Federal Education
Funding Update
Noelle Ellerson
AASA March 2013
Federal Education Funding
   Budget vs. Appropriations
   Federal Fiscal Year runs Oct. 1 – Sept. 30
   FY13 started Oct. 1, 2012
   FY13 dollars are in 2013-14 school year
    budgets
   Federal Budget sets overall funding level (the
    whole pie)
   Federal Appropriations determines
    programmatic funding level (our piece of the
    pie)
US Map: Federal Revenue in Local Edu Budgets
Budget Control Act (BCA)
   Stems from Debt Ceiling Debate from Summer 2011
   Among other things:
     Raised Debt Ceiling

     Created Super Committee tasked with identifying $1.2
      trillion in savings over ten years
     Established spending caps for next ten years (starting
      with FY12)
     Required votes on balanced budget amendments

   Sequestration
       Stems from failed ‘Super Committee’ created in BCA
       Sequestration = automatic, across-the-board cuts
Sequestration & Education
   Cuts took effect March 1
   Cuts will total $3 billion
   Cuts will come in 2013-14 school year
   Final appropriations for FY13 do not avoid sequestration
    cuts; build budgets accordingly
   Every K-12 federal education program will be impacted
       E-Rate and School Lunch are not cut, but they are thru FCC and USDA,
        respectively
Funding
   Sequestration
       It happened!
       5.1%
       Across the board, all K-12 programs, will impact
        you in 2013-14 school year
         IMPACT   AID is immediate
       Role of Sequester in pulling the level on flexibility
        re: IDEA MoE
       Still not resolved, still opportunity to get it ‘fixed’.
Funding
   Federal Appropriations
       FY13 started Oct 1, 2012
       Current CR expires March 27
       Separate from the Sequester
       Congress passed the final appropriations
        package (a mix of stand-alone bills and CRs) last
        week.
       Level funds education at FY12 levels and
        maintains sequestration.
       IDEA anomaly for state Maintenance of Effort
Funding
   FY14 Budget Proposals
       President’s not expected until April 8
       House Budget:
         Reduces  funding to well below sequester levels
         Passed the House on party-line vote
         Doesn’t resolve sequestration

       Senate Budget
         Eliminatessequestration
         Passed the Senate late last week

       Bottom line? House and Senate are so far apart
        that we know we are on a CR course for FY14, as
        well.
Sources: CEF Calculations based on An Update to the Economic and Budget Outlook: Fiscal Years 2013 to 2023, CBO,
February 2013; OMB Report Pursuant To The Sequestration Transparency Act Of 2012, September 2012; the
American Taxpayer Relief Act of 2012, January 2013; House Budget Committee’s Fiscal Year 2014 Budget Resolution
Discretionary Spending table and Senate Budget Committee’s FY 2014 Budget Resolution Discretionary Spending
Summary
Function 500
               Funding




11
     Ryan 10-year total = $906 billion; Murray 10-year total = $1,130 billion
Other
   ESEA                   Perkins/Career
   School Nutrition        Tech
   Rural Education        IDEA Full Funding
   Education              From Sasha’s
    Technology/E-Rate       Portfolio:
   Vouchers/Charters
                               Seclusion/Restraint
                               IDEA and Due
   Epinephrine Pens
                                Process
   Early Education            Bullying
                               School Safety
Contact Your Advocacy Team
 Noelle Ellerson                 Sasha Pudelski
  @Noellerson                      @Spudelski



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