U.S. Department of Education: Promoting Educational Excellence for all Americans
Inside Budget Summary
and Background Information
Summary of the 2004 Education Budget
Elementary and Secondary Education
Special Education and Rehabilitative Services
Vocational and Adult Education
Student Financial Assistance
Higher Education Programs
Institute of Education Sciences
Programs Proposed for Elimination
Departmental Management
Appendix 1
Appendix 2 PDF Icon Excel
Fiscal Year 2004 Education Budget Summary and Background Information
February 3, 2003

Archived  Information

Section II. A.  Elementary and Secondary Education

Overview

The No Child Left Behind Act (NCLB), which reauthorized the Elementary and Secondary Education Act of 1965 (ESEA), closely followed the four pillars of education reform proposed by President Bush.

First, the new law greatly strengthens accountability for results in Federal elementary and secondary education programs. States must set challenging standards in reading and mathematics and develop statewide annual adequate yearly progress (AYP) objectives that will result in all groups of students achieving proficiency within 12 years. These objectives must be met by all groups of students, disaggregated by poverty, race and ethnicity, disability, and limited English proficiency. States must conduct annual reading and math assessments for all students in grades 3-8, and States, school districts, and schools must report annually on their progress in helping all groups of students to reach proficiency. Biennial State participation in the State-level version of the National Assessment of Educational Progress will provide benchmarks for gauging the rigor of State standards and assessments.

School districts and schools that do not make AYP will, over time, be subject to improvement, corrective action, and restructuring measures aimed at getting them back on course to meet State standards. To ensure that no student is trapped in a school identified for improvement, districts must provide such students with an option to transfer to a better public school or, if schools do not improve, to obtain supplemental educational services from a public- or private-sector provider. Schools that meet or exceed AYP objectives or close achievement gaps will be eligible for State Academic Achievement Awards.

Second, NCLB provides unprecedented State and local flexibility and reduced red tape in the operation of Federal elementary and secondary education programs. For example, States and local school districts now may transfer up to 50 percent of the funding they receive under four major State formula grant programs to any one of the programs, or to Title I. In addition, new flexibility demonstration programs would permit up to 7 States and 150 school districts to enter into performance agreements allowing them to consolidate all funding from certain formula grant programs for any educational purpose authorized under the ESEA. The covered programs include Improving Teacher Quality State Grants, Educational Technology, Innovative Programs, and Safe and Drug-Free Schools and Communities. Participating States would even be permitted to consolidate their Title I, Part A administrative funding with other State level funds.

Third, the reauthorized ESEA will better focus Federal education resources on proven educational methods. For example, the Title I Grants to LEAs program now requires instructional strategies, school improvement plans, professional development, and assistance to low-performing schools to be based on methods proven effective through scientifically based research. In addition, the new Reading First State Grants and Early Reading First program will help States and local communities use activities drawn from scientifically based reading research, such as professional development in evidence-based reading instruction, to help all children learn to read at grade level by the end of the third grade.

And fourth, the NCLB Act will expand choices for parents, particularly for parents of students in low-performing schools. Parents of students in Title I schools identified for improvement (not meeting State adequate yearly progress objectives for 2 consecutive years) now have the option to transfer their children to a better-performing public school, which may include a public charter school. If their school does not meet State standards for a third year, parents would be permitted to use Title I dollars to obtain supplemental educational services from the State-approved public- or private-sector provider of their choice (including faith-based organizations). NCLB also includes provisions to help expand the number of public charter schools available for parents seeking educational options for their children.

The President's 2004 budget for elementary and secondary education provides significant resources in support of these reform principles. Highlights include:

  • $12.4 billion for Title I Grants to Local Educational Agencies (LEAs), an increase of $1.0 billion, or 9 percent, to help States, school districts, and schools carry out the reforms called for by the NCLB Act. The increased funding would be allocated through the Targeted Grants challenge in helping all students meet challenging State academic standards.

  • $2.85 billion for Improving Teacher Quality State Grants to give States and LEAs the resources and flexibility to select and implement research-based strategies that best meet their particular needs for developing a high-quality teaching force and improving student achievement. In return for this flexibility, LEAs are required to demonstrate annual progress in ensuring that all teachers teaching in core academic subjects within the State are highly qualified.

  • $1.05 billion for Reading First State Grants, an increase of $50 million, or 5 percent, for this nationwide effort to support comprehensive reading instruction, grounded in scientifically based reading research, for children in grades K-3. State grant awards finance professional development in reading instruction for teachers and administrators, the adoption and use of reading diagnostics to determine where K-3 students need help, and improved reading curricula grounded in scientifically based research.

  • $390 million for State Assessment Grants to help States develop and implement the expanded annual assessments in grades 3 through 8 that are integral to the strong State accountability systems required by the 2002 reauthorization of ESEA programs.

