Overview of U.S. Department of Education 2011-12 Federal Budget

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At the end of December 2011 President Obama signed into law the 2011-12 federal education budget. The budget provides funding for the U.S. Department of Education and education programs from October 1, 2011 to September 30, 2012.

The budget provides $68.3 billion in discretionary spending to the U.S. Department of Education. This represents a 1.4% decrease from last year. Part of the federal budget negotiations included a required reduction of 0.189% across-the-board.

Multiple key programs are funded at similar funding levels to last year.  However some key programs saw declines in their funding levels.

  • The Pell Grant program received a slight reduction of 0.58% with a maximum annual level of per student funding set at $5,550. A limit was placed on the number of full-time Pell grants any individual student may receive in a lifetime to a maximum of six years/12 semesters and requires that students have either received a high school diploma or GED, or have been homeschooled in order to be eligible.
  • The Race to the Top program saw a reduction of 21% from $699 million to $549 million. The budget legislation requires the program to include a robust early childhood education component this year.

 

2012 Supplemental Session: Week 1

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The 2012 Supplemental Legislative Session convenes on Monday, January 9.

Several work sessions and some public hearings are scheduled on critical issues that impact higher education. To learn more follow the links below.

This week the focus of the appropriations committees (i.e. Senate Ways & Means ,  House Ways & Means, House Education Appropriations) will be to review the impact of early budget action in December and the current budget situation and to review in greater detail programs and services within the budget.

In addition, the higher education related committees (i.e. House Higher Education and  Senate Higher Education & Workforce Development) will receive results of reports requested from the 2011 legislative session on common course numbering and hold work sessions on innovative practices in higher education, efficiencies among the two and four year institutions in Washington, and the employment and earning outcomes for Washington’s higher education institutions.

Governor Signs Early Action Budget and Other Legislation Passed During Special Session

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Yesterday Governor Gregoire signed into law the early action budget passed by the Legislature last week. She vetoed a single proviso that directed the Department of Social and Health Services to maintain the physical plant and protect state assets at the closed Maple Lane School.

The budget implements a variety of state funding reductions, transfers and delayed payments to reach roughly $480 million in savings.  The early budget action by the Legislature reduces the state’s budget shortfall to approximately $900 million with plans to also set aside approximately $600 million in a reserve for the remainder of the biennium. This leaves nearly $1.5 billion for the Legislature to solve when they return in January.

Upon signing the budget bill the Governor asked lawmakers to give her a timeline on when they expect to resolve the remainder of the budget shortfall. She is asking lawmakers to find a solution early in the new year. Budget writers in Olympia have shared that work continues on the budget with consensus building on other areas to cut and several work groups forming around smaller projects within the budget.

In addition to the budget legislation, Governor Gregoire signed into law several policy bills that were passed by the Legislature during the special session. Among the bills signed into law three were  education related and together would do the following:

  • Establish grant programs for high schools to prepare students for jobs as entry-level aerospace assemblers; for skills centers to enhance manufacturing-skills programs; and for high schools to create specialized courses in science, technology, engineering and math.
  • Require the Professional Educator Standards Board to revise certification and certificate-renewal standards for elementary teachers and secondary science and math teachers to include knowledge and skills in science, technology, engineering, and math.
  • Allow Project-Lead-the-Way examinations to be included in the list of college-level proficiency exams that are recognized as a method for fulfilling postsecondary courses. Project-Lead-the-Way is a national organization that provides curriculum in science, technology, engineering, and math for middle and high schools.

Governor Names Scholarship Board

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This week Governor Gregoire appointed seven members to a board of directors to administer a scholarship program for middle-income families.

The members to the board are: Jim Albaugh, CEO of Boeing Commercial Airplanes; Brad Smith, General Counsel for Microsoft Corp; Mack Hogans, Senior Executive at Weyerhauser Co.; Kimberly Harris, CEO of Puget Sound Energy; Theresa Gillespie, Partner at Trilogy International Partners wireless communications investment company; Jim Sinegal, CEO Costco Wholesale Corp.; and Jerry Grinstein, former CEO of Delta Air Lines.

Esstablished in legislation passed during the 2011 session, the Opportunity Scholarship Program and the Opportunity Expansion Program were created to mitigate the impact of tuition increases, increase the number of baccalaureate degrees in high employer demand and other programs, and invest in programs and students to meet market demand fields of study while filling middle income jobs with a sufficient supply of skilled workers. 

The program is paid for through a public-private partnership. The scholarships are funded through $5 million form the state and $55 million form Boeing and Microsoft.

Governor Gregoire Releases Education Reform Proposal

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This week Govenror Gregoire released six education reforms focused on promoting high-quality teaching through renewed professional growth opportunities.

The reforms recommended by the Governor are based on “the premise that student learning and educational attainment are boosted by great teaching…(and that ) thoughtful coordination and better student transitions also contribute positively to student learning’.

