Education Jobs Funds Uncertain

Posted on May 31, 2010October 17, 2012

In April, Senator Tom Harkin (D-IA) introduced the Keep Our Educators Working Act of 2010 –cosponsored by Senator Patty Murray and 28 other Democratic Senators. The legislation provided for $23 billion to be distributed to governors to save or create K-12 and higher education jobs. According to the formula in the bill, the State of Washington would receive $478.3 million –roughly 6,500 jobs .

Senator Harkin sought to attach the jobs provisions to a supplemental appropriations bill that is currently moving through Congress, primarily for military operations and disaster relief. However, efforts to include the education provisions in the Senate version have ceased, as there are not 60 votes present to move forward. Several Democratic Senators, including Washington’s Maria Cantwell, and the entire Republican caucus have expressed concerns that the education provisions would add to the deficit. Continue reading “Education Jobs Funds Uncertain”

NOAA Funds Likely in Supplemental Spending Bill

Posted on May 21, 2010October 17, 2012

NOAA has been responding to the Deepwater Horizon incident and providing coordinated scientific weather and biological response services. We are also waiting for action on the FY10 Emergency Supplemental Appropriations Bill (H.R. 4899), which the Senate is set to consider starting Monday.

On May 12, the Administration requested $20 M from Congress for supplemental funds for NOAA, which includes:

$15 M for fisheries related impacts
$5 M for “activities that support the response to the Deepwater Horizon oil spill, but that may not qualify as recoverable from the responsible parties under the Oil Pollution Act or the Oil Spill Liability Trust Fund.”

Also last week, the Senate Appropriations Committee reported out a spending measure with an oil-spill amendment that contains support for NOAA:

$13 M for fisheries
$7.0 M for scientific investigations and sampling, with universities, colleges and other research partners eligible for grants to support this work.

Courtesy of NOAA OAR

NIH Addresses Funding “Cliff”

Posted on May 6, 2010October 17, 2012

Yesterday, the National Institutes of Health director told Senate appropriators that the agency’s funding will face a “cliff” in FY11 when a two-year allocation of $10.4 billion in stimulus money for research runs out. NIH Director Francis Collins also told committee members that during the past 30 years NIH grant applicants had a 25 percent to 30 percent chance of success at obtaining funding. That level has now slipped to 21 percent and is expected to fall even further to about 15 percent in FY11 as the flow of money provided through the economic stimulus law ends.

President Obama requested $32 billion for NIH in his FY11 budget, an increase of 3.2 percent. The boost matches the inflationary index for biomedical research. While several members of the committee voiced strong support for the agency’s request they also said the challenging fiscal environment would make it difficult to secure a larger increase than is called for under the President’s proposal.

Senator Arlen Specter (D-PA), a long-time champion for NIH funding, pressed for more funding and called the proposed 3.2 percent boost “disgraceful.” Specter suggested that scientists should become stronger advocates for NIH funding by highlighting how the stimulus funding has helped spark more interest in biomedical research. Senator Harkin (D-IA), Chair of the Senate Appropriations Subcommittee on Labor, HHS, and Education, also expressed support for NIH funding but reminded committee members that finding additional funding will be difficult this year.

Update: Retirement, Budget, and Disaster Relief

Posted on May 6, 2010October 17, 2012

The retirement of House Appropriations Chairman David Obey (D-WI) will mark a change in the Democratic leadership of one of Congress’ most powerful committees. Our own Congressman Norm Dicks (D-WA) appears to be the lead candidate to replace Obey as the top Democrat on Appropriations in the next Congress. Currently the second-ranking Democrat on the full committee, Dicks has been on the panel since the mid-1970s but didn’t assume the chairmanship of a subcommittee (Interior-Environment) until 2007 when Democrats regained control of the House after 12 years of Republican control. He moved to Chair the Defense Appropriations Subcommittee earlier this year after the death of Congressman Murtha (D-PA). Dicks expressed an interest in chairing the full committee, as well as keeping his current spot on Defense, but the biggest challenge for Democrats is to retain their majority in this fall’s elections. The selection of committee and subcommittee chairmen is made by the Democratic Steering and Policy Committee and must be ratified by the full Democratic Caucus. This process will begin after November and into the New Year.