  • $420 million to expand choices for parents and students, including $220 million for Charter Schools Grants; $100 million for the Credit Enhancement for Charter School Facilities program to assist charter schools in acquiring, leasing, and renovating school facilities; $75 million for a new Choice Incentive Fund to support efforts to provide parents, particularly low-income parents, with expanded opportunities for transferring their children to a higher-performing school; and $25 million for Voluntary Public School Choice grants to enable States and school districts to establish or expand public school choice programs across a State or across districts.

  • $385 million for the highly flexible State Grants for Innovative Programs to help States and school districts implement innovative strategies, including expanded school choice options, and other reforms for improving student achievement. For example, Innovative Programs funds could be used by State and LEAs to pay for supplemental educational services in schools identified for improvement, corrective action, or restructuring under Title I.

  • $700.5 million for Educational Technology State Grants to support State and local efforts, particularly in high-poverty districts, to improve student achievement through the effective integration of technology into classroom instruction. Funds may be used, for example, to train teachers to use technology, to develop courses in information technology, and to purchase technology-based curricula.

  • $694.3 million for the Safe and Drug-Free Schools and Communities program, including $100 million for a new mentoring initiative, to fund a variety of activities that foster a safe and drug-free learning environment and support academic achievement.

Title I Grants to Local Educational Agencies

  2002 2003
Request
2004
Request
 
B.A. in millions $10,350.0 $11,350.0 $12,350.0

Title I of the Elementary and Secondary Education Act (ESEA) authorizes supplemental programs to enable educationally disadvantaged children, particularly those attending schools in high-poverty areas, to meet the same challenging State academic standards as other children. For example, Title I supports more individualized instruction, fundamental changes in the school to improve teaching and learning, and preschool education. Children of migrant agricultural workers and students in State institutions for neglected and delinquent children and youth also receive Title I services.

The 2004 request provides $12.4 billion, a $1 billion increase, for Title I Grants to Local Educational Agencies (LEAs). Grants to LEAs is the largest Title I program and will serve an estimated 16.6 million students in more than 47,000 schools in 2004. In accordance with the authorizing statute, the request would allocate all of the increased funds through the Targeted Grants formula, which focuses greater resources on the highest-poverty schools and students. If enacted, the request would result in a $3.6 billion increase, or 41 percent, in Title I Grants to LEAs funding since the passage of the No Child Left Behind Act of 2001 (NCLB Act).

The NCLB Act reauthorized the ESEA to incorporate Title I reforms proposed by President Bush, particularly in the areas of assessment, accountability, and school improvement. The new law ensures that States will develop standards in reading and math, and assessments linked to those standards for all students in grades 3-8. LEAs and schools must use Title I funds for activities that scientifically based research suggests will be most effective in helping all students meet these State standards.

States also must develop annual adequate yearly progress (AYP) objectives that will result in all groups of students achieving proficiency in reading and math within 12 years. These objectives must be met by all groups of students, disaggregated by poverty, race and ethnicity, disability, and limited English proficiency. Biennial State participation in the State-level version of the National Assessment of Educational Progress will provide benchmarks for gauging the rigor of State standards and assessments.

Under the NCLB Act, LEAs must permit students in Title I schools that do not meet annual State AYP objectives for two consecutive years to transfer to a better public school, with transportation provided by the school district. If schools continue not to meet AYP, students will be permitted to use Title I funds to obtain educational services from the public- or private- sector provider selected by their parents from a State-approved list.

The new law also ensures that Title I schools identified for improvement (after not making AYP for two consecutive years) will develop improvement plans incorporating strategies from scientifically based research. Schools that do not improve would be subject to increasingly tough corrective actions—such as replacing school staff or significantly decreasing management authority at the school level—and could ultimately face restructuring, which involves a fundamental change in governance, such as a State takeover or placement under private management. To help States, districts, and schools carry out needed improvements, the NCLB Act significantly increases the statutory reservation of Part A allocations that States must use for school improvement.

The new law authorizes State Academic Achievement Awards to schools that significantly close achievement gaps or exceed AYP standards for two or more consecutive years, as well as awards to teachers in such schools. However, States that fail to put in place systems of standards, assessments, and accountability may—and in some cases must—have a portion of their Federal administrative funds withheld by the Secretary.

The 2004 budget includes a separate $9.5 million request for Title I Evaluation to support studies of State and local efforts to implement the NCLB Act, identify effective educational interventions and examine student outcomes in Title I schools, and provide technical assistance to States and school districts.

State Assessment Grants

  2002 2003
Request
2004
Request
 
B.A. in millions $387.0 $387.0 $390.0

This program provides formula grants to States to pay the cost of developing both standards and assessments required by the NCLB Act and, if a State has put in place such standards and assessments, to pay for the administration of those assessments. Funds also may be used to develop standards and assessments in subjects other than those required by the NCLB Act and to improve the reliability and validity of assessment systems. Other allowable uses include paying the costs of working in voluntary partnership with other States to develop standards and assessments, professional development aligned with State standards and assessments, and support for data reporting and other components of the new State accountability systems.

