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A guide to what the U.S. Education Department does (and doesn't) do

Created by Congress in in 1979, the department employs more than 4,000 people and has an annual budget of $79 billion.
LA Johnson
/
NPR
Created by Congress in in 1979, the department employs more than 4,000 people and has an annual budget of $79 billion.

Over and over, President Donald Trump and his colleagues have pointed to the U.S. Education Department as a poster child for government overreach. In fact, Republicans have been calling for the department's dissolution ever since its birth.

That effort reached a new level this week, as the president began exploring dramatic cuts to programs and staff at the department, including an executive action shuttering programs that are not protected by law and calling on Congress to close the department entirely.

Which raises the question: What, exactly, does the Education Department do?

Created by Congress in 1979, the department employs more than 4,000 people and has an annual budget of $79 billion. Many of its responsibilities were given to it by lawmakers. (The U.S. Constitution doesn't actually mention a federal role in education.)

Here's a look at what the Education Department does and doesn't do – and how much of it is protected by acts of Congress:

Sending money to U.S. public schools

Most public school funding comes from state and local governments. The federal government, in general, provides only a small fraction of schools' overall funding – between 6 and 13%, according to a 2018 report from the U.S. Government Accountability Office.

Two of the most important federal funding streams to public schools are:

  • Title I, which provides money to help districts that serve lower-income communities. In 2023, the Education Department received more than $18 billion for Title I.
  • IDEA (Individuals with Disabilities Education Act), which provides money to help districts serve students with disabilities. In FY 2024, the department received more than $15 billion for IDEA. 

Both of these funding streams were, like the department itself, created by separate acts of Congress: Title I was signed into law in 1965, and IDEA was signed into law in 1975. They cannot be unwound except by Congress. Large changes to either are unlikely, as the money enjoys broad bipartisan support.

The department has no power over what's taught in schools 

Over the years, Donald Trump has vowed to rid America's schools of such ideas as "wokeness" and critical race theory. And he has said that he would close the Education Department in order to return "all education, and education work and needs back to the states." In reality, it is already up to states to determine what is taught in classrooms.

"It is not the business of the federal government to be involved in curriculum or personnel hiring," says Kenneth Wong, a professor of education policy at Brown University.

"The Every Student Succeeds Act [ESSA], which was enacted during the tail end of the Obama years, really clearly laid [that] out."

Wong points out that ESSA was shaped, in part, by concerns that its predecessor, No Child Left Behind (NCLB), was teetering into government overreach. When NCLB was reauthorized in the form of ESSA, the law made it clear that it was up to states to determine what was taught in classrooms.

Managing college financial aid and federal student loans

The Education Department is not only responsible for managing the federal student loan portfolio, which amounts to approximately $1.6 trillion in student loan debt, it's also responsible for the mechanism that gives students access to college financial aid: the Free Application for Federal Student Aid, or FAFSA.

More than 17 million current and aspiring college students fill out the FAFSA each year in order to qualify for student loans, grants and more. For many, it's the only way they can get help paying for college.

Students who end up taking out loans become part of the department's massive student loan portfolio, which is managed by the office of Federal Student Aid (FSA). FSA "provides approximately $120.8 billion in grant, work-study, and loan funds each year to help students and their families pay for college or career school," according to the office's website. That includes $33 billion in Pell Grants for low-income and middle-income undergraduate students.

FSA also oversees student loan servicers, the outside companies it hires to work directly with borrowers on their loan payments, among other things.

Data collection on colleges and college students

The department maintains and collects data from every college, university, and technical and vocational program that participates in the federal student aid program. This allows tax-payers and families the ability to analyze, compare and track things like student admissions, academic outcomes, graduation rates, need-based aid eligibility, and more.

Tracking student achievement through the Nation's Report Card

The Education Department also oversees the National Assessment of Educational Progress (NAEP), or the "Nation's Report Card." It is considered the gold standard of student achievement tests in subjects such as reading, math and science.

The assessment, which is mandated by Congress, actually predates the Department of Education: The federal government began administering the test in 1969, a decade before the department was created.

The Nation's Report Card has long served as a common yardstick for student achievement, and has been an especially valuable tool through, and since, the pandemic years. In addition to shedding light on how much ground students lost academically, it has also helped the country track chronic absenteeism, poverty levels and educational experiences of students. The data generated by NAEP is then used by educators, policymakers and researchers to work towards improving K-12 education across the country.

Copyright 2025 NPR

Nicole Cohen is an education editor at NPR. Prior to joining the Education Desk, she was a producer for NPR's Arts Desk, where she produced and edited arts features and interviews for NPR.org. She was part of the team that created NPR's annual Book Concierge, a collection of the year's best books as chosen by NPR staff and critics. Her other arts features include This Is Color and the podcast recommendation site Earbud.fm. She also coordinated the Web presence for Fresh Air.
Jonaki Mehta is a producer for All Things Considered. Before ATC, she worked at Neon Hum Media where she produced a documentary series and talk show. Prior to that, Mehta was a producer at Member station KPCC and director/associate producer at Marketplace Morning Report, where she helped shape the morning's business news.
Elissa Nadworny reports on all things college for NPR, following big stories like unprecedented enrollment declines, college affordability, the student debt crisis and workforce training. During the 2020-2021 academic year, she traveled to dozens of campuses to document what it was like to reopen during the coronavirus pandemic. Her work has won several awards including a 2020 Gracie Award for a story about student parents in college, a 2018 James Beard Award for a story about the Chinese-American population in the Mississippi Delta and a 2017 Edward R. Murrow Award for excellence in innovation.
Cory Turner reports and edits for the NPR Ed team. He's helped lead several of the team's signature reporting projects, including "The Truth About America's Graduation Rate" (2015), the groundbreaking "School Money" series (2016), "Raising Kings: A Year Of Love And Struggle At Ron Brown College Prep" (2017), and the NPR Life Kit parenting podcast with Sesame Workshop (2019). His year-long investigation with NPR's Chris Arnold, "The Trouble With TEACH Grants" (2018), led the U.S. Department of Education to change the rules of a troubled federal grant program that had unfairly hurt thousands of teachers.
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