WASHINGTON — The U.S. Department of Education is moving out of its Lyndon B. Johnson headquarters building, the department announced Thursday, in another step toward dismantling the agency. 

The Education Department said its “chronically underutilized” building is roughly 70% vacant and estimated the relocation — slated for August — would save taxpayers approximately $4.8 million a year in operating costs. 

The move marks the latest action from President Donald Trump’s administration to do away with the 46-year-old department as part of the president’s quest to send education “back to the states.” Much of the oversight and funding of schools already occurs at the state and local levels. 

The Education Department will move roughly one block away to a building the U.S. Agency for International Development previously occupied.

The Department of Energy will move out of its James V. Forrestal building nearby and take over Education’s headquarters building. 

“Thanks to the hard work of so many, we have made unprecedented progress in reducing the federal education footprint, and now we are pleased to give this building to an agency that will benefit far more from its space than the Department of Education,” Education Secretary Linda McMahon said in a statement. 

‘Next on the chopping block’

Rep. Bobby Scott, ranking member of the House Committee on Education and Workforce, rebuked the relocation efforts as “one of the most overt actions by Secretary McMahon to dismantle the Department of Education (ED) and disregard the law, federal courts, and Congress.”

“Leaving the Lyndon B. Johnson headquarters building does not cut bureaucracy — it rearranges it,” the Virginia Democrat added. “This decision to close the Department’s physical building is not just a symbolic move — it reflects a broader effort to reduce the federal government’s role in ensuring people have equal access to a quality education.”

Rachel Gittleman, president of American Federation of Government Employees Local 252, which represents Education Department workers, blasted the announcement in a Thursday statement. 

“The message the Secretary’s announcement sends to our staff and the American public is clear — education is next on the chopping block,” Gittleman said. 

“But after more than a year of fighting back against this unlawful and unprecedented gutting of a Congressionally created agency, we know that the will of the people, congressional intent, and the law is on our side,” she added. 

Interagency agreements 

The announcement came just days after the administration said the Treasury Department would take over Education’s responsibility for collecting on defaulted federal student loan debt — the first step in a multiphase process toward Treasury taking on Education’s entire, roughly $1.7 trillion federal student loan portfolio.

Prior to the agreement with Treasury, Education had announced nine other interagency agreements with the departments of Labor, Health and Human Services, Interior and State that transfer several of its responsibilities to those agencies. 

Meanwhile, the U.S. Supreme Court in July 2025 temporarily greenlit mass layoffs and a plan to dramatically downsize the Education Department ordered earlier that year. 

That plan was outlined in a March 2025 executive order, where Trump called on McMahon to “take all necessary steps to facilitate the closure” of her own department.

WASHINGTON — The U.S. Treasury Department will take over the Department of Education’s responsibility for collecting on defaulted federal student loan debt, President Donald Trump’s administration announced Thursday.

It’s the first step in a multi-phase process that will end with Treasury taking on the entire federal student loan portfolio. It’s also the latest interagency agreement announced by the Education Department. 

A senior Department of Education official cited the agency’s “longstanding partnership” with Treasury in administering federal student aid programs and expressed confidence that the department was in a good position to increase its role. 

The administration continues to take sweeping steps to do away with the 46-year-old Education Department, as Trump seeks to return education “back to the states.” That effort comes despite much of the oversight and funding of schools already occurring at the state and local levels. 

In the first phase, Treasury will also “provide operational support” to the Education Department’s efforts to return borrowers to repayment, per the announcement. 

The Education Department’s student loan portfolio stands at roughly $1.7 trillion. The agency says fewer than 40% of borrowers are in repayment and nearly a quarter are in default. 

In later phases, Treasury is set to “work to provide operational support over non-defaulted Federal student loan debt, to the extent practicable and permitted by law, while also seeking opportunities to provide operational support to FSA’s other functions.” 

The senior Education Department official said that borrowers currently making payments “should see no change” and can expect to see “better customer service.” 

Department forges multiple agreements

U.S. Education Secretary Linda McMahon said that “by leveraging Treasury’s world-renowned expertise in finance and economic policy, we are confident that American students, borrowers, and taxpayers will finally have functioning programs after decades of mismanagement,” in a statement Thursday. 

The Education Department has announced nine other agreements with the departments of Labor, Health and Human Services, Interior and State that transfer several of its responsibilities to those agencies. 

Meanwhile, the U.S. Supreme Court in July 2025 temporarily greenlit mass layoffs and a plan to dramatically downsize the Education Department ordered earlier that year. Those layoffs inflicted a heavy hit on Federal Student Aid, among other units at the agency.  

That plan was outlined in a March 2025 executive order that called on McMahon to “take all necessary steps to facilitate the closure” of her own department.

‘Irresponsible, reckless’ 

Sen. Patty Murray of Washington state, the top Democrat on the Senate Appropriations Committee, said that “instead of helping student borrowers get the support they need, Secretary McMahon is focused on illegally hollowing out the department she leads and creating new, harmful bureaucracy while she’s at it,” in a statement Thursday.

“Despite all this administration’s talk about creating efficiency, the fact is these agreements simply create pointless new red tape — while threatening basic services and support that students depend on every day,” Murray added.