Under the NCLB Act, States will select and design their own assessments, so long as they are aligned with State academic achievement standards. The new assessments must be in place by the 2005-2006 school year. The 2004 request would provide $390 million for Grants for State Assessments, the same as the statutory 2004 "trigger amount." Failure to provide the requested amount could result in delay of State efforts to develop and implement the new assessments in reading and mathematics for all students in grades 3 through 8—one of the Administration's highest priorities and a linchpin of the stronger accountability for student achievement promised by the NCLB Act.

The request does not include additional funding for Grants for Enhanced Assessment Instruments. Competitions conducted in fiscal year 2002 and planned for 2003 will result in one-time awards that do not entail continuation costs.

Reading First
(B.A. in millions)

  2002 2003
Request
2004
Request
 
Reading First State Grants $900.0 $1,000.0 $1,050.0
Early Reading First 75.0 75.0 100.0
Total
975.0

1,075.0

1,150.0

President Bush made the implementation of the Reading First initiative one of his highest priorities for education because of compelling evidence that far too many young people are struggling through school without having mastered reading, the most essential and basic skill. On the 2000 National Assessment of Educational Progress, 60 percent of all fourth graders in high-poverty schools scored below the "basic" reading level. Research shows that students who fail to read well by fourth grade have a greater likelihood of dropping out and a lifetime of diminished success. For these reasons, providing consistent support for reading success from the earliest age has critically important benefits. These include helping improve reading gains, reducing the number of children who fall behind in reading, providing additional help to children who need it, and reducing the number of children referred to special education programs based on low reading scores.

The request includes $1.15 billion for the two components of Reading First. The Reading First State Grants program is a comprehensive, nationwide effort to implement the findings of high-quality scientifically based reading research on school reading instruction. This high-quality instruction will help the Nation's schools reach the President's goal of ensuring that every child can read at grade level or above by the end of third grade. In his original No Child Left Behind education blueprint, the President committed to providing $5 billion for Reading First over a 5-year period. The Administration's fiscal year 2004 request will keep the Federal Government on track toward meeting that goal.

Funds are used to help school districts and schools provide professional development in reading instruction for teachers and administrators, adopt and use reading diagnostic assessments for students in kindergarten through third grade to determine where they need help, implement reading curricula that are based on recent research, and provide reading interventions for young grade-school children to ensure they can read at grade level by the end of the third grade.

Early Reading First complements Reading First State Grants by providing competitive grants to school districts and non-profit organizations to support activities in existing pre-school programs designed to enhance the verbal skills, phonological awareness, letter knowledge, and pre-reading skills of children from birth through age 5. Funds will be targeted to communities with high numbers of low-income families.

Even Start

  2002 2003
Request
2004
Request
 
B.A. in millions $250.0 $200.0 $175.0

Even Start aims to improve educational opportunities of children and their parents in low-income areas by integrating early childhood education, adult education, and parenting education into "family literacy" programs. The request includes $175 million to continue local projects funded in prior fiscal years and for national technical assistance and evaluation activities.

Even Start's performance on evaluations supports the decrease in the request level. The Department has completed two four-year national evaluations of the Even Start program. These evaluations concluded that, although children and adults participating in Even Start generally made gains in literacy skills, the gains were not significantly greater than those of non-participants. Interim findings from the third national evaluation confirm the conclusions from the earlier evaluations.

Literacy Through School Libraries

  2002 2003
Request
2004
Request
 
B.A. in millions $12.5 $12.5 $27.5

This program helps LEAs improve student literacy skills by providing students with increased access to up-to-date school library materials and professionally certified school library media specialists. The request would expand the number of grants from 75 to 165, in recognition that school libraries can play a strategic role in making information available to all students, training students and teachers about how to obtain and make use of information, and increasing access for low-income students to technology and information. The request also supports the goal of helping all children to read well.

Reading Is Fundamental/Inexpensive Book Distribution

  2002 2003
Request
2004
Request
 
B.A. in millions $24.0 $24.0 $24.0

This program is administered through a contract with Reading is Fundamental, Inc. (RIF), a nonprofit organization affiliated with the Smithsonian Institution. RIF allocates funds to local community associations that select and distribute inexpensive books to children free-of-charge. RIF currently reaches about 4.8 million children through 23,000 projects.

Ready-to-Learn Television

  2002 2003
Request
2004
Request
 
B.A. in millions $22.0 $22.0 $22.0

The program supports the development and distribution of educational video and related materials for preschool children, elementary school children, and their parents in order to facilitate student academic achievement. Funding has supported the development of 2 highly acclaimed children's shows, Between the Lions and Dragon Tales, along with a bilingual newsletter that provides suggestions for books and learning activities related to PBS children's programs. Activities supported through Ready-to-Learn play an important role in helping to ensure that young children are prepared to start school.

