For other versions of this document, see http://wikileaks.org/wiki/CRS-RL33058 ------------------------------------------------------------------------------ Order Code RL33058 K-12 Education Programs: Recent Appropriations Updated January 11, 2007 Paul M. Irwin Specialist in Social Legislation Domestic Social Policy Division K-12 Education Programs: Recent Appropriations Summary On February 6, 2006, the President submitted the FY2007 budget request to the Congress; the request for K-12 education programs was $36.9 billion. This amount represents a decrease of $1.8 billion from the FY2006 amount of $38.7 billion, and a decrease of $1.2 billion compared to the FY2005 amount of $38.1 billion. The FY2007 request was $9.0 billion more than the K-12 appropriation of $27.9 billion in FY2001 -- the last fiscal year before the enactment of No Child Left Behind Act of 2001 (NCLBA). Questions continue to be asked about funding for the K-12 education programs, including the total amount of elementary and secondary funding, recent increases and decreases, and the major components counted in the K-12 total. K-12 education components traditionally include all programs authorized by the Elementary and Secondary Education Act of 1965 (ESEA), as amended by NCLBA; special education programs authorized by the Individuals with Disabilities Education Act (IDEA); the Carl D. Perkins Vocational and Technical Education Act of 1998; the Adult Education and Family Literacy Act (AEFLA); and a small number of other programs. For ESEA and IDEA programs, possible issues extend to how much was "promised," how much was provided, and the resulting "shortfall." The reauthorization of ESEA programs, as amended by NCLBA, is likely to be considered by the 110th Congress. Compared to FY2006 funding levels, the FY2007 budget request would reduce overall federal funding for K-12 education programs. Funding for ESEA and IDEA programs would be increased; funding for adult education would remain the same. Similar to recent budget requests, the FY2007 request would eliminate funding for vocational education to support high school reform initiatives. No additional funds for hurricane recovery for K-12 education were requested by the President for FY2007. Funding for K-12 education programs in FY2006 was determined by a combination of: (1) funding from P.L. 109-149; (2) a reduction of 1% in discretionary funds required by P.L. 109-148; (3) a supplemental $1.4 billion for K- 12 programs to respond to the 2005 Gulf Coast hurricanes provided by P.L. 109-148; and (4) a supplemental $235 million for K-12 programs for hurricane recovery provided by P.L. 109-234. Compared to the $36.9 billion requested by the President for K-12 education in FY2007, H.R. 5647, as reported by the House Committee on Appropriations (H.Rept. 109-515, June 20, 2006), would provide $36.6 billion. S. 3708, as reported by the Senate Committee on Appropriations (S.Rept. 109-287, July 20, 2006), also would provide $36.6 billion for K-12 education. FY2007 appropriations are available for K-12 education programs through February 15, 2007, under the provisions of a continuing resolution, P.L. 109-289, as amended. This report will be updated as appropriations are enacted. This report replaces CRS Report RS21947, K-12 Education Programs: Appropriations Summary. Contents Action on FY2007 K-12 Education Appropriations . . . . . . . . . . . . . . . . . . . 1 K-12 Education Authorizations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 NCLBA and ESEA Funding Provisions . . . . . . . . . . . . . . . . . . . . . . . . 3 Total K-12 Education Appropriations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Appropriations for K-12 Components . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Appropriations for Major ESEA Programs . . . . . . . . . . . . . . . . . . . . . . . . . . 5 ESEA Authorizations and Appropriations . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 ESEA Funding Shortfall? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 ESEA Reauthorization . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 IDEA Authorizations and Appropriations for Part B Grants to States . . . . 10 IDEA Funding Shortfall? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 List of Tables Table 1. Proposed Appropriations for K-12 Education, FY2007 . . . . . . . . . . . . . 2 Table 2. Total K-12 Education Appropriations, FY2000-FY2007 . . . . . . . . . . . . 4 Table 3. Appropriations for K-12 Components, FY2001-FY2007 . . . . . . . . . . . . 