Rachel Gittleman, president of American Federation of Government Employees Local 252, which represents Education Department workers, lambasted the announcement Thursday.

Gittleman described it as “an insult to the nearly 43 million Americans with federal student loan debt and to the taxpayers who depend on federal oversight to prevent waste, fraud and abuse.”

Gittleman noted that since McMahon took over, “the agency has fired or pushed out nearly half of Federal Student Aid’s workforce, leading to the Government Accountability Office warning that the majority of federal student loan servicers running the government’s $1.7 trillion student loan portfolio have been repeatedly breaking the law without staff oversight.”

The GAO report found that the staffing reductions affected the government’s ability to determine how well student loan servicers are doing their jobs.

Aissa Canchola Bañez, policy director for the advocacy group Protect Borrowers, blasted the administration’s move as “irresponsible, reckless, and bad news for our most vulnerable student loan borrowers.”

She added that “in the midst of a growing affordability crisis where American families are already struggling to make ends meet, this risks driving millions of borrowers further into financial hardship.” 

WASHINGTON — President Donald Trump’s administration took more steps Monday to dismantle the U.S. Department of Education, announcing two additional interagency agreements with other departments that will transfer more of its responsibilities to those agencies.

Under the agreements, the agency will partner with the State Department on foreign gift and contract reporting and with the Department of Health and Human Services on family engagement and school support programs.

The 46-year-old department signed seven other interagency agreements in 2025 as part of an ongoing effort to dismantle itself, including with State and HHS, as well as Labor and Interior. 

“As we continue to break up the federal education bureaucracy and return education to the states, our new partnerships with the State Department and HHS represent a practical step toward greater efficiency, stronger coordination, and meaningful improvement,” Education Secretary Linda McMahon said in a statement. 

Rachel Gittleman, president of American Federation of Government Employees Local 252, which represents Education Department workers, blasted the additional interagency agreements in a Monday statement. 

McMahon “is unlawfully dismantling the Education Department by moving programs and offices to other federal agencies despite a clear warning from Congress that she lacks the authority to do so,” Gittleman said. 

She added that “these moves come as the Trump Administration has attempted to fire large numbers of career public servants in these very offices — and is now trying to shift their critical work across multiple federal agencies with no educational expertise.”

Sen. Patty Murray of Washington state, the top Democrat on the Senate Appropriations Committee, also lambasted the announcement.

“These illegal agreements aren’t just creating pointless new bureaucracy that burdens our already-overworked teachers and schools,” she said in a statement Monday. “They are actively jeopardizing resources and support that students and families count on and are entitled to under the law.”

Foreign gifts and contracts

The Education Department clarified in fact sheets that in both agreements, it would “maintain all statutory responsibilities” and oversight of the programs involved. 

Under Section 117 of the Higher Education Act of 1965, colleges and universities receiving federal financial assistance are required to disclose any foreign gifts or contracts valued above $250,000 annually. 

Under the agreement, State will help the Education Department in managing its foreign funding reporting portal, where colleges and universities are responsible for disclosing such transactions. 

State will also “use its national security and foreign national academic admissions expertise to review and assess the industry’s compliance with the law, share data with the public and federal stakeholders, and identify potential threats,” the Education Department said. 

HHS portfolio grows

Under the agreement with the Department of Health and Human Services, HHS will take on a “growing role” in administering several programs that are currently housed under the Education Department’s Office of Elementary and Secondary Education. 

The programs include the School Emergency Response to Violence (Project SERV), School Safety National Activities, Ready to Learn Programming, Full-Service Community Schools, Promise Neighborhoods and Statewide Family Engagement Centers, the Education Department said. 

The School Emergency Response to Violence program helps schools recover from a violent event, according to the department. 

Ready to Learn Programming “supports the development of educational television and digital media targeted at preschool and early elementary school children and their families,” according to the department.  

The Full-Service Community Schools program offers academic, social and health services for students in high-poverty areas and their families. 

According to the department, a Promise Neighborhood is a “place-based, collective impact approach to improving results for children and families.” The program aims to make it so that participating children “have access to great schools and strong systems of family and community support.”

The Statewide Family Engagement Centers program seeks to provide financial assistance to organizations helping state and local educational agencies to improve family engagement.

Abolishing the department

Since taking office, Trump has sought to take an axe to the agency in his quest to move education “back to the states.” The U.S. Supreme Court in July 2025 temporarily greenlit mass layoffs and a plan to dramatically downsize the Education Department ordered earlier that year.

That plan, outlined in a March 2025 executive order signed by Trump, called on McMahon to “take all necessary steps to facilitate the closure” of her own department.

Meanwhile, Congress earlier this year rebuked Trump’s request to dramatically slash funding for the department as he and his administration seek to do away with it.

Trump signed a measure earlier in February that funds the department at $79 billion this fiscal year — roughly $217 million more than the agency’s fiscal 2025 funding level and a whopping $12 billion above what Trump sought.

Though the spending package does not offer ironclad language to prevent the outsourcing of the Education Department’s responsibilities to other agencies, the measure does direct the Education Department and the agencies that are part of the transfers to provide biweekly briefings to lawmakers on the implementation of any interagency agreements.