Improving Teacher Quality State Grants

  2002 2003
Request
2004
Request
 
B.A. in millions $2,850.0 $2,850.0 $2,850.0

This program gives States and school districts a flexible source of funding with which to meet their particular needs in strengthening the skills and knowledge of teachers and administrators, so that they can improve student achievement in the core academic subjects. In return for this flexibility, States will be held accountable for ensuring that all children are taught by effective teachers and for improving student achievement.

In addition to using funds for professional development and class size reduction, school districts may use funds to recruit and retain teachers and principals, merit pay, mentoring, and other activities. States may support other activities to improve teacher quality, including changes to teacher certification or licensure requirements, alternative certification, tenure reform, merit-based teacher performance systems, and differential and bonus pay for teachers in high-need subject areas.

Early Childhood Educator Professional Development Grants

  2002 2003
Request
2004
Request
 
B.A. in millions $15.0 $15.0 $15.0

These grants support training for preschool and other early childhood educators to help ensure that young children enter school ready to learn to read. The program focuses on professional development, especially in the area of teaching pre-reading skills to young children, for early childhood educators and caregivers working in high-poverty communities.

Mathematics and Science Partnerships

  2002 2003
Request
2004
Request
 
B.A. in millions $12.5 $12.5 $12.5

This program is designed to improve academic achievement in mathematics and science by promoting strong teaching skills for elementary and secondary school teachers. Grants to partnerships of State educational agencies, higher education institutions, and school districts support activities to develop rigorous mathematics and science curricula, distance learning programs, and incentives to recruit college graduates with degrees in math and science into the teaching profession. For 2004, grants will focus on intensive summer institutes for teachers at the elementary and middle-school levels.

Troops-to-Teachers

  2002 2003
Request
2004
Request
 
B.A. in millions $18.0 $20.0 $25.0

Funds are used to support the Department of Defense Troops-to-Teachers program that provides the preparation and support needed to encourage retiring military personnel to teach in high-poverty school districts. A 2001 survey by the General Accounting Office indicated that, since the program was established in 1994, almost 4,000 former military personnel had been hired as teachers nationwide. Teachers recruited through Troops-to-Teachers are twice as likely as traditional public school teachers to teach in such high-need subject areas as mathematics, science, and special education.

Transition to Teaching

  2002 2003
Request
2004
Request
 
B.A. in millions $35.0 $39.4 $49.4

This program addresses the national challenge of training and recruiting more than 2 million teachers over the next 10 years—due to the retirements of long-time teachers, high attrition rates among new teachers, and booming enrollments—by supporting alternatives to traditional teacher certification routes and other approaches for recruiting, training, and placing mid- career professional and recent colleges graduates. With the increase, the program will be able to fund about 134 grants, including 25-30 new projects.

Teaching of Traditional American History

  2002 2003
Request
2004
Request
 
B.A. in millions $100.0 $50.0 $100.0

This program makes competitive grants to school districts to promote the teaching of traditional American history in elementary and secondary schools as a separate academic subject. The increase, which would double the number of grants to 360, recognizes the need to create and expand efforts to raise the level of student knowledge in this core academic area in order to prepare future generations of students become responsible citizens who vote and who fully participate in our democratic traditions.

Educational Technology State Grants

  2002 2003
Request
2004
Request
 
B.A. in millions $700.5 $700.5 $700.5

While upgraded infrastructure now permits most teachers to access technology in their classrooms, few teachers have the knowledge, skills, and curricula needed to use technology effectively to improve student achievement. The 2004 request for this program supports State, district, and school efforts to integrate technology into the classroom. States receive formula grants, then allocate half of the funds to districts by formula and the remainder competitively to high-need districts, or consortia that include such a district, in partnership with an entity having expertise in integrating technology into the curriculum. Districts use their funds for such activities as training teachers to integrate technology into the curriculum and serve as technology experts in their schools, developing and implementing high-quality information technology courses, and purchasing effective technology-based curricula.

21st Century Community Learning Centers

  2002 2003
Request
2004
Request
 
B.A. in millions $1,000.0 $1,000.0 $600.0

This program helps communities establish or expand community learning centers that provide extended learning opportunities for students and related services to their families. The decrease in the request acknowledges that the program needs some time to address disappointing initial findings from a rigorous evaluation of the 21st Century Community Learning Centers program. The evaluation indicates that the centers funded in the program's first three years are not providing substantial academic content and do not appear to have a positive impact on student behavior.

The entire request will be available for formula grants to States, since the continuation costs for projects initiated under the antecedent competitive grant program conclude in 2003. From their formula grants, States make competitive awards of at least $50,000 each to school districts, community-based organizations, faith-based organizations, and other public or private entities for projects that would serve primarily students who attend schools eligible to operate a Title I schoolwide program. States give priority to projects serving students who attend schools identified for improvement or corrective action under Title I, and projects emphasize activities that prepare students to meet State and local student performance standards in core academic subjects. The request would enable districts to provide after-school learning opportunities—particularly for children who attend high-poverty or low-performing schools—to more than 800,000 students.

