Special Report

Stimulus Spending Still Plods Along

By Michele McNeil — July 12, 2010 1 min read

Even as states and school districts complain about the slow economic recovery and warn about the prospect for draconian teacher layoffs, billions of economic-stimulus dollars remain in the bank waiting to be spent.

As of June 30, districts across the country had $7.8 billion in stimulus-related Title I funds for disadvantaged students to spend, out of $11.8 billion that the U.S. Department of Education has already approved. And $7.3 billion in special education aid, out of $12 billion, remains to be spent, according to department data.

The Education Department has until Sept. 30 to authorize the spending of nearly $100 billion in education aid through the American Recovery and Reinvestment Act passed by Congress last year. The department still has to hand out some of that money—for example, $3.4 billion in Race to the Top competitive grants and $650 million in Investing in Innovation funds.

States and districts have another year to spend the money. A recent Education Department webinar on stimulus spending showed, however, that 48 percent of participants were worried about spending all their money by the deadline, according to the Association of School Business Officials International, based in Reston, Va.

In all, the Education Department has authorized spending for $87 billion in stimulus aid, and states and districts have yet to spend about 40 percent of it.

The slowest spenders are Delaware, with 73 percent of its stimulus funds remaining, and Alaska, at 72 percent. The fastest spenders are Iowa, with just 20 percent of its money remaining, and Illinois, at 21 percent, according to the department’s data.

For their part, federal officials aren’t too worried.

“As long as the current pace of spending continues in the coming year, we project that the remaining 60 percent will be committed by Sept. 30, 2011,” said Education Department spokesman Justin Hamilton. And what happens if the districts or states leave money in the bank after the deadline?

It goes back to the U.S. Treasury.

A version of this article appeared in the July 14, 2010 edition of Education Week as Stimulus Spending Still Plods Along


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.
Equity & Diversity Webinar
Culturally Relevant Pedagogy to Advance Educational Equity
Schools are welcoming students back into buildings for full-time in-person instruction in a few short weeks and now is the perfect time to take a hard look at both our practices and systems to build
Content provided by PowerMyLearning
Classroom Technology Webinar Making Big Technology Decisions: Advice for District Leaders, Principals, and Teachers
Educators at all levels make decisions that can have a huge impact on students. That’s especially true when it comes to the use of technology, which was activated like never before to help students learn
Professional Development Webinar Expand Digital Learning by Expanding Teacher Training
This discussion will examine how things have changed and offer guidance on smart, cost-effective ways to expand digital learning efforts and train teachers to maximize the use of new technologies for learning.

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

Federal How Political Backlash to Critical Race Theory Reached School Reopening Guidance
A lawmaker wants Miguel Cardona to repudiate the Abolitionist Teaching Network after federal COVID-19 documents referenced the group's work.
6 min read
Rep. Virginia Foxx, R-N.C., is seen at a press conference at the U.S. Capitol on March 9, 2021 in Washington.
Rep. Virginia Foxx, R-N.C., is seen at a press conference at the U.S. Capitol on March 9, 2021 in Washington.<br/>
Graeme Sloan/SIPA USA via AP
Federal Biden Team: Schools Can Go Beyond Trump Rules in Response to Alleged Sexual Misconduct
The Education Department's guidance, released July 20, states that Title IX rules from 2020 lay out "minimum steps" for educators.
3 min read
Symbols of gender.
Federal Fact Check: After Furor Over 1619 Project, Feds Adjust History and Civics Grant Plans
A previously obscure history and civics program has weathered a political storm, but what exactly has changed?
4 min read
Education secretary nominee Miguel Cardona speaks during a Senate Health, Education, Labor and Pensions Committee hearing on his nomination on Feb. 3, 2021, in Washington.
Education secretary nominee Miguel Cardona speaks during a Senate Health, Education, Labor and Pensions Committee hearing on his nomination on Feb. 3, 2021, in Washington.
Anna Moneymaker/The New York Times via AP
Federal 'Stop CRT' Bill, Votes in Congress Add to Political Drama Over Critical Race Theory
Sen. Tom Cotton's legislation and votes about critical race theory in the House underscore the issue's potency in Washington.
5 min read
Sen. Tom Cotton, R-Ark., speaks during a hearing to examine United States Special Operations Command and United States Cyber Command in review of the Defense Authorization Request for fiscal year 2022 and the Future Years Defense Program, on Capitol Hill, Thursday, March 25, 2021, in Washington.
Sen. Tom Cotton, R-Ark., speaks during a hearing on Capitol Hill March 25 in Washington.
Andrew Harnik/AP