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Funding for K-12 Education

2251101_Funding Infographic_070824_Chart_OUTLINE

Formula Funds

ESSA (formerly ESEA)

The Elementary and Secondary Education Act (ESEA) was enacted in 1965 to ensure equal access and opportunity for all students. It has been reauthorized several times, most recently in 2015 as the Every Student Succeeds Act (ESSA).

ESSA maintains many of the tenants of ESEA, but with a major shift of power and responsibility back to the states. While it’s an expansive, complex piece of legislation, the main purpose is simple: to provide a quality education for all kids. There are eight Titles in ESSA that outline the different types of funding. The first five are highlighted below.

 

Title I: Improving the Academic Achievement of the Disadvantaged

Title I funds make up the largest federal aid package for American schools and are allocated through four main grants. It’s goal is to help schools close academic achievement gaps by ensuring all students receive a fair, equitable, and high-quality education. Schools serving 40% or more low-income students are eligible to use Title I funds to operate school-wide programs to raise academic achievement; less than 40% require targeted assistance programs for eligible students. Parts A-F of Title I policy detail funding stipulations for various student populations and directives for use of funds.

Part A: Improving Basic Programs
Operated by LEAs Part A provides financial assistance to Local Education Agencies (LEAs) and schools with high percentages of children from low-income families to help ensure that all children meet challenging academic standards. Part A funding can be used to support supplemental instruction, extended learning programs, instructional materials, equipment, technology, and professional development to reinforce the regular school curriculum and raise academic achievement.

Title II: Preparing, Training, and Recruiting High-Quality Teachers, Principals, or Other School Leaders

Title II is designed to improve the quality, quantity, and effectiveness of educators and leaders, and provide low-income and minority students greater access to effective educators. Ultimately, the goal is to increase student achievement of academic standards by ensuring equitable access to effective teachers, especially for underrepresented groups. Title II funds are awarded to SEAs based on a formula that compares the number of school-aged children in the state and the percentage that are from low-income families. SEAs then allocate the funds to LEAs based on need.

 

Part A: Supporting Effective Instruction
Part A focuses on the recruitment and retention of high-quality teachers and principals to ensure effective instruction. Funding can be used for certification and licensing programs, tenure and evaluation systems, and professional learning that ensure teachers and principals have the necessary knowledge, teaching, and leadership skills to be highly effective educators.

Title III: Language Instruction for English Learners and Immigrant Students

Title III is designed to improve the education of English Language Learners (ELLs) and immigrants by helping them acquire the English language and meet state academic achievement standards. Funds are distributed to states who apply for grants under ESSA, based on a formula that accounts for the number of ELL and immigrant children in the state. States then allocate funds to LEAs based on the number of immigrant and ELL students in each district.

 

Part A: English Language Acquisition, Language Enhancement, and Academic Achievement
Part A outlines how the funds can be used, including language programs, professional learning, materials and technology, and family/community involvement in language programs.

Title IV: 21st Century Schools

Title IV is designed to help create community learning centers that offer academic enrichment opportunities during non-school hours, particularly in high-poverty areas. The range of activities helps participating students meet academic standards and enrich their learning experiences, as well as extend educational services to their families. To use Title IV funds, states submit a plan outlining how they will use funds for state-level activities, as well as how they will allocate the funds to LEAs. States and LEAs must outline how they will review and monitor the resources and activities provided with funding, as well as technical assistance.

 

Part A: Student Support and Academic Enrichment Grant
Part A provides funding to ensure all students have access to a well-rounded education, especially underrepresented groups, school conditions are optimal for learning, and technology is being used effectively to improve academic achievement and digital literacy. There are many subparts to this section of Title IV that go into detail about the types of programs and support for which these funds can be used.

Part B: 21st Century Community Learning Centers
Part B supports the creation of opportunities for academic enrichment during non-school hours and a rigorous student-centered 21st century classroom environment for children, particularly students who attend high-poverty and/or low-performing schools.

Title V: Rural Education Achievement Program (REAP)

The Rural Education Achievement Program (REAP) assists eligible LEAs in addressing local academic needs more effectively by giving them greater flexibility in the use of limited federal resources. Programs under subparts 1 and 2 are designed to address the unique needs of rural school districts that frequently: 1. Lack the personnel and resources to compete effectively for federal competitive grants; and 2. Receive formula allocations in amounts too small to be effective in meeting their intended purposes.

 

The programs are designed to supplement funding to help rural local educational agencies (LEAs) to increase student academic achievement and decrease dropout rate. There are two programs authorized under REAP: the Small, Rural School Achievement (SRSA) program and the Rural and Low-Income School (RLIS) program. SRSA program grantees must be small and rural. The RLIS program provides grant funds to rural LEAs that serve concentrations of children from low-income families.

IDEA

IDEA The Individuals with Disabilities Education Act (IDEA) funds early intervention services, instruction, materials, technology, professional development and family/ community engagement programs. All students receiving support must have an IEP.

IDEA funds are provided to states that agree to offer students with disabilities a free and public education (FAPE) between the ages of 3 and 21. FAPE includes specially designed instruction that meets the needs of every eligible child, provided at no cost to the parents. To receive funding, school districts must identify, locate, and evaluate all children with disabilities to determine which children are eligible for special education services and prepare IEPs for qualified students.

 

Parts A through D outline provisions for helping children of different age levels, but Part B is the largest part of the IDEA, as it details funding conditions for school-age children with disabilities. Under Part B of IDEA, children and youth (ages 3-21) receive special education and related services, including Pre-K programming and postgraduation support, through grants awarded to states. Part B grants are allocated using a variety of formulas based on eligible students and other factors.

McKinney-Vento Homeless Assistance Act

The McKinney-Vento Homeless Assistance Act is a federal law created to support the enrollment and education of homeless students. McKinney-Vento is intended to provide homeless students the same educational opportunities as housed students by removing as many barriers to learning for homeless students as possible.

 

Funding is allocated to states based on the state’s Title I, Part A federal allocations. States then subgrant funds competitively to school districts, based on the need and the quality of the application. Funds may be used for tutoring, supplemental instruction, diagnostic assessments, and other educational services that help homeless students reach the same challenging State academic standards the State establishes for other children  and youths.

Instructional Materials and Technology Allotment (IMTA) Disbursement

The Instructional Materials and Technology Allotment (IMTA) can be used to purchase instructional materials; technological equipment; certain related software, systems, and services; and salaries for specific technical support employees.

Each district and open-enrollment charter school is entitled to an instructional materials allotment amount determined biennially by the commissioner and based on the legislative appropriation. These funds become available after September 1 of each odd-numbered year. The allotment is accessed through EMAT (must obtain EMAT access and complete the training and prerequisites first).

Disbursement Process

Districts and open-enrollment charter schools can use their Instructional Materials and Technology Allotment (PDF) to order materials through EMAT. The funds can be accessed in two ways: through a requisition for state-adopted materials or through a disbursement request for materials ordered directly from the vendor.

1
LEA logs into EMAT to submit a disbursement request.
2
Funds are deducted from the LEA’s allotment in EMAT.
3
TEA reviews the request and contacts the LEA for additional information if needed. 
4
If approved, TEA sends the funds to the LEA. The LEA orders directly from the vendor and pays the vendor directly.

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