EO 14242 Improving Education Outcomes by Empowering Parents, States, and Communities

Description

The Executive Order (EO) directs a plan to dismantle the U.S. Department of Education, aiming to shift authority to the states and improve financial efficiency in managing student loan programs. Implementation must comply with applicable law, as Congress created the Department and requires it to oversee Federal Student Aid (FSA), including Title IV programs. How Congress will respond remains uncertain. 

Meanwhile, the Secretary has taken steps to reorganize the Department, including a March 2025 Reduction-in-Force that cut roughly half of the workforce.

Action to be Taken

• Designate a Monitor – Assign a staff member to track Congressional and Department of Education actions affecting Title IV programs.
• Stay Informed – Follow updates on new responsibilities, regulations, and guidance issued by the Department.
• Ensure Compliance – Maintain adherence to all existing Title IV regulations, including financial aid administration and student consumer protections.
• Prepare for Changes – Be ready to adjust policies and procedures if Congress transfers FSA or if new statutes, regulations, or court rulings modify current obligations.

Issue Date

March 20, 2025

Resources

EO 14242 Improving Education Outcomes by Empowering Parents, States, and Communities.