Washington Update

APLU Analysis of House GOP Continuing Resolution  
Federal government funding expires at midnight on Friday, March 14. Unless Congress passes a continuing resolution (CR) to provide funding, there will be a government shutdown. On Tuesday, by a vote of 217-215, the House passed a package to fund the government through the end of Fiscal Year 2025, but the outlook in the Senate is uncertain.  APLU’s Office of Governmental Affairs developed an analysis of the bill that details the impact the measure would have on member institutions.  

Appropriations bills need 60 Senate votes for passage. Republicans have a Senate majority with 53 votes so at least seven Democrats would need to support the bill. Overall, the bill would cut non-defense funding by $13 billion and increase defense funding by $6 billion, compared to Fiscal Year 2024 (FY24). The largest cut is a $20 billion rescission from the Internal Revenue Service (IRS).  

Resource on F&A 
APLU jointly developed an explainer video with AAU, NACUBO, AAMC, ACE, and COGR to help educate the public and policymakers on the vital role of facilities and administrative costs in supporting the nation’s scientific enterprise. In addition to the video, an infographic, two-page explainer document, and frequently asked questions are available.  

State of Play: White House Executive Actions

Federal Court Orders Nationwide Preliminary Injunction in National Institutes of Health (NIH) Litigation 
On March 5, the U.S. District Court for the District of Massachusetts issued a nationwide preliminary injunction halting the implementation, application, or enforcement of the NIH’s February 7 supplemental guidance imposing a 15% cap on F&A costs. The preliminary injunction applies in the three related cases that are now consolidated, including the lawsuit APLU, AAU, ACE, et. al. filed. 

Why it Matters: In granting the preliminary injunction, the court found plaintiffs were likely to succeed on the merits, that plaintiffs made a showing of irreparable harm, and that the balance of equities and public interest warranted the relief. NIH may appeal to the First Circuit. 

U.S. Department of Education Reduces Staff by Half; Potential White House Executive Order to Close the Department  
On Tuesday, March 11, the U.S. Department of Education (ED) initiated a reduction in force (RIF) to reduce staffing by nearly 2,000 employees, or approximately 50%. According to its press release, ED “will continue to deliver on all statutory programs that fall under the agency’s purview, including formula funding, student loans, Pell Grants, funding for special needs students, and competitive grantmaking.” The RIF includes nearly 600 staff members who accepted voluntary resignation agreements. Politico obtained an organizational chart showing which ED offices have been affected, including Federal Student Aid, International and Foreign Language Education, Civil Rights, Postsecondary Education, and Institute of Educational Sciences. 

On March 13, a coalition of 21 state attorneys general filed a lawsuit against the Trump administration in the U.S. District Court for Massachusetts. According to a press release, the plaintiffs seek a court order to block the Administration’s attempt to “dismantle the Department by drastically cutting its workforce and programs.” The filing argues that the Trump Administration does not have the authority to break down a department created by Congress.  

What to Watch: Previously, The Wall Street Journal reported President Trump was expected to sign an Executive Order (EO) calling for the closure of the U.S. Department of Education as soon as Thursday [March 6]. Instead, ABC News cited multiple sources who confirmed that the White House pulled the expected signing of the EO over “concern among top administration officials about the blowback the order would receive and the lack of messaging in place ahead of the rollout.”  

President Trump Issues Executive Order Calling for Prioritized Review of Contracts and Grants to Educational Institutions 
On February 26, President Trump issued an Executive Order entitled “Implementing the President’s Department of Government Efficiency Cost Efficiency Initiative.” This EO calls upon each agency head to build a centralized technological system to record all payments for contracts and grants. When in place, agency employees must submit brief, written justifications for each payment. Using this data, the EO directs each agency head, in consultation with the agency’s DOGE Team Lead, to review covered grants and contracts and terminate or modify them to reduce or reallocate federal spending within 30 days of the order. 

President Trump Issues Executive Order Restricting Employer Eligibility for Public Service Loan Forgiveness (PSLF) 
On March 7, President Trump issued an Executive Order directing the U.S. Secretary of Education to revise eligibility requirements for Public Service Loan Forgiveness, excluding from eligibility “organizations that engage in activities that have a substantial illegal purpose.” Under current PSLF statute, a “public service job” includes work at any 501(c)(3) nonprofit organization. The EO directs the secretary to ensure the definition of “public service” excludes those who:  

• Violate certain federal immigration laws; 
• Support terrorism or child abuse, including the “chemical and surgical castration or mutilation of children or the trafficking of children to so-called transgender sanctuary States;” 
• Engage in the “pattern of aiding and abetting illegal discrimination,” or “violating State tort laws, including laws against trespassing, disorderly conduct, public nuisance, vandalism, and obstruction of highways.” 

