White House Moves to Overhaul Accreditation, Expand Foreign Gift Reporting Requirements
April 25, 2025

​In another escalation of its efforts to reshape higher education, the Trump administration issued a series of executive orders (EOs) on April 23 that aim to reframe federal education policy around the administration’s ideological priorities.
The higher education EOs target everything from accreditation and workforce training to foreign gift disclosure. There were also three orders that focus on K-12 education, including one that calls on the education secretary to develop new discipline guidance for schools.

Overhauling Accreditation

One of the most consequential EOs directs the Department of Education (ED) to restructure the college accreditation system, the review function that ensures institutions meet certain criteria to be eligible for federal student aid and other benefits. The order claims accreditors place “divisive DEI ideology” ahead of academic quality and warns that those failing to adopt a more “merit-based” approach could lose federal recognition.

The order also encourages the creation of new accrediting agencies and streamlines the process for colleges to switch providers, mirroring the efforts in several states to compel institutions to abandon accreditors perceived as too progressive.

But as ACE’s Jon Fansmith told The Chronicle of Higher Education, the real barrier to new accreditors entering the field isn’t the current accreditors, but the federal laws and regulations that govern how new accrediting agencies are recognized.

The Chronicle and The New York Times reported that critics see the order as a pretext to purge diversity requirements and pressure accreditors to abandon independent judgment. The result, some experts warn, could be a fragmented and politicized accreditation system, with potentially serious consequences for academic quality, student protections, and the stability of federal student aid.

Expanding Foreign Gift Reporting Requirements

Another executive order expands federal enforcement of Section 117 of the Higher Education Act, the law requiring colleges and universities to report foreign gifts and contracts.

The order gives ED new enforcement tools, including coordination with the Department of Justice, and links Section 117 compliance to institutions’ eligibility for federal funding. It also explicitly connects foreign funding disclosure to False Claims Act liability, raising concerns that university officials who certify compliance could face personal liability.

While Section 117 has been in law since the 1980s, enforcement ramped up under the first Trump administration and has drawn bipartisan attention in Congress. The House recently passed the DETERRENT Act, which would lower the reporting threshold from $250,000 to $50,000 and require disclosure of all gifts from countries of concern, such as China, Russia, Iran, and North Korea.

The new EO is broader than the House bill, but as Inside Higher Ed writes, “does little to distinguish itself aside from directing [Education Secretary Linda] McMahon to work with the attorney general and heads of other departments where appropriate and to reverse or rescind any of Biden’s actions that ‘permit higher education institutions to maintain improper secrecy.’”

The order reflects growing federal concern about transparency, influence, and national security risks. But institutions have repeatedly emphasized the complexity of compliance and the need for clear, practical guidance. As ACE’s Sarah Spreitzer told The Washington Post, institutions will continue to seek guidance from ED to ensure they are in compliance with the law.

ACE will continue to advocate for a reporting system that is both transparent and workable for campuses.

Restoring the White House Initiative on HBCUs

A third order revives the White House Initiative on Historically Black Colleges and Universities (HBCUs) and reinstates its advisory board. While the order includes no new funding, it signals the administration’s continued rhetorical support for HBCUs and emphasizes private-sector partnerships and workforce development.

ACE strongly supports the order’s recognition of HBCUs’ contributions. A recent ACE report, Pathways to Opportunity, released in collaboration with the MSI Data Project at New York University, shows that HBCUs and Minority-Serving Institutions are especially effective at promoting economic mobility, graduating high numbers of Pell-eligible and first-generation students, and serving as key transfer destinations.

On the report’s release, ACE President Ted Mitchell called HBCUs “a vital national asset,” adding that MSIs “play a fundamental role in expanding access to higher education and economic opportunity.”

Revamping Workforce Training

The fourth higher education-focused order launches a review of federal workforce development programs, with a goal of aligning education and training with reshoring efforts and emerging industries like artificial intelligence and advanced manufacturing. It sets a goal of supporting one million apprenticeships annually, though the order lacks funding provisions or detailed implementation plans.

This move is part of the administration’s broader push to elevate short-term credentials, technical programs, and trade-based education over traditional degree pathways.

Looking Ahead

Collectively, these executive orders represent a significant shift in the federal government’s approach to higher education. They reflect a broader effort to reshape oversight and accountability through the lens of national security, and deregulation, and their perception of merit.

As with previous executive actions, the practical effects will depend on how federal agencies implement the directives—and how courts and Congress respond.

​Higher Education & The Trump Administrationview resources
​In the News

Trump’s Executive Order Bashes Accreditors, Blames DEI for Low Standards and Poor Outcomes
The Chronicle of Higher Education (sub. req.) | April 23, 2025

Trump Orders Changes to Civil Rights Rules, College Accreditation
The Washington Post (sub. req.) | April 23, 2025

Trump’s Latest Executive Orders Target Accreditation, Foreign Gifts
Inside Higher Ed | April 23, 2025

Trump Signs Executive Order Targeting College Accreditors
The New York Times (sub. req.) | April 23, 2025