1. No category

EDUCATION MATTERS
INVESTING IN
AMERICA’S
FUTURE
Committee For Education
Funding
 The Committee for Education Funding
2
(CEF) is the oldest and largest education
coalition.
 We represent 117 national organizations
and institutions from PreK through
graduate education.
 For more information: www.cef.org
 Follow us on Twitter:
www.twitter.com/edfunding
Today’s Presentation
 What is CEF’S Education Matters?
 Why Invest in Education?
 What happened since Fiscal Year 2011?
 Summary/analysis of President Obama's FY 16
Budget for Education
 Elementary and Secondary Education
 Education, Careers and Lifelong Learning
 Higher Education
 Educational Research and Statistics
 Education-Related Programs
 Why the House and Senate budgets are harmful
to students and education.
3
CEF’s Education Matters
 256-page analysis of the President's FY 2016
Budget includes:
 CEF's position on the budget
 Summary/analysis of the President's Budget
 Education budget cuts since FY 2010
 Funding table for FY 12 through FY 15 and
President’s FY 15 budget
 The Need To Invest In Education
 Analysis of 83 education and children's
programs
4
CEF Membership Directory
 Listing of information about our
members:
 Organization name/address/web
address/key contacts/emails/phone
numbers/Twitter handles.
 Both publications are available on the
CEF website: www.cef.org
5
EDUCATIONAL PROGRESS
High School Graduation Rate at
Record High
Sources: For 1975-76 to 2009-10: U.S. Department of Education, National Center for Education Statistics, Common Core of
Data (CCD), State Dropout and Completion File, 2009-10. http://nces.ed.gov/pubsearch/pubsinfo.asp?pubid=2013309rev
For 2010-11 to 2012-13: CCD Public high school 4-year adjusted cohort graduation rate (ACGR)
http://nces.ed.gov/ccd/tables/ACGR_2010-11_to_2012-13.asp
MORE HISPANIC AND AFRICANAMERICAN STUDENTS GRADUATING
High school graduation rates: School years 2002-2003 through
2011-2012
80%
75%
70%
65%
60%
Black
Hispanic
55%
50%
SOURCE: U.S. Department of Education, National Center for Education Statistics, Common Core of Data (CCD), "NCES Common Core of
Data State Dropout and Graduation Rate Data file," School Year 2011-12, Preliminary Version 1a; School Year 2010-11, Provisional 1a;
School Year 2009-10, 1a; School Year 2008-09, 1a; School Year 2007-08, 1b., http://nces.ed.gov/ccd/tables/AFGR0812.asp
Pew Research Hispanic Center, http://www.pewhispanic.org/2013/05/09/hispanic-high-school-graduates-pass-whites-in-rate-of-collegeenrollment/
DROPOUT RATES DECREASING
Dropout rate, 2000-2012
30.0
25.0
20.0
15.0
10.0
5.0
0.0
2000
2001
2002
2003
2004
Lowest Income Quartile
2005
2006
2007
All Races
2008
2009
Black
2010
2011
Hispanic
SOURCE: U.S. Department of Education, National Center for Education Statistics. (2013). The Condition of
Education 2013, Tables 128 and 129, http://nces.ed.gov/programs/coe/ and Digest of Education Statistics,
Tables 219.70, 219.71, 219.75, and 219.76.
