Transcript FY 2015 Budget: Overview of Research and Higher Education
FEDERAL FUNDING OUTLOOK
Caps, Cuts and Squeezes and Sequesters
Joel Packer, Executive Director The Committee for Education Funding [email protected]
2
Committee For Education Funding
The Committee for Education Funding (CEF) is the oldest and largest education coalition.
We represent 116 national organizations and institutions from PreK through graduate education including National PTA.
For more information: www.cef.org
Follow us on Twitter: www.twitter.com/edfunding
Medicaid 9%
Fiscal Year 2015 Outlays
Other Mandatory 17% Interest 6% Discretionary Defense 15% Dep't. of Education 3% Nondefense Discretionary 12% Medicare 14% Social Security 24%
3 Source: CEF based on CBO and OMB data
4
Trench Warfare!
Since January 2011 Republicans and Democrats have had multiple battles over the budget and deficit.
Republicans are opposed to revenue increases.
Liberal Democrats are opposed to entitlement cuts.
Education and other nondefense programs have borne the brunt of the cuts.
Outlook not good for breaking stalemate.
5
Final FY 11/12 Appropriations
FY 2011 cut ED (other than Pell) by $1.2 billion.
K12: Teacher Quality grants cut 16%, Career/Tech grants cut 11%, ED tech eliminated.
FY 2012 total ED funding cut by $233 million .
All programs cut by 0.189% across-the-board cut.
6
Sequestration = Largest Education Cuts Ever!
FY 13 = fixed percentage across-the-board (ATB) cuts.
Non defense discretionary (NDD) cut was 5% = $2.5 billion from ED.
Pell grants exempt from across-the-board cuts .
Final ED non-Pell grant FY 2013 funding was lower than in FY 04.
FY 14-21 – no longer ATB cut; further lowers discretionary caps.
Squeezes education $; Pell no longer exempt.
NDD Cap Levels
Budget Authority in Billions
$700 $650 $600 $550 $500 $450
7
$400 FY 12 FY 13 FY 14 FY 15 FY 12 Cap adjusted for inflation FY 16 FY 17
Source: CEF Calculations based on CBO and OMB data
FY 18 BCA Pre-Sequester Caps FY 19 FY 20 Sequestration FY 21 FY 22 Ryan-Murray FY 23
8
FISCAL YEAR 2014
PARTIAL SEQUESTER REPLACEMENT
Budget Deal
9 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 just for FY 2014 and FY 2015.
Paid for by extending mandatory sequester cuts into FY 2022 and FY 2023 and other small mandatory cuts and user fees.
10
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 $100 million Early Head Start-Child Care Partnerships: $500 million New preschool Race To The Top: $250 million.
11
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
12
FY 2014 Omnibus: Increases
Title I (+4.5%) Impact Aid (+5.3%) Teacher Quality Grants (+0.5%) After school (+5.3%) ELL Grants (+4.3%) IDEA State Grants (+4.5%) IDEA infants and families (+4.5%) Career/technical ED state grants (+5.0%) GEAR UP (+5.3%) TRIO (+5.3%) SEOG (+5.3%) Work-Study (+5.3%) First in the World New $75 million
Programs in red were not fully restored to pre-sequester levels
13 $100
Education Department Funding
In billions $80
Sequestration below FY 04!
FY 15 below FY 08
$60 $40 $20 $0 Total Discretionary Total Discretionary w/out Pell
14
FISCAL YEAR 2015
MOSTLY A FREEZE
15
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 (+0.2%) Charter schools = +$5 million (+2%) English Language Acquisition = +$14 million (+1.9%) IDEA State Grants = +25 million (+0.2%)
16
FY 2015 CRomnibus
Cuts to: High school graduation initiative = -$46 million (-100%) Physical education program = -$27.6 million (-37%) Investing in Innovation (I3) = -$21.6 million (-15.3%) Teacher incentive fund = -$58.8 million (-20.4%) School leadership = -$9.4 million (-36.5%)
FY 2016 BUDGET
INVESTING IN AMERICA’S FUTURE
18
The President’s 2016 Budget
Eliminates sequester cap for NDD – provides an additional $37 billion.
