On September 10 2025 the federal Department of Education announced that it would cut over $350 million of minority serving institution grants to colleges across the U.S., accusing colleges defined as minority serving institutions as being discriminatory, unconstitutional and biased on the basis of race against white, and Asian students in the admissions process.
Cal State LA serves both as a Hispanic Serving Institution and an Alaska Native, Native Hawaiian, Asian American, and Native American Pacific Islander-serving institution, (AANHPI), according to the school.
Cal State LA is one of 21 of 22 CSUs to be designated as an HSI, and one of 13 to be defined as an AANHPI, according to data provided by the college. Seventy-five percent of Cal State LA’s student body is Hispanic, which is one of the highest rates in the CSU system, according to spring 2025 enrollment data. Data for fall 2025 is not yet available.
The order to repurpose these grants comes as the Trump Administration continues a crackdown on so-called “discriminatory” diversity, equity and inclusion programs beginning with this vast and widespread effort in a Jan. 20 Executive Order. However, there have been a number of court rulings rolling back the power that the administration has been attempting to wield over DEI policies, hiring practices and the college admission process across the U.S.
This declaration by the federal DOE comes after the federal Department of Justice released guidance in late July “to ensure that recipients of federal funding do not engage in unlawful discrimination.”
“In particular, it clarifies that federal anti-discrimination laws apply to programs or initiatives that involve discriminatory practices, including those labeled as Diversity, Equity, and Inclusion (“DEI”) programs,” the memo said. “Entities that receive federal funds, like all other entities subject to federal antidiscrimination laws, must ensure that their programs and activities comply with federal law and do not discriminate on the basis of race, color, national origin, sex, religion, or other protected characteristics—no matter the program’s labels, objectives, or intentions.”
Following the release of the guidance in July the CSU responded and said that the college system did not violate any federal anti-discrimination laws, and will continue to “comply with longstanding applicable federal and state anti-discrimination laws and CSU policies and does not discriminate or provide illegal preferences on the basis of race, color, national origin, sex, religion, or other protected characteristics.” And that the “CSU remains committed to fostering an inclusive and equitable learning environment that is open to all.”
Despite this order that eliminated over $350 million in funding, a total of $152 million will continue to be dispersed as a part of previously approved congressional spending, including funding for some Alaska Native and Native Hawaiian serving institutions, predominately black institutions, and various Native American serving schools. However, the DOE “continues to consider the underlying legal issues associated with the mandatory funding mechanism in these programs.”
The University Times will continue to follow this story as it develops, with a focus on the impacts right here at Cal State LA. If you’d like to share your concerns about this funding being cut with us, we’d be happy to hear from you at [email protected].
