The Charter Blog

The Federal Budget: What it Means for the Charter Schools Program

Yesterday, Senator Patty Murray (D-WA) and Rep. Paul Ryan (R-WI) released their topline budget agreement for Fiscal Year 2014, and the House and Senate are scheduled to vote on it in the coming days. While the specifics for programs funded through the Department of Education are not available yet, here is a short summary of what’s at stake and why we must protect funding for charter schools.

The new FY2014 budget will include overall spending levels for the U.S. Department of Education (USDOE). Funding for USDOE is critical, since so many charter schools receive Title I and IDEA funds. And of course, new and expanding charter schools have prospered under the federal Charter Schools Program (CSP), which provides start-up funds and facilities support for new and existing charter schools.

While we wait for more details about how the funds will be allocated in FY2014, the Obama administration is already at work on its FY2015 budget request, which is due the first Monday in February. In November, the National Alliance joined with a coalition of charter support organizations, charter school operators, and national partners and advocacy groups on letters requesting $330 million for the CSP in the president’s FY 2015 budget.

In the coming months, the charter school community will play a critical role in educating members of Congress about the importance of the CSP. The CSP, which is currently funded at $248.1 million, serves several functions, including new school start-ups, the replication and expansion of successful charter schools, support for facilities, and dissemination activities.

This chart provides an overview of each of these grants within the CSP, their current funding levels, and their purpose:

Federal Charter Schools Program, FY 2013
  • SEA Grants & Non-SEA Grants: Competitive grants are awarded from the U.S. Department of Education to State Education Agencies to make subgrants to charter schools. When SEAs do not apply or are denied, individual charter schools can apply. Funding is used to help cover charter school start-up costs.
  • Replication & Expansion Grant: Grants are awarded on a competitive basis to nonprofit charter management organizations that have demonstrated success, including improved academic achievement.
  • National Leadership Activities Grant: Competitive grants provide funding for projects of national significance to improve charter school quality, as well as money to disseminate information about the projects.
  • State Charter School Facilities Incentive Grant: Grants are awarded on a competitive basis to states to help cover charter school facilities costs.
  • Credit Enhancement for Charter Schools Facilities Program: Grants are awarded on a competitive basis to public and nonprofit entities that enhance the ability of public charter schools to raise private capital to acquire, construct, renovate, or lease academic facilities.

Federal funding for the CSP is essential in order to ensure new charter schools can open and meet current demand. With nearly one million student names on waiting lists for charter schools, a strong federal investment is critical for the movement. As we continue our work advocating for charter school funding, we urge the charter school community to join our efforts to educate their members of Congress about the importance of the CSP.

Pam Davidson is senior director of government relations at the National Alliance for Public Charter Schools. Kim Kober is the federal policy coordinator.

Posted in Successes