Students at Puerto Rico’s public and private universities would be hit harder than anywhere else in the United States or its territories if a lawsuit to end federal funding through the Hispanic-Serving Institutions (HSIs) program succeeds.

The lawsuit was filed in June in the U.S. District Court for the Eastern District of Tennessee by the state and the group Students for Fair Admissions (SFFA). The case shifted in late August when the U.S. Department of Justice, under President Donald Trump, said it would not defend the program’s constitutionality. The HSI program is part of Title V of the Higher Education Act.

In 2023, the same organization won a U.S. Supreme Court ruling against Harvard University that declared the use of race as an admissions criterion unconstitutional.

Puerto Rico tops the list of those affected among all states and territories because of its high proportion of full-time Hispanic students and ranks third in the number of universities under the program, behind California and Texas, a CPI analysis found. According to the Hispanic Association of Colleges and Universities (HACU), 97% of students enrolled in 56 campuses of Puerto Rico universities are classified as Hispanic.

In fiscal 2024-25 alone, eight Puerto Rico universities received a combined $20.7 million in HSI grants to expand academic offerings, develop digital services, open pathways into scientific fields and train faculty to strengthen research. The institutions include the Polytechnic University of Puerto Rico, Ana G. Méndez University, EDP University, the Pontifical Catholic University of Puerto Rico, Sacred Heart University, Inter American University of Puerto Rico, and UPR’s Medical Sciences and Ponce campuses. The funds also supported infrastructure improvements, expanded internet connectivity, purchased laboratory equipment and provided tutoring for high school students, according to seven administrators interviewed by CPI.

The plaintiffs argue that the program, created in 1998, is unconstitutional because it conditions federal funds on an ethnicity-based requirement.

To qualify as a Hispanic-Serving Institution and receive funds, universities must show that at least 25% of their undergraduates are Hispanic. They must also prove that half of their students qualify for federal need-based financial aid (Title IV) and demonstrate lower average expenditures than peer institutions.

“Discriminating against colleges, faculty and students based on race violates the fundamental principle of equal protection under the law. No student or institution should be denied of opportunity because they fall on the wrong side of an ethnic quota,” Edward Blum, SFFA president, said in June.

What’s at Stake for Puerto Rico Universities

In Puerto Rico, the 56 campuses classified as HSIs served 99,790 Hispanic students in bachelor’s programs last academic year, 85% of whom studied full-time.

“We are talking about projects that address social, emotional and academic needs by providing greater access for students. At our institution alone, more than 7,000 participants have been served, including high school students, college students and even parents. So, it’s a significant population,” said Carmelo Torres Reyes, vice president for financial affairs at Ana G. Méndez University, which received $34.7 million in Title V HSI funds between 2020 and 2025. The institution has funding allocated through 2030, he said.

“In the event that these funds are not renewed or are eliminated, the institution would not face a fiscal impact, but services to students would be limited,” Torres warned.

Gladys Nieves, president of EDP University, said the federal case comes at a critical time for her institution, when more proposals than ever are underway using HSI funds.

She said she is closely monitoring the case, aware that what many consider unlikely could still happen.

Since 2021, EDP University has received $20 million through six HSI projects. According to Nieves, the money has been used to provide academic, technological and wellness services to students across its six academic units and distance education program. The university has offered tutoring, mentoring, specialized labs, psychosocial support, nutrition programs and professional attire. These services have reached 329 students through workshops, awarded 302 undergraduate and graduate scholarships, provided 222 stipends for specialized training, academic events and internships, and benefited 1,000 students with psychosocial services, Nieves said.

The grants also supported programs and staff development, student travel, science and robotics “boot camps”, and the creation of a graduate studies center that serves both faculty and graduate students.

José Frontera Agenjo, president of the Pontifical Catholic University of Puerto Rico, said they are already experiencing changes in the funds they receive through the program.

For the 2024-25 academic year, the university received $1.4 million in joint funds from the TRIO Upward Bound and HSI programs. But those funds are at risk, Frontera said, because the understaffed federal Education Department has been renewing them month to month.

“We received a letter saying that, because of a staff shortage at the Education Department, they have not yet been able to review the continuation request. So, they authorized the program through Sept. 30, and they expected to finish the review in that period,” he said. The funds have supported 140 middle and high school students and 16 scholarships for graduate programs in vocational rehabilitation and neuroscience, Frontera added.

In the past five years, the institution has received $10.3 million from the federal fund. Frontera said he is consulting  with U.S. universities to consider filing amicus briefs or other measures to fight the elimination of the program.

Gilberto Marxuach Torrós, president of Sacred Heart University, said the funds not only benefit students but also help faculty development, fostering greater innovation in academic programs. The grants supported the Pedagogical Innovation Unit, which provides training for faculty in active learning, mental health and inclusive teaching, he said.

“These initiatives have expanded opportunities for student success and strengthened Sagrado’s ability to respond with innovation to Puerto Rico’s social and economic needs,” Marxuach said. Since 2019, the university has received more than $14.7 million in HSI grants, some running through 2027.

Another Financial Blow to UPR?

