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119-s-1402119th CongressWALLET

Returning Education to Our States Act

Sponsored By: Senator Rounds, Mike [R-SD]

Introduced

Summary

Abolishes the Department of Education and redistributes its programs across multiple federal departments while creating large state block grants for K–12 and higher education. It would shift civil rights enforcement to the Justice Department and reassign higher education functions to agencies such as Treasury and Labor.

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Bill Overview

Analyzed Economic Effects

9 provisions identified: 4 benefits, 0 costs, 5 mixed.

HHS to run IDEA, homeless services, Special Olympics

If enacted, one year after enactment the Individuals with Disabilities Education Act (IDEA), some homeless-education functions, and the Special Olympics program would move from the Education Department to Health and Human Services. HHS would run these programs and their grants. The bill keeps program coverage as written and does not set new benefit amounts.

Labor to run career and vocational programs

If enacted, one year after enactment several workforce and vocational education programs would move to the Department of Labor. The transfers would include adult education, career and technical education, and certain disability and rehabilitation programs. Labor would become the agency that runs these grants and services. The law does not immediately change who is eligible or benefit amounts.

State grants for K–12 and early childhood

If enacted, one year after enactment the Health and Human Services Secretary would give States block grants for early childhood through secondary education. Each State would get what it would have under Title I before this bill. Small shares would go to outlying areas and the Bureau of Indian Education, and HHS could keep 1 percent for administration. States must send student data, pass annual audits, and follow federal civil rights rules. Misuse can lead to repayment or withholding.

Abolish Education Department, manage transition

If enacted, this bill would end the U.S. Department of Education one year after enactment and repeal the law that created it. The bill would require a presidential reorganization plan within 120 days and let agencies use temporary funds to carry out transfers for up to 180 days. It would let the Education Department lend staff and assets to recipient agencies, protect pending cases and existing orders, direct OMB to reassign incidental assets, and preserve transferred employees' pay and job terms. Certain high-level Education Department offices would terminate once transfers finish.

Civil rights enforcement shifts to Justice

If enacted, the bill would abolish the Education Department's Office for Civil Rights one year after enactment and move enforcement of education civil rights laws to the Justice Department's Civil Rights Division. The bill would also keep the Family Educational Rights and Privacy Act (FERPA) in effect for transferred programs, with references to the Secretary of Education read as references to the new administering agency. Students, parents, and staff would file education civil rights complaints at DOJ instead of OCR.

Treasury to run college aid and research

If enacted, this bill would move federal student aid (Title IV) and the Health Education Assistance Loan program to the Department of the Treasury one year after enactment. It would also move national education research, technical assistance, and the NAEP assessment to Treasury. The bill would create a Treasury-run state postsecondary grant program that gives each State money based on its share of enrolled students last year. The text does not set new funding amounts or change loan formulas.

DoD to administer Title VII programs

If enacted, one year after enactment the Department of Defense would take over programs and authorities under Title VII of the Elementary and Secondary Education Act. Schools and students served by those programs would be managed by DoD instead of the Education Department. The bill does not change benefit amounts but does change which federal office handles grants and oversight.

Fulbright program moved to State

If enacted, one year after enactment the Fulbright‑Hays international exchange and training program would move from the Education Department to the Department of State. State would run the exchange, training, and cultural programs. The transfer does not change who is eligible in the bill's text.

Interior to run Native American education

If enacted, one year after enactment the Department of the Interior would take over administration of certain Native American and Alaska Native education programs, including the Office of Indian Education programs and some subparts of the ESEA. Tribal schools and agencies would deal with Interior for grants and oversight instead of the Education Department. The bill does not change who is eligible in the transfer language.

Sponsors & CoSponsors

Sponsor

Rounds, Mike [R-SD]

SD • R

Cosponsors

  • Sen. Banks, Jim [R-IN]

    IN • R

    Sponsored 4/9/2025

  • Sen. Sheehy, Tim [R-MT]

    MT • R

    Sponsored 4/9/2025

Roll Call Votes

No roll call votes available for this bill.

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