2012
MORE HISPANIC AND AFRICAN-AMERICAN
STUDENTS ATTENDING COLLEGE
Enrollment rates of 18-24-year-olds
40.0
Percentage Enrolled
35.0
30.0
Black
Hispanic
25.0
20.0
15.0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
SOURCE: U.S. Department of Education, National Center for Education Statistics,
http://nces.ed.gov/programs/digest/d11/tables/dt11_213.asp
More Students Attending College
on Pell Grants
6 million
8.4 million
million
s
Source: FY 2016 Department of Education Justifications
of Appropriation Estimates to the Congress,
http://www2.ed.gov/about/overview/budget/budget16/justifications/p-sfa.pdf
THE NEED TO INVEST IN
EDUCATION
12
MORE STUDENTS AND
MORE STUDENTS IN
POVERTY
13
Rising K-12 Enrollments
8
14
Source: CEF based on NCES Projections of Education Statistics to 2022
Rising Higher Education
Enrollments
9
15
Source: CEF based on NCES Projections of Education Statistics to 2022
More Children in Poverty
Majority of Public School
Children are Low-Income
More Students in
High-Poverty Schools
Percentage distribution of public school students, by school poverty
level: School years 1999-2000 and 2010-11
18
Source: NCES: Condition of Education 2013
More Hispanic Students
19
STATE AND LOCAL BUDGET
CUTS
20
Fewer Local Education Employees
8,200
8,119
8,084 8,069
324,000
fewer
jobs
thousands
8,100
8,000
7,900
7,948
7,801
7,800
7,700
7,600
7,500
Source: CEF based on BLS seasonally adjusted employment data:
http://www.bls.gov/webapps/legacy/cesbtab1.htm
7,776 7,765 7,795
Per Student Public Education
Spending Flat Since 2010
State Funding for Preschool Less
Than in 2002
Source: The State of Preschool 2013: State Preschool Yearbook; The National Institute for Early
Education Research: http://nieer.org/yearbook
State Support for Higher Education
Below Prerecession Levels
Student Loan Debt
Approaching $1.2 Trillion
EARNINGS LINKED TO
LEARNING
26
Unemployment Linked to
Educational Attainment
Source: CEF based on BLS; The Employment Situation – January 2015, Table A-4:
http://www.bls.gov/news.release/empsit.t04.htm
Earnings Based on Learning
28
Source: Georgetown University Center on Education and the Workforce;
The College Payoff
Earnings Based on Learning
Source: Georgetown University Center on Education and the Workforce; The College Advantage:
Weathering the Economic Storm: https://cew.georgetown.edu/report/the-college-advantage/
THE PUBLIC OPPOSES
EDUCATION CUTS
30
The Public Opposes Education
Cuts
Would you approve or disapprove of reducing federal funding for
education as a way to reduce the size of the national debt?
31
Source: Pew Research Center for the People & the Press, October, 2012
Two-thirds Want To Protect
Education From Sequester Cuts
32
Source: CEF/FEI Poll, December 2012
THE FEDERAL BUDGET AND
EDUCATION
34
Fiscal Year 2015 Outlays
Other
Mandatory
17%
Interest
6%
Medicaid
9%
Medicare
14%
Source: CEF based on CBO and OMB data
Dep't. of
Education
3%
Discretionary
Defense
15%
Nondefense
Discretionary
(minus ED) 12%
Social Security
24%
$80 BILLION IN CUTS SINCE FY
2010
36
FISCAL YEARS 2011/2012
$1.5 BILLION IN
NON-PELL CUTS
37
Final FY 11 and 12
Appropriations
 FY 11 cut ED (other than Pell) by $1.2
billion.
 Teacher Quality grants cut 16%,
Career/Tech grants cut 11%, ED tech
eliminated, LEAP eliminated
 FY 12 total ED funding cut by $233
million.
 All programs cut by 0.189% across-the-
board cut.
38
FISCAL YEARS 2011/2012
$75 BILLION IN
STUDENT AID CUTS
39
Pell/Student Aid Cuts Enacted
 Both FY 11 and FY 12 maintained the
40
Pell maximum award of $5,550.
 Maintaining Pell maximum was paid
for with a variety of restrictions and
limitations on student loans and Pell.
 Pell grants have been cut by $53
billion.
 145,000 students lost their Pell grant.
 Interest subsidies on graduate loans
eliminated = $18.1 billion cut.
FISCAL YEAR 2013
SEQUESTER CUTS!
41
Sequestration =
Largest Education Cuts Ever!
 FY 13 = fixed percentage across-the-board
(ATB) cuts.
 NDD cut was 5% = $2.5 billion from ED.
 Pell grants exempt from across-the-board
cuts.
 Head Start in HHS cut $401 million.
 FY 14-21 – no longer ATB cut; further
lowers discretionary caps.
 Squeezes education $; Pell no longer exempt.
