The U.S. Education Department cut $24M in grants to three school districts over transgender bathroom policies, citing Title IX violations.

The U.S. Department of Education plans to withhold $24 million in federal grants from New York City, Chicago, and Fairfax County school districts over policies allowing transgender students to use restrooms and locker rooms matching their gender identity. The Office for Civil Rights claims these policies violate Title IX by permitting sex-based accommodations, a stance the department argues constitutes discrimination. Districts were given until September 23 to revise their policies but failed to comply, resulting in funding cuts for magnet school programs—$15 million for New York City, $5.8 million for Chicago, and $3.4 million for Fairfax County. The department also demanded public statements opposing male students in female athletic competitions. Officials in Chicago and New York City criticized the decision, citing lack of evidence, procedural flaws, and concerns about harming specialized programs for underserved students. New York City Mayor Eric Adams said the city is considering legal action, noting state law supports current policies.