Capital Digest

A Democratic senator vowed last week to shift funds for defense to school districts that educate military dependents.

"I think the Department of Defense has a responsibility" to contribute, Senator Alan J. Dixon of Illinois said at a hearing on a bill that would give the department responsibility for schools that qualify for impact aid because they serve military dependents. The program, which is now administered by the Education Department, compensates districts for revenue losses due to the inability to tax federal land or workers.

Mr. Dixon had the bill referred to the Subcommittee on Readiness, Sustainability, and Support, which he chairs, and said he would use whatever avenue was available to him to see...