The American Recovery

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The American Recovery Reinvestment Act of 2009

• Education Overview
• Barbara Catenaci
• April 14, 2009

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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

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• The overall goals of the ARRA are to stimulate
  the economy in the short term and invest in
  education and other essential public services to
  ensure the long-term economic health of our
  nation. The success of the education part of the
  ARRA will depend on the shared commitment and
  responsibility of students, parents, teachers,
  principals, superintendents, education boards,
  college presidents, state school chiefs,
  governors, local officials, and federal
  officials.
• - www.ed.gov

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How did we get here?

• The national global economies tanked and in
  America we had a Presidential year election.
• The new President made an initial recovery bill
  proposal and sent it to Congress.
• The House took what the President sent and
  created their own spending package and authored
  the bill to make it law.
• The Senate countered with their own proposal and
  sent both bills to conference committee.

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Continued

• On February 13th the final version was approved
  and sent to the President for his signature.
• On Tuesday, February 17th the President signed
  the American Recovery Reinvestment Act of 2009
  into law.
• And now we are poised for it to start to rain
  down money

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Historic, One-time Investment

• Over 100 billion education investment
• Historic opportunity to stimulate economy and
  improve education
• Success depends on leadership, judgment,
  coordination, and communication

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Guiding Principles
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Advance Core Reforms Assurances
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Short-term Investments that Produce Lasting
Results Avoid The Cliff

• Maximize short-term investments with lasting
  results for
• students
• teacher, school, and district capacity for
  improvement
• Minimize unsustainable ongoing commitments
• Integrate coherent improvement strategies that
  are aligned with the core reform goals

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Formula
Competitive
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State Fiscal Stabilization Fund for Education (1)

• 81.8 39.8 billion
• Streamlined application released April 1
• First phase 67 to States within two weeks of
  approvable application and in severe economic
  emergency, up to 90 available
• Initial application will ask for
• Assurances that the State is committed to
  advancing education reform in four specific areas
  
• Baseline data that demonstrate the State's
  current status in each of the four education
  reform areas
• A description of how the State intends to use its
  Stabilization allocation

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State Fiscal Stabilization Fund for Education (2)

• Second phase 33
• Application will ask for
• The State's plan detailing its strategies for
  addressing the education reform objectives
  described in the metrics
• A description of how the State is implementing
  the record-keeping and reporting requirements of
  ARRA
• A description of how SFSF and other funding will
  be used in a fiscally prudent way that
  substantially improves teaching and learning

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State Fiscal Stabilization Fund for Education
Uses for IHEs

• IHEs may use education funds for
• education and general expenditures
• mitigating tuition and fee increases for in-State
  students
• modernization, renovation, and repair of
  facilities used for instruction, research,
  student housing

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State Fiscal Stabilization Fund for Government
Services

• 18.2 8.8 billion
• States may use for education, public safety and
  other government services
• May include modernization, renovation, and repair
  of public schools and public and private college
  facilities

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• ARRA Funds Available for College Facilities Over
  the Next Two Years
• SFSF for Education
• Governor has discretion to make available for
  IHEs for modernization, renovation, and repair
• SFSF for Government Services
• Governor has discretion to make available

 
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Additional 49 Billion Becomes Available Later in
2009

• Pell Work Study - 17.3 billion (100)
• State Stabilization - 16.1 billion (33)
• IDEA , Parts B C - 6.1 billion (50) 
• Title I, Part A - 5 billion (50)
• Title I School Improvement - 3 billion (100)
• Enhancing Education through Technology - 650
  million (100)
• Vocational Rehabilitation - 270 million (50)
• Statewide Data Systems - 250 million (100)
• Teacher Incentive Fund - 200 million (100)
• Teacher Quality Enhancement - 100 million (100)

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What else can colleges and universities look to?

• Broadband Technologies Opportunity Program
• Dept. of Commerce Competitive Grant - 4.7
  billion
• 3 application periods April-June 2009
  October-December 2009 and April-June 2010.
• Provide and improve access for un-served and
  underserved populations.
• Provide broadband awareness, education, training,
  access, equipment and support to community
  organizations.
• Improve access to and use of broadband by public
  safety organizations.
• Stimulate job creation and economic growth
  through greater demand for broadband,

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• Distance Learning, Telemedicine and Broadband
  Program
• USDA Program under Rural Utilities Service
  Program.
• Provides loans, loan/grants and grants for
  broadband infrastructure to facilitate economic
  development.
• Focuses specifically on rural, low income areas.
• Grant program is highly competitive with a long
  laundry list of restrictions.
• Loan and loan grant programs are less competitive
  and have fewer requirements.

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• US Department of Labor
• 2 job training programs
• Community Based Job Training provides up to 2
  million for community college applicants. All
  applicants must have a consortium of partners
  that includes but is not limited to K-12, 4-year
  college or university, WIB and industry. This
  grant targets certification and degree programs
  in high demand industries.
• TBD the Dept. of Labor is utilizing the ARRA
  funding to provide job training through WIBs with
  the ability to contract directly with higher
  education to provide training and introducing a
  new program that focuses training in the area of
  energy and renewable energy jobs as well as
  healthcare.

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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
• 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

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More Information

• For all things ARRA www.recovery.gov
• For additional information www.recovery.org
• US Dept. of Education www.ed.gov
• ARRA Resources and Guidance http//www.ed.gov/pol
  icy/gen/leg/recovery/index.htmlappsSFSF
• SFSF Questions State.fiscal.fund_at_ed.gov
• Inspector General Questions rich.rasa_at_ed.gov
• US Dept. of Commerce http//www.commerce.gov/Reco
  very/
• US. Dept. of Labor http//www.dol.gov/recovery/
• US Dept. of Agriculture http//www.usda.gov/wps/p
  ortal/?navidUSDA_ARRA
• Tandberg www.tandberg.com