Higher Education

Higher education in the United States is governed through a shared model where the federal government controls funding and civil rights compliance, while state governments act as primary gatekeepers through authorization.

Federal Power and Funding
The federal government shares governance over higher education despite the Constitution lacking explicit mention of the sector [5]. Its influence is primarily exercised through financial aid, research grants, and regulatory conditions tied to the acceptance of federal money [5]. Almost every oversight requirement for colleges is linked to receiving federal funding, such as Pell Grants and student loans [5]. Key federal laws include the Higher Education Act of 1965, which ED enforces to govern postsecondary institutions [8].

State Authorization and Oversight
States act as gatekeepers by requiring institutions to obtain state authorization before operating within their borders [2]. This regulatory process ensures schools are approved to serve local students and protects residents from fraudulent or poor-performing institutions [2]. A school must be formally authorized by its state to receive federal Title IV funds [2]. State governance varies across the country, utilizing models like state systems, separate districts, or coordinating entities [4].

Recent Federal Scrutiny and Changes
Recent federal actions have intensified scrutiny on universities, particularly regarding Diversity, Equity, and Inclusion (DEI) and antisemitism [1]. In 2025, an executive order aimed at eliminating federal support for DEI launched widespread investigations, leading to canceled grants for many universities [1]. Proposals such as the *Returning Education to Our States Act* seek to dismantle the U.S. Department of Education, transferring responsibilities to the Treasury and Justice Department [3]. If enacted, this would shift civil rights oversight to the DOJ and student aid administration to Treasury [3].