Cash-strapped school districts hoping to avert layoffs could get a boost from legislation approved by the U.S. House of Representatives Dec. 16 that is intended to provide a jolt to the sluggish economy, in part by creating a $23 billion 鈥渆ducation jobs fund.鈥�
Districts and states could use the money to restore cuts to K-12 and higher education to cover the cost of compensation and benefits for teachers and other employees. The funds could also be used for services related to school modernization, renovation, and repair.
The money鈥攚hich would be in addition to the infusion of up to $100 billion in education aid provided under the American Recovery and Reinvestment Act鈥攚ould come from the Troubled Asset Relief Program, or TARP, which was intended to help stabilize the banking industry.
The $154 billion measure, which redirects $75 billion in TARP funds to job creation, was approved on a vote of 217-212, with 38 Democrats joining all Republicans in opposing the legislation. The U.S. Senate may take up its own version of a jobs bill next month.
During floor debate, Rep. George Miller, D-Calif., the chairman of the House Education and Labor Committee, urged his colleagues to support the bill to stem a tidal wave of layoffs in school districts nationwide, which he said threatens recent gains in student achievement.
鈥淎ll across this country, as the test scores are getting better and as proficiency is getting better among 4th graders and 8th graders ... this recession could wreck it all,鈥� Rep. Miller said. 鈥淩io Vista, Texas, laid off 15 percent of its teachers. Dearborn, Mich., just approved 200 teacher layoffs. The [Los Angeles] Unified School District laid off 2,000 teachers and maybe another 1,500 teachers next year. ... You can stop that from happening by voting for this legislation.鈥�
As a measure of the importance of the education portion, Rep. Nancy Pelosi, D-Calif., the speaker of the House, listed averting teacher layoffs as one of the primary purposes of the bill.
Although the jobs fund is modeled somewhat on the nearly $50 billion State Fiscal Stabilization Fund created under the economic-stimulus law, there are some important differences.
For instance, states wouldn鈥檛 be allowed to use education-jobs money to replenish their 鈥渞ainy day鈥� and reserve funds, directly or indirectly.
And, unlike the stimulus law, the measure doesn鈥檛 include a fund directed to governors that could be used for education, but also tapped to pay for public safety and other government services. States could use up to 5 percent of the new funds to avert layoffs or hire new workers for state education agencies, many of which have weathered severe cutbacks.
The measure also includes an additional $4.1 billion for school construction bonds. The stimulus law had $22 billion for such bonds, spread over two years and, so far, demand has been considerable. (鈥淒emand Soars for Stimulus-Backed Facilities Bonds,鈥� Sept. 29, 2009.)
Prospect Welcomed
The possibility of new federal relief is welcome news for states and districts that have already cut K-12 education severely. In some states, such as recession-battered Michigan, the money in the stimulus package has not completely filled yawning budget holes, requiring cuts deep cuts in local spending.
Even though it is unlikely that the new money would completely address the state鈥檚 budget woes, it would help school districts contemplating Draconian cuts that could affect instruction, said Brad Biladeau, the associate executive for government relations at the Michigan Association of School Administrators.
鈥淚 don鈥檛 think it鈥檚 a panacea by any stretch of the imagination, but any funds available to keep teachers in the classroom and avoid massive layoffs is going to be welcome news,鈥� Mr. Biladeau said. 鈥淟ocal school districts in Michigan have already cut to the bone.鈥�
The National Education Association, a 3.2 million-member union based in Washington, which championed the measure, heralded its passage and urged the U.S. Senate to act quickly.
鈥淭he timely injection of federal funds into states鈥� coffers is ... necessary, to keep schools open and running by education support professionals, teachers teaching and students learning at a time when many students are experiencing tremendous stress due to the economy,鈥� Dennis Van Roekel, the president of the NEA, said in a statement.
The Senate鈥檚 version of a jobs package will likely be released next month, said Kate Cyrul, a spokeswoman for Sen. Tom Harkin, D-Iowa, who is chairman of both the Senate Appropriations subcommittee that oversees education spending, and the Senate Health, Education, Labor, and Pensions Committee.
鈥楽peedy Support鈥�
The language of the new bill includes no specific mandate surrounding key education redesign priorities written into the stimulus legislation.
States that want to tap the fiscal stabilization fund under the ARRA have to agree to make progress on four education redesign assurances, including improving teacher quality and distribution, strengthening standards and assessments, bolstering state data systems, and stepping up efforts to turn around low-performing schools.
But the House jobs bill includes language saying that those assurances don鈥檛 specifically apply to the legislation. A congressional aide said that the decision was a technical one and not intended to loosen conditions for use of the money.
The provision 鈥渞emoves a redundancy to bring speedy support to education jobs,鈥� the aide said.
U.S. Secretary of Education Arne Duncan said in a statement that nothing will change with regard to the assurances, even though the bill doesn鈥檛 specifically require states to sign off on them in order to receive the jobs funding.
鈥淭he additional $23 billion in this bill will provide states with critical funding to keep teachers teaching and students learning,鈥� said Secretary Duncan in a written statement. 鈥淭he Department of Education will continue to require states to fulfill their commitments鈥� in the four assurance areas.
But a spokesman for Rep. John Kline of Minnesota, the top Republican on the House Education and Labor Committee, said that by not specifically requesting assurances, the bill鈥檚 supporters could be letting states off the hook.
鈥淭his bill is in essence doling out money and asking nothing in return,鈥� Ryan Murphy, Mr. Kline鈥檚 spokesman, said in an e-mail. 鈥淭he American people are asking why this legislation is a good idea when the first trillion-dollar go-around at this type of so-called 鈥榮timulus鈥� has proven to be a phenomenal failure replete with lackluster job creation.鈥�
