Trump Administration Pledges $500M Boost to HBCUs, Tribal Colleges After Slashing Hispanic-Serving Grants

President Donald Trump’s administration announced Monday it will invest nearly $500 million in historically Black colleges and tribal universities, just days after ending $350 million in grants for Hispanic-serving and other minority-serving institutions.

According to Reuters, the U.S. Department of Education said Historically Black Colleges and Universities (HBCUs) will receive an additional $495 million in fiscal year 2025, a 48.4% increase over previous levels. Tribally Controlled Colleges and Universities (TCCUs) will see funding rise 109.3% to more than $108 million. In total, HBCUs are slated to receive over $1.34 billion next year.

The department said the money will be “repurposed from programs that the department determined are not in the best interest of students and families.” The cuts, announced last week, eliminated funding streams that had long supported colleges with large Hispanic and immigrant student populations as well as other minority-serving programs.

U.S. Education Secretary Linda McMahon defended the move, framing it as a shift toward rewarding schools she said prioritize “merit and excellence.”

“The Department has carefully scrutinized our federal grants, ensuring that taxpayers are not funding racially discriminatory programs but those programs which promote merit and excellence in education,” McMahon said in a statement.

The Trump administration has frequently leveraged federal dollars in disputes with higher education institutions. The president has threatened to withdraw funding over pro-Palestinian protests against Israel’s war in Gaza, campus climate initiatives, transgender policies and diversity, equity and inclusion programs.

Critics argue that cutting support for Hispanic-serving institutions while boosting others reflects a selective approach that could deepen inequities in higher education. Supporters counter that the new investments will strengthen HBCUs and tribal colleges, many of which serve students from low-income backgrounds.

The administration framed Monday’s announcement as part of a broader effort to “re-center” federal funding on institutions it views as advancing opportunity without what it calls politically motivated programs.

The shift underscores Trump’s willingness to wield federal funding as a political tool, reshaping how billions are distributed across America’s higher education landscape.