EXCLUSIVE — Two Midwestern hospital systems are facing civil rights complaints alleging they unlawfully restrict scholarship opportunities based on race, escalating a broader push against diversity-focused programs in medical institutions by the Trump administration.
The advocacy group Do No Harm filed complaints Tuesday with the Department of Health and Human Services Office for Civil Rights against Beacon Health System and Valley Health System, urging federal investigators to examine whether the programs at two major nonprofit hospital networks violate long-standing anti-discrimination laws.
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The complaints argue that both hospital systems, which receive federal funding, are operating scholarship programs that exclude applicants based on race in violation of Title VI of the Civil Rights Act of 1964 and Section 1557 of the Affordable Care Act.
Do No Harm’s complaint targets Beacon Health, an Indiana-based nonprofit with operations in Michigan, which offers an “Underrepresented in Medicine Scholarship” that provides fourth-year medical students with a clinical rotation, mentorship opportunities, and a $1,500 stipend. But eligibility is limited to applicants from certain racial and ethnic minority groups, according to the complaint.
“Other races must look elsewhere,” the filing states, arguing that such restrictions amount to “blatant discrimination” under federal law.
The group has also filed a complaint against Valley Health, which operates more than 60 healthcare facilities across West Virginia, Ohio, and Kentucky, and is accused of similar conduct through its “Minority Healthcare Scholarship,” which offers $5,000 awards but is open only to applicants from designated minority racial or ethnic groups.
The complaint alleges that the program explicitly limits eligibility to groups such as black, Hispanic, Asian American, and Native American applicants, effectively excluding others regardless of qualifications.
Kurt Miceli, the chief medical officer at Do No Harm, told the Washington Examiner the programs reflect a broader trend of race-conscious policies that his group is working to challenge.
“It is unjust and unacceptable for Beacon Health and Valley Health to use race in determining awards for hands-on learning opportunities,” Miceli said. “A devoted student, with the skills and desire to learn, cannot be denied participation based on factors as arbitrary as skin color or ancestral background.”
He added that such policies rely on flawed assumptions about patient care and medical training.
“Political activists who push the idea that only certain racial groups are most equipped to deliver quality care to those in need affirm a demeaning and an inaccurate assumption,” Miceli said. “We will continue to hold these institutions accountable to the law and root out the brazen race-based discrimination infecting medical education today.”
Both complaints lean heavily on the Supreme Court’s 2023 decision in Students for Fair Admissions v. Harvard, which sharply curtailed the use of race in college admissions. The filings argue that the same legal principles apply to scholarship programs administered by federally funded healthcare institutions.
Under Title VI, organizations that receive federal funding are prohibited from excluding individuals from participation in programs on the basis of race, color, or national origin. The Affordable Care Act notably also extends those protections to healthcare-related programs and activities.
Do No Harm is asking HHS to open investigations into both systems and possibly refer the cases to the Justice Department for enforcement action. The department typically does not comment on active investigations, nor does it confirm the existence of pending activity.
Last May, the department’s Office of Civil Rights issued clarifying guidance in a letter to medical schools, which stated any reliance on race-based criteria, racial stereotypes, and facially neutral criteria that operates as a pretext for race are strictly prohibited under Title IV and Section 1557 of the ACA.
The complaints come as legal pressure mounts on institutions across the country to reevaluate diversity, equity, and inclusion initiatives in the years since the 2023 Supreme Court ruling, and now that the Trump administration has shown an interest in investigating claims of civil rights abuses by educational and medical institutions.
Do No Harm, which has aligned itself with efforts to dismantle diversity, equity, and inclusion policies in medical and educational institutions, has increasingly used litigation and regulatory complaints to challenge programs it views as discriminatory.
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The group has also advocated change in other areas of healthcare policy, including urging federal regulators in the Federal Trade Commission on Monday to investigate the American Psychological Association over its guidance related to transgender procedures for minors.
In a recent success that came through a complaint from Do No Harm, a Michigan law firm in March removed race-based eligibility language from a scholarship program after facing legal challenges from Do No Harm over similar claims.
