Trump Administration Reverses Major Fine Against GCU in Education Shift

By Matthew Holloway |

In a significant policy shift, the U.S. Department of Education (USDOE), now led by Secretary Linda McMahon under the Trump administration, has rescinded a $37 million fine against Grand Canyon University (GCU). This decision marks the cancellation of the largest fine ever imposed on a university by the USDOE.

Grand Canyon University had previously appealed the substantial fine, which was based on allegations of misleading advertising regarding degree costs. The Goldwater Institute supported GCU by filing a lawsuit in February after the USDOE did not respond to a Freedom of Information Act request related to the fine.

In response to the decision, GCU President Brian Mueller expressed relief but not surprise. “The facts support our position that we were wrongly accused,” he stated. He emphasized GCU’s commitment to transparency and innovation in higher education and expressed eagerness to collaborate with the Department moving forward.

The USDOE’s dismissal came without any findings of guilt or penalties against GCU. The department confirmed that no Title IV violations had occurred concerning the alleged misrepresentation of doctoral program costs. The dismissal explicitly stated there were “no findings against GCU, or any of its employees, officers, agents, or contractors.”

GCU maintained its position during the appeal, characterizing the accusations as exaggerated and based on misinterpretations of enrollment documents. The university argued that it provides extensive details regarding costs and requirements for its doctoral programs, exceeding legal obligations. GCU had pledged to contest the fine vigorously, irrespective of its size.

Following the fine’s dismissal, Arizona Congressman Abe Hamadeh (R-AZ08) lauded the decision, stating that the fine was part of broader assaults on Christian organizations during the Biden administration. He praised the Trump administration’s actions to overturn the penalty.

Similarly, Congressman Andy Biggs (R-AZ) remarked on social media that he had demanded an investigation into the fine since its imposition, attributing it to the previous administration’s policies. He expressed gratitude to the current administration for addressing what he viewed as government overreach against GCU.

These developments highlight the ongoing tension between educational institutions and governmental regulations, particularly regarding transparency and accountability in higher education.

Matthew Holloway is a senior reporter for AZ Free News. Follow him on social media for the latest updates.