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    Home»Education»Education Department ordered to reinstate mental health grants
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    Education Department ordered to reinstate mental health grants

    Decapitalist NewsBy Decapitalist NewsNovember 1, 2025003 Mins Read
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    Education Department ordered to reinstate mental health grants
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    Dive Brief:

    • The U.S. Department of Education must reinstate, for now, canceled federal grants for student mental health services due to “numerous irreparable harms flowing from the discontinuation decisions,” according to an Oct. 27 order by a federal judge.
    • Sixteen states sued the Education Department in late June after the Trump administration in April canceled the multi-year congressionally approved funding for the School-Based Mental Health Services Grant Program and the Mental Health Service Professional Demonstration Grant. The order only applies to about 50 colleges, school districts and nonprofit entities who received the grants in the plaintiff states.
    • In the order, the judge said grant discontinuations were likely “arbitrary and capricious” because they were not renewed based on individual reasons, but rather were discontinued with a generic message saying that the grants “were not in the best interests of the federal government.”

    Dive Insight:

    On Tuesday, an Education Department spokesperson said the agency stands by its grant decisions and will appeal the order. 

    The Education Department announced in September that their new $270 million grant competition is accepting applications to use the federal funds from the two programs that were canceled in April. The department issued new priorities prohibiting the mental health grant money to be used for “promoting or endorsing gender ideology, political activism, racial stereotyping, or hostile environments for students of particular races.”

    The Education Department spokesperson, in a Tuesday email, said, “Our new competition is strengthening the mental health grant programs in contrast to the Biden Administration’s approach that used these programs to promote divisive ideologies based on race and sex.” 

    Some education organizations said they were concerned that the new competition focuses only on school psychologists and does not include school counselors and social workers who also provide student mental health supports.

    The canceled grants, which were set to expire on Dec. 31, were focused on increasing the pipeline of credentialed school-based mental health professionals working in rural and underserved areas and providing direct services to students in high-needs schools, according to court documents. Court records said that the Education Department valued the canceled grants at about $1 billion. 

    Addressing the discontinuation of the grants, Judge Kymberly Evanson in the U.S. District Court Western District of Washington said in the order that there was no evidence the Education Department “considered any relevant data pertaining to the Grants at issue,” leaving it difficult to determine “whether the Department’s decision bears a rational connection to the facts.”

    Kelly Vaillancourt Strobach, director of policy and advocacy for the National Association of School Psychologists, called the ruling “a win for children, families, and educators across the country.” 

    Vaillancourt Strobach said in an email Tuesday that the grants “have proven essential in addressing nationwide shortages of school psychologists and other school mental health professionals.”



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