If only they stayed "kids." However satisfying or righteous it might feel, focusing on race (even to "fix" things) invariably does more harm than good.
Yes, there are numerous ways schools can lose standing to qualify for student aid approval. Breaking the law is one of them.
AFAIK, college dorms are run by a housing association of some kind that acts as a form of government as well as an enforcer for campus rules. Guess where most of the money for that comes from?