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January 26, 2010
WASHINGTON (Dow Jones)--President Barack Obama will spotlight education in his first State of the Union address Wednesday, outlining a boost in funding for the Department of Education, a senior administration official said late Tuesday.

The official said the White House's fiscal 2011 budget request, set for release next week, will call for an additional $1.35 billion in funds to continue Obama's Race to the Top education program and extend its reach into school districts. As of now, 40 states and the District of Columbia are in the running for awards under the program, which is aimed at spurring innovation in education.

"The President will highlight his commitment to education reform in the State of the Union tomorrow night including his plan to improve outcomes for students at every point along the educational pipeline," the official said.

"While the budget will reflect tough choices and the consolidation of many existing K-12 education programs, a 6.2% increase for the Department of Education will show a significant effort to help fund the Administration's new reform efforts."

-By Henry J. Pulizzi; Dow Jones Newswires; 202 862 9256; henry.pulizzi@dowjones.com

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In the 111th Congress, education proves be a top priority of the new Administration. On February 13, 2009, both the House and Senate passed the conference version of H.R. 1, the American Reinvestment and Recovery Act (ARRA), which was signed into law by President Obama on February 17, 2009. The ARRA includes approximately $97.5 billion in discretionary and mandatory appropriations to be disbursed over the next two years.
 
The ARRA calls for this funding to be allocated to existing and new federal education programs such as:

• Elementary and Secondary Education Programs. The ARRA increases federal funding for K-12 education programs. Title I and IDEA received $13 billion in increases. The ARRA also includes new funding for a number of additional K-12 education programs. These include Grants to States ($10 billion), School Improvement Grants ($3 billion), Education Technology ($650 million), Education for Homeless Children ($70 million), and Fund for the Improvement of Education ($200 million). 
• Individuals with Disabilities Education Act. The ARRA includes increases in funding for students with disabilities.  Grants to States ($11.3 Billion), Preschool Grants ($400 million), Grants for Programs Serving Infants and Toddlers ($500 million), IDEA Pre-School Program ($400 million).
• Funding for Higher Education. The bill includes significant funding increases for higher education, including a $1.4 billion increase for Pell Grant funding. It also includes $200 million for work study programs, and $60 million for student aide administration.
• Early Childhood Education Programs. This package provides funding increases for early child­hood education and care programs. $5 billion will be allocated in new funds for Head Start, and for the Child Care Development Block Grant program.
• Stabilization Fund. The largest education initiative in the ARRA is a $53.6 billion State Fiscal Stabilization Fund to help state governments pay for public services, including education. At least 61 percent of the funds for this provision must be used by states for education.

While school systems and universities have traditionally offered critical educational training for students, in recent years, many communities have sought to leverage school and university resources to create regional economic engines, or to provide specialized skill training that is needed to advance public goals. The federal government, through the ARRA and other projects, seeks to incentivize the participation of educational institutions in these federal, state, regional and local activities. Initiatives that are consistent with the national, bipartisan goal of improving education, providing required skills training in areas such as teaching, homeland security, or health care, or growing the nation’s economy and enhancing economic development, are often eligible for federal funding.

Community Colleges are also gaining stature in a political environment focused on workforce development. The federal government is acknowledging the increased role these schools play in educating non-traditional and underserved student populations, but also as an important part of solving worker shortages in critical fields like healthcare and homeland security. Many grant and funding opportunities are available to the schools that can demonstrate their effectiveness at meeting workforce needs in their local communities. Carmen Group has experience assisting colleges in creating quality programs and marketing the programs to the appropriate stakeholders and policymakers.

Areas of particular interest to Congress and the federal agencies that set federal education policy include:

• University linkages with K-12 school systems
• Creating highly-skilled workers to compete in a global environment
• Capital improvements that enable universities to offer nationally significant programs to students
• Enhanced teacher training
• Increased use of information technology and distance learning
• Improved access to higher education for non-traditional students
• Improved educational opportunities for underserved and minority students

With educational initiatives at the forefront of the 111th Congress and a top priority for the new administration there will be many opportunities for educational institutions to advance their initiatives.

Congressional efforts to make college more affordable are likely to continue throughout the 111th Congress. With the ongoing economic uncertainty, Congress will continue to seek to mitigate the impact of increasing numbers of lenders who back out of federal loan programs.

Congress will also work on fiscal year 2010 appropriations measures which will continue to direct funding for educational programs.

More information on federal programs and initiatives can be found at:

www.ed.gov
www.house.gov/appropriations
www.appropriations.senate.gov
www.whitehouse.gov/infocus/education
edworkforce.house.gov
help.senate.gov/Education_index.html