The budgetary compromise reached by the House and Senate on January 1 that puts off major funding decisions until March has been hailed by some, especially those who see it as preventing some of the largest ever across-the-board cuts to government programs and those hoping that it will act as a building block to a more unified Congress, and ridiculed by others, especially those who are looking for longer-term solutions. But what does the fiscal cliff compromise, and the impending new fiscal cliff coming in March, mean for education?
In short, the answer is that we will have to wait in hopes of more information from our politicians. In particular, U.S. Sen. Tom Harkin, D-Iowa, who was one of the 8 Senators to vote against the compromise on the 1st of January and who oversees the Senate panel that deals with education spending, may be able to back up his overt concerns about cuts to education funding with solid information about what those cuts would mean.
We do already have some information, some of which is cause for concern and some of which is cause for a sigh of relief.
On the downside:
- Head Start, which is under the Health and Human Services Department, would see cuts take place immediately were there to be no deal in March.
- The Impact Aid Program, which provides federal funding in connection with federal lands such as Native American reservations and military bases, would also see immediate cuts.
- The focus on budgetary issues will almost certainly deter progress on pending education bills including those on special education, community and development grants, higher education, career and technical education, workforce development, and No Child Left Behind.
On the upside:
- Federal funding for education is at most 10% of overall education funding, so cuts may not mean drastic problems for school districts, although many cash strapped states and districts may not be so optimistic.
- Several important educational programs, including federal student loans, some Pell Grant money, most child nutrition programs, and the Children’s Health Insurance Program, are exempt from the cuts.
- The American Opportunity Tax Credit, which helps families afford college, and the Qualified Zone Academy Bond Program, which helps schools receive money for improvements and supplies, were both extended in the compromise.
- The estimated 8.2% cut to Education Department programs which could take place would not start affecting most programs until the 2013-14 school year, so districts would have some time to prepare and adjust.
In the meantime, we will have to wait for more specific information and hope that Congress finds a way to move education related issues to the front of their legislative agenda.
For more information on the fiscal cliff situation and its connection to education, please visit these websites:
http://blogs.edweek.org/edweek/campaign-k-12/2012/11/fiscal_cliff_cheat_sheet_what_.html
