The Trump administration has begun shifting core Education Department functions to other federal agencies, executing interagency agreements that move grant administration and program operations out of ED. The moves include transferring K‑12 grant management and key postsecondary institution-based programs to Labor and moving Indian education to Interior. Education Secretary Linda McMahon framed the reorganization as operational efficiency; state chiefs warn it fragments long-standing federal‑state channels for compliance and technical assistance. State education leaders and agency staff told reporters and officials that the change is operationally disruptive: states could face guidance from multiple agencies rather than a single Education Department interlocutor, complicating Title I, Perkins and career‑education administration. Several governors and state superintendents signaled readiness to adapt but flagged risks for students with disabilities and special‑education enforcement, which rely on integrated federal oversight. For higher education, the shift raises immediate questions about grant continuity, civil‑rights enforcement, and programmatic expertise housed in ED offices. Institutions that rely on ED technical assistance for compliance and student aid say the transfers could slow approvals and introduce legal uncertainty about long‑standing program rules. Legal and policy observers expect lawsuits and legislative pushback as agencies finalize operational handoffs.