42
FY 13 Impact of Sequestration
In millions
$0
-$65
-$87
-$124
-$86
-$15
-$42
-$401
-$500
-$727
-$620
-$1,000
-$1,500
-$2,000
-$2,500
43
43
-$2,478
Total
Dep't.
of ED
Title I
Impact Teacher IDEA Career, Student
Aid
Quality Grants Tech,
Aid
Adult
GEAR
UP
TRIO
Head
Start
FISCAL YEAR 2014
PARTIAL SEQUESTER
REPLACEMENT
44
Budget Deal
 House Budget Chair Ryan and Senate Budget
Chair Murray in December 2013 agreed to the
Bipartisan Budget Act:
 Partially replaced the sequester cuts to
discretionary programs for FY 2014 and FY
2015.
 Paid for by extending mandatory sequester
45
cuts into FY 2022 and FY 2023 and other
small mandatory cuts and user fees.
FY 2014 Omnibus
 Based on BBA, in January Congress
passed Consolidated Appropriations Act
of 2014.
 In aggregate only restores 2/3rds of ED
sequester cuts.
 Big winner was preschool:
 Head Start: sequester cut fully restored plus
46
$100 million
 Early Head Start-Child Care Partnerships:
$500 million
 New preschool Race To The Top: $250
FY 2014 Omnibus
 Programs frozen at sequester levels:
 SIG
 High School Graduation Initiative
 Rural Education
 Indian Education
 Promise Neighborhoods
 Investing in Innovation
 IDEA Preschool grants
47
FY 2014 Omnibus: Increases
 Title I (+4.5%)
ED
state grants
 Teacher Quality Grants
(+5.0%)
(+0.5%)
 GEAR UP (+5.3%)
 After school (+5.3%)
 TRIO (+5.3%)
 ELL Grants (+4.3%)
 SEOG (+5.3%)
 IDEA State Grants (+4.5%)
 Work-Study
 IDEA infants and families
(+5.3%)
(+4.5%)
 First in the World
Programs in red were not fully restored to pre-sequester levels
New $75 million
 Impact Aid (+5.3%)
48
 Career/technical
FISCAL YEAR 15
CAPS MATTER!
MOSTLY A FREEZE
49
FY 2015 CRomnibus
 In December 2014 Congress passed the
Consolidated and Further Continuing
Appropriations Act of 2015.
 In aggregate cuts ED discretionary by $166 million.
 Negligible increases for:
 Title I = +$25 million (+0.2%)
 Striving Readers = +$2 million (+1.3%)
 21st century community learning centers = +$2.3 million


50


(+0.2%)
Charter schools = +$5 million (+2%)
English Language Acquisition = +$14 million (+1.9%)
IDEA State Grants = +$25 million (+0.2%)
Federal work-study = +$15 million (+1.5%)
Education Department Funding
in billions
Source: CEF calculations based on Department of Education budget tables
NDD Cap Levels
in billions
$700
$650
$600
$550
$500
$450
$400
FY 12
FY 13
FY 14
FY 15
FY 12 Cap adjusted for inflation
52
FY 16
FY 17
FY 18
BCA Pre-Sequester Caps
Source: CEF Calculations based on CBO and OMB data
FY 19
FY 20
Sequestration
FY 21
FY 22
FY 23
Ryan-Murray
Center on Budget and Policy Priorities
Non-Defense Discretionary Spending Falling
to Historic Lows
cbpp.org
Cumulative Deficit Reduction
FY 2016-2025
Source: CEF Calculations based on President's FY 2016 Budget, Summary Tables, Table S–3.
http://www.whitehouse.gov/sites/default/files/omb/budget/fy2016/assets/tables.pdf
FY 2016 BUDGET
INVESTING IN AMERICA’S FUTURE
The President’s 2016 Budget
 Eliminates sequester cap for NDD –
provides an additional $37 billion.
 $70.7 billion in discretionary funding for
ED, an increase of $3.6 billion, or 5.4
percent.
 Mandatory initiatives include Preschool
for All, Teaching for Tomorrow, and
America’s College Promise.