Strengthens education from early childhood through higher education.
$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.
19
The President’s 2016 Budget
• • • • • • • • • Increases Title I by $1 billion (+6.9%) Triples funding for Preschool Development Grants to $750 million Proposes $200 million to restart education technology grants Promise Neighborhoods = +$93.2 million (+164%) SIG = +$50 million (+9.9%) Investing in Innovation = +$180 million (+150%) Charter Schools = +$121.8 million (+48.1%) New $100 million Leveraging what works program New $125 million Next generation high schools program
20
$25 000 000 $20 000 000 $15 000 000 $10 000 000 $5 000 000 $0
ESEA Funding Since NCLB
in thousands FY 2015 is $1.7 billion below FY 2010
21
Next Steps
House and Senate Budget resolutions – deadline is April 15 Markups next week House and Senate Appropriations Committees make 302(b) subcommittee allocations – May?
House and Senate Labor-HHS-Education Appropriations Subcommittees markup FY 16 bills – June/July?
October 1 = start of FY 2016
22
Senate Committee Leadership
Change in committee leadership
Appropriations
Thad Cochran (R-MS)
Appropriations
Barbara Mikulski (D-MD)
Labor-HHS Education Appropriations
Roy Blunt (R-MO)
Budget
Mike Enzi (R-WY)
Budget
Bernie Sanders (I-VT)
Labor-HHS Education Appropriations
Patty Murray (D-WA)
HELP
Lamar Alexander (R-TN)
HELP
Patty Murray (D-WA)
23
House Committee Leadership
Change in committee leadership
Appropriations
Hal Rogers (R-KY)
Appropriations
Nita Lowey (D-NY)
Labor-HHS Education Appropriations
Tom Cole (R-OK)
Budget
Tom Price (R-GA)
Budget
Chris Van Hollen (D-MD)
Education and Workforce
John Kline (R-MN)
Education and Workforce
Bobby Scott (D-VA)
Labor-HHS Education Appropriations
Rosa DeLauro (D-CT)
24
AND NOW THE BAD NEWS
DEEP CUTS POSSIBLE
Center on Budget and Policy Priorities Non-Defense Discretionary Spending Falling to Historic Lows cbpp.org
26
Republican Budget
Republican leaders have vowed to enact a Budget Resolution next year.
Expected to be similar to last year’s House-passed budget.
Ryan Budget chops NDD by 8.5% in FY 16 and by 10% in FY 17! Deeper cuts than under sequester. Even without cuts, under current NDD FY 16 cap is a freeze.
Ryan FY 2015 Budget Slashes Non Defense Discretionary
515 499 479 522 506 492 469 536 520 552 530 493 450 568 541 504
In billions of $
587 553 516 605 566 530 622 578 543 443 448 453 456 639 590 556 655 671 605 570 620 585 635 600 461 463 465 467 FY 12 FY 13 FY 14 FY 15
FY 12 Cap adjusted for inflation
FY 16 FY 17 FY 18
BCA Pre-Sequester Caps
FY 19 FY 20
Sequestration
FY 21 FY 22 FY 23
Ryan-Murray
FY 24
Ryan 2015 Budget 27 Source: CEF Calculations based on CBO and OMB data and Ryan Budget
PTA Federal Investment Priorities
•
Foundation formula programs
• Title I: $14.4 B for FY15 • IDEA: $11.5 B for FY15 •
Parental Information & Resource Centers (PIRC)
• Unfunded since FY 2011
PTA Federal Investment Priorities
•
School culture & safety programs
• Safe, drug-free schools & communities national programs $70 M in FY15 • Elementary and secondary school counseling $49.6 M in FY15 •
Arts in Education
$25 M in FY15
•
PTA Federal Investment Priorities
School & Child Nutrition
$21.3 B in FY15 National School Lunch and Breakfast Programs (USDA) School equipment grants & training grants $30 M – just announced! •
Early Learning & Education
Preschool development grants $250 M in FY15
31