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Federal Investigation Threatens $8 Billion Over California's Gender Policy

1/29/2026

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Summary

Story summary

The U.S. Department of Education launched an investigation into California's policy on student gender identity, alleging it violates federal law.
The investigation could jeopardize nearly $8 billion in federal funding if California does not comply.
California officials say the policy allows parental access to education records.
A federal judge ruled that schools cannot prevent teachers from sharing gender identity information.
An appeals court later blocked that ruling.

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Story summary

The U.S. Department of Education launched an investigation into California's policy on student gender identity, alleging it violates federal law.
The investigation could jeopardize nearly $8 billion in federal funding if California does not comply.
California officials say the policy allows parental access to education records.
A federal judge ruled that schools cannot prevent teachers from sharing gender identity information.
An appeals court later blocked that ruling.