Federal officials Thursday started an investigation into the California Department of Education over a controversial gender notification law the state passed last summer, asserting it encouraged schools to conceal information from parents about their children’s sexuality and warning California could lose billions of dollars in federal funding.
The U.S. Department of Education accused California of violating the Family Educational Rights Privacy Act when Gov. Gavin Newsom signed AB 1955, a first-in-the-nation law that prohibits schools from requiring staff to notify families if their child uses a name that differs from the one on their birth certificate or uses a pronoun that doesn’t conform with the child’s stated gender. The law also protects teachers and staff from retaliation for refusing to disclose a student’s gender and identity to their parents.
“It is not only immoral but also potentially in contradiction with federal law for California schools to hide crucial information about a student’s wellbeing from parents and guardians,” Secretary of Education Linda McMahon said in a statement. “The agency launched today’s investigation to vigorously protect parents’ rights and ensure that students do not fall victim to a radical transgender ideology that often leads to family alienation and irreversible medical interventions.”
State Superintendent of Public Instruction Tony Thurmond, who oversees the Education Department, reinforced his support Thursday for the state law, which he said protects vulnerable children, who are uncomfortable discussing their sexual orientation with their parents, from being “outed” by the school.
“Our students must be safe in order to learn,” Thurmond said. “I have heard from so many students and families whose safety has been impacted by forced outing policies. To our LGBTQ+ youth and families, I want to make sure that you hear us as loudly as we hear you: you are heard, you are protected and you are loved.”
The investigation is the latest crackdown on transgender protections by the Trump administration. Since he took office in January, President Donald Trump has passed a slew of anti-transgender executive orders, including commands that only recognize two sexes, limits gender-affirming treatments for youth and prohibit transgender players from participating in sports.
The bill was introduced last year in response to what critics called “forced outing” policies adopted by some school districts across the state and nation. California Attorney General Rob Bonta issued a legal alert last year to all California school districts warning them against such policies, which he said violate the California Constitution and state laws safeguarding students’ civil rights.
The bill received intense support and pushback as it made its way to Newsom’s desk and sparked additional outrage after the governor signed it in July — notably leading billionaire and Trump advisor Elon Musk, who has a transgender daughter, to move the headquarters of SpaceX and the social media platform X out of California. The bill also sparked lawsuits by the city of Huntington Beach and Chino Valley Unified School district over parental rights and religious freedoms.
Now, the Trump administration contends the law also violates parents’ rights to access to information about their children and makes changes to their child’s school records under the privacy act, the U.S. Department of Education’s Student Privacy Policy Office said.
The agency said it had reason to believe “numerous local educational agencies in California” may be violating the privacy act in an effort to “socially transition children at school while hiding minors’ ‘gender identity’ from parents.”
Under the privacy act, a school must provide a parent with an opportunity to inspect and review their children’s school records and to seek corrections or amendments to those records.
The U.S. Department of Education said Thursday that state laws do not override federal laws, and educational entities risk losing federal funding over violations to the privacy act.
California received about $8 billion in funding for K-12 education and about $7 billion in funding for higher education in 2024, and relies on federal funding for a slew of educational programs, teacher training and school meal assistance. A significant portion of funding also goes to underserved and disadvantaged student populations, including minority students, low-income students, English language learners, homeless students and special education students.
The California Department of Education disputed that AB 1955 conflicts with federal law, saying it prohibits schools from mandating staff disclose students’ gender identity to parents without student consent but does not mandate nondisclosure itself.
“Based on the plain language of both laws,” the California department said, “there is no conflict between AB 1955 and FERPA.”
The investigation comes as President Donald Trump has cut the U.S. Department of Education’s staff by nearly 50% and called for the department’s shutdown.
Newsom’s office added that AB 1955 does not allow a student’s name or gender identity to be changed on an official school record without a parent’s permission or allow teachers or schools to hide information from parents.
“Parents continue to have full, guaranteed access to their student’s education records, as required by federal law,” said Elana Ross, a spokesperson for the governor. “If the U.S. Department of Education still had staff, this would be a quick investigation — all they would need to do is read the law the Governor signed.”