Education Reforms

  • Change the current evaluation system for teachers and principals.
  • Require all school districts to adopt updated policies for making staffing decisions.
  • Establish the Office of Student Achievement to focus on the goal of increasing the educational attainment of Washingtonians.
  • Prioritize time for student learning by eliminating the requirement for individual learning plans for students in the Learning Assistance Program and allowing exemptions to the culminating project high school graduation requirement.
  • Change the schedule of district audits.
  • Create university laboratory schools to nurture innovation and excellenct to help students succeed.

The Office of the Governor will draft legislation to implement each of these reforms and introduce the bills in the 2012 supplemental session.

Congress Reaches Pell Agreement

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Late this week  Congressional leaders reached agreement on an omnibus spending bill (H.R. 3671) that contains the nine remaining spending bills for 2012.

As a part of this package Congress agreed to maintain the maximum Pell Grant at $5,550. To pay for the Pell Grant program the bill tightens eligibility for grants and temporarily ends the interest subsidy on undergraduate student loans during the six-month grace period after a student graduates.

With regard to eligibility changes, under the bill, students would be limited to six years of Pell Grants, rather than the current nine. It remains unclear whether or not students who have already received at least six years of the grants would remain eligible for additional aid. In addition students who lack high-school diplomas or GED’s would no longer be allowed to qualify for the grants by taking an “ability to benefit” test.  Finally the bill would reduce the number of students who automatically qualify for the maximum Pell Grant by lowering the income cap for receiving an “automatic zero” expected family contribution from $30,000 to $23,000.

In addition to the changes to the Pell Grant program the bill impacts several other higher education related programs. Among the impacts are:

  • Increased funding for the National Institutes of Health by 1 percent;
  • Allowing the National Institutes of Health to go ahead with plans to create a new center to help pharmaceutical companies make drugs from universities’ research discoveries;
  • Providing flat funding for most student-aid programs, including the Supplemental Education Opportunity Grants and Federal Work-Study, and the Gear Up college-preparation programs; and
  • Increasing funding for TRIO college-prep programs by $15 million.

Votes on the budget are expected today in both the U.S. House and Senate. The latest continuing resolution experies today and if lawmakers do not pass the spending bill or another stopgap resolution by then much of the federal government could shut down.

 

Legislature Adjourns Special Session; Passes Some Education Legislation

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On Wednesday the Washington Legislature adjourned a seventeen day special session.

By the end of the seventeen days the Legislature had passed an early action budget package and some policy legislation ranging from benefits for military spouses to legislation focused on dealing with involuntary commitments of mental patients.

The budget bill passed by the Legislature reduces the shortfall by roughly 25% ($479.9 million) of the total problem ($2 billion). While some will argue that the special session did not achieve all that it could, the time provided legislators with the opportunity to receive public feedback on the Governor’s proposed 2012 supplemental budget and to begin budget conversations within their respective caucuses. In addition it provided agencies and stakeholders with the chance to get an earlier than usual glance at potential policy considerations.

In addition to the budget the Legislature passed three bills related to strengthening the aerospace industry in Washington. All three bills are education related and together would do the following:

  • Establish grant programs for high schools to prepare students for jobs as entry-level aerospace assemblers; for skills centers to enhance manufacturing-skills programs; and for high schools to create specialized courses in science, technology, engineering and math.
  • Require the Professional Educator Standards Board to revise certification and certificate-renewal standards for elementary teachers and secondary science and math teachers to include knowledge and skills in science, technology, engineering, and math.
  • Allow Project-Lead-the-Way examinations to be included in the list of college-level proficiency exams that are recognized as a method for fulfilling postsecondary courses. Project-Lead-the-Way is a national organization that provides curriculum in science, technology, engineering, and math for middle and high schools.

The Governor is scheduled to take action on the early action budget proposal and the legislation passed during the special session on December 20.

Washington Senate Passes Early Action Budget; Now Heads to Governor

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This afternoon the Washington Senate passed legislation that will reduce the current budget shortfall by nearly $500 million.

The Senate voted 42 to 6 to pass a budget package that consists of reductions to programs and services, fund shifts, and new revenues. The House passed the budget last night.

The bill now goes to the Governor for her signature.

House Passes Early Action Budget Proposal

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This evening the Washington House passed legislation that will reduce the current budget shortfall by nearly $500 million, setting up the potential for adjournment of the special session as early as tomorrow night.

The House voted 86 to 8 to pass a budget package that consists of reductions to programs and services, fund shifts, and new revenues.

The bill now goes to the Senate. Earlier today the Senate Ways & Means Committee passed its version of the budget proposal setting up a late morning or early afternoon vote tomorrow on the Senate floor.

Senate Appropriations Committee Moves Early Action Budget Proposal

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This afternoon the Senate Ways & Means Committee passed legislation that will reduce the current budget shortfall by $479.9 million.

The Committee considered a handful of amendments, but passed only a few that were technical in nature. The bill now goes to the Senate floor for consideration.

Both the Senate and the House will convene for floor sessions tomorrow morning.