Ohio's historically Black colleges lose millions after canceled 'discriminatory' grants

COLUMBUS, Ohio (WCMH) -- Ohio's two historically Black universities will lose millions in funding after the Department of Education canceled "discriminatory" grants last week.

On Wednesday, Secretary of Education Linda McMahon announced it will end Title III grant programs to Minority-Serving Institutions (MSIs). This represents a loss of $350 million across about 800 MSIs nationwide. Ohio's two Historically Black Colleges and Universities (HBCUs) could lose more than $8 million combined from the change.

Ohio has two HBCUs, both located in Wilberforce, near Xenia. Central State is Ohio’s only public HBCU, and Wilberforce University is the nation’s oldest private HBCU. According to Department of Education records, Central State received just under $6.4 million in now-canceled grants, and Wilberforce received over $1.8 million in 2024. 

McMahon said the department will cease funding the grants because MSIs have "racial quotas," which she said are discriminatory. The department will reprogram funding for seven discretionary grant programs:

• Strengthening Alaska Native and Native Hawaiian-Serving Institutions (Title III Part A)
• Strengthening Predominantly Black Institutions (Title III Part A)
• Strengthening Asian American- and Native American Pacific Islander-Serving Institutions (Title III Part A)
• Strengthening Native American-Serving Nontribal Institutions (Title III Part A)
• Minority Science and Engineering Improvement (Title III Part E)
• Developing Hispanic-Serving Institutions (Title V Part A)
• Promoting Postbaccalaureate Opportunities for Hispanic Americans (Title V Part B)

Universities only qualified for the grants if they had a large enough percentage of minority students. For instance, universities only qualify for the Minority Science and Engineering Improvement program if at least 50% of the student body are minorities. The Department of Education also said these quotas were discriminatory.

Title III is one of nine titles in the Higher Education Act. Passed in 1965, the act sought to ensure every American had access to higher education. Title III of the bill provides programs and support for institutions that serve low-income and minority students. Title V, also canceled, provides funding to developing and Hispanic-serving institutions.

Central State did not respond to NBC4's inquiry. However, spending records show that in the 2023-2024 school year, the university used Title III funding to expand student services, fund the library and support the honors college.

It's especially difficult timing for Central State, which was placed on fiscal watch by the Ohio Department of Higher Education in October 2024 after school leaders alerted the state to fiscal concerns. The designation requires Central State to work with the Ohio auditor to balance its budget, with a goal of stabilizing the budget in three years. The university has an estimated budget of $60 million-$65 million this year, so Title III funding would have covered about 10%.

Wilberforce did not provide comment before publication. However, private universities are typically less reliant on federal and state funding sources than their public peers.

The Department of Education also said it is looking at ways to combat Title III Part F funds, which are Congressionally-appropriated mandatory funding for MSIs. Because the funding is mandatory, the department said it cannot reprogram those funds this year, although it is looking at the "underlying legal issues" associated with them.

In all, those mandatory funds provide approximately $132 million to MSIs nationwide. Wilberforce and Central State received a combined $1.6 million in Title III Part F grants last year, according to federal records.