5 Table 4. Appropriations for Major ESEA Programs, FY2001-FY2007 . . . . . . . . 6 Table 5. ESEA Authorizations and Appropriations, FY2002-FY2007 . . . . . . . . 7 Table 6. IDEA Part B Grants to States Authorizations and Appropriations, FY2005-FY2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 K-12 Education Programs: Recent Appropriations This report examines federal appropriations for K-12 education. It begins with the status of FY2007 appropriations. The report discusses the programs that are typically included in K-12 education, and the relationship between the No Child Left Behind Act of 2001 (NCLBA), P.L. 107-110, enacted January 8, 2002, and the Elementary and Secondary Education Act of 1965 (ESEA). The President's annual requests are compared with the final appropriations for K-12 programs since FY2000. Funding for components of K-12 education and major ESEA programs are shown since FY2001. Authorizations and appropriations are compared since FY2002 for ESEA, and since FY2005 for Part B Grants for States of the Individuals with Disabilities Education Act (IDEA). The resulting differences have been a continuing issue regarding the possible funding shortfall for ESEA and IDEA. The reauthorization of ESEA programs is likely to be considered by the 110th Congress. Action on FY2007 K-12 Education Appropriations Table 1 shows the FY2005 and FY2006 appropriations for K-12 education programs, the President's FY2007 request, and the FY2007 proposals by the House and Senate Committees on Appropriations. The FY2007 request was $36.9 billion, which would be a reduction of $1.8 billion compared to K-12 education funding of $38.7 billion for FY2006. The bills reported by the House and Senate Committees on Appropriations would each provide $36.6 billion for K-12 education. Under the request, aggregate funding for the programs authorized by ESEA, as amended by NCLBA, would be increased by $67 million; funding for special education would be increased by $45 million; and funding for some of the major ESEA programs and adult education would be held constant. Funding for the $1.3 billion vocational education program would be replaced by a $1.5 billion high school reform initiative. No funds were requested for K-12 programs for recovery from the 2005 Gulf Coast hurricanes; $1.6 billion was provided in FY2006. If the $1.6 billion recovery programs are excluded from the FY2006 total, the FY2007 budget request would represent a reduction of $0.2 billion from the adjusted FY2006 amount. The President's FY2007 request was submitted to Congress on February 6, 2006. The House Committee on Appropriations reported its recommendation for FY2007 appropriations as H.R. 5647 (H.Rept. 109-515) on June 20, 2006. The Senate Committee on Appropriations reported its proposal as S. 3708 (S.Rept. 109- 287) on July 20, 2006. For the purpose of comparison, Table 1 shows K-12 funding for both FY2005 and FY2006. Most FY2006 education appropriations were enacted through P.L. 109-149 (H.R. 3010), the Departments of Labor, Health and Human Services, and Education, and Related Agencies Appropriations Act, 2006. FY2006 discretionary amounts were subject to a 1% reduction required by §3801, Division B, P.L. 109-148 (H.R. 2863), the Department of Defense, Emergency Supplemental CRS-2 Appropriations to Address Hurricanes in the Gulf of Mexico, and Pandemic Influenza Act, 2006. FY2006 funding includes a $1.6 billion supplemental for K-12 education hurricane recovery, including $1.4 billion from P.L. 109-148, and $235 million from P.L. 109-234 (H.R. 4939), the Emergency Supplemental Appropriations Act for Defense, the Global War on Terror, and Hurricane Recovery, 2006. The 1% reduction required by P.L. 109-148 did not apply to hurricane recovery funds; all other FY2006 amounts discussed in this report reflect this reduction. Table 1. Proposed Appropriations for K-12 Education, FY2007 (dollars in millions) FY2007 FY2007 FY2005 FY2006 FY2007 House Senate Program final enacted request Comm. Comm. Elementary and Secondary $24,352 $23,333 $24,400 $22,842 $22,953 Education Act (ESEA) total Title I, Part A Grants to Local 12,740 12,713 12,713 12,713 12,713 Educational Agencies (LEA) 21st Century Community 991 981 981 981 981 Learning Centers (21CCLC) Education Block Grant 198 99 99 150 0 School Choice 27 26 26 26 26 Fund for the Improvement of 675 512 1,752 427 498 Education (FIE) (a) Special education 11,674 11,653 11,698 11,753 11,610 Part B Grants to States 10,590 10,583 10,683 