State Grants for Innovative Programs

  2002 2003
Request
2004
Request
 
B.A. in millions $385.0 $385.0 $385.0

This program provides flexible funding to State and local educational agencies for promising, evidence-based education reforms that meet the educational needs of all students. School districts may use funds to reduce class size, provide professional development, pay for Title I supplemental services, support smaller learning communities, and other activities.

Charter School Grants

  2002 2003
Request
2004
Request
 
B.A. in millions $200.0 $200.0 $220.0

This program increases public school choice options by supporting the planning, development, and initial implementation of public charter schools. A total of 38 States and the District of Columbia have charter school laws that exempt such schools from most education rules and regulations in exchange for greater accountability for improving student performance. The number of charter schools nationwide has grown from 250 to more than 2,700 in the past few years.

Of the total request, $200 million would support about 1,820 new and existing charter schools and enhanced dissemination activities at schools with a demonstrated history of success. The $20 million increase would initiate a new Per-Pupil Facilities Aid program, which will provide funds to States to assist charter schools in obtaining facilities. Federal funds will match funds for State programs that make payments, on a per-pupil basis, to fund charter schools facilities.

Credit Enhancement for Charter School Facilities

  2002 2003
Request
2004
Request
 
B.A. in millions $100.0 $100.0

Expanding the number of charter schools is a key Administration strategy for increasing the options available to parents seeking the best educational opportunities for their children. A major obstacle to the creation of charter schools in many communities is the limited ability to obtain suitable academic facilities. The new Credit Enhancement for Charter School Facilities program would help overcome this problem by providing $100 million in grants to public and nonprofit entities to leverage funds to help charter schools purchase, construct, renovate, or lease academic facilities.

Choice Incentive Fund

  2002 2003
Request
2004
Request
 
B.A. in millions $50.0 $75.0

The Administration is requesting additional funding for this proposed initiative to provide the parents of students who attend low-performing schools with expanded opportunities for transferring their children to a higher-performing public, charter, or private school. The Department would make competitive awards to States, local educational agencies, and community-based nonprofit organizations with a proven record of securing educational opportunities for children. In making awards, priority would be given to applicants that, among other things, would provide large numbers of students with expanded choice opportunities. In addition, the Department would reserve a portion of program funds for school choice programs in the District of Columbia.

A growing body of evidence shows that providing parents and students with expanded choice options can improve the academic performance of the students exercising choice and the performance of schools at risk of losing students. For example, the September 2002 General Accounting Office report, School Vouchers: Characteristics of Privately Funded Programs, found that rigorous evaluations of private school choice programs in New York City, Washington, D.C., and Dayton, Ohio "provide some evidence that African American students who used vouchers to attend private schools showed greater improvements in math and reading than students in the comparison group." Additional studies have found that regular public schools increased their productivity when exposed to competition, even when the competitive threats were relatively small.

Voluntary Public School Choice

  2002 2003
Request
2004
Request
 
B.A. in millions $25.0 $25.0 $25.0

This program supports efforts to establish intradistrict and interdistrict public school choice programs to provide parents, particularly parents whose children attend low-performing public schools, with greater choice for their children's education. Grant funds support planning and implementation costs associated with new programs, tuition transfer payments to public schools that students choose to attend, and efforts to expand the capacity of schools to meet the demand for choice.

Magnet Schools Assistance

  2002 2003
Request
2004
Request
 
B.A. in millions $110.0 $110.0 $110.0

The request would support approximately 50 new awards and 2 continuation grants to local educational agencies to operate magnet schools that are part of a court-ordered or federally approved desegregation plan to eliminate, reduce, or prevent minority group isolation in elementary and secondary schools. Magnet schools address their desegregation goals by providing a distinctive educational program that attracts a diverse student population.

Safe and Drug-Free Schools and Communities
(B.A. in millions)

  2002 2003
Request
2004
Request
 
State Grants $472.0 $472.0 $422.0
National Programs 274.7 172.2 272.2
Total
746.8

644.3

694.3

Teaching and learning to the high standards demanded by the NCLB Act requires that our schools are safe and our students are drug-free. For 2004, the request includes $694.3 million for the Safe and Drug-Free Schools and Communities (SDFSC) program, including $422 million for State Grants and $272 million for National Programs. The $50 million decrease proposed for SDFSC State Grants recognizes weaknesses in the SDFSC State Grant program that need to be addressed, such as the lack of specific, measurable objectives for the program and the means to determine whether they are being achieved. In the coming year, the Department will develop a new strategy for measuring the performance of SDFSC State Grants that will help assess the effects of the overall program and make better use of performance data to improve State and local programming decisions.

