President Donald Trump signed a new executive order on Wednesday that aims to reshape higher education oversight in the U.S. The move is part of a broader White House effort to control how colleges access federal funding and address discrimination.
The order, first reported by the Wall Street Journal, directs the Education Department to review how colleges qualify for billions in student loans and Pell grants. These funds make up a significant revenue stream for many schools.
A White House official told CNN that the order requires the secretary of education to hold accreditors accountable. That includes taking action against poor performers and those who violate the Civil Rights Act. The administration also instructed the attorney general and the education secretary to investigate and penalize unlawful discrimination in colleges, law schools, and medical programs.
Education Secretary Linda McMahon emphasized that colleges should function as meritocracies. That reflects the administration’s ongoing push to scale back diversity, equity, and inclusion policies in both education and hiring.
Trump’s Domestic Policy Council, led by deputy chief of staff Stephen Miller, drafted the order. It builds on the administration’s previous efforts to influence how schools operate and who benefits from federal support.
The announcement follows a controversial decision by the administration to freeze $2.2 billion in funding to Harvard University. That action triggered debate over academic freedom and how much federal control is appropriate in higher education.
Wednesday’s signing included several additional executive orders focused on reshaping the Education Department. One order ensures that schools incorporate artificial intelligence training into their curricula.
“We have literally trillions of dollars being invested in AI,” Trump said during the signing ceremony. “That’s a big deal.”
The goal, according to White House staff secretary Will Scharf, is to ensure American students stay competitive as AI becomes central to the global economy. He said the order aims to equip children and young adults with vital skills in AI tools and platforms.
Another directive addresses foreign donations to U.S. universities. It requires federal agencies to enforce laws that mandate public disclosures of large foreign gifts. According to Scharf, many institutions have failed to follow those rules, and oversight has been weak.
The administration views foreign funding as a potential risk to national interests and educational independence. With this new order, universities must now disclose major foreign contributions or face penalties.
The president also signed an order establishing a new White House initiative on historically Black colleges and universities (HBCUs). During his first term, Trump had a mixed record with HBCUs, drawing criticism for inconsistent support.
The new initiative aims to improve the federal government’s relationship with these institutions. It’s also meant to boost their visibility and access to resources within federal education policy.
Wednesday’s flurry of executive actions marks one of the most aggressive interventions in higher education in recent years. Critics warn that the push could compromise academic freedom and increase political influence over educational institutions.
However, the administration argues these steps are needed to make education more accountable and aligned with workforce demands.
“We’re preparing students not just for graduation but for global leadership in the age of AI,” Scharf said.
While the long-term effects of these orders remain to be seen, Trump’s approach signals a continuing effort to align education policy with broader goals on national security, economics, and civil rights enforcement.
The story will continue to evolve as institutions respond and implementation begins.
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