As various colleges nationwide clash with federal government funding, nearly a half dozen leaders from multiple HBCUs warn that looming cuts — and the possible termination of the Education Department — could threaten their survival, according to a report by NBC News.
The Trump administration has intensified its scrutiny of colleges and universities that use diversity, equity, and inclusion initiatives. The nation’s president pledged to cancel federal funding from schools that retain DEI-related curricula and programs. As a result, some HBCUs — such as Florida A&M and Johnson C. Smith — are preparing to tailor their budgets to reflect an academic landscape that may lack federal funding or devise strategic plans to champion and protect the longevity of their institutions.
Loss of Funding
In late March, FAMU lost a $16.3 million federal grant, one that supported faculty hires and cutting-edge research into artificial intelligence and cancer biology. Even more, one of the grant’s main areas of focus includes colorectal cancer disparities among African Americans. Currently, FAMU is appealing the loss of its grant to the National Institute of Health (NIH).
“The loss of funding from the Department of Education could potentially impact funds that have been used to support graduate students and academic departmental innovation,” said Charles Weatherford, vice president for research at FAMU, per NBC News. “Less funding opportunities would impact types of financial support available to students to further their higher education aspirations.”


Valerie Kinloch became the president of Johnson C. Smith University — a private HBCU in Charlotte, North Carolina — nearly two years ago. When she assumed the role, she never imagined navigating the potential collapse of the U.S. Department of Education, leading a university that would not receive federal funding for programs like Upward Bound, which helps first-generation college students, or dealing with the potential for diminished student enrollment and numerous staffing cuts.
But if the Trump administration dismantles the Education Department, JCSU does not plan to be left behind. The university launched a $10 million fundraising effort to offset the potential funding gap.
More Context
For context, more than 300,000 students attend close to 100 accredited HBCUs across 19 states, according to the National Center for Education Statistics. Seventy-three percent of HBCU students receive Pell Grants — federal aid intended for low-income students — compared to only 36% at non-HBCUs, according to a 2019 report by the United Negro College Fund. For many of these students, this funding can determine whether students choose to attend college or choose an alternative route.
While 2025 does not mark the first time HBCUs have faced stark financial discrimination, some schools remain in stable financial condition to avoid dealing with federal funding issues. In 2022, Forbes completed an analysis and reported that HBCUs have been underfunded by over $12 billion over the past three decades compared to non-HBCUs.
North Carolina A&T, a public HBCU based in Greensboro, North Carolina, has the largest endowment among public HBCUs. Sitting at $202 million, according to NBC. Howard, a private HBCU based in Washington, DC, recently earned the title of becoming the first HBCU to establish a $1 billion endowment. Add Spelman College, a private HBCU for women based in Atlanta, to the list of Black schools that leaders believe will be sustainable if federal funding is removed.
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“As an institution and HBCU, Spelman College has positioned itself to feel pretty confident that we’re OK,” said Fatima Brunson, an assistant professor of education at Spelman, per NBC.
However, not every HBCU carries the same luxury as schools like North Carolina A&T, Howard, and Spelman. As a result, Brunson believes that leaders across HBCUs should collectively use this time to remind themselves why the institutions were established in the first place.
“Education is under attack and it’s just something that we’re kind of in the trenches with,” Brunson told NBC. “If anything, it’s making us go back to the deeper philosophical reason for why we are here in the first place.”