For SDFSC National Programs the request proposes a $100 million increase to fund the Administration's new mentoring initiative in conjunction with the USA Freedom Corps. This initiative would support the development, expansion, and strengthening of exemplary school-based mentoring programs that meet the needs of at-risk middle school students, while using citizen service to further engage Americans in public education. Funds requested under SDFSC National Programs also would support a variety of Federal Activities to improve school safety and security and to prevent the illegal use of drugs by students; provide continued resources for Project SERV (School Emergency Response to Violence) to ensure that funds are available for the Department to provide crisis response services to local educational agencies if called upon to do so; and fully fund the final year of continuation costs for drug prevention and school safety coordinators under the National Coordinator program, which, by the end of 2004, will have completed its mission as a demonstration activity.

Character Education

  2002 2003
Request
2004
Request
 
B.A. in millions $25.0 $25.0 $25.0

This program makes competitive awards to States and school districts for such activities as developing character education curricula, implementing model character education programs that involve parents and community members, including private and nonprofit organizations, and training teachers to incorporate character-building lessons and activities into the classroom. Programs must be integrated into classroom instruction, consistent with State academic content standards, and coordinated with other State education reforms. Elements of character include such items as caring, civic virtue and citizenship, justice, respect, responsibility, trustworthiness, and giving.

Civic Education Programs
(B.A. in millions)

  2002 2003
Request
2004
Request
 
We the People $15.5 $15.5
Cooperative Education Exchange 11.5 11.5
Total
27.0


27.0

These programs support activities to help students to understand, care about, and act on core ethical and citizenship values, while also helping to create safe and inclusive learning environments that foster student academic achievement along with increased social responsibility and tolerance for others.

We the People awards a noncompetitive grant to the nonprofit Center for Civic Education in Calabasas, California. The program promotes civic competence and responsibility through teacher training and curriculum materials for upper elementary, middle, and high school students.

Cooperative Education Exchange supports education exchange activities in civics and economics between the United States and eligible countries in Central and Eastern Europe, any country that was formerly a republic of the Soviet Union, the Republic of Ireland, the province of Northern Ireland in the United Kingdom, and any democratic developing country. Award recipients provide educators from eligible countries with exemplary curriculum and teacher training programs in civics and economic education.

Physical Education Initiative

  2002 2003
Request
2004
Request
 
B.A. in millions $10.0

This new initiative, funded under the authority of the Fund for the Improvement of Education, would help build capacity nationally for long-term improvements in physical education. Grants to school districts would support the demonstration of high-quality, research-based approaches for incorporating regular physical activity into students' everyday lives and promoting lifelong personal fitness activities and healthy habits tied to State standards in physical education.

Each grant would include a rigorous evaluation component designed to assess outcomes, including student success in increasing knowledge of, and forming positive attitudes about, physical fitness, as well as attaining increased levels of fitness. Results of this demonstration activity would be widely disseminated to State and local educational agencies and community-based organizations that work with youth.

Fund for the Improvement of Education

  2002 2003
Request
2004
Request
 
B.A. in millions $384.0 $35.0 $35.0

The Fund for the Improvement of Education (FIE) provides authority for the Secretary to support nationally significant programs to improve the quality of elementary and secondary education at the State and local levels and help all students meet challenging State academic content standards and student achievement standards. The request would support national recognition activities, dissemination efforts such as ED Pubs, and a small number of nationally significant programs that show promise for improving American education, including projects such as the Reach Out and Read program. The 2002 total included $269.9 million for one-time projects and $75 million for Comprehensive School Reform.

Advanced Placement

  2002 2003
Request
2004
Request
 
B.A. in millions $22.0 $22.0 $22.0

The request level-funds Advanced Placement (AP) programs, which the NCLB Act transferred from the Higher Education Act to Title I of the ESEA. The program makes grants to State educational agencies to pay test fees for low-income students taking approximately 100,000 AP tests. The program also supports State and local efforts to make pre-advanced placement and advanced placement courses more widely available to low-income students. These courses proved greater opportunity to low-income students to achieve to high standards in English, mathematics, science, and other core subjects. Participation in middle-school pre-advanced placement classes prepares students for advanced placement classes at the high school level.

English Language Acquisition
(B.A. in millions)

  2002 2003
Request
2004
Request
 
Language Acquisition State grants $411.6 $466.4 $538.1
National Activities 43.8 43.2 43.2
Competitive Grant Continuations 209.6 155.4 83.7
Total
665.0

665.0

665.0

Title III of the Elementary and Secondary Education Act (ESEA) authorizes formula grants to States based on each State's share of the Nation's limited English proficient (LEP) and recent immigrant student population. Grants enable States to design and implement a statewide response to the needs of their LEP students. The statute also provides a .5 percent set-aside for the Outlying Areas and a $5 million set-aside for elementary, secondary, and postsecondary schools operated predominantly for Native American children.

