In the next month, Congress will consider an $825 billion economic stimulus plan that includes as much as $120 billion for K – 12 needs, according to the proposal released by House Democrats in conjunction with President-Elect Obama’s transition team and Senate leadership. Committees will begin work on the stimulus plan as early as next week, with Democrats hoping to have a complete bill to send the White House by mid-February.
“The proposed legislation would provide timely resources to help restore the federal investment in education as the economic engine for long-term recovery, sustainability and global competitiveness,” said NSBA Executive Director Anne L. Bryant in a statement.
The bill would provide funding for a number of education programs, including school infrastructure repair and modernization, Title I grants, special education, technology, and statewide data systems. Specific program allocations proposed include:
- $41 billion to local school districts through Title I grants ($13 billion), IDEA ($13 billion), a new School Modernization and Repair program ($14 billion) and the Education and Technology program ($1 billion); and
- $79 billion in fiscal relief to states to help cover cutbacks in key services with an emphasis on both k-12 and higher education, including $39 billion for K-12 and higher education through existing state and federal formulas, $15 billion in bonuses for meeting key performance measures (e.g. teacher quality; state implementation of longitudinal data systems; and, assessments for English Language Learners and students with disabilities) and $25 billion for other high priority purposes-which can include education.
The bill would also extend the current moratorium on Medicaid regulations, allowing school-based Medicaid reimbursement through October 1, 2009, a key issue for school boards and strongly advocated by NSBA, along with the school construction and relief for districts.
Most of the K-12 funding would be allocated over a two-year period, but the school infrastructure funding would be available immediately to help create and sustain jobs. The proposed bill would direct the U.S. Department of Education to distribute school infrastructure funds to state within 30 days of enactment.
Check out additional coverage from Politico and a summary from House Appropriations Committee Chairman David Obey. Feel like reading the bill itself? Here’s the 258 pages.





