PRESS RELEASE:

Education stimulus dollars will affect states differently

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05/19/2009

Seattle, WA -- Federal stimulus dollars targeting education will impact states differently, depending on each state’s fiscal condition, according to a new state-by-state analysis from the Center on Reinventing Public Education.

States not facing education budget shortfalls, like Wyoming and South Dakota, may see the federal dollars as a windfall. Other states with severe budget problems, like California, still may need to reduce education spending because the federal dollars are not enough to close the gap.

“Many are hoping the federal stimulus money will prompt major reforms,” says Dr. Marguerite Roza, senior scholar at the Center and research associate professor at the University of Washington’s College of Education.

“In states with no funding gaps, the federal dollars may indeed be used to improve programs,” observed Roza. “Those states with shortfalls, however, may be more likely to see reforms that build in more efficient ways of educating students.”

“Ranking the States: Federal Education Stimulus Money and the Prospects for Reform” is available at www.crpe.org. This is the third “Rapid Response” brief in the $CHOOLS IN CRISIS: MAKING ENDS MEET series, designed to bring relevant fiscal analyses to policymakers amidst the current economic crisis.