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AAV Item 1 Addendum Attachment 1

Return to May 2009 SBE Agenda

This is an accessible alternate version (AAV) of the PowerPoint Presentation for Item 1 Addendum Attachment 1 (PPT; 2584KB; 28 slides) posted on the May 2009 State Board of Education Agenda.

American Recovery and Reinvestment Act (ARRA)
PreK-12 Education

"Saving and Creating Jobs and Reforming Education”
Overview for State Board of Education
By Andrea Ball, Deputy Superintendent

May 6, 2009
ARRA Web site []] Web site [http:/]

Saving and Creating Jobs and Reforming Education

“In a global economy where the most valuable skill you can sell is your knowledge, a good education is no longer just a pathway to opportunity - it is a pre-requisite.  The countries that out-teach us today will out-compete us tomorrow.” 

- President Barack Obama, 2/24/09”

ARRA Education Provisions

  • $100 billion nationwide for Pre-K, K-12, and post-secondary education
  • Includes:
    • 14 existing Pre-K and K-12 programs
    • State Fiscal Stabilization (new program)
    • 2 school facilities tax credit programs: Qualified Zone Academy Bonds (existing) and Qualified School Construction Bonds (new program)
  • An estimated $8 billion in education funding for California

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ARRA Guiding Principles

  • Spend quickly to save and create jobs
  • Ensure Transparency and Accountability
  • Thoughtfully Invest One-Time Funds
  • Advance Effective Reforms

U. S. Department of Education Recovery Web site [] External link opens in new window or tab.

ARRA Core Reforms and Assurances

  • College- and Career-ready standards and high quality valid, and reliable assessments for all students, including ELLs and students with disabilities
  • Pre-K to higher education data systems that meet the principles in the America COMPETES Act
  • Teacher effectiveness and equitable distribution of effective teachers
  • Intensive support and effective intervention for lowest-performing schools

U. S. Department of Education Recovery Web site [] External link opens in new window or tab.

ARRA Education, Child Care and Tax Credit Programs

  • Child Care and Development Block Grants
  • Child Nutrition Equipment Program
  • Elementary and Secondary Education Act
    • Title I (Education for Disadvantaged Students)
    • School Improvement Grants
    • Impact Aid Construction
    • Enhancing Education Through Technology (EETT)
    • Education for Homeless Children and Youth
  • Head Start and Early Head Start
  • Individuals with Disabilities Education Act
    • Special Education, Part B, 611 (Ages 3– 21)
    • Special Education, Part B, 619 (Ages 3– 5)
    • Special Education, Part C, (Birth – 2)
  • Qualified School Construction Bonds (QSCB)
  • Qualified Zone Academy Bond Program (QZAB)
  • State Fiscal Stabilization Fund (SFSF)
  • Statewide Data Systems
  • Teacher Incentive Fund
  • Teacher Quality Enhancement, State Grants

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Funding Estimates for Major Programs that go through CDE


Final ARRA

California Total

Title I



School Improvement Grant



Ed Tech (EETT)



IDEA (Part B)



McKinney Vento Homeless



Fiscal Stabilization Fund (Ed.)



State Longitudinal Data Systems


Competitive Grant

Teacher Incentive Grants


Competitive Grant

Child Nutrition Program






Child Development Block Grant






Source:  Funding Estimates Source Web page []

State Fiscal Stabilization Funds

  • Allocated to State by formula based on population:
  • State’s allocation has two pots
    • 81.8 percent must be spent on education-
      intended to restore gaps in state support for K-12, public higher education (IHE) and as applicable early childhood education services.
    • 18.2 percent  for other government services

California’s Allocation for Stabilization Fund
4.87 Billion for Education

  • Phase 1 (67 percent) of funds available: $3.1 billion for K-12 and IHEs ($2.56 billion for K-12 and $537 million for IHE)
  • Amount to each LEA is based on reduction to Revenue Limits and Categorical programs made in February 2009.
  • California was the first state in the nation to have its state application approved. Initial application included: assurances in education reform areas, baseline data and brief description of how State intends to use Stabilization allocation.
  • Phase II (33 percent) available later in 2009.
    • Approximately $1.1 billion for California K-12 LEAs.
  • State application for receipt of Phase II:
    • The State’s plan for detailing strategies for addressing education reform objectives
    • Description of how the State is implementing record-keeping and reporting requirements
    • Description of how funds will be used in fiscally prudent way that substantially improves teaching and learning

SFSF Ed Assurances Baseline Data Sources

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SFSF: Uses by LEAs

  • LEAs must apply for SFSF grants. Simple application form available on Web – check off assurances and submit. Application deadline: May 4.
  • LEAs may use funds for any activity authorized under ESEA (including Impact Aid), IDEA, Adult Ed, or Perkins,
  • Modernization, repair and renovation of school facilities.
  • LEAs may use SFSF to pay salaries to avoid having to lay off teachers and other school employees.
  • LEAs encouraged to use funds for activities that advance progress on the assurances and drive lasting results without unsustainable recurring costs.

State Incentive Grants: "Race to the Top"

$4.35 billion for competitive grants to states, awarded by U.S. Secretary of Education

Criteria: grants to states that have made significant progress in meeting the assurances identified in the state application and other criteria as determined by Secretary

  • Two rounds of grant awards: late Fall 2009 and Summer 2010
  • At least 50 percent of award must go to LEAs.

