought neither understands nor cares how the programs he is is cutting will affect students. Clearly he fails to grasp how these cuts will interfere with hiring already underway for the upcoming school year or how the absence of these funding streams will undermine the stability of public school operations come September.

On the other hand, say I, maybe Russell Vought knew exactly what it mean to freeze funds at the last minute. Maybe his intent was to sow chaos and disruption. Maybe he wanted to send a message to Congress: we can withhold funds Congress appropriated without regard to the law. Maybe he wanted to send a message to states and school districts: If the program is important to you, pay for it yourself. Stop expecting the federal government to send you money.

Categories Budget Cuts, Cruelty, Disruption, Ethics, Extremism, Funding, Trump, U.S. Department of Education

David Dayen: What Else Is Included in the Big Ugly Budget Bill?

By dianeravitch
July 1, 2025 //
5

Since this is a mostly education blog, I have covered the budget debate by focusing on what the GOP is doing to maim public schools and enrich private (especially religious schools). In the past, Republicans were strong supporters of public schools. But the billionaires came along and brought their checkbooks with them.

The rest of the Ugly bill is devastating to people who struggle to get by. Deep cuts to Medicaid, which will force the closure of many rural hospitals. Cuts to anything that protects the environment or helps phase out our reliance on fossil fuels. Well, at least Senator Schumer managed to change the name of the bill, new name not yet determined.

One Republican vote could have sunk the bill. But Senator Murkowski got a mess of pottage.

David Dayen writes in The American Prospect:

Welcome to “Trump’s Beautiful Disaster,” a pop-up newsletter about the Republican tax and spending bill, one of the most consequential pieces of legislation in a generation. Sign up for the newsletter to get it in your in-box.

By the thinnest of margins, the U.S. Senate completed work on the One Big Beautiful Bill Act on Tuesday morning, after Sen. Lisa Murkowski (R-AK) decided that she could live with a bill that takes food and medicine from vulnerable people to fund tax cuts tilted toward the wealthy, as long as it didn’t take quite as much food away from Alaskans.

The new text, now 887 pages, was released at 11:20 a.m. ET. The finishing touches of it, which included handwritten additions to the text, played out live on C-SPAN, with scenes of the parliamentarian and a host of staff members from both parties huddled together.

At the very end, Senate Minority Leader Chuck Schumer knocked out the name “One Big Beautiful Bill Act” with a parliamentary maneuver, on the grounds that it was ridiculous (which is hard to argue). It’s unclear what this bill is even called now, but that hardly matters. The final bill passed 51-50, with Vice President JD Vance breaking the tie.

Murkowski was able to secure a waiver from cost-sharing provisions that would for the first time force states to pay for part of the Supplemental Nutrition Assistance Program (SNAP). In order to get that past the Senate parliamentarian, ten states with the highest payment error rates had to be eligible for the five-year waiver, including big states like New York and Florida, and several blue states as well. 

The expanded SNAP waivers mean that in the short-term only certain states with average or even below-average payment error rates will have to pay into their SNAP program; already, the language provided that states with the lowest error rates wouldn’t have to pay. “The Republicans have rewarded states that have the highest error rates in the country… just to help Alaska, which has the highest error rate,” thundered Sen. Amy Klobuchar (R-MN), offering an amendment to “strike this fiscal insanity” from the bill. The amendment failed along party lines.

The new provision weakens the government savings for the bill at a time when the House Freedom Caucus is calling the Senate version a betrayal of a promise to link spending cuts to tax cuts. But those House hardliners will ultimately have to decide whether to defy Donald Trump and reject the hard-fought Senate package, which only managed 50 votes, or to cave to their president.

In addition, Murkowski got a tax break for Alaskan fishing villages and whaling captains inserted into the bill. Medicaid provisions that would have boosted the federal share of the program for Alaska didn’t get through the parliamentarian; even a handwritten attempt to help out Alaska on Medicaid was thrown out at the last minute. But Murkowski still made off with a decent haul, which was obviously enough for her to vote yes.

All Republicans except for Sens. Rand Paul (R-KY), Thom Tillis (R-NC), and Susan Collins (R-ME) voted for the bill. Tillis and Collins are in the two most threatened seats among Republicans in the 2026 midterm elections; Tillis decided to retire rather than face voters while passing this bill. Paul, a libertarian, rejected the price tag and the increase in the nation’s debt limit that is folded into the bill.

Other deficit hawks in the Senate caved without even getting a vote to deepen the Medicaid cuts. That could be the trajectory in the House with Freedom Caucus holdouts. But the House also has problems with their handful of moderates concerned about the spending slashes in the bill.

The bill was clinched with a “wraparound” amendment that made several changes, including the elimination of a proposed tax on solar and wind energy production that would have made it impossible to build new renewable energy projects. The new changes now also grandfather in tax credits to solar and wind projects that start construction less than a year after enactment of the bill. Even those projects would have to be placed in service by 2027. The “foreign entities of concern” provision was also tweaked to make it easier for projects that use a modicum of components from China to qualify for tax credits.

The bill still phases out solar and wind tax credits rather quickly, and will damage energy production that is needed to keep up with soaring demand. But it’s dialed down from apocalyptic to, well, nearly apocalyptic. And this is going to be another source of anger to the Freedom Caucus, which wanted a much quicker phase-out of the energy tax credits.

The wraparound amendment also doubled the size of the rural hospital fund to $50 billion. The Senate leadership’s initial offer on this fund was $15 billion. Overnight the Senate rejected an amendment from Collins that would have raised the rural hospital fund to $50 billion. Even at that size—which will be parceled out for $10 billion a year for five years—it hardly makes up for nearly $1 trillion in Medicaid cuts, which are permanent. The hospital system is expected to buckle as a result of this legislation, if it passes.

Some taxes, including a tax on third-party “litigation finance,” were removed in the final bill. But an expanded tax break for real estate investment trusts, which was in the House version, snuck into the Senate bill at the last minute.

The state AI regulation ban was left out of the final text after a 99-1 rejection of it in an amendment overnight.

The action now shifts to the House, where in addition to Freedom Caucus members concerned about cost, several moderates, including Reps. David Valadao (R-CA) and Jeff Van Drew (R-NJ), have balked at the deep spending cuts to Medicaid and other programs.

Categories Accountability, Billionaires, Budget Cuts, Cruelty, Democracy, Disruption, Economy, Education Industry, Environment, Ethics, Extremism, Funding, Health, Injustice, Privatization, Religion, Trump
« Older Entries
Newer Entries »