On July 1, schools typically receive federal funds allocated by Congress, critical for planning the academic year. However, on June 30, the Department of Education announced it would withhold over $6 billion, citing pending decisions on allocations. This action contradicts Congressional budget approvals made in March, as the executive branch cannot legally withhold funds allocated by Congress. The affected K-12 programs make up 10% to 20% of federal education funding, leaving schools in a precarious position amidst budget proposals that aim for substantial cuts in education spending.
According to a report by Politico, the agency told states: 'The Department of Education is withholding funds resulting in significant uncertainty for schools and their planned expenditures for the upcoming academic year.'
This action does not threaten two of ED's largest programs - Title I and the Individuals with Disabilities Education Act (IDEA) - but the five K-12 programs that are affected represent 10% to 20% of federal education funding.
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