Illinois Defies Trump DEI Order, Faces Billions in Lost Funding

The Illinois State Board of Education (ISBE) is refusing to comply with President Donald Trump’s directive to eliminate diversity, equity, and inclusion (DEI) policies, despite the potential loss of over $2.2 billion in federal tax funds.

During a budget request hearing, State Superintendent Tony Sanders told lawmakers that ISBE is seeking $11.4 billion for the next fiscal year, an increase of nearly half a billion dollars from the current budget. This request comes as Illinois’ student population continues to decline. Sanders said the additional funding is meant to enhance student learning, improve school environments, and support educators.

The proposed budget includes increased spending on school buses, early childhood education programs, teacher vacancy grants, and funding for “affinity groups.” It also accounts for meal programs, including those operating during the summer months.

State Rep. Blaine Wilhour criticized Illinois’ public education performance, arguing that student adequacy rates remain unimpressive. Sanders acknowledged that improvement is needed but defended the budget increase as necessary for continued progress.

Lawmakers also raised concerns about potential funding shortfalls if Trump follows through on his plan to eliminate the U.S. Department of Education. Sanders admitted that if federal funding were cut, Illinois has no backup plan to make up for the loss.

When asked about Trump’s move to withhold federal funds from agencies that continue enforcing DEI policies, Sanders said ISBE is ignoring the order, citing ongoing legal challenges. He stated that school districts should continue operating as they have, dismissing Trump’s directive as lacking legal authority.

Trump has called DEI policies “anti-constitutional and deeply demeaning,” emphasizing a shift toward a “colorblind and competence-based” education system. With Illinois standing firm against his order, the state now faces the risk of losing a significant share of its federal education funding.

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