Ending HSI grants would further complicate the finances of the University of Puerto Rico, which, since 2017, has lost 48% of the funds it once received from the Puerto Rico government due to Fiscal Control Board cuts. This year, UPR has also faced sharp reductions in research funding because of federal policies rolling back diversity initiatives and questioning climate change.

“A case like this, which could reach the U.S. Supreme Court, would set a dangerous precedent for higher education not only in Puerto Rico but across the United States, because it threatens the right to educational freedom,” said Edward Maldonado, student caucus representative on UPR’s University Board.

Maldonado emphasized that Puerto Rico’s population is mostly Hispanic and Spanish-speaking, with challenges “typical of a Caribbean colony.” Eliminating programs that support diversity and minority students without considering those realities could disproportionately hurt unincorporated territories like Puerto Rico, he said.

“We did not ask to be a minority-serving institution. Our condition already classifies us as one. Eliminating these funds puts at risk the survival of my institution, its academic programs, its potential for growth, and its ability to innovate technologically, academically and culturally,” Maldonado said.

In 2022, UPR’s Río Piedras campus received a second HSI grant for the project Strengthening the Social, Emotional, and Academic Needs of STEM Hispanic Students in Puerto Rico. The $3 million, five-year grant has already disbursed $1.2 million in its first three years and runs through 2027, said campus press director Mario Alegre. The project benefited 5,673 students in its first two years, including 994 high school students and 4,679 undergraduates.

As a precaution, the Río Piedras campus activated an action plan to partially continue the projects, Alegre said. He did not specify which funds were used but said the UPR is trying to offset cuts with stipends, travel support, task substitutions and new proposals to private foundations.

“The university and students cannot keep enduring cuts. If you make it impossible for people to get an education, a profession, and for Puerto Rico to have professionals who can lead this island in 20, 30, or 40 years, you are building a Puerto Rico without Puerto Ricans,” said Reynaldo Vélez Ginorio, interim president of the General Student Council at Río Piedras.

UPR President Zayira Jordán Conde did not respond to a CPI request for comment. In a previous interview, she said that one strategy to increase enrollment was to attract Hispanic students from the United States, which clashes with the federal government’s lawsuit seeking to cut services to Hispanic communities.

University Infrastructure Improvements at Risk

Beyond direct services, HSI funds have also improved infrastructure at several universities in Puerto Rico.

A Government Accountability Office survey published in August 2024 estimated that 43% of areas at the 615 Hispanic-serving universities in the United States need repairs or replacements. Maintenance backlogs, natural disaster damage and modernization needs were key factors.

In Puerto Rico, hurricanes Irma and María in 2017 and earthquakes in 2020 damaged university infrastructure. Reconstruction has been delayed in part by federal bureaucracy tied to Federal Emergency Management Agency funds.

“These funds covered technological infrastructure, labs, and specialized equipment students may need,” Frontera, the Catholic University president, said. For example, they paid for repairs to science labs at the Arecibo campus.

The Inter American University of Puerto Rico also used funds to develop specialized labs at its Bayamón campus. Between 2016 and 2025, the institution received $49.9 million in federal grants under Titles III and V, distributed across eight of its nine campuses, said communications director Zaima Negrón. To prepare for possible cuts, the university has launched sustainability plans to maintain labs built for new electronic and geospatial technology programs.

Other universities used grants to meet even basic technological needs.

At Ana G. Méndez University, Torres said funds — including a $720,000 grant for its Florida campus — helped purchase specialized lab equipment.

At EDP University, Nieves said some grants went toward smart boards and other equipment.

More Conservative Voices Oppose Hispanic-Serving Institutions

In early August, the National Association of Scholars, a group of conservative professors, and Faculty, Alumni, and Students Opposed to  Racial Preferences (FASORP) joined Tennessee and SFFA as plaintiffs.

Meanwhile, HACU filed a motion to intervene, arguing that neither the Education Department nor its secretary, Linda McMahon, adequately represents HSIs’ interests. Neither the plaintiffs nor the Trump administration opposed HACU’s intervention.

Resident Commissioner Pablo José Hernández declined to detail what actions he is pursuing but said his office “will continue to monitor this [lawsuit] and evaluate initiatives to strengthen these institutions.”

He noted that in May, he joined 60 members of Congress in a bipartisan request to the House Appropriations Committee to boost Title V funding. Lawmakers asked the committee to allocate $280 million for HSIs, stressing the grants’ importance for Hispanic undergraduates and graduate students.

The effort to roll back HSI grants comes as the Trump administration moves to limit diversity criteria in higher education. On Aug. 7, Trump signed a memorandum ordering the Education Department to redesign the federal college data system and require federally funded institutions to submit more detailed and verifiable admissions reports.

The measure builds on the 2023 Supreme Court ruling banning race as an admissions factor and aims to prevent what Trump called attempts to circumvent the decision through “diversity statements” or other means. Trump said transparency is essential to expose illegal practices and “eradicate dangerous racial hierarchies,” warning that institutions failing to comply could face sanctions under the Higher Education Act.

This story was produced through a collaboration between the Centro de Periodismo Investigativo and Open Campus.

This translation was generated with the assistance of AI and reviewed by our editorial team to ensure accuracy and clarity.