House Democratic leaders are meeting today to discuss whether they will move an FY11 budget resolution. Unfortunately, there had been no appreciable movement toward an agreement on the budget and few expect that to change with today’s meeting. Obey’s retirement may not have any impact on this year’s appropriations process, which was already facing an unsettled state. Most Members of Congress don’t expect many spending bills to be enacted before the November elections, and there has been talk of the possibility that fewer still may be considered on the House floor. Democrats still haven’t decided whether or not they will move a budget resolution, which would set top-line discretionary funding for the year, because of a disagreement within the Democratic Caucus on whether non-security discretionary spending should be cut.

Meanwhile, Senate leaders may soon decide whether to separately move the FEMA disaster supplemental bill along with aid to the Gulf Coast as opposed to waiting to deal with this issue via the war supplemental measure. Before the oil spill, the House approved HR 4899, a bill making emergency supplemental appropriations for disaster relief and summer jobs, which is intended to replenish funding for FEMA. When asked about a possible vehicle for providing federal aid for the Gulf Coast oil spill, the Hawaii Democrat referenced the House-passed bill (HR 4899) to replenish FEMA’s depleted disaster relief funding. A complicating factor for providing aid for the oil spill through this bill is that actual needs are not yet known since the event in the Gulf is still unfolding. The House has suggested that they will hold off on moving the war supplemental until other funding needs were known, including for the Gulf Coast.

Senator Harkin Introduces Education Jobs Fund Bill, Senator Murray a Co-Sponsor

Posted on April 15, 2010October 17, 2012

**Updated 4/16/10**

Yesteday Senator Tom Harkin (D-Iowa), chairman of the Senate Health, Education, Labor and Pensions Committee and of the Senate appropriations panel that oversees education funding, introduced a bill that would provide $23 billion for an Education Jobs Fund. The Education Jobs Fund is modeled after the State Fiscal Stabilization Fund (SFSF) portion of the 2009 Recovery Act, equaling almost half the SFSF total and allocated in much the same manner. The new fund is intended to further restore K-12 and higher education state budget reductions in Fiscal Years 2010 and 2011 to prevent additional layoffs as SFSF funds dry up with no state funds to replace them (the so called ‘funding cliff’). Harkin’s bill is very similar to the Education Jobs Fund contained in the ‘Jobs for Main street Act of 2010’ passed by a narrow margin in the House in December. It is not yet known how much support this bill may have in the Senate. As we await further information and analysis, please find initial thoughts on the bill as it may pertain to Washington State and the UW below.

Funding for Washington State
Initial calculations made by the Congressional Research Service indicate that $478.3 million would be granted to the Governor of the State of Washington to retain or create educational jobs.

95% would be distributed to local educational agencies and public institutions of higher education.
5% could be retained by the state for administrative costs and to support education related state jobs.

It is estimated that this legislation would create or save 1,058 higher education jobs and 5,467 K-12 jobs in the state of Washington.

Distribution of Funds
Funds received under this Act must be used to help restore state education funding for FY 2010 to FY 2009 levels (excluding capital funding, state research funding, or tuition and fee revenue), and to help restore FY 2011 state funding to FY 2010 levels (after the application of SFSF and Education Jobs Fund dollars). In the case of insufficient funds to reach these goals, the Governor shall distribute funds in proportion to the relative reduction in state funding for each sector (K-12 and Higher Education), plus or minus 10% at the Governor’s discretion. Any excess funds shall be awarded to local educational agencies based on their relative budget share.

Use of Funds
Funds provided by this bill must be used to retain or create education jobs, going toward compensation and benefits and other expenses required to retain existing employees or hire new employees, OR to provide on-the-job training activities for education related careers (as defined in section 101(31) of the Workforce Investment Act of 1998). The funds may not be used to restore or supplement a reserve or rainy day fund or to supplant state funds for such an end. Nor may funds be used to reduce or retire debt incurred by the State or to supplant state funds toward such an end.

Maintenance of Effort
To qualify for funds under this act, a state must assure the Secretary of Education that it will continue to meet the MOE requirements laid out in the SFSF provision of the Recovery Act (establishing FY 2006 K-12 and Higher Education state funding levels as a ‘floor’), OR provide each education sector a total state budget share in FY 2010 that is equal to FY 2006, and, for FY 2011, a budget share equal to FY 2009.

Outlook
Arne Duncan, Secretary of Education, expressed strong support for the Harkin bill during a hearing on April 14th. Additionally, Senator Majority Leader Harry Reid has agreed to bring the legislation to the floor. However, a timetable has not been revealed and it remains unclear whether or not the legislation will garner any Republican support. Senator Patty Murray is a co-sponsor of the Harkin bill.

Courtesy of Jessica Thompson

Senate HELP Committee Statement

Text of Legislation