New York City schools sued federal education officials Thursday over a decision to discontinue $47 million in promised grants because of the schools' guidelines supporting transgender students.

City officials said the federal agency led by Education Secretary Linda McMahon cut funding without the required notice or hearing after deciding that policies letting transgender students play sports and use bathrooms matching their gender identity violate Title IX, which forbids discrimination based on sex in education.

The Education Department, in a September letter, set a deadline for New York City Public Schools to change the policies or lose current and future funding for 19 specialty magnet schools.

The existing policies mean “male students who identify as female or transgender are given u

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