States must use at least 95 percent of formula funds for subgrants to school districts, based primarily on each district's share of the State's LEP students. In addition, States must use up to 15 percent of the 95 percent to increase the size of grants to districts that have experienced a significant increase in the percentage or number of recent immigrant students over the preceding two years.

States must develop annual measurable achievement objectives for LEP students that measure their success in achieving English language proficiency and meeting challenging State academic content and achievement standards. If a school district fails to make progress toward meeting these objectives for 2 consecutive years, the State must require the district to develop and implement an improvement plan. If the district fails to meet the State's annual achievement objectives after 4 consecutive years, the State must require the district to take corrective action to include approaches more likely to bring about meaningful change in a school. These approaches may include comprehensive implementation of a new curriculum and method of instruction or replacing educational personnel responsible for the LEA's failure to meet the objectives. The State may also terminate assistance to the district.

Title III requires the Department to set aside 6.5 percent of the appropriation for National Activities, including the National Professional Development Project, a National Clearinghouse for English Language Acquisition and Language Instructional Programs, and evaluation. Under the National Professional Development Project, the Department makes 5-year competitive grants to institutions of higher education that have entered into consortium arrangements with State or local educational agencies. The purpose of these grants is to increase the pool of teachers prepared to serve limited English proficient students and increase the skills of teachers already serving them. The purpose of the National Clearinghouse contract is to collect, analyze, synthesize, and disseminate information about instructional programs for LEP students.

Under the reauthorized statute, the Department must fund continuation grants to certain projects that were originally funded under the antecedent statute. Instructional services grantees funded under Subpart 1 of Title VII as it existed prior to enactment of the No Child Left Behind Act and professional development grantees under subpart 3 receive continuation awards consistent with their original grant terms. In 2004, funds for continuations would decline by more than $71 million as compared to 2003.

Title I State Agency Programs
(B.A. in millions)

  2002 2003
Request
2004
Request
 
Migrant Education $396.0 $396.0 $396.0
Neglected and Delinquent 48.0 48.0 48.0
Total
444.0

444.0

444.0

The budget provides $396 million for Migrant Education to help nearly 750,000 children of migrant agricultural workers meet State academic standards. Migrant grants help States identify migrant children, pay the higher costs often associated with serving those children, and employ methods such as distance-learning to reach migrant farmworker communities. The request also includes $48 million for the Title I Neglected and Delinquent (N&D) program to provide educational services to children and youth in State-operated institutions.

High School Equivalency Program and College Assistance Migrant Program
(B.A. in millions)

  2002 2003
Request
2004
Request
 
High School Equivalency Program $23.0 $23.0 $13.0
College Assistance Migrant Program 15.0 15.0 15.0
Total
38.0

38.0

28.0

The High School Equivalency Program (HEP) funds projects to help low-income migrant and seasonal farm workers gain high school diplomas or equivalency certificates. The College Assistance Migrant Program (CAMP) provides stipends and special services such as tutoring and counseling to migrant students who are in their first year of college. The 2004 request provides sufficient funding for approximately 67 HEP and CAMP continuation grants. In addition, about 10 new CAMP projects will be initiated with funds released by projects that conclude in 2003. The low quality of HEP applications over the past few years supports the request to continue existing HEP projects only.

Education for Homeless Children and Youth

  2002 2003
Request
2004
Request
 
B.A. in millions $50.0 $50.0 $50.0

This program provides formula grants to States to facilitate the enrollment of homeless students in school and give them access to services available to other children. States subgrant most funds to local educational agencies for tutoring, transportation, and other services that help homeless children to enroll in, attend, and succeed in school. Besides academic instruction, services include preschool programs, special education, and gifted and talented programs.

Since this program began in 1988, nearly all States have revised their laws, regulations, and policies to improve educational access for homeless students. States have typically eased residency requirements and improved transportation and immunization policies to ensure greater access for homeless students. Nevertheless, homeless children and youth continue to be at significant risk of educational failure and the $50 million request would maintain support for State and local activities designed to reduce that risk.

Indian Education
(B.A. in millions)

  2002 2003
Request
2004
Request
 
Grants to LEAs $97.1 $97.1 $97.1
Special Programs for Indian Children 20.0 20.0 20.0
National Activities 3.2 5.2 5.2
Total
120.3

122.3

122.3

Indian Education programs supplement the efforts of State and local educational agencies, and Indian tribes, to improve educational opportunities for Indian children. The programs link these efforts to broader educational reforms underway in States and localities to ensure that Indian students benefit from those reforms and achieve to the same challenging academic standards as other students.