10,733 10,583 Vocational education 1,326 1,296 0 1,296 1,296 Adult education 585 580 580 580 580 K-12 hurricane recovery 0 1,635 0 0 0 All other K-12 programs 183 179 177 177 183 Total K-12 funding $38,120 $38,676 $36,855 $36,648 $36,622 Source: Data are compiled from the Department of Education (ED) Budget Service table of Mar. 21, 2006, and July 24, 2006. The FY2006 appropriations reflect the 1% reduction required by P.L. 109- 148, as well as supplemental appropriations to respond to the 2005 Gulf Coast hurricanes. For legislative action and background on FY2007 appropriations, please see CRS Report RL33576, Labor, Health and Human Services, and Education: FY2007 Appropriations, by Paul M. Irwin. Note: FY2007 appropriations are available for K-12 education programs through February 15, 2007, under the provisions of a continuing resolution, P.L. 109-289, as amended. a. The FY2007 budget request would increase total funds for FIE to more than $1.75 billion, consisting of regular FIE funding of $138 million and five FIE initiatives of the President that total more than $1.6 billion, including $1.475 billion for High School Reform to expand the requirements of No Child Left Behind Act of 2001 (NCLBA) at the high school level. CRS-3 According to the February 6, 2006 table of the Department of Education (ED) Budget Service, the last time federal K-12 funding decreased from one year to the next was from FY1995 to FY1996. Aggregate K-12 funding in FY1995 was $14.6 billion; the FY1996 amount was $14.4 billion. For Title I Grants to LEAs, special education, and vocational and adult education programs, annual funding was most recently reduced in FY2006. Both vocational and adult education were also reduced in FY2005. However, the last reduction prior to FY2006 for special education was in FY1996, and for Title I Grants to LEAs, FY1993. K-12 Education Authorizations K-12 education programs traditionally include the programs authorized under four acts: ! Programs authorized by ESEA, as amended by NCLBA; ! Special education programs authorized by IDEA; ! Vocational education programs authorized by Carl D. Perkins Vocational and Technical Education Act of 1998; and ! Adult education programs authorized by the Adult Education and Family Literacy Act (AEFLA).1 A few K-12 education programs are authorized by other statutes, such as the Homeless Children and Youth Education program under Title VII of the McKinney- Vento Homeless Assistance Act. In addition, supplemental appropriations were enacted in FY2006 for K-12 hurricane recovery programs to respond to the 2005 Gulf Coast hurricanes. ED administers all of these programs. NCLBA and ESEA Funding Provisions. Questions are regularly asked regarding the amount of funding provided by the NCLBA. The NCLBA itself does not authorize or fund any program. Rather, the NCLBA amended and extended other education laws, primarily ESEA. Annual funding for ESEA programs is easily tracked in the appropriations process. Funding for some non-ESEA programs amended by NCLBA, however, is not available on a comparable basis. In particular, some non-ESEA programs are Bureau of Indian Affairs (BIA) programs operated by the Department of the Interior (DOI), where discretionary funding levels for some activities that were amended by NCLBA can be determined only following the close of the fiscal year. Because the ESEA accounted for 99% of the FY2002 appropriations for programs amended by NCLBA, this report tracks the annual ESEA appropriations total as the best proxy of the annual total funding for NCLBA. 1 Adult education often has been included as part of K-12 education, presumably because the educational services are similar to those provided in regular elementary and secondary education programs. In FY2006, the Department of Education (ED) began to classify adult education funding in an "other education" category. However, the Office of Management and Budget (OMB) continues to maintain such funding in the K-12 category. This report follows current OMB practice -- and previous ED practice -- that includes adult education funds in the K-12 category. Totals for K-12 education funding in this report therefore differ from current ED totals, which now exclude such funding. CRS-4 Total K-12 Education Appropriations Table 2 shows the annual, aggregate funding for K-12 education programs since FY2000, as well as the President's budget request for each of those years. Prior to FY2006, both the budget request and the appropriations enacted