56
President’s Budget Discretionary
 ESEA/K-12 = +$2.7 billion (+11.8%)
 Preschool =+$500 million (+200%)
 Special Ed = +$300 million (+2.4%)
 Career/Technical/Adult Ed = +$208 million




(+12.2%)
Student Financial Aid = Freeze
Higher Education = +$147 million (+6.8%)
IES = +$102 million (+17.8%)
Departmental Management = +$282 million
(+14.3%)
 $184.9 million of that for Student Aid
57
Administration and $30.7 million for the Office for
Proposed Mandatory Spending
Outlays in billions as scored by CBO (FY 16 - FY 25)
PRESCHOOL FOR ALL
$66.0
AMERICA'S COLLEGE PROMISE
$60.3
PELL GRANT INFLATION
INCREASE
$32.4
COLLEGE OPPORTUNITY AND
GRADUATION BONUS
$5.9
TEACHING FOR TOMORROW
$5.0
REAUTHORIZE SECURE RURAL
SCHOOLS
58
$0.6
$-
$10.0
$20.0
$30.0
$40.0
$50.0
$60.0
$70.0
AND NOW THE BAD NEWS
DEEP CUTS POSSIBLE
59
House Passed Budget
 Fails to raise the FY 2016 sequester level cap
for nondefense discretionary spending making
it virtually impossible for needed education
investments.
 Starting in FY 17 cuts the NDD cap below the
sequester level each year, for a total cut of
$759 billion (-13.8%).
 Eliminates $89.3 billion in mandatory funding
for Pell grants.
 Pell maximum could be chopped from $5,775 to
60
$4,860 – a cut of $915 or 15.8 percent.
House Passed Budget
 Eliminates in-school interest subsidy for
undergraduate need-based Stafford loans - a
cut of $34.8 billion.
 Increases debt by $4,900 for those borrowing
maximum of $23,000.
 Rolls back expansion of IBR - cut of $16.3
billion
 Eliminates Public Service Loan Forgiveness –
cut of $10.5 billion.
 In total cuts student aid by $150 billion!
61
House Budget
Slashes Non Defense Discretionary
by $759 Billion
In billions of $
671
655
650
639
635
622
619
605
587
568
552
506
FY 12
515
499
479
522
506
492
536
520
530
492
483
493
469
FY 13 FY 14
541
504
460
FY 15
FY 16
FY 17
566
553
604
578
543
590
613
598
583
569
555
530
516
452
458
464
FY 18
FY 19
FY 20
FY 12 Cap adjusted for inflation
BCA Pre-Sequester Caps
Price FY 2016 Budget
Ryan-Murray
Source: CEF Calculations based on CBO and OMB data and House Budget Committee
471
477
FY 21 FY 22
483
FY 23
Sequestration
490
496
FY 24
FY 25
Senate Passed Budget
 Fails to raise the FY 2016 sequester level cap for



63

nondefense discretionary spending making it
virtually impossible for Congress to provide
needed education investments.
Starting in FY 17 cuts the NDD cap below the
sequester level each year, for a total cut of $237
billion (-4%).
Eliminates $89.3 billion in mandatory funding for
Pell grants.
Eliminates in-school interest subsidy for
undergraduate need-based Stafford loans - a cut
of $34.8 billion.
Includes Kaine amendment that puts Senate on
The Foundation for Success –
Early Childhood, Elementary, and
Secondary Education
64
Elementary/Secondary
Education
Significant Program Increases:
 Title I = +$1 billion (+7%)
 School Improvement Grants = +$50 million (+10%)
 Mathematics and Science Partnerships = +$50
million (+33%)
 Educational Technology State Grants = +$200
million
 Has not been funded for several years
 Promise Neighborhoods = +$93 million (+164%)
 Investing in Innovation = +$180 million (+150%)
 Charter School Grants = +$122 million (48%)
 Teacher Incentive Fund = +$120 million (+52%)
65
 English Language Acquisition = +$36 million (+5%)
Elementary/Secondary
Education
Proposed New Programs:
 Teacher and Principal Pathways = $138.8
million
 Consolidates Transition to Teaching, School Leadership
and Teacher Quality Partnership programs
 Leveraging What Works = $100 million
 competitive awards to support the innovative use of
comprehensive, evidence-based strategies to improve
student outcomes
 Next Generation High Schools = $125 million
 “competitive grants to LEAs in partnership with institutions
66
of higher education and other entities to help high schools
prepare students to apply academic concepts to real world
challenges.
