The American Recovery and Reinvestment Act provides approximately $100 billion in spending for education. The measure will significantly expand the federal investment in education with a historic boost in funding to use education to improve our economy over the long term. The education priorities in the measure are aide to states, increases in Title I, IDEA, Pell and school modernization. These programs support what the new Secretary of Education calls our nation's "race to the top" by focusing on key reform areas: improving state standards and assessments, data systems, supply and equitable distribution of effective teachers and principals, and innovation.
B&D Consulting will continue to provide updates on funding levels and the specifics of education programs provided by Congress in the stimulus package, as well as the status of implementation and guidance provided by the U.S. Department of Education. The following is a breakdown of anticipated funding:
Title I, Elementary and Secondary Education Act
$13 billion will be available through formula grants to help local districts close the achievement gap and improve school performance.
Special Education - IDEA
$12 billion will be available to help states and districts improve the educational outcomes of students with disabilities, with targeted funds for early childhood programs.
Education Technology Grants
$1 billion for grants to improve student achievement through the use of technology in elementary and secondary schools.
McKinney-Vento Homeless Assistance Act
$70 billion will help states provide educational services for homeless students.
Student Financial Assistance
$15.6 billion will be available to help students access a college education. Under the plan, the Pell grant will be increased by $500.
State Fiscal Stabilization Fund
A total of $53.6 billion will be available, of which $39.5 billion will be directed to local school districts using existing funding formulas to restore education budgets, prevent layoffs, school modernization or other purposes; $5 billion to states as bonus grants for meeting key performance measures in education; and $8.8 billion to states for high priority needs such as public safety and other critical services, which may include education and for modernization, renovation and repairs of public school facilities and institutions of higher education facilities. The funds may provide academic achievement awards recognizing states, local educational agencies or schools that have significantly closed the achievement gap, have exceeded the state's annual measurable objectives for two or more consecutives years, or demonstrated success in significantly increasing student academic achievement.