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Federal Update 08.04.06 Print E-mail
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FEDERAL UPDATE


Week of July 31 – August 4, 2006

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education related issues by visiting www.nasbe.org/E_Mail.html.

CONGRESS REACHES COMPROMISE ON PERKINS VOC-ED REFORMS

House and Senate leaders reconciled the differences between their two bills reforming the
Perkins vocational education program, a move that would conclude a two-year long stalemate
and reauthorize the federal program for five years, the first extension since 1999.

Indeed, the full House endorsed the compromise bill by a near unanimous vote of 399-1 (the
lone dissent was Rep. Floyd Flake (D-NY). The Senate is expected to similarly approve the
measure sometime this week before the chamber adjourns for the August recess. The President
also appears poised to add his approval by signing the bill into law.

While most of the program’s activities remain consistent with existing law, there are a number
of compromises of particular interest to state boards of education:


State level funds: The amount that states can use for expenses administering the program is
maintained at 5% or $250,000, whichever is greater.

Tech-prep: Is maintained as a separately funded program, though states will have the option
of combining Tech-prep funds with their basic Perkins state grant. Tech-prep funds that are
merged would then be subject to all basic state grant requirements (i.e., distribution
formula, use of funds, etc.) States will be required to submit a single state plan to federal
officials detailing their basic grant and Tech-prep activities.

Accountability: Provisions add to the existing accountability system that gauges student
performance in academic, vocational, and technical areas. Importantly, while the new
criteria are aligned with the No Child Left Behind Act’s accountability measures, adequate
yearly progress (AYP) calculations are not the sole determinant of a vocational education
student’s performance. Speaking of performance goals, states that fall short of their targets
by more than 10% on a performance indicator for three or more consecutive years will be
subject to financial sanctions by the Secretary of Education (states will be similarly able to
sanction local districts for poor performance).

Language: The term “vocational education” is replaced by “career and technical education”
in the law.

State oversight agency: The bill maintains the state agency responsible for overseeing the
Perkins programs as “a State board designated or created consistent with State law as the
sole State agency responsible for the administration of career and technical education in
the State or for the supervision of the administration of career and technical education in
the State.”
SENATE COMMITTEE PASSES FY07 EDUCATION BUDGET

The Senate Appropriations Committee approval an FY07 education budget that provides few if
any funding increases save Education Technology State Grants. And save the ed tech program
the Senate Appropriations Committee did, as it fully restored the $272 million to the program


that the Bush Administration and the House spending bill had eliminated from its FY07
spending bill.

Unfortunately, other than that bright note, there was little encouraging funding news among the
major K-12 programs. The Senate bill provides no increase for Title I’s basic grants and
earmarked only $100 million for the new state capacity grants proposed by the Bush
Administration to help states assist low-performing schools and districts identified by the No
Child Left Behind Act ($100 million less than is being sought by the President and approved in
the House spending bill).

The Senate committee included no increase for special education funding, maintaining spending
at $10.58 billion—an amount that is less than was provided in FY05. Thus, special education
funding appears to be on the verge of decreasing after enjoying a run of substantial increases in
the early 2000’s.

The Senate bill would cut $29 million from the Reading First program ($1 billion total), $140
million from Teacher Quality State Grants ($2.74 billion total), and completely eliminate
funding for the Title V innovative state grants program (-$99 million). The Senate committee
did maintain funding ($310 million) for the Safe and Drug-free Schools program, which the
Bush Administration has been seeking to zero out. Like the House bill, the Senate bill will be
considered by the full chamber when Congress reconvenes this fall.

Below are FY06 and pending FY07 spending levels for major K-12 programs.

Program FY06 FY07 FY07 FY07
Admin. Request House Comm.
Senate Comm.
Title I $12.7 billion $12.7 billion $12.7 billion $12.7 billion
Special education $10.58 billion $10.68 billion $10.73 billion $10.58 billion
Reading First $1.03 billion $1.03 billion $1.03 billion $1 billion
Perkins voc-ed $1.2 billion 0 $1.2 billion $1.2 billion
Tech prep $105 million 0 $105 million $105 million
State capacity grants n/a $200 million $200 million $100 million
Teacher quality grants $2.9 billion $2.9 billion $2.6 billion $2.7
billion
21st Century Learning $981 million $981 million $981 million $981 million
Title V $99 million $99 million $150 million 0
Safe Drug-Free Schools $347 million 0 $310 million $310
million
Tech. state grants $272 million 0 0 $272 million
English lang. grants $669 million $669 million $669 million $669 million
State assessments $407 million $407 million $407 million $407 million

