Transcript FY 2015 Budget: Overview of Research and Higher Education

FEDERAL EDUCATION FUNDING
Caps, Cuts, Sequesters,
Shutdowns and
Squeezes
Joel Packer, Executive Director
The Committee for Education Funding
[email protected]
Committee For Education
Funding
 The Committee for Education Funding (CEF) is the
oldest and largest education coalition.
 We represent 114 national organizations and
institutions from PreK through graduate education
including CEC.
 For more information: www.cef.org
 Follow us on Twitter: www.twitter.com/edfunding
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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.
3
Fiscal Year 2014 Outlays
Department of
Education
2%
Other
Mandatory
16%
Interest
6%
Defense
17%
Nondefense
discretionary
(minus education)
14%
Medicaid
8%
Medicare
14%
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Source: CEF based on OMB data
Social Security
23%
FISCAL YEARS 2011/2012
$1.5 BILLION IN CUTS
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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.
 Only 0.2% cut to IDEA state grants
 FY 2012 total ED funding cut by $233 million.
 All programs cut by 0.189% across-the-board cut.
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Pell/Student Aid Cuts Enacted
 Both FY 11 and FY 12 maintained the Pell
maximum award of $5,550.
 Maintaining Pell maximum was paid for with a
variety of restrictions and limitations on
student loans and Pell.
 Pell grants have been cut by $53 billion.
 145,000 students have lost their Pell grant.
 Interest subsidies on graduate loans eliminated
= $18.1 billion cut.
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FISCAL YEAR 2013
LARGEST EDUCATION
CUTS EVER!
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Sequestration =
Largest Education Cuts Ever!
 FY 13 = fixed percentage across-the-board (ATB) cuts.
 NDD cut was 5% = $2.5 billion from ED.
 IDEA state grants cut =$620 million
 Pell grants exempt from across-the-board cuts.
 Head Start in HHS cut $401 million.
 Final ED non-Pell grant funding now lower than
in FY 04.
 FY 14-21 – no longer ATB cut; further lowers
discretionary caps.
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 Squeezes education $; Pell no longer exempt.
FY 13 Impact of Sequestration
In millions
$0
-$65
-$87
-$124
-$86
-$15
-$42
-$401
-$500
-$727
-$620
-$1,000
-$1,500
-$2,000
-$2,500
10
10
-$2,478
Total
Dep't.
of ED
Title I
Impact Teacher IDEA
Aid
Quality Grants
Career, Student
Tech,
Aid
Adult
GEAR
UP
TRIO
Head
Start
FISCAL YEAR 2014
PARTIAL SEQUESTER
REPLACEMENT
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Budget Deal
 House Budget Chair Ryan and Senate Budget Chair
Murray in December agreed to the Bipartisan Budget
Act:
 Partially replaced the sequester cuts to discretionary
programs 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.
12
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.
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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
14
FY 2014 Omnibus: Increases
 Title I (+4.5%)
 Career/technical ED
state grants (+5.0%)
 GEAR UP (+5.3%)
 Teacher Quality Grants
(+0.5%)
 TRIO (+5.3%)
 After school (+5.3%)
 SEOG (+5.3%)
 ELL Grants (+4.3%)
 Work-Study (+5.3%)
 IDEA State Grants (+4.5%)  First in the World
New $75 million
 IDEA infants and families
(+4.5%)
 Impact Aid (+5.3%)
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Education Department Funding
In billions
$100
Sequestration
below FY 04!
$80
$60
$40
$20
$0
16
Total Discretionary
Total Discretionary w/out Pell
FY 14 below
FY 08
FISCAL YEAR 15
FREEZE OR LESS
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FY 2015 Caps
 FY 15 NDD cap only increases by 0.1%.
 FY 16 NDD cap only increases above FY 15 by 0.1%.
 President's Budget adheres to Ryan-Murray cap of
$1.014 trillion.
 Proposes $56 billion Opportunity, Growth and Security
initiative.
 50% defense/50% NDD; paid for with $28 billion in
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mandatory cuts and $28 billion in revenues.