Elementary/Secondary
Education
The only program proposed for a cut is
Impact Aid Payments for Federal property
-$67 million (eliminated)
67
ESEA Funding Since NCLB
in thousands
$25,000,000
$20,000,000
$15,000,000
$10,000,000
$5,000,000
$0
68
FY 2015 is
$1.7 billion
below FY
2010
Special Education - IDEA
 IDEA Part B State Grants = +$175
million (1.5%)
 Federal share of average per pupil expenditure
(APPE) in remains at 16%.
 Preschool Grants = +$50 million (14%)
 IDEA Grants for infants and families =
+$65 million (+15%)
69
Federal Share of IDEA Funding
70
Source: NEA
Education, Careers, and Lifelong
Learning
71
Career and Technical
Education
 Perkins Act Career/Technical Ed State
grants are frozen.
 $200 million for proposed American Technical
Training Fund, new competitive grant to
support the development, operation, and
expansion of innovative, evidence-based job
training programs in high-demand fields.
 CTE National programs = +$2 million (+27%)
72
Adult Education
 Adult Ed State grants are frozen.
 Adult Ed National Leadership Activities = +$6
million (+44%)
 $5 million proposed to help States meet the WIOA
requirement for alignment of existing adult education
content standards with the standards under Title I.
73
Libraries and Museums
 Library Services and Technology Act =
+$5.65 million (+3%)
 Museum Services is increased $4.9 million
(+17%).
 Programs for both libraries and museums satisfy
critical needs for pre-K, out-of-school, afterschool,
summer, and adult learning.
 Increases mostly for a national digital platform to
help museums and libraries share their material
resources electronically with other institutions,
researchers, and most importantly, the public.
74
The Gateway to Opportunity –
Higher Education
75
Pell Grants
 Maintains the FY 15 discretionary level of
$22.475 billion.
 Coupled with automatic mandatory funding, the
Pell maximum award is projected to increase by
$140 to $5,915.
 Proposes mandatory funding to maintain inflation
adjustment in maximum award past 2017.
 CBO scores as costing $32.4 billion over ten years
 Budget proposes to make Pell reforms:
 strengthen academic progress requirements;
 Allow students enrolled in eligible career pathways
76
programs to get the maximum Pell Grant award;
and
Pell Grants: Long-Term
Shortfall
 CBO projects that if FY 16 appropriation is
maintained at FY 15 level, that produces a
surplus of $2.088 billion which would be
carried over into FY 17.
 However, in FY 18-FY 25 projected
cumulative Pell shortfall of $31.8 billion.
 This is actually smaller than last year’s
projection of a $38.1 billion shortfall.
77
Student Loans
 CBO projects that in FY 2015 the net cost of
federal student loans will return $9.8 billion to the
federal government.
 Budget proposes to expand Paye as You Earn
(PAYE) to all student borrowers which caps
payments at 10% of income and forgives remaining
balance after 20 years.
 Pays for the expansion by:
 Having high-income, high balance borrowers pay
an equitable share of earnings
 Capping Public Sector Loan Forgiveness
 Calculating repayments based on combined
income of marrieds filing separately
 In total, changes save $13.4 billion over 10
78
years according to CBO.
 Budget also proposes to exclude forgiven
loan balance from taxable income.
Perkins Loans
Mandatory savings in Budget proposed
to be used toward cost of Pell grant
inflation indexing:
 Revise Perkins loans – recall campus
revolving funds, expand loan volume,
eliminate in-school interest subsidy,
make interest rate variable.
 CBO projects that raises $2.245 billion
over ten years.
79
Proposed Mandatory Savings
Outlays in billions as scored by CBO (FY 16 - FY 25)
$$(2.0)
$(4.0)
$(6.0)
$(8.0)
$(10.0)
$(12.0)
$(14.0)
REFORM
STUDENT LOAN
IBR
80
PERKINS LOANS
STUDENT AID
REFORMS
Campus-Based Aid
 Federal College work-study is frozen
 SEOG is frozen.
 Budget proposes to revise campus-
based aid formula to “target those
institutions that enroll and graduate higher
numbers of Pell-eligible students, and
offer an affordable and quality education”.
81
Higher Education - Aid to
Students
 TRIO = +$20 million (+2.4%)
 For a TRIO Demonstration Initiative to
implement additional evidence-based,
college access and success strategies and
serve additional students.
 GEAR UP frozen
 Graduate assistance in areas of
national need (GAAN) frozen
82
Higher Education
 Most aid to HBCUs, HSIs, other Minority-Serving
Institutions frozen.