Grants to Local Educational Agencies provide funds to public and BIA-supported schools for activities to improve the educational achievement of Indian students. Special Programs for Indian Children includes $9 million to continue the American Indian Teacher Corps, which will support training for 1,000 Indian teachers over a five-year period to take positions in schools that serve concentrations of Indian children. Also, the program includes $11 million for demonstration grants to improve educational opportunities for Indian children in areas such as early childhood education, dropout prevention, and school-to-work programs.

Finally, the request provides $5.2 million to implement a comprehensive research agenda that responds to the national need for better research, evaluation, and data collection on the educational status of Indians. This agenda focuses on filling gaps in national information on the educational status and needs of Indians, and on identifying educational practices that are effective with Indian students.

Education for Native Hawaiians
(B.A. in millions)

  2002 2003
Request
2004
Request
 
Family-Based Education Centers $12.1 $5.7 $3.7
Curriculum Development, Teacher
  Training, and Recruitment
7.1 2.4 1.0
Gifted and Talented 1.1
Higher Education 3.5 3.5 3.5
Special Education 3.1 3.1 3.1
Community-Based Centers 2.1 0.4 0.4
College Preparation 1.0 1.2 1.2
Native Hawaiian Education Councils 0.5 0.5 0.5
Other Activities 1.5 4.9
Total
30.5

18.3

18.3

The Education for Native Hawaiians program provides supplemental education services and activities for Native Hawaiians. The request includes sufficient funding to continue program grants and services to the Hawaiian Natives, many of whom perform below national norms on achievement tests of basic skills in reading, science, math, and social science. Other Department elementary and secondary education programs, particularly the State formula grant programs, also support improved achievement for Native Hawaiians.

Alaska Native Education Equity
(B.A. in millions)

  2002 2003
Request
2004
Request
 
Mandated awards $7.0 $7.0 $7.0
New Activities 8.3
Continuation awards 8.7 7.2 7.2
Total
24.0

14.2

14.2

The Alaska Native Education Equity program provides educational services to meet the special needs of Native Alaskan children. Program grants focus on meeting the special needs of Alaska Native students in order to enhance their academic performance. Other Department elementary and secondary education programs, particularly the State formula grant programs, also support improved achievement for Alaska Native students.

Training and Advisory Services (Title IV of the Civil Rights Act)

  2002 2003
Request
2004
Request
 
B.A. in millions $7.3 $7.3 $7.3

This program supports 10 regional Equity Assistance Centers that provide services to school districts on issues related to discrimination based on race, gender, and national origin. Typical activities include disseminating information on successful practices and legal requirements related to nondiscrimination, providing training to educators to develop their skills in specific areas, such as identification of bias in instructional materials, and technical assistance on selection of instructional materials.

Impact Aid
(B.A. in millions)

  2002 2003
Request
2004
Request
 
Payments for Federally Connected Children:  
  Basic Support Payments $982.5 $982.5 $867.5
  Payments for Children with
    Disabilities
50.0 50.0 40.0
 
Facilities Maintenance 8.0 8.0 8.0
Construction 48.0 45.0 45.0
Payments for Federal Property 55.0 55.0 55.0
Total
1,143.5

1,140.5

1,015.5

The Impact Aid program provides financial support to school districts affected by Federal activities. The property on which certain children live is exempt from local property taxes, denying districts access to the primary source of revenue used by most communities to finance education. Impact Aid helps to replace the lost local revenue that would otherwise be available to districts to pay for the education of these children.

The 2004 budget request would place priority on children for whom the Federal government has primary responsibility, namely children living on Indian lands and children who live on Federal property and who have a parent on active duty in the uniformed services. For Basic Support Payments, the request of $867.5 million would provide payments on behalf of those categories of children. The average per-child payments for these categories of children (the so-called "a" children) would increase 3.5 percent. No payments would be made for the so-called "b" children (who live on or have a parent working on Federal property, but not both).

Payments for Children with Disabilities provides additional support for certain federally connected children who are eligible for services under the Individuals with Disabilities Education Act. The $40 million request is $10 million less than the 2002 amount but would increase the average per-child payment by 2.4 percent because the Department would make payments only on behalf of children living on Indian lands and those who both live on Federal property and have a parent on active military duty.

The Department of Education owns and maintains 41 school facilities that serve large numbers of military dependents. The $8 million requested for Facilities Maintenance will fund essential repair and maintenance of these facilities and allow the Department to continue to transfer these schools to local school districts.

School districts also generally pay for most of their school construction costs using their own resources and rely on property taxes to finance these costs. The $45 million proposed for Construction would provide both formula and competitive grants to school districts. Formula grants assist districts with large proportions of military dependent students and students residing on Indian lands. Competitive grants focus on helping LEAs make emergency renovations and modernization changes.

The $55 million request for Payments for Federal Property would provide payments to districts that generally have lost 10 percent or more of their taxable property to the Federal Government.

Summary of the FY 2004 ED Budget Table of contents Special Education and Rehabilitative Services

For further information contact the ED Budget Service.

This page last modified—September 15, 2006 (jer).

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