69ý

Federal

New Jobs Bill Offers $23 Billion for Education

By Alyson Klein — December 17, 2009 5 min read
  • Save to favorites
  • Print
Email Copy URL

Cash-strapped school districts hoping to avert layoffs could get a boost from legislation approved by the U.S. House of Representatives Dec. 16 that is intended to provide a jolt to the sluggish economy, in part by creating a $23 billion “education jobs fund.”

Districts and states could use the money to restore cuts to K-12 and higher education to cover the cost of compensation and benefits for teachers and other employees. The funds could also be used for services related to school modernization, renovation, and repair.

The money—which would be in addition to the infusion of up to $100 billion in education aid provided under the American Recovery and Reinvestment Act—would come from the Troubled Asset Relief Program, or TARP, which was intended to help stabilize the banking industry.

The $154 billion measure, which redirects $75 billion in TARP funds to job creation, was approved on a vote of 217-212, with 38 Democrats joining all Republicans in opposing the legislation. The U.S. Senate may take up its own version of a jobs bill next month.

During floor debate, Rep. George Miller, D-Calif., the chairman of the House Education and Labor Committee, urged his colleagues to support the bill to stem a tidal wave of layoffs in school districts nationwide, which he said threatens recent gains in student achievement.

“All across this country, as the test scores are getting better and as proficiency is getting better among 4th graders and 8th graders ... this recession could wreck it all,” Rep. Miller said. “Rio Vista, Texas, laid off 15 percent of its teachers. Dearborn, Mich., just approved 200 teacher layoffs. The [Los Angeles] Unified School District laid off 2,000 teachers and maybe another 1,500 teachers next year. ... You can stop that from happening by voting for this legislation.”

As a measure of the importance of the education portion, Rep. Nancy Pelosi, D-Calif., the speaker of the House, listed averting teacher layoffs as one of the primary purposes of the bill.

Although the jobs fund is modeled somewhat on the nearly $50 billion State Fiscal Stabilization Fund created under the economic-stimulus law, there are some important differences.

For instance, states wouldn’t be allowed to use education-jobs money to replenish their “rainy day” and reserve funds, directly or indirectly.

And, unlike the stimulus law, the measure doesn’t include a fund directed to governors that could be used for education, but also tapped to pay for public safety and other government services. States could use up to 5 percent of the new funds to avert layoffs or hire new workers for state education agencies, many of which have weathered severe cutbacks.

The measure also includes an additional $4.1 billion for school construction bonds. The stimulus law had $22 billion for such bonds, spread over two years and, so far, demand has been considerable. (“Demand Soars for Stimulus-Backed Facilities Bonds,” Sept. 29, 2009.)

Prospect Welcomed

The possibility of new federal relief is welcome news for states and districts that have already cut K-12 education severely. In some states, such as recession-battered Michigan, the money in the stimulus package has not completely filled yawning budget holes, requiring cuts deep cuts in local spending.

Even though it is unlikely that the new money would completely address the state’s budget woes, it would help school districts contemplating Draconian cuts that could affect instruction, said Brad Biladeau, the associate executive for government relations at the Michigan Association of School Administrators.

“I don’t think it’s a panacea by any stretch of the imagination, but any funds available to keep teachers in the classroom and avoid massive layoffs is going to be welcome news,” Mr. Biladeau said. “Local school districts in Michigan have already cut to the bone.”

The National Education Association, a 3.2 million-member union based in Washington, which championed the measure, heralded its passage and urged the U.S. Senate to act quickly.

“The timely injection of federal funds into states’ coffers is ... necessary, to keep schools open and running by education support professionals, teachers teaching and students learning at a time when many students are experiencing tremendous stress due to the economy,” Dennis Van Roekel, the president of the NEA, said in a statement.

The Senate’s version of a jobs package will likely be released next month, said Kate Cyrul, a spokeswoman for Sen. Tom Harkin, D-Iowa, who is chairman of both the Senate Appropriations subcommittee that oversees education spending, and the Senate Health, Education, Labor, and Pensions Committee.

