Aligning Resources and Results: The President’s FY 2016 Budget

Yesterday, President Obama released his Fiscal Year (FY) 2016 Budget, outlining the administration’s policy agenda and budget requests for federal spending in the upcoming year. As the guide for every major spending and revenue decision, the President’s budget request is a significant policy vehicle for supporting children and families.

With the release of the President’s budget comes an opportunity to emphasize how policymakers can advance equity through the budget process at the federal level – but also through state and local budgets.

The President’s budget proposal includes notable efforts to increase equity by improving access to education, including dedicated funding for universal pre-kindergarten, increasing opportunities for low-income schools through Title I funding and tuition-free community college.

At the community level, the proposal introduces the Upward Mobility Project – a new initiative that will provide up to 10 communities with the opportunity to flexibly spend federal funding from four existing programs in an effort to invest in programs and resources that meet the specific needs of its residents. These investments – as well as a host of others – have the ability to promote equity and provide communities with the flexibility to create opportunities for low-income children and families.

In CSSP’s new brief “Aligning Resources and Results: Increasing Equity Through the Budget,” we highlight equitable budget strategies from Portland, Oregon; Chicago, Illinois; and an example from the U.S. Department of Housing and Urban Development.

As outlined in the brief, the President’s FY2016 budget includes funding for key programs that impact communities:

• Preschool for All: $75 billion over 10 years
• Preschool Development: $500 million
• English Language Acquisition: $36 million
• America’s College Promise: $1.36 billion
• Promise Neighborhoods: $150 million
• Choice Neighborhoods: $248 million
• Community Development Block Grant: $2.8 billion
• Housing Choice Voucher Program: $21.1 billion

By proposing investments in programs like early child care and universal preschool, including tax credits for working families, the President’s FY2016 budget includes strategies to advance equity in the coming year. Making investments to advance equity is an important way to ensure all children and families have the opportunity to succeed.

For more information on the President’s FY2016 budget release, please read CSSP’s statement here.

Aligning Resources and Results: The President’s FY 2015 Budget

On Tuesday, March 4, President Obama released his Fiscal Year (FY) 2015 Budget, which outlines the administration’s policy agenda and budget request for federal spending in the upcoming year and sets the tone for the national policy agenda moving forward. As the guide by which every major spending and revenue decision is made, the federal budget is a significant policy vehicle for supporting children and families.

The FY15 budget proposal adheres to spending levels outlined in the Bipartisan Budget Act of 2013, which set discretionary spending at $1.014 trillion for FY15. The Bipartisan Budget Act of 2013 provided $63 billion in sequester relief over two years and is likely to minimize the impact the sequester has had on vulnerable families by increasing funding above the drastically reduced FY 2013 spending levels. In addition, the agreement addresses sequestration by increasing revenues as opposed to only additional cuts, which should result in a positive impact on important programs for families.

Each year, the release of the President’s budget becomes an opportunity to emphasize how and why policymakers and communities should work together to maximize resources and ensure that supports for children and families are sustained. In CSSP’s new brief “Aligning Resources and Results: The Importance of Meaningful Partnerships,” we highlight the increased collaboration between policymakers and communities throughout the country and how these partnerships are resulting in smarter investments and improved outcomes for children and families. With a relentless focus on results, accountability and diverse representation across multiple sectors, these partnerships have demonstrated their commitment to securing the resources needed to address the unique needs of their communities.

The President’s FY2015 budget includes funding for key programs that impact communities:

• Early Childhood Programs: $650 million 
• Now is the Time Initiative: $164 million 
• Race to the Top: $300 million 
• Promise Neighborhoods: $100 million 
• Choice Neighborhoods: $120 million 
• Community Development Block Grant: $2.8 billion
• Housing Choice Voucher Program: $20 billion 
• Workforce Innovation Fund: $140 million
• State Paid Leave Initiatives: $5 million 

While the President’s FY 2015 budget follows the 2015 spending levels agreed to in the Bipartisan Budget Act, it also builds on this progress with a fully-paid for $56 billion Opportunity, Growth, and Security Initiative. Evenly split between defense and non-defense priorities, the Opportunity, Growth and Security Initiative provides additional investments in the critical areas of education; research and innovation; infrastructure and jobs; opportunity and mobility; public health, safety and security; more efficient and effective Government; and national defense.

Aligning Resources and Results: The President's FY 2014 Budget

On Wednesday, April 10th, President Obama released his Fiscal Year (FY) 2014 Budget, which outlines the administration’s policy agenda and budget request for federal spending in the upcoming year and sets the tone for the national policy agenda moving forward. The federal budget becomes the guide by which every major spending and revenue decision is made, making it one of the largest policy vehicles for supporting children and families. While the process this year has been a bit unorthodox, with the Senate and House releasing their FY14 budget proposals before the White House released their budget request, the stakes for children and families remain incredibly high and the benefit of collaboration is not only clear but, in some cases, will be required.

As a result of sequestration, which went into effect in March 2013, federal agencies have already cut back on their programs and services. The President’s FY14 budget, however, replaces the sequester. Nevertheless, key programs that impact children, families and communities have taken a hit when it comes to funding. The President’s FY14 budget proposal provides an important opportunity to emphasize how and why policymakers and community members should work together to maximize resources and ensure that supports for children and families are sustained.

