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Trump Proposes Moving Some Education Funding to the Labor Department, Drawing Criticism from Democratic Officials

Grant funding between Education and Labor departments is temporarily halted due to a legal order inhibiting restructuring measures, specifically reductions in staff.

Trump Proposes Transfer of Education Grant Programs to Labor Department, Sparks Backlash from...
Trump Proposes Transfer of Education Grant Programs to Labor Department, Sparks Backlash from Democratic Leaders

Trump Proposes Moving Some Education Funding to the Labor Department, Drawing Criticism from Democratic Officials

The Education and Labor Departments are embroiled in a contentious issue, with an interagency agreement on hold due to an injunction that requires the Education Department to bring back its employees. This development comes after President Donald Trump signed an executive order in March, which mandated the drawdown of the Education Department while preserving many of its programs.

On May 21, the interagency agreement was entered, allowing the Labor Department to take over administration of career and technical education assistance grants under the 2006 Perkins Act and Workforce Innovation and Opportunity Act Title II grants for adult literacy and education programs. However, on Wednesday, senior Democrats wrote a letter objecting to this move.

The Democrats, led by Patty Murray, Tammy Baldwin, Bobby Scott, and Rosa DeLauro, argue that the transfer of responsibility over certain grant programs from the Education Department to the Labor Department would lead to inefficiencies. They contend that incorporating another department into the programs' operations would result in delays in agency decision-making and grant administration.

The Democrats also believe that the move is another attempt to eliminate the Education Department without the required approval from Congress. They argue that each agency provides its own specific expertise in the administration of federal programs, implying that the Education Department's expertise is in education programs.

The Education Department, however, sees the agreement with the Labor Department as one of many existing agreements it has with other agencies to collaborate on services. Madi Biedermann, deputy assistant secretary for communications at Education, stated that the agreement is not unique and is part of the department's ongoing efforts to streamline operations and achieve operational efficiencies.

The Democrats predict that states, institutions of higher education, and school districts would have to work with two federal agencies in the administration of these programs if the transfer is implemented. They argue that this would lead to unnecessary complications and delays.

The Education Department is still negotiating a memorandum of understanding through which employees would be detailed to the Treasury Department to work on student loan management. The Education Chief of Staff, Rachel Oglesby, stated that the injunction is preventing the agency from pursuing operational efficiencies and cost-savings.

The lawmakers argue that the Education Department lacks the authority to transfer control over the programs, which could involve up to $2.7 billion in fiscal 2025 alone. They have written a letter to Education Secretary Linda McMahon voicing their concerns and objections.

The transfer of control over the programs, if implemented, could potentially involve a significant amount of funds. The Education Department plans to respond to the Democrats' letter regarding the transfer of grant programs to the Labor Department. The outcome of this dispute could have far-reaching implications for the administration of federal education and workforce development programmes.

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