 Includes funds for Early Head Start-Child Care partnerships
($800 million), Preschool Development Grants ($250 million),
ConnectEDucators ($300 million), Promise Neighborhoods
($200 million)
NDD Cap Levels
Budget Authority in Billions
$700
$650
$600
$550
$500
$450
$400
FY 12
19
FY 13
FY 14
FY 15
FY 12 Cap adjusted for inflation
FY 16
FY 17
FY 18
BCA Pre-Sequester Caps
Source: CEF Calculations based on CBO and OMB data
FY 19
FY 20
Sequestration
FY 21
FY 22
FY 23
Ryan-Murray
FISCAL YEAR 2015
BUDGET REQUEST
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FY 15 Education Budget
 ED receives $1.3 billion (+1.9%) increase - largest of
any nonsecurity agency!
 Excluding Pell, ED’s total is $45.8 billion, a 3% increase.
 Increases mostly for new programs
 K12 programs frozen:
 Title I
 IDEA State Grants
 IDEA preschool grants
 IDEA National activities
 SIG
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FY 15 Education Budget
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 More K12 and related programs frozen:
 Migrant/Delinquent Ed
 State assessment grants
 Rural Education
 Indian education
 21st Century Community Learning Centers
 Charter school grants
 Magnet Schools
 English Language Acquisition grants
 Career and technical education State grants
 Adult Education State grants
 Regional Education Labs
FY 15 Education Budget
 PreK and K12 Discretionary programs increased:
 Early Head Start-Child Care Partnerships =+$150 million (+30%) (HHS)
 Preschool Development grants = +$250 million (+100%)
 Promise Neighborhoods = +$43 million (+76%)
 Race to the Top – Equity and Opportunity (new) = $300 million
 “designed to drive meaningful changes in how States and LEAs identify and close
persistent educational opportunity and achievement gaps”
 Investing in Innovation = +$23.4 million (+16.5%)
 STEM Innovation = +$170 million (+114%)
 High School Redesign (new) = $150 million
 “promote the whole school transformation of the high school experience in order to
provide students with challenging and relevant academic and career-related learning
experiences that prepare them to transition to postsecondary education and careers”
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FY 15 Education Budget
 K12 Discretionary programs increased:
 ConnectEDucators (new) = $200 million
 “competitive funds to LEAs and LEA consortia to support educators’ use of
technology and data to personalize learning and to provide better CCRaligned instruction.”
 Teacher Incentive Fund = +$31.2 million (+10.8%)
 School Leadership = +$9.2 million (+35.9%)
 IDEA Results Driven Accountability Incentive Grants
(new) = $100 million
 “competitive grants to States to implement State Systemic Implementation
Plans to improve results for children with disabilities ages birth through 21.”
 IDEA Grants for infants and families = +$3.3 million
(+0.8%)
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302(b) Allocations
 House 302(b) allocation for Labor-HHS-ED is $1.1 billion
below FY 2014 (-0.7%)
 Senate allocation is a freeze at FY 2014
 Both subcommittees have to deal with extra $1.4 billion
needed for Unaccompanied Alien Children and $270 million
for non-profit student loan servicers.
 House and Senate Labor-HHS-Education Appropriations
Subcommittee and full committee markups
 Senate: Subcommittee tomorrow, full committee on Thursday
 House: by end of June?
 CR likely until lame duck
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Ryan FY 2015 Budget
Slashes Non Defense Discretionary
671
655
In billions of $
639
635
622
620
605
587
568
552
506
515
499
479
522
506
492
469
536
520
530
492
483
493
450
FY 12
FY 13
FY 14
FY 15
FY 12 Cap adjusted for inflation
FY 16
541
504
553
516
566
530
443
448
453
FY 17
FY 18
FY 19
BCA Pre-Sequester Caps
Source: CEF Calculations based on CBO and OMB data and Ryan Budget
605
578
543
456
FY 20
Sequestration
590
556
461
585
570
463
FY 21 FY 22
Ryan-Murray
600
465
467
FY 23
FY 24
Ryan 2015 Budget