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AEP Online |
Blaschke on Federal FundingFY 2004 Education Appropriation Likely to Include Lowest Increase in Several YearsThe FY 2004 education budget is likely to have the lowest percent total increase in several years. Both the House and Senate have gone along with the President’s request to expand Title I funding by slightly over $650 million. The House would put all of the increase under "targeted" grants while the Senate would include all of its increase in the "education finance incentive" grants component of the Title I formula. In either case, the major beneficiaries will be large districts with high rates of poverty. The biggest winner will be IDEA/Special Education, which will possibly receive a $1-$2 billion increase. The final FY 2004 education funding level for IDEA will depend upon the results of the IDEA reauthorization, which should occur in the next month or so. The current House version of the IDEA reauthorization requires that "pre-referral interventions," which are necessary before placing any "borderline" K-3 student in special education, would have to include the "five essential elements" for Reading First. Districts could also spend up to 15 percent of their IDEA allocation for purchasing and using these Reading first-type interventions. This version, if passed, would allow districts to spend up to $1.5 billion to attempt to remediate reading problems through the use of such research-based interventions and therefore reduce the number of students placed in special education. This could be a de facto increase of $1-$1.5 billion in Reading First activities, the highest Administration program priority, funded through the "back door" of IDEA. The 21st Century Community Learning Centers program is likely to be level-funded at about $1 billion. Continued funding levels for Star Schools and Community Technology Centers is uncertain as the House version would eliminate these programs. The PT_ program, (Technology Teacher Training) initiative, is also likely to become a casualty. The Math and Science Partnership initiative may not end up receiving the 50 percent increase in the House version but will receive some large increase. The House and Senate have passed a month long "continuing resolution" for ESEA programs. The majority of FY 2003 funding, which was "advanced funded," began being released to the states October 1, with some districts receiving their final allocation (after SEA adjustments) as early as mid-October. However, most districts will not receive their final allocations until late October through December or even February 2004 for some large districts. The degree to which Congress uses "advanced funding" in the FY 2004 appropriation will likely have once again a significant impact on the funds notification and allocation process and timing next school year. For example, because of "advanced funding" for all increases in Title I funds for FY 2003, there are approximately 1,200 districts receiving large percentage increases in late October through December. Because of mistakes USED made in the preliminary district funds allocations in May, many Title I SEA offices have questioned whether these are mistakes and have not notified the districts of them, which represent a target of opportunity. While those 450+ mostly large urban districts which received increases of at least $500,000 for this school year, most of it will likely be allocated by SEAs to them beginning in mid-November with final allocations in February-March. For those districts with a relatively large number of schools "identified for improvement," many will set aside up to 20 percent for choice-related transportation and supplemental education services, all of which will not likely be expended. Therefore beginning in May-June such unspent funds are likely to be spent beginning through September 30.
Questions, ideas, or in need of information? Please contact Dave Gladney at 856-241-7772 or dgladney@AEPweb.org. |
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