FIVE STATES SELECTED FOR NCLB SANCTIONS PILOT PROGRAM

The U.S. Department of Education has announced an expansion of four states to a pilot program
that reverses the order of corrective actions required of low-performing schools per the No Child
Left Behind Act. For the 2006-07 school year, specific districts in Alaska, Delaware, Indiana,
and North Carolina will join Virginia in being able to offer students supplemental services in
year one of corrective action and public school choice transfers in year two, the reverse of the


current chronology. As part of the pilot, the five participating states “have committed to
increasing the number of eligible students participating in supplemental education services
(SES) (i.e., tutoring), extending enrollment periods, expanding options for parents, and
providing achievement data on students in the SES pilot districts,” according to the Department
of Education.

In addition, the Anchorage (Alaska) and Memphis (Tennessee) school districts will be allow ed to
be supplemental service providers in their own right, even though both districts are identified as
in need of improvement per NCLB accountability measures. They join Chicago and Boston as
the only school districts able to exercise this opportunity. Except for these four, federal officials
have maintained that districts in need of improvement not be allowed to provide tutoring
services.

TOM LUCE LEAVING ED

Tom Luce, the assistant secretary for planning, evaluation, and policy at the U.S. Department of
Education, is leaving his post on September 1st for health reasons and will return to his home in
Dallas, Texas. Luce, a long-time advocate of standards-based reforms and influential
policymaker in the development of the No Child Left Behind Act, said the demand of his job had
continued to interfere with his ongoing physical therapy needed to manage a pain affliction. He
will continue to serve as a part-time adviser to Secretary Spellings. Luce described his time in
Washington as “probably been the most rewarding experience of my life.”

“Tom Luce has spent a lifetime putting kids first, and his service to the Department of Education
has been no exception,” said Margaret Spellings, “Tom will continue to be one of my primary
and trusted advisers on education policy.”

In other Department leadership news, Troy Justesen was confirmed by the Senate as Assistant
Secretary for the Office of Vocational and Adult Education and Kevin Sullivan, the Department’s
Director of Communications, is leaving to take a job at the White House.

SPECIAL EDUCATION REGULATION RELEASED

The long-awaited rules governing the reforms made to the Individuals with Disabilities
Education Act (IDEA) have been released by the U.S. Department of Education, nearly two years
after the law was enacted in December 2004. The 1,700 pages of regulations are currently
posted on the Department’s website atwww.ed.gov/policy/speced/guid/idea/idea2004.html,
but will be formally published in the Federal Register in the coming weeks.

VOUCHER BILL INTRODUCED IN CONGRESS

Republican lawmakers introduced a $100 million pilot school voucher bill last week for students
in chronically low-performing schools to transfer to private or religious school with federal
funds paying the tuition. The proposal was first included in the President’s FY07 budget plan,
but until now contained few specifics. Under the plan, up to 28,000 low-income children who
attended a public school that failed to meet for five consecutive years the adequate yearly
progress (AYP) goals set by the No Child Left Behind Act would be eligible to receive a federally
subsidized “scholarship” to attend a private or religious school. The federal funds would be
distributed to states, school districts, non-profits, and/or faith-based organizations based on a
competitive grant process. The legislation was introduced by Senator and former Education
Secretary Lamar Alexander and House Education Committee chairman Buck McKeon.


In a striking display of unfortunate timing and juxtapositioning, a report released by the U.S.
Department of Education four days before the introduction of the private school voucher bill
indicates that public schools are performing as well as or better in reading and mathematics
than comparable children in private schools. The study also concluded that students in
conservative Christian schools performed well below their public counterparts. However, the
report cautions against drawing conclusions based on the type of school versus unknown
factors. For example, the study confirmed that private school students typically score higher
than those in public schools, though, as the report continues, it shows that when students of like
racial, economic, and social backgrounds are compared, the private school advantage dissipates,
except in eighth-grade reading. A spokesperson for the Council for American Private Education,
a not-for-profit organization that represents 80 percent of the nation’s private schools, said that
statistical analysis has little to do with how parents chose to educate their children. The report
was released on Friday afternoon without a news conference or public comment from the
Department of Education.

QUOTE OF THE WEEK

“It was not an evaluation of how school vouchers, how scholarship programs, how additional
resources work for low-income families trapped in chronically low-performing schools. I do
see them as . . . apples and oranges issues.” Secretary Spellings, downplaying the
significance of the findings of the Department’s public versus private school performance report
at the press conference announcing voucher legislation.

Congress has adjourned for its summer recess.
The Federal Update will resume when legislators return in September.