In CSSP’s new brief “Aligning Resources and Results: How Policymakers and Communities Can Collaborate to Improve Neighborhood Outcomes” we highlight the Building Neighborhood Capacity Program (BNCP), a program under the Administration’s signature Neighborhood Revitalization Initiative (NRI). The goal of BNCP is to help neighborhoods develop the capacity they need to enable residents, civic leaders, the public and private sectors and local organizations to identify neighborhood needs and implement sustainable solutions. In this budget brief, we highlight the progress and efforts taking shape in Milwaukee, where partnerships between community members and local policymakers are setting the stage for the needs of two neighborhoods to finally be met after years of being overlooked. The brief outlines the importance of collaboration between policymakers and community members – and serves as a good resource for those working to collaborate around a shared set of results.

The President’s FY14 budget includes funding for key programs that impact communities, including funding for many NRI programs.  Key funding includes:

• Race to the Top: $1 billion 
• Promise Neighborhoods: $ 300 million 
• Community Health Centers: $3.8 billion 
• Choice Neighborhoods: $400 million 
• Community Development Block Grant: $3 billion 
• Housing Choice Voucher Program: $20 billion 
• Byrne Criminal Justice Innovation Program: $35 million
• Second Chance Act: $119 million 
• Youth Violence Prevention: $332 million 
• Workforce Innovation Fund: $150 million
• Pathways Back to Work Fund: $12.5 billion 

Additional Resources

• PolicyForResults.org
• Building Neighborhood Capacity Program Resource Center
• Policy Basics: Introduction to the Federal Budget Process
• Federal Budget Vocabulary Tip Sheet
• Aligning Resources and Results: How Policymakers and Communities Collaborated to Create a National Program
• Federal Budget Basics

Senate Approves $80 Mil for Promise Neighborhoods

On June 14, the Senate Appropriations Committee approved a bill, that includes $80 million for Promise Neighborhoods. This is a more than $20 million increase in funding for Promise Neighborhoods from the 2012 fiscal year budget. If passed by the House, the funds will be allocated in planning and implementation grants by December.

While the money is not guaranteed yet, the Senate’s actions are a very important step in securing funding for Promise Neighborhoods.

Other parts of the bill provide money for child care and Head Start, funds to stop healthcare fraud, increasing the maximum Pell Grant award, assisting young people with disabilities find employment, prevention efforts for chronic diseases and a new provision banning colleges and universities from using Federal educational resources on advertising and recruitment.

Click here for more details on the Senate’s bill.

Aligning Resources with Results: President's FY 2013 Budget Proposal

On Monday, President Obama released his FY 2013 Budget. Each year, the president’s budget plays an important role in the national budget process as it outlines the president’s policy priorities and recommendations for federal spending. Proposing major funding in areas such as education, healthcare, workforce training and community revitalization, President Obama has demonstrated his commitment to helping our nation’s most vulnerable children, families and communities succeed in the midst of a difficult economic climate. Congress now has the opportunity to review the President’s proposed budget and recommend changes before drafting the Congressional Budget Resolution, which will become the nation’s FY 2013 budget. The FY 2013 budget will go into effect in October 2012.

As Congress prepares to review the president’s proposed budget, it is important to keep in mind that communities can play a major role in advocating for policies and programs that improve the well-being of residents. In our new publication, Aligning Resources with Results: How Communities and Policymakers Collaborated to Create a National Program, we highlight the collaboration between community organizations in Philadelphia with state and local policymakers. The initiative, the Pennsylvania Fresh Food Financing Initiative, provided funding for 88 fresh-food retail projects in 34 Pennsylvania counties, creating or preserving more than 5,000 jobs and improving access to healthy food for more than half a million Pennsylvania residents. The success of this collaboration led to a national budget initiative, the National Healthy Food Financing Initiative, aimed at improving the health of children across the country by providing access to fresh food. The President’s FY 2013 budget has proposed $25 million from the Department of Treasury and $10 million from the Department of Health and Human Services in funding for the National Healthy Food Financing Initiative.

For more information about the federal budget process, please review our “Federal Budget Blog Series.” CSSP’s Policy for Results blog also has information and links to resources about the federal budget.

Stay tuned to our blog for more updates on and analyses of the President’s Proposed FY 2013 Budget.

Budget Series #3: A Look at the FY 2012 Budget Process

In our final post on the federal budget, we would like to reflect on the FY 2012 budget process and highlight key funding decisions that impact communities throughout the nation. Using the steps outlined in our recent Federal Budget Basics post, we’ve summarized the important events of the FY 2012 budget process and key funding decisions.

1. President Obama Submits FY 2012 Budget

The FY 2012 budget process began when President Obama submitted his budget to Congress in February 2011. As the President’s opportunity to highlight funding priorities in the midst of economic uncertainty, President Obama’s proposed budget called for cuts to discretionary spending, as well as a five-year freeze on “non-security discretionary spending.” However, the proposed budget did highlight significant investments in education, workforce development and community-based programs. For example, President Obama requested $77.4 billion for the Department of Education, which included $150 million for the Promise Neighborhoods Initiative, and $380 million for the Workforce Innovation Fund. The President’s budget did not include spending changes for entitlement programs, such as Social Security, Medicare and Medicaid.

