
PHILADELPHIA (KYW Newsradio) — The Trump administration is withholding millions in federal funding from the University of Pennsylvania, over its decision to allow transgender swimmer Lia Thomas to compete on the women’s team.
The White House announced in a post on X, linking to a Fox Business report, that $175 million in federal funds for Penn were being paused because the university failed to bar transgender athletes from women's sports.
However, the White House said that federal money was suspended in a separate review of discretionary federal money going to universities. The paused money came from the Defense Department and the Department of Health and Human Services.
In a statement, City Councilmember Jamie Gauthier, urged Penn to fight back and said the university "should at the very least tap into their endowment to prevent layoffs or service reductions."
"Situations like this one are why endowments exist,” she said.
A Penn spokesperson said the school had not officially received any notification or details of the action.
“It is important to note, however, that Penn has always followed NCAA and Ivy League policies regarding student participation on athletic teams,” spokesperson Ron Ozio said. “We have been in the past, and remain today, in full compliance with the regulations that apply to not only Penn, but all of our NCAA and Ivy League peer institutions.”
The investigation opened by the Education Department's Office for Civil Rights at Penn focuses on Lia Thomas, who swam on the school’s women’s team and was the first openly transgender athlete to win a Division I title in 2022.
The Education Department also opened reviews of San Jose State University volleyball and the Massachusetts Interscholastic Athletic Association.