The Big Picture: The EO has the stated purpose of addressing “perverse incentives that can increase the cost of tuition, can load students in low-need majors with unsustainable debt, and may push students into organizations that hide under the umbrella of a non-profit designation and degrade our national interest, thus requiring additional Federal funding to correct the negative societal effects caused by these organizations’ federally subsidized wrongdoing.” The Administration also released a fact sheet. 

Under the Higher Education Act, the change would likely be required to go through negotiated rulemaking, “unless the Secretary determines that applying such a requirement with respect to given regulations is impracticable, unnecessary, or contrary to the public interest.”  

APLU continues to track executive orders with relevance to institutions of higher education. 

ED Issues Q&A on Dear Colleague Letter Interpreting Students for Fair Admissions v Harvard 
On February 28, the U.S. Department of Education Office for Civil Rights (OCR) issued a FAQ document to address questions raised by its Dear Colleague Letter that broadened the interpretation of the U.S. Supreme Court ruling in Students for Fair Admissions v. Harvard, which found race conscious admissions programs to be unlawful. While the FAQ document certainly does not answer all questions, it does provide some additional clarity, particularly on process. 

Prior to the FAQ document’s release, APLU sent a letter to OCR raising concerns from member institutions about both ambiguity and the timeline for compliance. APLU’s letter requested that ED provide additional information and clarity as to the nature and scope of requirements for institutions with specificity that will allow institutions to act in a meaningful way, specific citations to legal authority for claims and directives, and a standard timeline for action that takes into account the complexities of what is being asked. APLU further noted engaging in the rulemaking process would lead to the best outcomes for all parties. 

What to Watch: The American Federation of Teachers (AFT), et. al., filed a legal challenge to the Dear Colleague Letter in the U.S. District Court for the District of Maryland. The Court has not yet ruled on temporary relief. 

Federal Court Orders Preliminary Injunction, Blocking White House’s Federal Funding Freeze in 22 States and DC 
On March 6, the Federal District Court for the District of Rhode Island issued a preliminary injunction to prohibit the White House from withholding billions of congressionally appropriated funds. Judge McConnell stated, the “categorical freeze of appropriated and obligated funds fundamentally undermines the distinct constitutional roles of each branch of our government…Here, the Executive put itself above Congress.” 

For more documents related to the case, see the court’s webpage on cases of public interest. 

Senate Democrats Block Protection of Women and Girls in Sports Act of 2025 
In a procedural vote, Senate Democrats voted on March 3 to oppose the Protection of Women and Girls in Sports Act of 2025, blocking it from further floor consideration.  

The legislation, which passed the House on January 14 by a vote of 218-206, is similar to President Trump’s Executive Order “Keeping Men out of Women’s Sports,” which directs the U.S. Secretary of Education to enforce Title IX “to oppose male competitive participation in women’s sports.” 

President Trump Calls Upon Congress for Repeal of the CHIPS and Science Act In Congressional Address 
In his first joint address to Congress, President Trump called upon Speaker Johnson to repeal the “CHIPS Act,” referring to the legislation in shorthand for the CHIPS and Science Act, and recommended he use the savings to reduce the debt or for “any other reason you want to.” 

Between the Lines: On March 6, The Hill reported on Republican reactions to the president’s remarks. Senator John Cornyn (R-TX), one of 17 Republican senators who voted for the law defended the law, noting “I think reconstituting domestic manufacturing of advanced semiconductors is a national security and economic imperative…the whole purpose of this was national security.” Senator Thom Tillis (R-NC) also went on record to question the political reality of repealing the law. “That’s not going to happen,” he told The Hill “It was a statement at a joint address, but do you really believe we have eight or 10 votes from the Democrat side to repeal it, even if on its face we thought it was a good idea?”  

The bill’s lead Republican, Senator Todd Young (IN) called it one of the “greatest successes of our time,” and told The Hill he was surprised by the President’s remarks, claiming that he previously “received reassurances” in order to be supportive of certain cabinet nominees.  

APLU Joins Energy Sciences Coalition’s FY26 Request of $9.5 Billion for U.S. Department of Energy Office of Science 
APLU joined the Energy Sciences Coalition, a broad-based coalition of organizations representing scientists, engineers and mathematicians in universities, industry and national laboratories, in calling for $9.5 billion in FY26 funding for the U.S. Department of Energy Office of Science. The FY26 funding statement provides funding recommendations for core research, facility operations, facilities, national lab infrastructure and targeted programs in AI, quantum, and microelectronics. The statement argues, “This level of funding is necessary to maintain U.S. competitiveness and unleash innovation in new energy and emerging technologies.”  

APLU’s full FY26 federal budget and appropriations materials are now available.