 Promoting Postbaccalaureate opportunities for
Hispanic Americans
=+$1.6 million (+17.5%)
 First in the World = +$140 million (+233%) for a
total of $200 million.
 International Education = +$4 million (+5.5%)
 Teacher Quality Partnerships consolidated into
ESEA.
83
Proposed Tax Changes
$80.0
$70.0
$60.0
$50.0
$40.0
$30.0
$20.0
$10.0
$$(10.0)
$79.9
$37.5
$4.9
$(0.5)
84
As scored by JCT: Positive amounts increase the deficit; negative amounts reduce the deficit
$(2.0)
Forging Success – Educational
Research, Statistics and Improvement
85
Institute for Education
Sciences
Program Increases:
 Research, development, and dissemination =
+$22.4 million (+12.5 %)
 Statistics = +$21.7 million (+21%)
 National assessment (NAEP) = +$20.6 million
(+16%)
 Statewide data systems = +$35.5 million (+102.7%)
 Special Education Studies = +$2.2 million (+20.2%)
 Regional Educational Labs and Research in
86
Special Education are frozen.
 ED proposes to use $50 million of I3 funds for the
proposed Advanced Research Projects AgencyEducation (ARPA-ED).
Education-Related Programs –
Meeting the Human Needs of
America’s Children
87
High Quality Preschool
 $75 billion over 10 years in mandatory funds to
states to provide high-quality preschool to all
children from low and moderate income families.
• Paid for with tobacco tax increase
 Preschool Development Grants = +$550 million
(+200%)
 In FY 15 funded under Fund for Improvement of
Education
 $50 million increase for IDEA Preschool grants
(+14.2%).
 $65 million increase for IDEA Grants for Infants and
88 88 Families (+14.8%).
Early Learning Programs
 Head Start (in HHS) = +$1.52 billion (+17.7%):
 $150 million for Early Head Start – Child Care
Partnerships
 $1.1 billion to expand Head Start programs to full
school day and full school year
 $284 million for a cost of living increase
 Child Care Development Block Grant (in HHS)
 $370 million discretionary increase (+15.2%) to meet
requirements of reauthorized CCDBG.
 $82 billion increase over ten years for the mandatory
portion (Child Care Entitlement) to ensure that all lowand moderate-income working families (under 200
percent of the Federal Poverty Level) with children
age three and below have access to high-quality care.
89
Children’s Programs
 Child Nutrition:
 mandatory funding increases by $18 million.
 30.3 million children served by School Lunch
(+100,000)
 14.6 million served by School Breakfast (+500,000)
 CHIP mandatory funding increases by $3.45
billion
 serves 5.6 million children in 2014.
 funding runs out at the end of FY 2015.
 The House-passed Medicare “doc fix” extends
CHIP funding for two years.
90
Children’s Programs
 Medicaid:
 30.3 million children served by Medicaid – nearly
half of all recipients.
 Schools receive Medicaid reimbursements, usually
for services to children with disabilities.
 HHS recently lifted restrictive rule so that more
school-based services are eligible for Medicaid
reimbursement.
 EPA’s Children’s Health Protection Program
 Supports activities to protect children from
environmental health threats.
 Budget increase = $1.5 million (+22.7%)
91
School Safety/Violence
Protection
 Comprehensive School Safety Program
(DOJ)
 First funded in FY 2014 at $75 million. Budget
maintains that level.
 Research grants funded through the National
Institute of Justice to investigate effectiveness of
school safety programs.
 Safe Schools/Healthy Students (HHS)
 Supports school districts and communities to
develop and implement comprehensive programs to
prevent youth drug use and violence.
 Budget maintains FY 15 funding of $23.1 million.
92
School Safety/Violence
Protection
 Office of Juvenile Justice and Delinquency
Prevention programs:
 National Forum on Youth Violence Prevention =
+$3 million (+300%).
 Brings together stakeholders from cities to seek solutions to
curb youth violence.
 Community-Based Violence Prevention =
+$12 million (+200%).
 Focused on reducing gang violence
 Delinquency Prevention = +$27 million (+180%)
 Programs to prevent at risk youth from becoming delinquent
and to intervene with first time offenders to prevent
incarceration.
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