Obama Seeks to Make Race to Top Grants Permanent Program

President to Ask for Additional $1.35 Billion in Budget

President Barack Obama will seek an additional $1.35 billion in next year’s budget to expand the Race to the Top competition, paving the way for the popular economic-stimulus grant program to become a permanent part of the administration’s education arsenal.

In its fiscal 2011 budget request, the Obama administration also will spell out that it wants to open up Race to the Top—which is now a competition among states—to school districts as well. Districts would have their own grant contest and would not have to compete against states, according to senior administration officials.

Mr. Obama made the announcement at Graham Road Elementary School in Falls Church, Va., last week, which was the deadline for the first round of the Race to the Top competition. Forty states and the District of Columbia applied. Second-round applications, which can include those from states that lose in the first round, will...