Special Report
Education Funding Report Roundup

Report Gives Mixed Review to Federal Stimulus Effort

By Alyson Klein — December 07, 2010 1 min read
  • Save to favorites
  • Print

Nearly two years after Congress passed the $787 billion American Recovery and Reinvestment Act, a new report attempts to draw lessons from that economic-stimulus effort, which included some $100 billion for education.

The report was released last week by Bellwether Education Partners, a Washington-based education consulting group, and was written, in part, by Sara Mead, who also writes a blog for Education Week.

It finds that, while a few districts tried new education improvement tactics, most used their share of stimulus money to maintain spending levels. Part of the problem, the report says, was that the U.S. Department of Education was late in providing guidance for some stimulus programs and sent “mixed messages” about whether the funds were supposed to be used for reforms, to save jobs, or both.

Districts that did use the money in new and creative ways did so mostly because of local factors, such as direction from effective leaders, and not necessarily because of the federal government’s guidance. The stimulus funds might have led to more innovation in districts, the report adds, if federal officials had more clearly told them what not to do with their stimulus funds—or discouraged districts, in other words, from using ineffective practices.

In comparison to the overall education-stimulus package, the report’s authors conclude that the smaller Race to the Top program, a $4.35 billion competition among states, succeeded in spurring change because that was its chief goal.

The report also concludes that the budget issues the stimulus tried to solve are a “long-term and systemic problem.” Many districts tried to spend in ways that would minimize the impact of the “funding cliff,” the funding drop-off now that the money has stopped flowing, but in some cases, that was impossible.

The report recommends that federal officials work to help districts make hard budget choices rather than postpone them and calls on policymakers at all levels to put a high priority on helping districts build capacity. It was underwritten by the William and Flora Hewlett Foundation, which also helps fund coverage of the stimulus in Education Week.

Related Tags:

Events

This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Classroom Technology Webinar
Better Tools, Not More: What Educators Say About Teaching and Technology
Optimism is up. AI use is rising. Coherence is the next challenge. Hear what the 2026 Educator Confidence Report reveals about the field.
Content provided by HMH
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Student Achievement Webinar
The Relationship Advantage for Attendance, Engagement, and Achievement
Relationship-building goes beyond back-to-school. Get practical ideas from district leaders and educators to strengthen student connections.
School & District Management Webinar EdMarketer Quick Hit: Build Campaigns That Engage K-12 Leaders
We’ll share what’s resonating with Education Week’s K-12 audience based on user behavior across platforms and other proprietary data.

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

Education Funding Opinion An Expert Explains How the Federal Scholarship Tax Credit Will Work
A former Ed. Dept. official predicts the program will generate $3 billion for scholarships in 2027.
•
9 min read
The United States Capitol building as a bookcase filled with red, white, and blue policy books in a Washington DC landscape.
Luca D'Urbino for Education Week
Education Funding Ed. Dept. Meets Research Spending Deadline—But Bigger Funding Challenges Loom
The Institute of Education Sciences finished spending more than $170 million set to expire Sept. 30.
3 min read
Director of the United States Office of Management and Budget Russell Vought walks down a staircase on Capitol Hill in Washington, Thursday, July 16, 2026.
Russell Vought, director of the White House Office of Management and Budget, walks down a staircase on Capitol Hill in Washington on July 16, 2026. The OMB withheld millions of dollars from the U.S. Department of Education's research arm for months, raising the possibility it wouldn't spend the money on education research and data collection in time for its Sept. 30, 2026, expiration.
Allison Robbert/AP
Education Funding Trump's Ed. Dept. Is Still Disrupting Grants—Just More Quietly Than Before
The agency is deploying subtler procedures that result in fewer new grants and less stability for recipients.
11 min read
Senate Minority Leader Chuck Schumer, D-N.Y., center, confers with Sen. Brian Schatz, D-Hawaii, talk following a Senate Democratic Caucus meeting, at the Capitol in Washington, Tuesday, Feb. 3, 2026.
Sen. Brian Schatz, D-Hawaii, (right, speaking with Senate Democratic Leader Chuck Schumer) secured a commitment from Education Secretary Linda McMahon to supply additional funding for Native Hawaiian Education Program grantees when the U.S. Department of Education hadn't launched a competition for new grants. The Trump administration practice of abruptly canceling existing competitive education grants has slowed, but the Education Department is using procedures that result in fewer new grants and less stability for funding recipients.
J. Scott Applewhite/AP
Education Funding Trump, Bucking Congress Yet Again, Cancels $100 Million for Education
A "pocket rescission" hits programs for migratory farmworkers and college-level language instruction.
7 min read
Russell Vought, acting director, Office of Management and Budget, right, and Homeland Security Secretary Markwayne Mullin listen during a cabinet meeting, Friday, July 31, 2026, at Camp David, the presidential retreat, near Thurmont, Md., Friday, July 31, 2026.
Russell Vought, director of the White House Office of Management, listens during a Cabinet meeting on July 31, 2026, at Camp David, the presidential retreat, near Thurmont, Md. The White House has announced an $810 million package of "pocket rescissions," saying it won't spend the congressionally appropriated funds before the end of the 2026 federal fiscal year, which ends Wednesday. The rescissions include nearly $100 million for U.S. Department of Education program.
Jacquelyn Martin/AP