2. Congressional Budget Resolution

In the midst of economic hardship and concern about the federal government’s spending limits, the House and Senate were unable to pass a FY 2012 budget resolution by the April 15 deadline. Instead, Congress focused its efforts on the Budget Control Act, which was enacted in August 2011 and allowed the government to continue functioning by raising the amount of debt the government can accrue, known as “the debt ceiling.” In addition to raising the debt ceiling, the Budget Control Act established the Joint Select Committee on Deficit Reduction – known as the “Super Committee” – which was charged with developing legislation that would reduce the federal deficit by $1.2 trillion. The committee was unable to identify potential spending cuts, which triggered automatic “sequestration,” meaning that $1.2 trillion in cuts will be made over the next ten years across all discretionary programs beginning in FY 2013. Essentially, $109.3 billion in cuts will be made each year beginning in FY 2013.

With FY 2012 quickly approaching in the fall, congressional subcommittees were unable to agree on appropriations by October 1, 2011 – the beginning of FY 2012 - leaving the government without a budget and at risk of a potential shutdown. As a result,Continuing Resolutions were passed on September 30 and October 5, providing funding for the government at FY 2011 levels.

After several months of debate on discretionary programs, congressional subcommittees were able to agree on the spending levels that align with the Budget Control Act. On November 18, 2011,Congress passed funding appropriations for the Departments of Agriculture,Commerce, Justice, Transportation and Housing and Urban Development. The remaining agencies – including the Departments of Education, Labor and Health and Human Services – were funded in appropriations that were passed on December 16, 2011.

Below you will a find a description of how a few of the federal programs that are of interest to communities fared during the FY 2012 budget process.

Community Programs

• Choice Neighborhoods will receive $120 million in funding – an increase of $100 million from FY 2011– to continue transforming high-poverty communities into mixed-income neighborhoods. Unfortunately, the Sustainable Communities program was not funded for FY 2012 after receiving $99 million in FY 2011.

Education

• 21^stCentury Community Learning Centers will receive $1.15 billion in funding –a decrease of roughly $2 million – to continue providing academic enrichment and other after-school programs to students in high-poverty, low-performing schools.
• Promise Neighborhoods will receive $60 million in funding– double the amount received in 2011 – to continue creating cradle-to-career pipelines of support designed to improve outcomes for students in low-income communities.
• Pell Grants will receive $22.8 billion in funding, allowing low-income college students to receive up to $5,550 in grants during the 2012-2013 academic year. While the maximum grant award available remains the same as FY 2011, fewer students will remain eligible for the award as the qualifying income level and the number of semesters a student may receive the award were both decreased.
• The Striving Readers Program will receive $183 million in funding after being entirely unfunded in FY 2011. This program will support local literacy and educational development programs.

Health

• Community Health Centers will maintain their $2.72 billion in funding to continue providing necessary health care to more than 60 million Americans. In addition, this funding may be used by the Department of Health and Human Services to build new or expand existing health centers.
• Healthy Food Financing Initiative will receive $32 million in joint funding from the Departments of the Treasury and Health and Human Services to ensure that low-income communities have access to healthy food.

Workforce Development

• YouthBuild will receive $79.6 million in funding to continue providing essential education and job training to at-risk youth.

Transportation

• Transportation Investment Generating Economic Recovery (TIGER) Grant Program will remain funded at $500 million to improve transportation infrastructure throughout the nation.

2012 Federal Budget Resources

• Introduction to the Federal Budget Process by the Center on Budget and Policy Priorities
• Budget Vocabulary by Policy for Results
• OMB Budget Homepage
• Summary:Fiscal Year 2012 Final Consolidation Appropriations Bill (December 2011)
• Summary:Fiscal Year 2012 “Mini-Bus” (November 2011)

We understand that the federal budget process is confusing and welcome your questions! Post your questions in the comments section.

Budget Series #2: Understanding How Entitlement & Discretionary Funding Can Impact Your Community

Blog 2 of our federal budget series describes two key categories of the budget. Understanding the differences between these two types of funds can empower you and your communities to advocate for additional money or fully access existing resources.

1. Entitlement

Entitlement programs provide resources according to need-based eligibility, rather than providing a set amount of funds. Federal spending on entitlements is required by law and an eligible person can never be turned away because the program has “run out.” While the annual federal budget can change the laws that govern spending on these programs (e.g. alter eligibility requirements or allocation size), the federal budget does not establish an amount to be spent on entitlement programs.

Examples: Social Security, Supplemental Nutrition Assistance Program (SNAP; also known as “Food Stamps”), Medicaid, Medicare, Children’s Health Insurance Program (CHIP)

Relevant advocacy: Community-based organizations can engage in three advocacy activities relevant to entitlements:

1. Promote entitlement enrollment among eligible populations by:

• Organizing creative public announcements to increase awareness of the programs; For example: billboards and bus advertisements

• Placing trained volunteers in accessible locations, including community centers, schools, libraries and the waiting rooms of free clinics, to assist clients through complicated application processes.

2. Advocate for easier application procedures and work with government officials to identify and reduce inefficient and burdensome paperwork

3. Campaign for changes to the laws that govern entitlements. For example, advocates may call upon policy makers to increase the monthly amount of SNAP benefits by demonstrating that current allocations cannot enable recipients to purchase a healthful diet. Community organizations that argued for expanded Medicaid eligibility that would insure a greater percentage of the Federal Poverty Line won a major victory with passage of the Affordable Care Act.