‘Speedy Support’

The language of the new bill includes no specific mandate surrounding key education redesign priorities written into the stimulus legislation.

States that want to tap the fiscal stabilization fund under the ARRA have to agree to make progress on four education redesign assurances, including improving teacher quality and distribution, strengthening standards and assessments, bolstering state data systems, and stepping up efforts to turn around low-performing schools.

But the House jobs bill includes language saying that those assurances don’t specifically apply to the legislation. A congressional aide said that the decision was a technical one and not intended to loosen conditions for use of the money.

The provision “removes a redundancy to bring speedy support to education jobs,” the aide said.

U.S. Secretary of Education Arne Duncan said in a statement that nothing will change with regard to the assurances, even though the bill doesn’t specifically require states to sign off on them in order to receive the jobs funding.

“The additional $23 billion in this bill will provide states with critical funding to keep teachers teaching and students learning,” said Secretary Duncan in a written statement. “The Department of Education will continue to require states to fulfill their commitments” in the four assurance areas.

But a spokesman for Rep. John Kline of Minnesota, the top Republican on the House Education and Labor Committee, said that by not specifically requesting assurances, the bill’s supporters could be letting states off the hook.

“This bill is in essence doling out money and asking nothing in return,” Ryan Murphy, Mr. Kline’s spokesman, said in an e-mail. “The American people are asking why this legislation is a good idea when the first trillion-dollar go-around at this type of so-called ‘stimulus’ has proven to be a phenomenal failure replete with lackluster job creation.”

A version of this article appeared in the January 06, 2010 edition of Education Week as New Jobs Bill Offers $23 Billion for Education

Events

School & District Management Webinar Crafting Outcomes-Based Contracts That Work for Everyone
Discover the power of outcomes-based contracts and how they can drive student achievement.
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
School & District Management Webinar
Harnessing AI to Address Chronic Absenteeism in 69ý
Learn how AI can help your district improve student attendance and boost academic outcomes.
Content provided by 
School & District Management Webinar EdMarketer Quick Hit: What’s Trending among K-12 Leaders?
What issues are keeping K-12 leaders up at night? Join us for EdMarketer Quick Hit: What’s Trending among K-12 Leaders?

EdWeek Top School Jobs

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

Read Next

Federal Video Linda McMahon: 5 Things to Know About Trump's Choice for Education Secretary
President-elect Donald Trump plans to nominate former pro-wrestling CEO Linda McMahon to lead the education department.
1 min read
Federal The K-12 World Reacts to Linda McMahon, Trump's Choice for Education Secretary
Some question her lack of experience in education, while supporters say her business background is a major asset.
7 min read
Linda McMahon, former Administrator of Small Business Administration, speaks during the Republican National Convention on July 18, 2024, in Milwaukee.
Linda McMahon speaks during the Republican National Convention on July 18, 2024, in Milwaukee. McMahon has been selected by President-elect Trump to serve as as the next secretary of education.
J. Scott Applewhite/AP
Federal What a National School Choice Program Under President Trump Might Look Like
School choice advocates—and detractors—see a second Trump term as the biggest opportunity in decades for choice at the federal level.
8 min read
President Donald Trump listens during a "National Dialogue on Safely Reopening America's 69ý," event in the East Room of the White House, on July 7, 2020, in Washington.
President Donald Trump listens during a "National Dialogue on Safely Reopening America's 69ý," event in the East Room of the White House on July 7, 2020, in Washington. He returns to power with more momentum than ever behind policies that allow public dollars to pay for private school education.
Alex Brandon/AP
Federal 5 Things to Know About Linda McMahon, Trump's Pick for Education Secretary
President-elect Donald Trump’s selection, the former CEO of World Wrestling Entertainment has long spoken favorably about school choice.
7 min read
Small Business Administrator Linda McMahon speaks during a briefing at the White House in Washington on Oct. 3, 2018.
Linda McMahon speaks during a briefing at the White House in Washington on Oct. 3, 2018, when she was serving as head of the Small Business Administration during President Trump's first administration. McMahon is now President-elect Trump's choice for U.S. secretary of education.
Susan Walsh/AP