*The Trump administration is directing more than $174 million in additional one-time funding to historically Black colleges and universities, with the money coming from a federal grant program serving Hispanic and low-income students in STEM and supporting transfer agreements between two- and four-year institutions.
Education Secretary Linda McMahon announced the investment Sept. 22 at the White House HBCU Summit. The U.S. Department of Education says the new money comes on top of regular federal funding and follows $438 million in additional HBCU funding in fiscal 2025.
The administration says its additional HBCU investments for fiscal years 2025 and 2026 now exceed $612 million. UNCF says this year’s $174 million is in addition to $406 million already approved by Congress and signed by President Donald Trump.
Where the Additional Money Comes From
The other side of the announcement is how the government is funding it. Inside Higher Ed reports that this year’s additional HBCU money comes from an HSI grant program designed to increase the number of Hispanic and low-income students in STEM fields and develop transfer agreements between two- and four-year institutions.
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Separately, more than $61 million in additional one-time funding is going to tribally controlled colleges and universities. The broader approximately $235 million being redirected to HBCUs and tribal colleges draws from multiple programs.
Congress blocked the Education Department from eliminating the MSI programs entirely but allowed money to be moved into the Strengthening Institutions Program, Inside Higher Ed reports. The Justice Department backed the department’s legal interpretation concerning enrollment-based eligibility requirements in December 2025; that position should not be confused with a judicial ruling resolving the constitutional question.
HBCU Advocates Welcome the Money — and Want More
“For nearly 200 years, HBCUs have been engines of opportunity in communities,” McMahon said, describing their role in innovation and local industries.
UNCF President and CEO Michael L. Lomax also praised the investment, saying, “I want to commend the president and the secretary of education for prioritizing HBCUs.” UNCF also said it had previously stressed that one-time funding was not enough to address continuing campus needs.
Another Year of Redirected Funding
The funding mechanism has precedent.
As EURweb reported in 2025, the Education Department redirected $495 million combined to HBCUs and tribal colleges in a one-time investment added to their existing federal allocations.
This year’s $174 million-plus HBCU investment is also a one-time addition funded through a reallocation rather than a new $174 million congressional appropriation. Inside Higher Ed reports that the HBCU portion comes from the identified HSI STEM and transfer grant program.
The result is additional money for HBCUs, while UNCF’s response underscores a separate issue: advocates welcomed the investment, but the organization says one-time funding remains insufficient for campuses’ continuing needs.
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