2. Discretionary

Discretionary spending is optional, changes from year to year and demonstrates federal priorities. While these priorities are initially described in the President’s annual budget request, Congress’ budget resolution outlines the final amounts allocated to each federal Department (e.g. The Department of Education). Federal agencies award their funds to states, programs, community organizations or another grantee based on need, merit, population size, or some combination of factors. Resources may not be available to everyone who qualifies for the program; eligible applicants can be turned away because the program has “run out.”

Discretionary grantees have a responsibility to use their resources wisely, both for the purpose of efficiency within their own programming and to ensure continued financial support for such efforts the following year. President Obama’s administration has emphasized Neighborhood Reinvestment Initiative programs, which are funded by competitively awarded, discretionary grants and include place-based programs like Promise Neighborhoods. The Center for the Study of Social Policy’s recently published Handbook offers useful tips on how to organize and manage place-based initiatives such that results are maximized.

Examples: Temporary Assistance for Needy Families (TANF; commonly thought of as “welfare”), most spending on education, the environment, housing/ homelessness services, infrastructure, etc.

Relevant advocacy: Community organizations should use the methodology explained above to ensure that all available resources are allocated to eligible applicants and that program design targets the appropriate populations. However, if the set amount of funds that defines discretionary programs proves insufficient, grassroots organizations can mobilize communities to advocate for more resources to support the programs they need most. Researchers can contribute scientific evidence to these grassroots campaigns.

• A campaign of working families could make a powerful appeal to state and local governments to use TANF funds differently or to Congress for increased funds to the program. Economists could supplement their advocacy by explaining that providing adequate resources to the poor has a large multiplier effect on the local economy, thereby helping everyone. Human development experts could point out the benefits of a stable home environment on early childhood development.

• Since most Department of Education dollars are discretionary, school children could be mobilized to advocate generally for more dollars for education, an argument that can also be supported by a diverse array of researchers.

Note: In a recession, discretionary programs and services tend to lose resources and provide less of a buffer against further economic despair than entitlements. For example, while SNAP enrollment increased substantially during the recent recession, providing invaluable assistance to families suffering from unemployment or decreased wages, TANF lost money and provided less assistance to fewer families even though need was far greater.

Click here for more Federal Budget Vocabulary

We understand that the federal budget can be extremely confusing. Please post your questions in the comments section!

Budget Series #1: Federal Budget Basics

The federal budget, developed annually by the Executive and Legislative branches, has a huge impact on the programs, services and infrastructure that impact all communities. An understanding of the budget process and language can help programs advocate for needed funds effectively.What follows is a summary of the budget process, using Promise Neighborhoods and Fiscal Year 2012 to illustrate how this process applies to an example program.

1. The President’s Office of Management and Budget (OMB) submits a detailed budget request to Congress by the first Monday in February (if the budget request is for Fiscal Year 2012, it is submitted to Congress in February, 2011). This document is important because it demonstrates the President’s priorities.

President Obama’s commitment to the Promise Neighborhoods program was shown by his proposed allocation of $150 million for Promise Neighborhoods in Fiscal Year 2012.

2. Congress reviews and responds to the President’s budget request in 3 stages:

a. To inform their final product, which is called the Congressional budget resolution, the House and Senate’s respective Budget Committees hold hearings to question Administration officials about relevant aspects of the President’s budget request.

Department of Education Secretary Arne Duncan and Department of Health and Human Services Secretary Kathleen Sebelius might have each been questioned about the $150 million requested for Promise Neighborhoods, among other programs and services that they oversee.

b. The two budget resolutions (one for the House and one for the Senate) are brought to their respective floors where they are debated, amended and eventually passed. The resolutions need only a simple majority to pass and cannot be held up by the Senate filibuster.

The Senate resolution allocated $60 million to Promise Neighborhoods for Fiscal Year 2012, while the House resolution zeroed out the program.

c. A House-Senate conference reconciles the two resolutions into a final conference report. Both chambers vote on this final budget resolution, which also requires a simple majority to pass and cannot be held up by a Senate filibuster. The passed budget resolution is law; it does not go to the President for his signature or veto.

Congress’ final resolution funds Promise Neighborhoods at $60 million for Fiscal Year 2012.

Step 2 is supposed to be completed every year by April 15^th in preparation for the Fiscal Year’s start in October, however, the budget resolution is often delayed.

The Fiscal Year 2012 budget resolution should have been passed by April15, 2011 so that the 2012 Fiscal Year could go into effect October 2011. Since Congress had not agreed on a final resolution by October 2011, the 2012 Fiscal Year started with a continuing resolution based on the Fiscal Year 2011 budget.

Steps 2b and 2c provide a vital opportunity for community members and organizations to use qualitative and quantitative research, including researcher’s data and powerful stories presented by residents, to inform policymakers of their program’s value.

Promise Neighborhoods Institute, in partnership with Promise Neighborhood grantees across the country,organized a Congressional Briefing, conducted Capitol Hill site visits, and wrote a Policy Brief requested by Congressional staff.