increased annually. However, both the FY2006 and FY2007 requests would have provided decreased funding with respect to both appropriations and requests for the previous year. Table 2. Total K-12 Education Appropriations, FY2000-FY2007 (dollars in billions) Fiscal year President's request Appropriation 2000 $22.3 $23.1 2001 26.4 27.9 2002 29.3 32.7 2003 33.7 35.7 2004 34.9 37.5 2005 38.7 38.1 2006 37.9 38.7 2007 36.9 -- Source: Department of Education Budget Service tables of Feb. 6, 2006, and July 24, 2006, with an adjustment that includes adult education as a part of K-12 funding. The FY2006 appropriations reflect the 1% reduction required by P.L. 109-148, as well as supplemental appropriations to respond to the 2005 Gulf Coast hurricanes. Note: FY2007 appropriations are available for K-12 education programs through February 15, 2007, under the provisions of a continuing resolution, P.L. 109-289, as amended. Appropriations for K-12 Components Table 3 shows funding for major components of K-12 education since FY2001, the last year prior to the NCLBA amendments to ESEA. Most K-12 education funds are allocated for ESEA programs. For example, ESEA programs were funded at $23.3 billion in FY2006, or 60% of the total K-12 appropriation of $38.7 billion. Significant FY2006 amounts were appropriated for non-ESEA programs as well, such as $11.7 billion for special education programs authorized under IDEA. Additional funds were appropriated for vocational and adult education programs. Other K-12 programs receiving funds included the Education for Homeless Children and Youth and recovery programs in response to the 2005 Gulf Coast hurricanes. From FY2001 to FY2005, appropriations increased for each year shown for ESEA, special education, and K-12 funding in the aggregate. Compared to FY2005 funding levels, the FY2006 K-12 appropriation increased by $556 million, primarily because of hurricane recovery funds; however, FY2006 funding for ESEA and special education was reduced. The FY2007 budget request would increase funding for ESEA and special education, but reduce the K-12 total by $1.8 billion. CRS-5 Table 3. Appropriations for K-12 Components, FY2001-FY2007 (dollars in millions) Appropriations FY2007 Major component FY2001 FY2002 FY2003 FY2004 FY2005 FY2006 request ESEA programs $18,442 $21,954 $23,610 $24,275 $24,352 $23,333 $24,400 Special education 7,440 8,673 9,957 11,161 11,674 11,653 11,698 Vocational 1,243 1,321 1,326 1,328 1,326 1,296 0 education Adult education 561 591 587 590 585 580 580 K-12 hurricane 0 0 0 0 0 1,635 0 recovery Other K-12 197 158 244 184 183 179 177 programs Total K-12 $27,883 $32,697 $35,724 $37,538 $38,120 $38,676 $36,855 funding Source: ED Budget Service tables: for FY2001, Jan. 3, 2002; for FY2002, Feb. 20, 2003; for FY2003, Aug. 27, 2004; for FY2004, Dec. 9, 2004; for FY2005, Mar. 21, 2006, and for FY2006 and the FY2007 request, July 24, 2006. The FY2006 appropriations reflect the 1% reduction required by P.L. 109-148, as well as supplemental appropriations to respond to the 2005 Gulf Coast hurricanes. Note: FY2007 appropriations are available for K-12 education programs through February 15, 2007, under the provisions of a continuing resolution, P.L. 109-289, as amended. Appropriations for Major ESEA Programs Table 4 shows the appropriations for 12 of the ESEA programs with the highest funding levels since FY2001. More than 54% of all FY2006 ESEA appropriations were allotted to the $12.7 billion Title I, Part A Grants to Local Educational Agencies (LEAs) program for the education of disadvantaged children. Also in FY2006, Reading First State Grants, Impact Aid, and Teacher Quality State Grants were each funded at more than $1 billion; the 21st Century Community Learning Centers (21CCLC) program was funded at just under $1 billion. Most programs shown in this table require appropriated funds to be distributed by formula. Most of the remaining programs -- shown as "Other ESEA programs" in the table -- require the distribution of funds by discretionary grants through competition among eligible applicants. A few ESEA programs specify the distribution of funds to a single recipient. Compared to FY2005 funding levels, FY2006 funding was reduced for each component shown in the table, as well as the ESEA total. Under the FY2007 request, funds would be eliminated for Education Technology State Grants and Safe and Drug-Free Schools State Grants. FY2007 funds would be increased for activities authorized by the Fund for the Improvement