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States sue over planned cuts to school mental health grants

The states say the cuts would strip millions from school counseling programs that served nearly 775,000 students in their first year, officials said.

  • On Monday, Illinois Attorney General Kwame Raoul led 15 Democratic state attorneys general in filing a lawsuit to block the U.S. Department of Education from terminating a $1 billion school-based mental health grant program.
  • Congress created this $1 billion initiative in 2022 following the Uvalde, Texas, school shooting to bring 14,000 mental health professionals into schools; the Trump administration later targeted the grants over perceived ties to diversity, equity and inclusion initiatives.
  • Programs served nearly 775,000 students in their first year with a 50% reduction in suicide risk at high-need schools, yet the administration's termination plan threatens over $3 million in funding for Maryland schools and universities.
  • Defying a December 2025 court order, the administration is labeling the effort a 'termination' rather than 'discontinuation' to bypass legal injunctions, a move state officials argue circumvents the law.
  • Despite awards extending through December 31, 2026, the department provided only six months of funding, forcing grantees to divert staff resources from student mental health toward administrative hurdles.
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Multi-state lawsuit challenges $1B in federal education grant cuts

(The Center Square) – Michigan Attorney General Dana Nessel has joined with 14 other attorneys general on a lawsuit attempting to stop the U.S. Department of Education from cutting funding to school-based mental health grants.

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thebaynet.com broke the news on Monday, July 13, 2026.
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