JNCL-NCLIS Shares Developments on Federal Funds

The Department of Education and the White House Office of Management and Budget continues to withhold $5.5 billion in Congressionally approved Fiscal Year 2025 K-12 funding, pending a review for legal compliance. While afterschool dollars were just released, allocations remain frozen for programs that support educator, principal and school leader professional development; student mental health and well-rounded academic programs; migrant education; and English Learners. New reporting suggests that the Administration may propose that Congress permanently rescind these dollars, leading to a potential vote in the Fall.

A recent survey from AASA shows that school districts will have to make significant cuts if these federal dollars remain withheld. According to the survey, 50% of school districts expect to have to cut teachers and personnel, 74% anticipate cutting academic services for students and 83% would have to cut curriculum and PD offerings.  More specifically, the survey indicates: “Half of respondents (50%) reported they will have to lay off teachers and personnel. These personnel include those who work specifically with English language learners and special education students, as well as staff who provide targeted reading and math interventions to struggling students.” 

The outcry from interest groups and Capitol Hill Democrats has been loud and vocal, spawning several news articles and televised stories. Senate Appropriations Committee Ranking Member Murray (D-WA), House Appropriations Committee Ranking Member DeLauro (D-CT) and House Education & Workforce Ranking Member Scott (D-VA) all issued strongly worded condemnations of this withholding of funds. New York and Washington State Democrats signed state delegation letters that spotlighted harm to their states and demanded an end to the freeze. House and Senate Democrats sent up letters, as well.

Multiple lawsuits have also been filed. The National Education Association added a demand for injunctive relief on this subject to an existing lawsuit on dismantling the Department of Education. 24 state attorneys general filed a lawsuit in federal court in Rhode Island seeking the funds release. Most recently, affiliates of the American Federation of Teachers filed a federal lawsuit in federal district court in Rhode Island.

JNCL-NCLIS has been laser focused on deploying grasstops and grassroots strategies to force the release of the withheld funds. We helped craft a letter signed by 600 national, state and local education organizations that demanded that OMB and the Department of Education release the funds. We launched a grassroots letter aimed at members of Congress that urged them to push for these funds allocation, in addition to demanding continuing funding for key language education priorities at the Departments of Education, State and Defense. On July 14^th, JNCL held a Live Update for advocates to inform them of the latest development and provide them an opportunity to ask questions.

Until late last week, no Congressional Republicans had publicly urged a reversal of course by the Department and OMB, though some Republican offices had indicated that their members had called OMB to request the funds’ release. That changed on July 16^th, when Senator Shelley Moore Capito (R-WV), the Labor HHS Education Appropriations Co-Chair, led a letter to OMB signed by nine other Senate Republicans, that demanded the release of the $6.9 billion in FY25 education funds. In the letter, the Senators stated that: “Withholding these funds will harm students, families, and local economies.” 

Shortly thereafter, OMB announced that it was releasing the funds supporting afterschool and summer learning, which account for $1.33 billion of the funds withheld. OMB has indicated that these funds must be used in accordance with federal law and that it would take steps to enforce compliance. Possibly connected to this compliance effort is the Department’s announcement on July 22^nd that it would be requiring that all afterschool programs complete an annual performance report.