How the limiting of the Department of Education could impact UNC

President Donald Trump may sign an executive order directing the Secretary of Education to limit the affairs of the U.S. Department of Education (ED), which contributes federal aid and research funding to UNC.

In an email statement to The Daily Tar Heel, UNC Media Relations wrote that the ED provides federal aid to students attending the University through several programs, including Pell Grants, the Federal Work-Study Program, federal loans and AmeriCorps grants.

“As of Dec. 31, 2023, 11,484 students were receiving $214.3 million in financial aid from federal government programs administered by the department,” the statement read.

Alison DeMasi, a UNC sophomore studying biology, receives money from the ED through the Free Application for Federal Student Aid. She said restrictions on the funding may dissuade prospective students from pursuing a university degree.

“It's going to affect a lot of students and really put a strain on their decision of whether they can continue their education, depending on if they're willing or able to take on any sort of debt, if they're not able to pay for their education without using money from the FAFSA,” she said.

According to the University’s 2022-23 aid profile, 34.8 percent of students received some form of need-based aid that academic year. Of those who received need-based aid, 77.5 percent were grants and scholarships, 21.1 percent were loans and 1.4 percent were work-study.

The Trump administration has made efforts to freeze some of these funds.

On Jan. 27, the U.S. Office of Management and Budget issued a now-withdrawn memorandum requiring federal agencies to review all federal financial assistance programs and supporting activities consistent with the Trump administration's policies. The memorandum also ordered a pause on the distribution of the funding while the review was underway.

Had the order remained standing, students may have seen grants, loans and other financial assistance programs halted. UNC’s Office of Scholarships and Student Aid posted an update on their website clarifying that for now, students will receive financial assistance without interruption.

DeMasi said while she does not think such an order to freeze financial assistance programs will occur again, she acknowledged that it is a possibility. Given the uncertainty surrounding federal funding, she said thatpost-secondary students may begin to look for other options.

“A lot of students, if they can't get the money they need, like scholarships-wise or grants or loans, it's going to deter them from going to a university,” DeMasi said. “It might push for more of a community college route.”

She said the apprehension could result in increased enrollment in the Carolina Student Transfer Excellence Program, or C-STEP. The program provides low and moderate-income students guaranteed admission to UNC after successfully completing courses at a partner community college.

DeMasi also said she could envision the growth of private endowments to fill in funding gaps from ED cuts. She noted that University donors may choose to put more money toward scholarships over other campus resources.

Some members of the Chapel Hill community have voiced concerns about the impact of a ED shutdown beyond federal aid.

Samuel Atwood, an American history and A.P. U.S. Government teacher at East Chapel Hill High School, said he is concerned about a loss of protection for students who experience identity-based discrimination. He said the ED allows students who experience discrimination to file complaints with the department’s Office for Civil Rights.

The OCR is the federal agency responsible for investigating civil rights complaints within all educational institutions that receive federal funding, including UNC.

UNC currently has open suits within the OCR.

“Students with disabilities, learning disabilities, students who identify as transgender or gay or lesbian who experience discrimination, they may have less recourse for sure,” Atwood said. “So I think that’s definitely probably the top concern.”

In addition, some UNC professors have cited concerns over the loss of research funding from the ED.

Iheoma Iruka, professor in the Department of Maternal and Child Health at Gillings School of Global Public Health and faculty fellow at the Frank Porter Graham Child Development Institute, said about 60 percent of her research is federally funded by the ED and the National Institutes of Health. 

“What we are doing in terms of being able to provide evidence or science that really improves our lives collectively — whether on climate change, whether on education, whether on health issues — we're going to really be behind,” she said.

@adelepmorris17

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