SFSF Innovation Funds

$650 million for the Innovation Fund: competitive grants to LEAs, partnerships of LEAs and non-profit agencies and LEA or school consortia, with a strong record of education results – have made significant gains in closing achievement gaps. The grant will be used for:

  • Work in partnership with the private sector and the philanthropic community
  • Identify best practices that can be shared and taken to scale
  • Two rounds of grant awards: late Fall 2009 and Summer 2010

Title I Funds

  • $10 billion nationwide on top of regular FY 2009 allocation
    • $5 billion for targeted grants
    • $5 billion for education finance incentive grants
  • $1.1 billion estimated for California
  • No new application required
  • New LEA reporting requirement: LEAs required to submit 2008-09 site level per pupil educational expenditures from state and local sources to state education agency and state to report to ED.

Source: U. S. Department of Education Recovery Web site [] External link opens in new window or tab.

Guidance from ED
  • Notes Congressional intent and Obama administration commitment: Grantees use some of their Title I funds for early childhood programs
  • LEA use of funds should be aligned with core goals of ARRA to save and create jobs and to advance reforms.
Examples of fund uses:
  • Establish a system to identify and train highly effective teachers in school wide programs
  • Provide year long training to all teachers and principal in a Title I school in corrective action or restructuring status.
  • Strengthen and expand early childhood programs by providing resources to align district-wide Title I pre-K program with state early learning standards and state K-3 content standards.
  • Provide opportunities for Title I school wide programs for high school students to use high-quality online courseware as supplemental learning materials in science and math.

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Title I, Part A – ARRA: Fiscal Issues and Waivers

ED will consider requests for waivers for:
  • “Set-aside” requirements in Title I, Part A that apply to the use of funds by LEAs
  • Per-pupil amount for supplemental educational services
  • State may grant LEAs a waiver of carryover limitation
ED may not waive supplement not supplant requirement but in cases of severe budget shortfalls LEAs may have avenues to demonstrate compliance

Title I School Improvement Grants
(ESEA Title I, Section 1003 (g))

  • $3 billion to improve lowest performing schools
  • California’s allocation is $383 million
  • Will be made available by Fall 2009
  • Application by State required.
  • States to give priority to LEAs that:
    • Serve the lowest-achieving schools
    • Demonstrate the greatest need for such funds
    • Demonstrate the strongest commitment to ensuring that such funds are used to enable the lowest-achieving schools to meet the progress goals in school improvement plans.

IDEA Part B Funds

  • $11.7 billion nationwide on top of normal FY 2009 grants.
    • $11.3 billion for children ages 3 - 21
    • $400 million for children ages 3 - 5
  • $1.3 billion estimated for California
    • $1.2 billion for ages 3 - 21
    • $41 million for ages 3 - 5
  • 50 percent of funds available April 2009
  • Remaining 50 percent awarded by September 30, 2009, upon approval of State’s record keeping and reporting submission.
  • Examples of fund uses:
    • State-of-the-art assuasive technology devices and training in their use to enhance access to general curriculum for students with disabilities
    • Intensive district-wide PD for special education and regular education teachers that focuses on scaling-up, through proven strategies in reading, math, writing, science, and positive behavioral supports to improve outcomes for students with disabilities
    • Develop or expand the capacity to collect and use data to improve teaching and learning.
    • Expand the availability and range of inclusive placement options for preschoolers with disabilities by developing the capacity of public and private preschool programs to serve these children.
    • Hire transition coordinators to work with employers in the community to develop job placements for youth with disabilities.

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Other ED Programs

Enhancing Education Through Technology Grants to LEAs
  • $650 million for Enhancing Education Through Technology Program (available to state later in 2009)
  • $70 million for California (half out to LEAs via formula and half out via competitive grants)
  • Funds for technology hardware, software applications, professional development and related instructional technology staff and services.
Statewide Data Systems Competitive State Grants
  • $250 million, competitive grants to states to design, develop and implement statewide longitudinal data systems to manage, analyze, disaggregate, and use individual student data.  (available later in 2009)
  • Up to $5 million may be used for state data coordinators and for awards to public or private organizations or agencies to improve data coordination.

School Facilities

Qualified School Construction Bonds (QSCBs) (New Program)
  • Tax credit construction bonds for new school construction, rehabilitation/repair or land acquisition
  • $22 billion nationwide
    • $11 billion in 2009 and $11 billion in 2010
  • 60% allocated to states based on share of Title I funding and 40% allocated directly to large LEAs (based on number of children from families in poverty)
  • California’s allocation is $1.36 billion ($582 million directly to 11 large LEAs)
Qualified Zone Academy Bonds (QZABs)
  • Reauthorization and expansion of existing tax credit program CDE administers
  • $1.4 billion for 2009 nationwide
  • $1.4 billion for 2010 nationwide
  • California’s allocation is $155 million
  • Bonds may be used for school modernization, repair, renovation at a qualified zone academy

Child Care & Development (from US HHS)

  • $ 2 billion nationally
  • $220 million for California, includes $38 million for quality activities, of which approximately $10 million is for infants and toddlers programs.
  • To be allocated according to current policy and formulas.
  • No separate application process.

Child Nutrition Equipment Grants (from USDA)

$100 million nationally for competitive grants to school food authorities.

California allocation is $12.8 million
  • Priority for equipment assistance for schools in which at least 50 percent of students eligible for free or reduced-price meals and that improve:
  • Meal Quality and participation; Food Safety; Energy Efficiency.
  • Requests for Applications now available.

USDA encourages states to make awards by June 8, 2009.

Accountability and Transparency

  • All ARRA funds must be tracked separately
    • Quarterly reports on both financial information and how funds are being used
    • Estimated number of jobs created
    • Subcontracts and sub-grants required to comply with the Federal Funding Accountability and Transparency Act
  • SFSF requires annual reporting on progress in education reform areas
  • Reporting template being developed for use by States to capture required information
  • Transparency allows opportunity to quantify/define goals and mobilize support for improving results for all students. Information will be posted on Web.

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Questions: State Board of Education | 916-319-0827 
Last Reviewed: Tuesday, May 26, 2015

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