3. Federal agencies, such as the Department of Education, carefully determine how they will spend their allocated funds and begin to act by, for example, releasing Request for Proposals (RFPs) for states or community agencies to apply for resources. Congress enforces the budget throughout the fiscal year.

The Department of Education has not yet released information on how they will spend the $60 million in Promise Neighborhoods’ Fiscal Year 2012 budget,so it is impossible to know application guidelines for prospective Promise Neighborhoods, how many projects will be funded or what level of funding Promise Neighborhoods will receive.

For Fiscal Year 2011, the Department of Education used the $30 million allocated to Promise Neighborhoods to fund 5 Implementation grants and 15 Planning grants. These 20 grantees will receive funds beginning January 2012.

2012 Federal Budget Resources

• Introduction to the Federal Budget Process by the Center on Budget and Policy Priorities
• Budget Vocabulary by Policy for Results
• OMB Budget Homepage

We understand that the federal budget process is confusing and welcome your questions! Post your questions in the comments section.

Federal Investments in Children Decline

First Focus' Children's Budget 2011 offers a detailed breakdown on the FY 2011 budget's spending allocations for children. Passed this spring amidst intense political debate, the 2011 budget's share of spending dedicated to children has fallen by just over 8%. While spending on children increased in 2010, with the children's share of the total budget peaking at around 11% when combined with investments from the American Recovery and Reinvestment Act (ARRA), many advocates project that spending on children will continue to decline as ARRA expenditures expire and budget cuts continue. As we know, declining investments in children can have a significant impact on children's well-being in the long term. According to the Children’s Defense Fund (CDF)’s new report on The State of America’s Children® 2011, already children make up almost one in four of the people living in the United States today.


Without action, the projected outlook indicates that further decreases in federal expenditures on children are in the future. According to a report from Brookings and the Urban Institute, Kid's Share 2011, spending on children is projected to fall by 9% between 2010 and 2015. The report predicts that by 2020, the share of the economy devoted to federal investments in children will drop to below 2% of the gross domestic product (GDP), falling below 2010 levels and 2005 levels. The report notes that the federal budget as a whole is not shrinking, however, largely due to costs of health and retirement programs. However, interest payments on the growing national debt are expected to rise dramatically, more than doubling from 1.4 percent of GDP in 2010 to 3.3 percent in 2020. Under current policies, the federal government is projected to spend more on interest payments than on children, beginning in 2014.

For more information, please visit

First Focus

The Children's Defense Fund

New Web Tool for Education Budget Analysis at the National and District Level

The New America Foundation's Education Policy Program released the latest version of Federal Education Budget Project (FEBP), a website that provides information on K-12 and higher education funding, demographics, and outcomes.

According to their announcement, newly released data include:
• Allocations and disbursements of federal grants and loans such as Pell Grants, Stafford Loans, Grad PLUS Loans, Work-Study, and Perkins Loans;
• Average grant and loan awards and student participation rates in aid programs;
• Graduation rates, retention rates, student loan default rates, and student loan repayment rates; and
• Tuition and fees, including average net price after financial aid.

The website also includes recently updated K-12 data for every state and school district in the country, including:

• State and district Title I allocations under the recently finalized fiscal year 2011 appropriations;
• State IDEA, Impact Aid, School Nutrition, and Education Jobs Fund allocations; and
• State and school district per pupil expenditure and demographic data for 2009.

Additionally, the site provides background and analysis on major federal education programs, national rankings maps and analysis, policy papers and issue briefs.

Communities working to improve educational outcomes will find this a helpful resource for tracking how resources are flowing into schools.

President Signs CR FY 2011

The long awaited FY 2011 Continuing Resolution (H.R. 1473) was signed into law by President Obama last week. In a bipartisan effort, both the House and the Senate approved the bill that would avoid government shutdown and fund the entire government until September 30, 2011. The highly anticipated budget compromise is intended to lower federal agency budgets by $38 billion in the second half of 2011.  Recent figures from the Congressional Budgetary Office (CBO), however, show that the budget compromise may fall short in its anticipated funding cuts by trimming only $352 million for this fiscal year. CBO analysts found that $13 billion to $18 billion of the cuts involve money that existed only on paper and was unlikely to be tapped in the next decade.  Below is a list of priority funding areas-labor, education, health and human services, and housing-that we believe are of particular interest to the communities we serve:   

  

Byrne Criminal Justice Program- The CR includes $1.12 billion for State and Local Law Enforcement Assistance, which includes Byrne grants and SCAAP funding.

Career Pathways Innovation Fund- The CR rescinds funding for the Career Pathways Innovation Fund (CPIF), which replaced the Community Based Job Training grant program and provides grants to community colleges to support career training programs. The fund was believed to be duplicative of  the TAA Community College and Career Training (TAACCCT). 

Choice Neighborhoods- While Choice Neighborhoods was funded at $65 million in Fiscal Year 2010, the CR appears to provide no funding for Choice Neighborhoods. However, HUD has indicated that it will use up to $65 million of the $100 million allocated for HOPE VI for Choice Neighborhoods.

Community Development Block Grants (CDBG) – The CDBG will be funded at $3.3 billion, down $643 million from FY10. The program provides annual grants on a formula basis to states to develop viable urban communities for low and moderate income persons. 