of Education (FIE) and for the "Other ESEA programs," resulting in an overall increase in the proposed ESEA total. CRS-6 Table 4. Appropriations for Major ESEA Programs, FY2001-FY2007 (dollars in millions) Appropriations FY2007 Major component FY2001 FY2002 FY2003 FY2004 FY2005 FY2006 request Title I, Part A $8,763 $10,350 $11,689 $12,342 $12,740 $12,713 $12,713 Grants to LEAs Reading First State -- 900 994 1,024 1,042 1,029 1,029 Grants Impact Aid 993 1,144 1,188 1,230 1,244 1,228 1,228 Teacher Quality -- 2,850 2,931 2,930 2,917 2,887 2,887 State Grants Education Technology State -- 701 696 692 496 272 0 Grants 21st Century Community 846 1,000 994 999 991 981 981 Learning Centers (21CCLC) Innovative Programs State 385 385 382 297 198 99 99 Grants (Education Block Grant) State Assessments -- 387 384 390 412 408 408 Rural Education -- 163 168 168 171 169 169 Fund for the Improvement of 717 833 810 770 675 512 1,752 Education (FIE) Safe and Drug-Free Schools State 439 472 469 441 437 347 0 Grants English Language 296 664 684 681 676 669 669 Acquisition All other ESEA 6,003 2,105 2,221 2,311 2,353 2,018 2,465 programs ESEA total $18,442 $21,954 $23,610 $24,275 $24,352 $23,332 $24,400 Source: ED Budget Service tables: for FY2001, Jan. 3, 2002; for FY2002, Feb. 20, 2003; for FY2003, Aug. 27, 2004; for FY2004, Dec. 9, 2004; for FY2005, Mar. 21, 2006; and for FY2006 and the FY2007 request, July 24, 2006. The FY2006 appropriations reflect the 1% reduction required by P.L. 109-148. Note: FY2007 appropriations are available for K-12 education programs through February 15, 2007, under the provisions of a continuing resolution, P.L. 109-289, as amended. CRS-7 ESEA Authorizations and Appropriations Table 5 shows the annual funding amounts authorized, requested, and appropriated for those programs with specified authorizations of appropriations under ESEA, as amended by NCLBA. All together, the ESEA includes provisions for 45 program authorizations for the six-year period FY2002-FY2007, as follows. ! Five of the 45 ESEA programs have specific amounts authorized to be appropriated for all six fiscal years; these programs are highlighted in Table 5. ! Another 24 programs have specific amounts authorized only for FY2002; funding for these programs is given in aggregate only in the FY2002 segment of Table 5. For FY2003 through FY2007, such sums as may be necessary are authorized for these programs. ! The remaining 16 ESEA programs have no specific amount authorized; that is, such sums as may be necessary are authorized for each program for each year during the period FY2002 through FY2007. Table 5 does not include funding information for any of these remaining programs. Many recent authorizations of education programs have not specified exact authorization levels, especially for the years following the first year of authorization or reauthorization. Instead, such sums as may be necessary are authorized to be appropriated. Authorization provisions for each of the 45 ESEA programs are listed in CRS Report RL31244, K-12 Education Funding: Authorizations and Appropriations for FY2002, by Paul M. Irwin. Table 5. ESEA Authorizations and Appropriations, FY2002-FY2007 (dollars in millions) FY2002 Programs, with ESEA Authori- Appropri- Difference: Section Reference zation Request ation App - Auth Title I, Part A Grants to LEAs, $13,500 $9,061 $10,350 -$3,150 §1002 21st Century Community Learning Centers (21CCLC), 1,250 846 1,000 -250 §4206 Innovative Education Programs 450 472 385 -65 (Education Block Grant), §5146 Voluntary Public School Choice 100 0 25 -75 (School Choice), §5248 Fund for the Improvement of 550 25 833 +283 Education (FIE), §5401 Five program subtotal $15,850 $10,404 $12,593 -$3,257 24 other specified programs 10,497 6,977 7,410 -3,087 FY2002 specified total $26,347 $17,381 $20,003 -$6,344 CRS-8 Authori- Appropri- Difference: FY2003 Programs zation Request ation App - Auth Title I, Part A Grants to LEAs $16,000 $11,353 $11,689 -$4,311 21CCLC 1,500 1,000 994 -506 Education Block Grant 475 385 382 -93 School Choice 100 25 26 -74 FIE 575 134 810 +235 FY2003 specified total $18,650 $12,897 $13,901 -$4,749 Authori- Appropri- Difference: FY2004 Programs zation Request ation App - Auth Title I, Part A Grants to LEAs $18,500 $12,350 $12,342 -$6,158 21CCLC 1,750 600 999 -751 Education Block Grant 500 385 297 -203 School Choice 100 25 27 -73 FIE 600 169 770 +170 FY2004 specified total $21,450 $13,529 $14,435 -$7,015 Authori- Appropri- Difference: FY2005 Programs