Skip to content
Printer-friendly version

State Fiscal Stabilization Fund (SFSF) Phase II

A program established by the American Recovery and Reinvestment Act of 2009 (ARRA), awarded by the US Department of Education (ED).

Background/History

The US Department of Education will award state governors Phase II funding in exchange for commitments to advance essential, specified education reforms. The funding is intended to assist in the stabilization of state and local government budgets in order to avert layoffs within local educational agencies (LEAs), public institutions of higher education (IHEs), and other essential public services. More information about the SFSF can be found on the US Department of Education’s State Fiscal Stabilization Fund Web page External link opens in new window or tab..

Federal Requirements

Below are links to federal documents and announcements related to SFSF Phase II requirements.

Final requirements, definitions, and approval criteria External link opens in new window or tab. (Posted 12-Nov-09) | PDF External link opens in new window or tab. (2MB; Posted 12-Nov-09) This document is the Final Rule listed in the Federal Register, Part III: Department of Education, State Fiscal Stabilization Fund Program. This is the notice of final requirements, definitions, and approval criteria (NFR), published in the Federal Register on November 12, 2009 (74 FR 58435–58525), subsequent to the proposed requirements (NPR) that were published in the Federal Register on July 29, 2009 (74 FR 37837–37872).

Summary of final requirements External link opens in new window or tab. (DOC; Posted 12-Nov-09) This document summarizes, by education reform area, the final data and information collection and public reporting requirements for States.

Announcement of application requirements for the final $11.5 billion in State Fiscal Stabilization Funds External link opens in new window or tab. (Posted 09-Nov-09) This US Department of Education press release conveys Secretary of Education Arne Duncan’s announcement regarding the availability of application requirements for the final $11.5 billion in State Fiscal Stabilization Funds under the American Recovery and Reinvestment Act (ARRA) of 2009. This page contains a link to the application materials.

SFSF—Phase II Web page External link opens in new window or tab. (Posted July-09) | PDF External link opens in new window or tab. (Posted July-09) This Web page states the SFSF purpose, program requirements for Phase I, and proposed requirements for Phase II.

Application for Phase II Funding

Initial and approved state applications for funding for Phase II of the Education Fund under the State Fiscal Stabilization Fund Program (link is below). This U.S. Department of Education (ED) Web page provides (1) the initial application submitted by the State of California to the ED for the state to receive funding for SFSF Phase II and (2) the approved application.

Access to Reports for Each Area of Reform

Section 14005(d) of Division A of the American Recovery and Reinvestment Act (ARRA) requires a state receiving funds under the SFSF program to provide assurances in four key areas of education reform:

  1. Achievement of Equity in Teacher Distribution
  2. Improving the Collection and Use of Data
  3. Standards and Assessments
  4. Supporting Struggling Schools

For each of these areas of reform, the ARRA prescribes specific actions that the State must assure that it will implement. These assurances come in the form of indicators and descriptors, each delineating a specific action to be taken. Sources for any publicly available reports related to these indicators and descriptors are listed in the CDE’s Federal Application for Phase II of the Education Fund under the SFSF (refer to the section above entitled Application for Phase II Funding to view the application submitted by the State of California on January 11, 2010).

Visit the SFSF Phase II Assurance Indicators and Descriptors Web page to view a list of the required SFSF Assurance Indicators and Descriptors within each of the four areas of education reform.

Correspondence

Below are documents and resources related to SFSF Phase II.

CDE Comments on State Fiscal Stabilization Fund Program Requirements (Posted 28-Aug-09)
Letter to Arne Duncan, Secretary of Education, U.S. Department of Education, from State Superintendent of Public Instruction, Jack O'Connell, regarding the CDE's comments and recommendations on the State Fiscal Stabilization Fund (SFSF) program requirements.

Questions:   Government Affairs | ARRA@cde.ca.gov | 916-319-0821