Community Health Centers- The budget deal would eliminate $600 million in discretionary funding for community health centers. It is expected that the Affordable Care Act’s $1 billion in mandatory funds directed to health centers will lessen the effect of this reduction. 

Community Services Block Grants (CSBG)- The CSBG will be funded at $703 billion, roughly equal to the FY10 level. CSBG funds provide a range of services and activities to assist the needs of low-income individuals including the homeless, migrants and the elderly.
  
Green Jobs Innovation Fund- The bill eliminates the Green Jobs Innovation Fund in FY 2011. The CR does not rescind the funds appropriated in FY10, thus  the Green Jobs Innovation Fund Solicitation for Grant Applications (SGA) that went out in February are still valid and those grants will eventually be awarded. 
Head Start- The bill provides $7.575 billion for Head Start, $340 million more than FY 2010. 

Hope VI- The CR reduces funding for HOPE VI from $200 million in FY10 to $100 million in FY 2011. 

Job Corps- The Office of Job Corps funding is maintained at last year’s level of $1.708 billion, though the CR would rescind $75 million in previously appropriated but unobligated construction funds. 

Pell Grants- The bill preserves the Pell grant program, the largest source of need-based grants to college students with the maximum grant amount remaining at $5,550. The bill however, will cut an initiative called “year round” Pell. This cut is expected to save $35 billion over 10 years. 

Promise Neighborhoods- The CR provides $30 million for Promise Neighborhoods. This is an increase of $20 million from FY10. It is unclear how the $30M will be used for planning or implementation grants. Public comments on the draft notice are currently under review. 

Race to the Top- The budget agreement would provide $700 million for Race to Top in FY 2011, which is below the $1.35  billion request made by the Obama administration. Race to the Top grants for school innovation are designed to lead to significant improvements in student achievement, high school graduation rates, and college enrollment rates. These funds should still go to states, not Local Education Agencies.

School Improvement Grants- The bill provides $536 million for these grants which seek to turn around the lowest achieving schools, specifically Title I recipients.

Sustainable Communities- The bill provides $100 million for the Sustainable Communities initiative in FY 2011, which is a decrease of $50 million compared to  the FY 2010 enacted amount. The $100 million in available funds will result in $70 million for the Regional Integrated Planning Grants and $30 million for the Community Challenge Planning Grants.

TANF- The Temporary Assistance for Needy Families fund expired on September 30, 2010. The CR does not include funding for TANF.

Teacher Incentive Fund: The bill provides $400 million for FY 2011, which is the same amount as FY 2010. 

Title I- The CR would keep funding at $14.5 billion for Title I grants to school districts with needy students.

YouthBuild- The bill provides $80 million for YouthBuild a reduction from the FY 2010 level of $102.5 million.

As the CR would authorize funding through the end of FY 2011, Congress is now considering the FY 2012 budget. We’ll keep you updated as the details of the new budget unfold.

Resources:

Fiscal Year 2011 Continuing Resolution, The National Skills Coalition

FY 2011 CR Impact on Workforce Programs, The National Skills Coalition  

Summary : Labor, Health and Human Services, and Education- Fiscal Year 2011 Continuing Resolution, U.S. Senate Committee on Appropriations

Summary: Transportation, Housing and Urban Development FY 2011 Continuing Resolution, U.S. Senate Committee on Appropriations

Summary: Commerce, Justice, and Science  FY 2011 Continuing Resolution

US Senate Committee on Appropriations 

House Votes to Eliminate CNCS Funds from Budget

In today’s economic climate, Congress has had to consistently make difficult cuts in spending to address the budget crisis. Of particular interest to our communities, however, are the proposed cuts to the Corporation for National and Community Service(CNCS). In February, House Republicans passed a year-long spending bill – H.R. 1– that eliminates funding for the Corporation for National and Community Service (CNCS) and all its programs. H.R. 1 cuts over $1.4 billion in federal funds provided for CNCS programs that encourage Americans to serve in their communities and around the nation.  On March 9th, the Senate voted on H.R. 1, as well as a Senate alternative, that included $1.17 billion for CNCS. Neither of those measures, which are roughly $50 billion apart in terms of overall funding levels, secured sufficient support to advance. A budget compromise much be reached soon so that FY 2011 budget bill can pass both chambers and receive White House approval. It is unclear whether the budget bill will include funding for CNCS. 

Not only is CNCS responsible for the Social Innovation Fund, which is designed to promote promising innovative practices in non-profits to help them muster evidence of what works and build their scale and capacity to address challenges facing low-income families, it also houses the AmeriCorps program. Through AmeriCorps programs, more than 75,000 Americans give back to their communities and country through intensive service. AmeriCorps members recruit, train and supervise community volunteers, teach, tutor and mentor youth, build affordable housing, teach computer skills, clean parks and streams, run after-school programs, help communities respond to disasters, and they build the capacity of nonprofit groups to become self-sustaining.

We will keep you posted on the latest information regarding funding for CNCS and the Social Innovation Fund.

