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New York sues Trump administration over education funding threats

Lawsuit challenges federal demands targeting diversity, equity, and inclusion programs in schools

NEW YORK — Attorney General Letitia James announced a lawsuit against the Trump administration for threatening to cut billions in federal education funding unless states abandon diversity, equity, and inclusion (DEI) initiatives in schools.

James leads a coalition of 18 other attorneys general seeking a court order to block the U.S. Department of Education’s (ED) April 3, 2025 directive, which they argue is illegal, unconstitutional, and puts critical funding for vulnerable students at risk.

What the lawsuit challenges

In early April, ED informed states they must certify within 10 days that they do not engage in undefined “illegal” DEI practices to continue receiving federal education funding. New York and other states refused, citing compliance with civil rights laws.

The lawsuit asserts:

  • The directive violates the Administrative Procedure Act and Title VI of the Civil Rights Act of 1964.
  • The federal government cannot impose vague or unlawful conditions on Congressionally appropriated funding.
  • Many DEI programs are legally required to protect students’ rights under federal law.
  • The Trump administration failed to define what constitutes an “illegal” DEI program.

Impact on New York schools

New York receives more than $3 billion annually in federal education aid, supporting over 2.4 million K-12 students. Key programs at risk include:

  • $1.4 billion in Title I funds for low-income students
  • Nearly $1 billion under the Individuals with Disabilities Education Act for students with disabilities
  • Critical revenue for districts like Rochester, Buffalo, Syracuse, and Binghamton, where federal funds account for 14% to 17% of total revenue

Attorney General James called the administration’s actions “an illegal attack on our most vulnerable students” and vowed to defend access to equitable education for all.

Coalition backing the lawsuit

Alongside New York, attorneys general from California, Illinois, Massachusetts, Minnesota, and 15 other states have joined the suit, citing the broad threat to public education systems nationwide.

If successful, the lawsuit would prevent the Department of Education from enforcing its April 3 certification or issuing similar funding threats in the future.



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