zation Request ation App - Auth Title I, Part A Grants to LEAs $20,500 $13,342 $12,740 -$7,760 21CCLC 2,000 999 991 -1,009 Education Block Grant 525 297 198 -327 School Choice 100 27 27 -73 FIE 625 264 675 +50 FY2005 specified total $23,750 $14,929 $14,631 -$9,119 Authori- Appropri- Difference: FY2006 Programs zation Request ation App - Auth Title I, Part A Grants to LEAs $22,750 $13,342 $12,713 -$10,037 21CCLC 2,250 991 981 -1,269 Education Block Grant 550 100 99 -451 School Choice 100 27 26 -74 FIE 650 1,976 512 -138 FY2006 specified total $26,300 $16,436 $14,331 -$11,969 CRS-9 Authori- Appropri- Difference: FY2007 Programs Request zation ation Req - Auth Title I, Part A Grants to LEAs $25,000 $12,713 -- -$12,287 21CCLC 2,500 981 -- -1,519 Education Block Grant 600 99 -- -501 School Choice 100 26 -- -74 FIE 675 1,752 -- +1,077 FY2007 specified total $28,875 $15,571 -- -$13,304 Source: Authorization levels for all years are based on ESEA, as amended by NCLBA. FY2002 requests and appropriations are based on CRS Report RL31244, K-12 Education Funding: Authorizations and Appropriations for FY2002 and the ED Budget Service tables of Jan. 3, 2002. Requests and appropriations are based on ED Budget Service tables, as follows: for FY2003, Feb. 20, 2003, and Aug. 27, 2004; for FY2004, Jan. 28, 2004, and Dec. 9, 2004; for FY2005, Dec. 9, 2004, and Mar. 21, 2006; for FY2006 and the FY2007 request, July 24, 2006. FY2006 appropriations reflect the 1% reduction required by P.L. 109-148. Note: FY2007 appropriations are available for K-12 education programs through February 15, 2007, under the provisions of a continuing resolution, P.L. 109-289, as amended. For a comparison of annual authorizations and the President's budget requests, Table 5 shows that the President's budget request is less than the authorized amount for each program for each year, with three exceptions: the FY2002 request for the Education Block Grant and the FY2006 and FY2007 requests for the Fund for the Improvement of Education (FIE). For a comparison of annual authorizations with appropriations, Table 5 shows that, with the exception of FIE appropriations, the appropriations are less than the authorizations for each program in each year. For the FIE, the appropriation is higher than the authorized amount in each year except FY2006. The FIE is a single authorization that includes more than 20 specific activities, as well as more general activities related to the improvement of K-12 education. For instance, FY2006 appropriations were provided for general FIE activities and for 18 separately specified activities authorized within FIE (Table 5 shows FIE funding only in the aggregate). For FY2007, the total amount authorized for the five specified programs is $28.9 billion; the President requested $15.6 billion; the House and Senate Committees on Appropriations reported $14.3 billion and $14.2 billion, respectively (the last two amounts are not shown in Table 5). ESEA Funding Shortfall? Since the enactment of NCLBA in 2002, there has been a continuing discussion regarding the appropriations "promised" and the resulting "shortfall" when the enacted appropriations are compared to authorization levels. Some would contend that the ESEA authorizations of appropriations, as amended by NCLBA, represent a funding commitment that was promised in return for legislative support for the new administrative requirements made of state and local educational systems. They would contend that the authorized levels are needed for implementing the new requirements, and that the differences between promised and actual funding levels, as shown in Table 5, represent a shortfall of billions of dollars. For example, the FY2006 appropriation was $12.0 billion less than the authorized amount, and the accumulated total appropriation for the five-year period FY2002-FY2006 was $39.2 billion less than the maximum authorized. Others would contend that the authorized funding levels represent no more than appropriations CRS-10 ceilings, and as such are no different from authorizations for most education programs. That is, when the authorization amount is specified, it represents only a maximum amount, with the actual funding level to be determined during the regular annual appropriations process. In the past, education programs with specified authorization amounts generally have been funded at lower levels; few have been funded at levels equal to or higher than the specified authorization amount. ESEA Reauthorization. The 110th