Sequestration of federal funds anticipated March 1

The FY13 sequester is scheduled to go into effect March 1, 2013. Current calculations from the Center on Budget and Policy Priorities project a 5.1 percent across-the-board cut to all nondefense discretionary programming, or roughly $2.5 billion from the U.S. Department of Education’s overall budget.

The Office of Management and Budget will formally calculate the amount of deficit reduction needed in order to comply with the provisions of the Budget Control Act on March 1 and may alter the calculation somewhat.

As a reminder, advanced-funded programs, such as IDEA and Title I, will not be retroactively cut. Rather, the full 5.1 percent cut will be felt in your 2013-14 school year awards, beginning July 1, 2013. School districts should use the 5.1 percent reduction as the calculator for the anticipated reduction to your federal program awards effective July 1, 2013. This, of course, assumes the sequester has not been resolved by that time.

The projected state impacts of the sequester on major education programs can be seen in the chart below.

While Congress and the Administration continue to discuss the sequester, no plan to avert it has yet come to fruition and at this point they do believe sequestration will go into effect. They will continue to advocate against the across-the-board cuts and for relief for states from the compliance and reporting requirements of programs that are cut. Congress and the Administration will also seek relief from maintenance of effort and supplement not supplant requirements that will challenge a state’s ability to manage these cuts.

For more on sequestration, please see the Maine DOE School Funding Updates web page.

Impact on Maine

Grants to Local Educational Agencies (ESEA Title I, Part A)

$2.6m

School Improvement State Grants (ESEA section 1003(g))

$91k

Migrant (ESEA I-C) and Neglected and Delinquent (ESEA I-D)

$75k

Impact Aid Basic Support Payments (ESEA VIII section 8003(b))

$103k

Improving Teacher Quality State Grants (ESEA II, Part A)

$586k

21st Century Community Learning Centers (ESEA IV-B)

$288k

Education for Homeless Children and Youths (MVHAA Title VII-B)

$12k

Rural Education (ESEA VI-B)

$130k

English Language Acquisition (ESEA III, Part A)

$27k

Special Education Grants to States (IDEA-B-611)

$2.8m

Preschool grants (IDEA-B-619)

$126k

Grants for infants and families (IDEA-C)

$111k

Career and Technical Education State Grants (Carl D. Perkins CTEA Title I)

$282k

Adult Basic and Literacy Education State Grants (AEFLA & WIA section 503)

$94k

 

One response to “Sequestration of federal funds anticipated March 1

  1. MSSA sent districts a AASA’s sequestration calculator that was based on FY12 NCLB budgets. Is the 5.1% reduction based on FY12 budgets or FY14 allocations?

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