Bill Proposes New Federal Watchdog to Police College Admissions for Discrimination, Wielding Power to Cut Aid

This proposed legislation, the College Admissions Accountability Act of 2025, aims to create a new federal office: the Special Inspector General for Unlawful Discrimination in Higher Education. Housed within the Department of Education, this office gets a $25 million budget and a 12-year mandate (Sec. 3). Its core mission is to investigate allegations that colleges and universities receiving federal funds are engaging in discrimination—particularly concerning race—in violation of the Constitution's Equal Protection Clause, as interpreted by the Supreme Court's 2023 Students for Fair Admissions decision, and Title VI of the Civil Rights Act of 1964 (Sec. 2, Sec. 3).

Meet the New Watchdog

The Special Inspector General (SIG), appointed by the President and confirmed by the Senate, would have the power to dig into complaints about discrimination not just in admissions, but also in institutional policies, financial aid awards, and academic programs (Sec. 3(d)). Think of it as a dedicated compliance officer focused specifically on ensuring higher education institutions adhere to anti-discrimination laws following the recent Supreme Court ruling. They are tasked with reviewing allegations, examining potentially problematic federal policies, and recommending corrective actions directly to institutions, the Secretary of Education, the Attorney General, and Congress (Sec. 3(d)). These recommendations could range from policy changes to employee discipline.

Investigations and High Stakes

This isn't just about recommendations; the SIG comes with teeth. The office is required to report quarterly to Congress, detailing allegations, institutional responses, and cooperation levels – potentially naming specific colleges (Sec. 3(g)). Critically, the bill amends the Higher Education Act of 1965 to state that any institution found by the SIG to be discriminating based on race in violation of the Equal Protection Clause or Title VI becomes ineligible for federal student aid or other institutional aid (Sec. 3 amendment to HEA). This means the flow of federal dollars supporting student loans, grants, and university programs could be cut off for non-compliant institutions.

What This Means on the Ground

For students and applicants, this creates a specific federal office designed to handle complaints about discrimination, particularly related to race, in college processes (Sec. 3(d)). The goal is enhanced enforcement of existing civil rights laws as recently interpreted by the courts. For colleges and universities receiving federal aid (which is most of them), this means a new layer of oversight focused squarely on compliance with anti-discrimination rules (Sec. 3). They are mandated to formally address any deficiencies the SIG identifies or certify why no action is needed (Sec. 3(k)).

Potential Wrinkles and Gray Areas

While aiming for fairness, the setup raises practical questions. The SIG wields significant authority (Sec. 3(d), 3(e)), and how that power is used will be crucial. How will the office interpret institutional efforts towards diversity in light of the SFFA ruling? The bill grants investigative powers typical of Inspectors General, but the focus on this specific area is new. Furthermore, the consequence of losing federal aid eligibility is severe (Sec. 3 amendment to HEA). While a powerful incentive for compliance, its application could potentially disrupt funding for all students at an institution, raising concerns about broad impacts stemming from specific findings. Institutions will need to navigate these new requirements carefully.