Congress in likely to consider extending the authorization of appropriations for ESEA programs, as amended by NCLBA. All current ESEA programs authorizations expire after FY2007. However, §422 of the General Education Provisions Act (GEPA) already has extended for one additional year the authorization for ESEA activities. The GEPA extension is effective only through FY2008, which starts October 1, 2007 -- Congress will begin its consideration of FY2008 appropriations when the President submits the FY2008 budget on February 6, 2007. Future appropriations could extend the operation of ESEA programs beyond FY2008. However, similar to the GEPA provision, such extensions typically would apply to ESEA activities as they were authorized in FY2007, without any modifications that might be enacted through reauthorization. IDEA Authorizations and Appropriations for Part B Grants to States Table 6 shows the annual amounts authorized, requested, and appropriated for the IDEA Part B Grants to States program for special education. The table begins with FY2005, the first year of authorizations specified by IDEA, as amended by P.L. 108-446, the Individuals with Disabilities Education Improvement Act of 2004, enacted December 3, 2004. Table 6 shows that each of the budget requests for FY2005, FY2006, and FY2007 were less than the amounts authorized, as were both the FY2005 and FY2006 appropriations for Part B Grants to States. For FY2007, the authorized amount is $16.9 billion, and the President requested $10.7 billion. CRS-11 Table 6. IDEA Part B Grants to States Authorizations and Appropriations, FY2005-FY2007 (dollars in millions) Difference: approp. (or FY2007 request) - Fiscal year Authorization Request Appropriation authorization 2005 $12,358 $11,068 $10,590 -$1,768 2006 14,649 11,098 10,583 -4,066 2007 16,939 10,683 -- -6,256 Source: For authorizations, Section 611(i) of IDEA, as amended by P.L. 108-446. Budget requests and appropriations are based on ED Budget Service tables, as follows: for FY2005, Dec. 9, 2004, and Mar. 21, 2006; for FY2006 and the FY2007 request, July 24, 2006. The FY2006 appropriation reflects the 1% reduction required by P.L. 109-148. Note: FY2007 appropriations are available for K-12 education programs through February 15, 2007, under the provisions of a continuing resolution, P.L. 109-289, as amended. IDEA Funding Shortfall? From FY1975 to FY2004, the IDEA Part B Grants to States program authorized state payments up to a maximum amount of 40% of the national average per-pupil expenditure (APPE) times the number of children with disabilities ages three and above that each state serves. Annual appropriations were never sufficient to reach the 40% level. In FY2003, for example, the maximum authorized federal share of 40% was estimated to be $20.2 billion, whereas the actual appropriation was $8.9 billion, or a federal share of 17.5%, for a "shortfall" of $11.3 billion for the Part B Grants to States program. In 2004, the Congress addressed the Part B authorization issue in P.L. 108-446, which specified annual authorization ceilings for Part B Grants to States for FY2005 through FY2011. Annual increases in authorizations were specified in order to reach an estimated 40% federal share by FY2011. As shown in Table 6, the FY2005 authorization was $12.4 billion, whereas the appropriation was $10.6 billion, or $1.8 billion less than the authorized amount. For FY2006, the authorization increased to $14.6 billion, whereas the amount provided was $10.6 billion, or $4.1 billion less than the authorized amount. The accumulated total appropriation for the two-year period FY2005-FY2006 is $5.8 billion less than the maximum authorized. As with ESEA authorization and funding, some view these differences as funding shortfalls, while others see the maximum federal share and the specified authorizations as nothing more than appropriation ceilings. For FY2007, the authorization is $16.9 billion, but the amount requested in the budget was $10.7 billion, or $6.3 billion less than the authorized amount. The House and Senate Committees on Appropriations reported $10.7 billion and $10.6 billion, respectively; these two amounts are not shown in Table 6. For additional information, please see CRS Report RL32085, Individuals with Disabilities Education Act (IDEA): Current Funding Trends, by Richard N. Apling. ------------------------------------------------------------------------------ For other versions of this document, see http://wikileaks.org/wiki/CRS-RL33058