Judge Blocks Immediate Trump Administration Funding Cuts to University of California

Federal judge grants preliminary injunction protecting UC from immediate funding cuts

A federal judge on Friday blocked the Trump administration from immediately cutting federal funding to the University of California or imposing fines over allegations that the system permits antisemitism and other forms of discrimination. U.S. District Judge Rita Lin in San Francisco granted a preliminary injunction sought by labor unions and groups representing UC faculty, students and staff.

The unions argued in their lawsuit that the administration was using the threat and the execution of funding cuts to silence opposing viewpoints at UC, which they said violated the Constitution and federal law. Requests for comment to the White House and the U.S. Department of Justice were not immediately returned.

The administration has opened investigations into dozens of universities, alleging violations of civil-rights statutes related to racial-preference policies and asserting that diversity, equity and inclusion programs discriminate against white and Asian American students. Over the summer, the Department of Education fined the University of California, Los Angeles $1.2 billion and froze certain research funds after accusing UCLA of allowing antisemitic conduct on campus. UCLA was the first public university publicly targeted by the administration on such allegations.

Similar actions have been taken against private institutions—the administration has frozen or paused federal funding in cases involving other schools, including Columbia University. The administration has also reached settlement agreements with Brown University for $50 million and with Columbia University for $221 million.

University of California President James B. Milliken warned that a $1.2 billion penalty would severely damage the UC system, which is widely regarded as one of the nation’s leading public university systems. UC officials are engaged in settlement discussions with the administration; the UC system itself is not a party to the lawsuit before Judge Lin, who was nominated to the federal bench by President Joe Biden.

Settlement demands and concerns

Published settlement proposals from October show the administration sought, among other measures, that UCLA adopt specific positions on gender-identity policies and establish procedures to bar foreign students it deemed likely to engage in anti‑American, anti‑Western or antisemitic "disruptions or harassment." Critics said some demands raised civil‑rights and due‑process concerns.

The preliminary injunction preserves the status quo while the court evaluates the unions' constitutional and statutory claims. The ruling does not decide the merits of the underlying dispute; it temporarily prevents the administration from implementing immediate financial penalties or funding cuts against the UC system while litigation proceeds.