Statement from MSA on Withholding FY 2025 Formula Funds and the Impact on Magnet Schools


FOR IMMEDIATE RELEASE

Washington, DC (July 14, 2025)Magnet Schools of America (MSA) expresses deep concern following the decision by the Trump Administration to withhold nearly $6.9 billion in federal education funding that was scheduled for distribution on July 1, 2025. This delay has triggered alarm across states, school districts, and public education advocates nationwide—and undercuts school choice models, like magnet schools, that have a long track record of success.

Two weeks ago, the U.S. Department of Education, at the direction of the Office of Management and Budget, informed states that Fiscal Year 2025 education funding for six formula grant programs under the Every Student Succeeds Act (ESSA) would not be released as expected, despite the fact that these funds were duly authorized and appropriated by Congress.

The delay affects several critical ESSA programs, including Title I-C (Migrant Education), Title II-A (Supporting Effective Instruction), Title III-A (English Language Acquisition), Title IV-A (Student Support and Academic Enrichment), Title IV-B (21st Century Community Learning Centers), and Adult Education grants. These funding streams provide essential support for magnet schools, including through supporting classroom instruction and professional development in specialized themes, afterschool and summer programs offered to students to ensure their learning remains on track, academic enrichment opportunities core to magnet schools’ success, and English language learning services that are vital to the success of many of our nation’s public schools.

School districts and state education agencies had already budgeted for these funds in the upcoming 2025-2026 school year. Without timely distribution, many schools may be forced to delay hiring, cut back programs, or reallocate limited resources—ultimately disrupting important services for students and families.

“Magnet schools, like all public schools, rely on the predictability of federal funding to provide the best possible learning opportunities for our nation’s students,” said Ramin Taheri, CEO of Magnet Schools of America. “This delay places a burden on districts, including school choice programs like magnet schools, that are already managing tight budgets and growing student needs.”

MSA is closely monitoring for any downstream effects on magnet schools, and is urging school and district leaders to share with us how withholding these federal funds will impact their programs and efforts to support innovation, choice, and highly-regarded educational themes and models like STEM, arts, language immersion, career and technical education, and International Baccalaureate.

Please submit your impact stories here.

“For our magnet schools, the impact will be immediate and harmful for students,” said Dr. Kimberly R. Lane, President of Magnet Schools of America. “In many school districts across the country, most of these funds support unique student learning needs, staffing and professional learning. Without specialized services and the teachers and instructional support personnel in these critical positions, students will not receive the academic support services that are critical for their academic achievement.”

MSA strongly urges the Trump Administration to expedite the release of FY 2025 formula funds and provide transparent direction to help districts plan and serve students without disruption in the year ahead.

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Founded in 1986, Magnet Schools of America is a 501(c)(3) nonprofit education association representing and serving the nation’s thousands of magnet and theme-based schools.


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