Federal Cash Arrives, Use Uncertain (RI)
September 10, 2010
As promised, $32.9 million to protect teacher jobs has been awarded to Rhode Island, making the state one of the first to recei ve federal “education jobs” money. But state Education Commissioner Deborah A. Gist is warning districts not to be too hasty in spending it.
It is unclear whether the money will protect teaching jobs, as intended, or if lawmakers will decide to use the money to make up a shortfall in the state budget.
Districts would have two years to spend the money, which can be used to preserve several kinds of education jobs, including classroom teachers, librarians, guidance counselors, principals and bus drivers, and to extend the school day or school year.
But the money may not benefit schools.
“The commissioner has cautioned superintendents to be mindful of potential aid cutbacks this year and next, so that may affect spending decisions,” said Elliot Krieger, spokesman for the state Department of Education.
In a memo to superintendents, Gist said she would “continue to advocate for the use of these funds for their intended purpose,” a stance that puts her at odds with her boss, Governor Carcieri, who has said he would use the money to plug a budget hole of similar size.
Gist says schools badly need this federal infusion and will be in even more dire need next year when the federal stimulus money is scheduled to dry up. For the past three years, Rhode Island has relied on stimulus money to supplant a portion of state aid to education. When that money disappears next year, schools could face what education officials call “a dramatic financing cliff.”
The state Education Department estimates that Providence is in line to receive $8.7 million from the education jobs bill; Pawtucket would receive $2.9 million; Central Falls would receive about $2 million; and Cranston and Warwick would receive about $1.5 million each. Smaller districts and state-ope rated schools would also benefit. Burrillville and the MET School, for example, would receive nearly $600,000 each, while wealthy districts such as East Greenwich would receive less, about $60,000.
The money comes from a bill passed by Congress in August designed to help states struggling with huge Medicaid expenses and severe education cuts.
Rhode Island is slated to receive more than $100 million in these federal funds. The state will receive about $33 million in education aid to protect teaching jobs; about $70 million will go to Medicaid reimbursements.
But Carcieri and state lawmakers were counting on $107 million for Medicaid alone and built the state budget on that assumption. When leaders learned they would be receiving far less for Medicaid, Carcieri said he wanted to dedicate the entire $103 million in these new federal funds to that purpose.
It quickly became clear, however, that he doesn’t have the authority to shift the funds; legislators would have to agree to $33 million in cuts to state education aid and divert that state money to Medicaid. Carcieri likely won’t be in office when these decisions are made; his term expires in January.
Gist, education advocates and some politicians criticized the plan, saying even if the shift were permitted by federal officials, President Obama and Education Secretary Arne Duncan intended for the money to benefit schools.
However, Senate President M. Teresa Paiva-Weed and House Speaker Gordon D. Fox declined to commit the funds to education when the issue came to light last week, saying instead they wanted to study the matter further when the General Assembly resumes its work in 2011.