Federal Budget Update: CR until April 8

On March 18, 2011, President Obama signed legislation authorizing a three week continuing resolution (CR) to fund the government through April 8. The CR cuts approximately $6 billion in spending, including the following program cuts:

- USDA Watershed and Flood Prevention Operations (-$12 million for technical assistance),


- DOJ State and Local Law Enforcement Assistance (-$185 million for earmarked discretionary grants),

- DOJ Juvenile Justice Programs (-$91 million for earmarks),

- DOJ Community Oriented Policing Services (-$25 million for technology and interoperable communication and -$169 million for earmarks),

- DOI Historic Preservation Fund (-$25 million for Save America’s Treasures),

- EPA State and Tribal Assistance Grants ( -$162 million for various special projects and technical corrections, and -$10 million for associated program costs and for Clean Air Act Section 103 grants),

- USDA State and Private Forestry (-$6.45 million),

- DOL Career Pathways Innovation Fund (-$125 million), DOL Community Service Employment for Older Americans (-$225 million in funds available for June 30, 2011 through December 31, 2011),

- HHS State Health Access Grants (-$75 million), and

- HUD Brownfields Redevelopment (-$17.5 million).

The $6 billion in cuts would bring the total amount of cuts to federal spending in FY 2011 to $10 billion.
 

Workforce Development Opportunities in the President’s FY 2012 Budget

A skilled workforce is critical to economic recovery. Now more than ever before, Americans are paying close attention to funding opportunities that support workforce development. Recently, President Obama’s FY2012 budget proposes a $12.82 billion budget for the Department of Labor, a reduction from the FY 2010 level funding level of $13.55 billion.  Although the administration makes difficult cuts to the Department of Labor, the President does make room for new programs like the Green Jobs Innovation Fund that helps workers receive job training in green industry sectors.

Below is a list of additional workforce related budget priorities from several agencies that we believe are of particular interest to the communities we serve: 

Community Services Block Grant (CSBG)- $350 million to provide funds to lessen poverty in communities. Grant amounts are determined by a formula based on each State's and Indian Tribe’s poverty population. Funds provide a range of services and activities to assist the needs of low-income individuals including the homeless, migrants and the elderly.

Community Development Block Grant (CDBG)-$3.7 billion to support community development projects that will renovate streets, sidewalks, housing construction/renovation, and loans for small businesses. Part of these funds are set aside for a range of human service activities, including social services, education and job training.

Green Jobs Innovation Fund (GJIF)-$60 million to support competitive grant opportunities to help workers receive job training in green industry sectors and occupations and access green career pathways.

Job Corps- $1.69 billion to support Job Corps, an education and vocational training program administered by the U.S. Department of Labor that helps young people ages 16 through 24 improve the quality of their lives through vocational and academic training.

Second Chance Act/ Offender and Re-Entry- $100 million to improve outcomes for people returning to communities from prisons and jails. This first-of-its-kind legislation authorizes federal grants to government agencies and nonprofit organizations to provide employment assistance, substance abuse treatment, housing, family programming, mentoring, victims support, and other services that can help reduce recidivism.

Trade Adjustment Assistance Community College and Career Training Program- the program provides $500 million annually for competitive grants to eligible institutions of higher education. The program aims to improve education and employment outcomes for community college and other students.

Temporary Assistance to Needy Families (TANF)- The President’s proposal continues level funding for the Temporary Assistance to Needy Families (TANF) entitlement to the states.  The budget does not set forth a legislation reauthorization proposal.  The document expresses a willingness to discuss a variety of proposals and approaches. 

YouthBuild- $155 million to support YouthBuild, a youth and community development program that simultaneously addresses core issues facing low-income communities: housing, education, employment, crime prevention, and leadership development.

WIA Innovation Funds- $379 million to support the Workforce Innovation Fund, a partnership between the Department of Labor and the Department of Education that would support competitive grants to test and replicate innovative research-based strategies to improve the skills and employment outcomes of adults and youth. 

                                                                                                                                             

We have often stressed the importance of the federal budget in addressing employment and economic needs of families in low-income communities. We will continue to provide up to date information on workforce related funding opportunities. For more information.

Budget Update - Two Week Extension and House/Senate Proposals

As an update, on March 3rd H.J.Res 44 was signed by the President, providing an extension of federal funding through March 18. The resolution contained $4 billion dollars in budget cuts and eliminated earmarks. Eight grant programs totaling $1.24 billion were cut, many of which were proposed for elimination in the President's prior budget proposals. They include several department of education grants: 

• Striving Readers program (U.S. Department of Education), saving $250 million. 
• LEAP program (U.S Department of Education), saving $64 million.  
• Even Start (U.S. Department of Education), saving $66 million.  
• Smaller Learning Communities (U.S. Department of Education), saving $88 million 

The full text of the resolution can be found here.

Congress will continue to work through the budget proposals now on the table. Recall that on February 11, House Republicans crafted a CR containing spending reductions that would cover the rest of the fiscal year and amount to $100 billion below the President’s proposed FY 2011 budget. This proposal zeroes out many of the programs that are critical to communities trying to improve outcomes for children and families. Several organizations are advocating for alternatives, and we will keep you updated as the budget process progresses. For more information on the House's current proposal, please see:

A Better Buddget for All: Saving Our Economy and Helping Those in Need, Coalition on Human Needs

House Bill Means Fewer Children in Head Start, Less Help for Students to Attend College, Less Job Training, and Less Funding for Clean Water, Center on Budget and Policy Priorities


**As an update, on March 4, Senate democrats introduced their plan for keeping the federal government funded through September which includes $6.5 billion in funding cuts. Their proposal includes $20 million for Promise Neighborhoods. Full information on the Senate proposal can be accesed here.

