Laws & Guidance ELEMENTARY & SECONDARY EDUCATION
Student-Centered Funding Pilot

ESEA section 1501 authorizes the U.S. Secretary of Education to enter into local flexibility demonstration agreements with local educational agencies (LEAs) under which such agencies may consolidate eligible Federal education funds with State and local funds in accordance with certain requirements in order to develop a student-centered funding system based on weighted per-pupil allocations for low-income and otherwise disadvantaged students. Under a local flexibility demonstration agreement, an LEA may use the Federal funds allocated through its system flexibly, provided it meets the purposes of each Federal education program supported by the consolidated Federal funds, including serving students from low-income families, English learners, migratory children, and children who are neglected, delinquent, or at risk, as applicable.

For an LEA that enters into a local flexibility demonstration agreement, the Secretary is authorized to waive those provisions of the ESEA that would otherwise prevent the LEA from using eligible Federal funds as part of such an agreement. Relieving an LEA from certain ESEA requirements in this manner would enable the LEA to use the Federal funds allocated through its student-centered funding system flexibly, provided it meets the purposes of each Federal education program supported by the consolidated Federal funds, including serving students from low-income families, English learners, migratory children, and children who are neglected, delinquent, or at risk, as applicable.


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Last Modified: 06/21/2018