Federal Cuts Deepen Tennessee State U’s Budget Woes

President Trump’s assault on federal grants is making Tennessee State University’s ongoing financial troubles even worse.

The Tennessean reported last week that the chronically underfunded historically Black university in Nashville is preparing to lose $14.4 million, the remainder of an $18 million grant it received from the National Institute of Food and Agriculture. It’s one of hundreds of colleges and universities across the country facing financial uncertainty as the Trump administration moves to cut trillions of dollars from the federal budget.

“This is going to impact our people,” Jim Grady, TSU’s chief financial officer, said at a finance committee meeting Wednesday evening. “We’ll continue to evaluate the volatility … and the potential impact to employees, students and university operations.”

Grady said nothing would change for at least 90 days after receiving notice of the grant cancellation, and it’s not yet clear how many jobs will be eliminated as a result. And that’s not the only federal grant in question, according to The Tennessean.

In February, the U.S. Department of Agriculture—which includes the National Institute of Food and Agriculture—canceled $45 million in federal grants to the cash-strapped university, which eliminated 114 positions last fall amid a looming budget shortfall.

Earlier this month, the USDA restored about $23 million of those grants, though another $115 million could be suspended or frozen. TSU’s federal grants fully fund 62 employees and partially fund another 112.

In the midst of the financial uncertainty, TSU has suspended its search for a permanent president, WKRN reported.