Trump Orders Shutdown of the Education Department: What Does It Do?

Updated on March 21

The U.S. Department of Education (ED) is a federal agency that oversees federal education policy. At the higher education level, it is charged with managing federal financial aid and student loans.

On March 20, President Donald Trump issued an executive order to close the ED, as he has long-promised to do. The order will shift many functions of the department onto the states and other federal agencies.

» MORE: Trump orders the closure of the Department of Education: Now what?

In a press release from the ED, Secretary of Education Linda McMahon said, “Teachers will be unshackled from burdensome regulations and paperwork, empowering them to get back to teaching basic subjects. Taxpayers will no longer be burdened with tens of billions of dollars of waste on progressive social experiments and obsolete programs. K-12 and college students will be relieved of the drudgery caused by administrative burdens—and positioned to achieve success in a future career they love.”

Fully abolishing the ED will face legal opposition since the executive branch cannot eliminate a department on its own; it requires an act of Congress. McMahon said in the release, “We’re going to follow the law and eliminate the bureaucracy responsibly by working through Congress to ensure a lawful and orderly transition.”

McMahon also said that the federal government will continue to carry out functions that are guaranteed under the law. Those functions include formula funding; federal student loans and Pell grants; funding for special needs students; as well as competitive grantmaking.

On Friday, Trump said from the Oval Office that the ED’s $1.6 trillion student loan portfolio would be transferred to the Small Business Administration. He added that oversight of special education services and nutrition programs would be transferred to the Health and Human Services Department.

How the department will continue to deliver its remaining services with a diminished staff is another story. On March 11, the ED announced it would be reducing its workforce by 50% as of March 21. The ED began the year with 4,133 workers.

And in February, the Department of Government Efficiency (DOGE) — a department in name only that’s led by billionaire Elon Musk — gained access to internal ED systems, including personal financial aid information.

» MORE: Trump and student loans: What could happen and how borrowers can prepare

What does the Department of Education do?

The ED was established in 1979 and is currently headed by McMahon, who previously served as head of the Small Business Administration and was a former CEO of World Wrestling Entertainment (WWE).

The department’s official mission is “to promote student achievement and preparation for global competitiveness by fostering educational excellence and ensuring equal access.”

The ED plays a vital role, in particular by providing federal funding and grants, but the department doesn’t exert local control over curriculum. In the U.S., delivering education falls on states and local governments. That includes establishing and maintaining schools, developing curriculum and setting graduation standards. Most funding for elementary and secondary education is from non-federal sources.

Some of the U.S. Department of Education’s responsibilities include:

• Setting broad education policy that guides state education departments and local school districts.

• Leading the national conversation on improving education and student outcomes.

• Administering federal funding and grant programs for schools.

• Collecting and analyzing education data such as student performance and graduation rates. Data can be found with the National Center of Education Statistics (NCES). 

• Facilitating federal student aid, including federal loans and grants for college students. Students can apply for aid through the Free Application for Federal Student Aid (FAFSA). 

• Overseeing federal student loan repayment and forgiveness programs including Public Service Loan Forgiveness (PSLF); borrower defense for defrauded borrowers; and income-driven repayment plans (IDR). 

• Overseeing college accreditation.

• Providing states, districts, individual schools and teachers with educational resources. This includes financial support through Title I funding for low-income communities and TEACH Grants for help those pursuing careers in high-need education fields. 

• Improving access to preschool education through initiatives like Head Start and Early Learning grants. 

• Ensuring equal access to education and enforces anti-discrimination education laws including the Individuals with Disabilities Education Act (IDEA) and Title IX, which protects people from sex discrimination.

How to contact the Department of Education?

Here’s how to reach the U.S. Department of Education and learn more about federal student aid access and loan repayment:

Education Department website: ed.gov

General information: 1-800-USA-LEARN (1-800-872-5327)

Mailing address:

U.S. Department of Education

400 Maryland Avenue, SW

Washington, D.C. 20202

More information:

• All ED state offices can be found here. 

• Learn more about the ED, as well as grants and student loans on its FAQ page

• Results of the National Assessment of Education Progress, a congressionally mandated assessment of student performance known as the “nation’s report card.” It is administered by the NCES.  

Federal Student Aid information

The Federal Student Aid office operates under the Education Department and is charged with managing all federal financial aid programs. Here’s how to reach the FSA office:

• FSA Website studentaid.gov 

• FSA email: [email protected]

• FSA phone: 1-800-4-FED-AID (1-800-433-3243)

• FSA contact centers here.

• Submit a complaint here. 

• FAFSA FAQs here.

» MORE: Your guide to financial aid