IOWA STATE EDUCATION ASSOCIATION

FOR RELEASE: March 10, 2009

CONTACT: Jean Hessburg, 515-471-8025

ISEA encourages Legislature and Governor to move quickly to use federal stimulus funds to backfill education cuts and fully fund commitments to Iowa schools

U.S. Department of Education releases guidance on key education stimulus funds

(Des Moines) The U.S. Department of Education has released preliminary guidance on key education programs in the American Recovery and Reinvestment Act of 2009.

“The U.S. Department of Education was very clear about the federal funds,” said Chris Bern, president of the Iowa State Education Association. “This money is to be used first to fill any budget holes, including the 1.5 percent across-the-board cuts made in January, and to totally fund the 4 percent allowable growth in FY 2010 and 2 percent in FY 2011 for K-12 districts and area education agencies. In addition, these funds will allow the state to backfill the community colleges’ general funds and provide adequate growth to serve displaced workers as they reenter the workforce.”

Bern added: “The U.S. Department of Education is telling states that President Obama wants the federal money to stimulate the economy by making everything whole again. The funds should be used to fill in shortfalls in the 2010 and 2011 budgets. The bottom line is that this stimulus money should be spent no later than the 2010-2011 school year.”

According to the U.S. Department of Education, the overall goals of the American Recovery and Reinvestment Act 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.” Preliminary guidance directs states to “backfill” current budget cuts in education, avert layoffs due to budget cuts, and spend all federal funds during the next two years in an effort to stimulate the economy.

Funds will be distributed with two-thirds of the state fiscal stabilization fund of $386 million for education being distributed by the end of this month and the balance by the first week in July. To prevent fraud and abuse, and accurately measure and track results, recipients must publicly report how the funds are used.

The ISEA is currently disseminating key information to educators across the state.

For more information on the American Recovery and Reinvestment Act go to http://www.isea.org/legislative/recovery.html.

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The ISEA is a professional organization made up of more than 34,000 educators who

are dedicated to supporting and protecting a quality public education for all Iowa

students. Great Education . . . It’s an Iowa Basic