Alabama’s K-12 public schools are still waiting to learn the fate of at least $68 million in federal funding unexpectedly frozen barely a month before the start of the new school year.
District officials expected to have access to that funding on July 1, the start of the federal budget year. But an email on June 30 from the U.S. Office of Elementary and Secondary Education told Alabama officials the funds would remain unavailable pending a review. The message, reviewed by Alabama Daily News, did not explain the delay in detail and was not signed.
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The pause affects multiple federal education programs — primarily those supporting teacher salaries, English language learners, professional development and afterschool and summer learning.
While state leaders are cautiously optimistic the funds will be released, districts are already scrambling to shift budgets, scale back services or dip into reserves. At least $16 million in afterschool program funding is frozen, with more at stake for community organizations across Alabama.
State Superintendent Eric Mackey said he’s hopeful the review will be resolved quickly.
“Money has already been committed to schools,” he said. “Schools have already made plans for the money.
“It is directly tied, most of it, to teacher salaries, and so we certainly hope that Congress will look at that and say, ‘Yeah, we really don’t need to do that.’ We need to make sure that we fund our schools adequately.”
Federal funds make up about 10% of overall K-12 budgets in Alabama. But in high-need districts, that share can climb to 25%. For fiscal year 2025, Alabama was slated to receive more than $600 million in federal education aid.
“The Department remains committed to ensuring taxpayer resources are spent in accordance with the president’s priorities and the department’s statutory responsibilities,” the email stated.
Funds on hold
The funds on hold were authorized by Congress under federal Titles I-C, II-A, III-A and IV-B. Each title, or section of federal law, specifies a certain activity or population of students the funds are targeting:
- Title I-C – Migrant students
- Title II-A – Effective teachers — Helps reduce class sizes by providing additional personnel such as teachers or interventionists
- Title III-A – English learner activities — Supports students learning English
- Title IV-B – 21st Century Community Learning Centers — Provides funding for afterschool and summer learning activities
While the email also listed Title IV-A funds among those frozen — totaling $22 million for Alabama — Mackey told Alabama Daily News it is not being withheld. Those funds support schools in providing enrichment activities for vulnerable students.
Many districts had already made budget commitments, hired staff and launched programs assuming the money would be available.
During a recent state board work session, Mackey said the lack of clarity is creating logistical headaches.
“It’s a bit of a back and forth because the letter came from the department of ed — the notice did — but they are referring all questions to another federal agency, Office of Management and Budget.”
“Management and Budget says, ‘We’re not saying you’re not going to get the money. We’re just reviewing the use of funds before you get them.’”
EDITOR’S NOTE — This story was written by Trisha Powell Crain and originally published by Alabama Daily News.
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