The Stimulus Test and Title I

Ben Miller:

In the midst of an interesting memo defending President Obama’s decision to propose level funding Title I for next year, Raegan Miller of the Center for American Progress raises the point that many states and school districts don’t need increased Title I money because they are still receiving additional stimulus dollars. That’s a good point and makes a lot of sense–no need to spend more when there are already federal funds available.

But while the stimulus funds may be enough to justify flat-funding Title I for next year, it also hints at some important looming questions in all levels of federal education spending—what to do when the stimulus money expires.

As Miller notes, school districts and states still have some remaining funds from the $10 billion provided for Title I in the stimulus that would supplement the flat funded level of $14.49 billion for Title I. According to Jennifer Cohen, my former colleague at the New America Foundation, only about 24 percent of Title I stimulus funds had been disbursed by March 5. Coupled with the fact that up to 15 percent of the $10 billion can be reserved for the 2011 fiscal year, this increases the likelihood that states will still have a decent amount of money to use.