Montana’s seven tribal colleges — more than any other state — are scrambling to diversify their revenue as a proposed federal budget from President Donald Trump threatens to eliminate most of what remains of their federal support, leaving students and administrators uncertain about the future.
Deep Federal Dependence
Tribal colleges nationwide rely on the federal government for close to three-quarters of their operating budgets, according to the American Council on Education. Leaders of Montana’s tribal institutions told state lawmakers the schools have operated on thin margins for decades, a product of chronic underfunding that has never been fully addressed.
Brad Hall, president of Blackfeet Community College, described the human toll of that uncertainty. “A lot of what we’re dealing with right now is people’s scarcity of basic need,” he said. The anxiety extends to students themselves — Hall noted they are directly approaching college staff with a pointed question: “Are you going to be open? Am I going to be able to finish my degree?”
Despite the resource constraints, the colleges carry significant economic weight. A 2025 report found that Montana’s tribal colleges generate more than $300 million in income for workers across the state, underscoring their role beyond the classroom in reservation and surrounding communities.
Federal Budget Proposal Raises Stakes
The Trump administration’s proposed budget would cut the bulk of remaining federal funding to tribal colleges. Schools across the country have warned that such cuts could force closures. In Montana, where tribal colleges serve thousands of students, the prospect has prompted leaders to move quickly on alternative strategies.
Those efforts center on building private-sector partnerships and deepening relationships with state government — two avenues that have historically played a smaller role in tribal college finance given the federal trust responsibility for Native education.
State Lawmakers Respond
During the 2025 legislative session, Montana lawmakers voted to increase state funding directed toward non-Native students enrolled at tribal colleges. Native students remain covered under federal funding streams, but the move signals a willingness among state officials to treat the colleges as part of Montana’s broader higher education network rather than solely a federal concern. The state has faced its own budget pressures in recent months, including a $7 million Medicaid shortfall that required withholding a provider pay increase.
Interim lawmakers have also been active on education-adjacent funding questions, including school safety gaps identified in a statewide survey, suggesting education finance will remain a prominent issue heading into the 2027 session.
What’s Next
The immediate path forward depends heavily on the outcome of federal appropriations negotiations in Washington. If the Trump budget advances largely intact, tribal college administrators say they would need to move fast on partnerships and state support to keep programs running. For now, leaders are working to stabilize enrollment confidence while pursuing revenue sources that were not part of the tribal college model when these institutions were established.
Montana’s unusually large number of tribal colleges — a reflection of its Native population and the geographic spread of reservations — means the state has more at stake than most if federal support collapses.