All Eyes on Education: Obama’s 2012 Education Budget

Obama’s 2012 budget provides the U.S. Department of Education with a $77.4 billion education budget, a significant increase from the investments made in the FY 2011 budget proposal to support educational opportunities for children. Remaining true to the administration’s commitment to cradle to career solutions, Promise Neighborhoods received a budget request of $150 million, a $140 million boost over current funding levels.  

Below is a list of additional education budget priorities that we believe are of particular interest to the communities we serve:

21st Century Community Learning Centers-$1.3 billion to support competitive grants and other activities to assist States, LEAs, non-profit organizations or local governmental entities in operating 21st Century Community Learning Centers.


Advanced Research Project Agency (ARPA-ED)-$90 million to support a new initiative that would pursue breakthrough developments in education technology, including improvement s in learning systems and support systems for educators.

Career and Technical Education-$1 billion to support continued improvement and upgrading of Career and Technical Education programs as part of a strategy for creating career pathways at the secondary and postsecondary levels to help students enter the workforce ready for successful careers.

Early Learning Challenge Fund-$350 million to support competitive grants to States to establish model systems of early learning for children from birth to kindergarten entry that promote high standards of quality and a focus on outcomes across settings to ensure that more children enter school ready to succeed.

Fund for Improvement of Postsecondary Education (First in the World Competition) -$123 million to support a broad range of postsecondary reform and improvement projects. The majority of funds in 2012 would support the First in the World competition, which would be modeled after the Investing in Innovation (i3) program for K-12.

GEAR UP-$323 million to support this discretionary grant program designed to increase the number of low-income students who are prepared to enter and succeed in postsecondary education.

Investing in Innovation Fund -$300 million to support grants to LEAs or to nonprofit organizations in consortium with one or more schools or LEAs to develop and expand innovative strategies and practices that have been shown to be effective in improving educational outcomes for students. A portion of the funds would be used for technical assistance, dissemination, prize awards, social impact bonds, and other national activities.

Pell Grants- 28.6 billion in funding appropriation for fiscal year 2012, up from 17.5 billion in fiscal year 2010. Previously, the administration proposed to fund Pell Grant as an entitlement, removing it from the annual appropriations process and funding it through mandatory spending. In 2012, the administration has decided to fund the program through a maximum annual Pell grant award of $5,550 that rises with inflation starting in 2013 funded through appropriations and a mandatory formula.

Race to the Top-$900 million to support grants to State educational agencies (SEAs) and local educational agencies (LEAs) to create incentives for State and local reforms and innovations designed to lead to significant improvements in student achievement, high school graduation rates, and college enrollment rates, and to significant reductions in achievement gaps. The new competition would place a particular focus on cost-effective reforms that improve student achievement in an era of tight budgets and allow school districts to compete directly for funds.

School Improvement (Turnaround) Grants-$600 million to support the reauthorized School Turnaround Grants (currently school improvement grants) program. This program would play a critical role in the new Title I statewide accountability systems that would be created under the Administration’s ESEA reauthorization plan by providing significant resources for LEAS to implement rigorous school intervention models in their lowest-performing schools.

Special Education-$11.7 billion to support the Individuals with Disabilities in Education Act (IDEA), Part B. This is a $200 million increase to support special education grants to states. IDEA Part C, will receive a $50 million increase for grants for infants and families.


Teacher and Leader Innovation Fund-$500 million to support competitive grants to States and LEAs willing to implement bold approaches to improving the effectiveness of the education workforce in high-need schools and districts by creating the conditions needed to identify, reward, retain, and advance effective teachers, principals, and school leadership teams in those schools, and enabling schools to build the strongest teams possible.

Title I, Part A “College and Career Ready Students” Program -$14.8 billion to support Title I, Part A grants to local education agencies (LEAs), $200 million more than in fiscal year 2010 and the current 2011 Continuing Resolution. The program now incorporates Title I Rewards, which is a $300 million fund to support schools that are making progress in boosting student achievement. The budget makes changes to the Title I program in terms of how schools are assessed. For instance, “adequate yearly progress” would be replaced by school performance measures based on student achievement.

TRIO College Access-$920 million to support the Federal TRIO Programs (TRIO) which includes eight programs targeted to serve and assist low-income individuals, first-generation college students, and individuals with disabilities to progress through the academic pipeline from middle school to post-baccalaureate programs.

The President’s Budget eliminates 13 discretionary programs and consolidates 38 K-12 programs into 11 new programs that emphasize using competition to allocate funds, giving communities more choices around activities, and using rigorous evidence to fund what works.However, the President's proposed 2012 education budget starkly contrasts with the bill introduced by House Republican leaders Friday night. The GOP education budget for FY2011 would cut $4.9 billion from the U.S. Department of Education's budget. Pell Grants and special education programs would also be substantially cut. 

Resources:

Department of Education Budget, Office of Management and Budget

Summary and Analysis of President Obama’s Education Budget Request, New America Foundation

Briefing on President’s Education Budget, DOE

House GOP Looks to Slash Education Spending, Education Week 

Federal Budget Blog Posts, Investing in Community Change