Obama’s Budget Proposes a Significant Increase for Schools, New York Times, 14 février 2011

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By Sam Dillon and Tamar Lewin

President Obama proposed a 2012 Department of Education budget on Monday that would, if approved, significantly increase federal spending for public schools, and maintain the maximum Pell grant — the cornerstone financial-aid program — at $5,550 per college student.

Whether it will be possible to keep that Pell maximum remains uncertain, however, given that House Republicans have proposed cutting the maximum by about $845, or 15 percent, in their proposal to extend the current budget.

The administration’s education proposal asks for $77.4 billion. That includes $48.8 billion for the portion of the education budget that does not include Pell grants, or an increase of about 4 percent above the 2010 budget. Congress has not yet enacted the 2011 budget.

Among education programs that the administration was protecting was Race to the Top, the competitive grant program that the administration has made its centerpiece initiative. Last year the administration used the Race to the Top to channel $4 billion in economic stimulus money to New York and other states that had proposed bold school improvement plans.

The 2012 budget proposal includes $900 million for Race to the Top, which the administration says would be awarded this time not to states but to school districts. That would make it possible, for instance, to channel money to Houston or other districts in Texas that wanted to compete in the Race to the Top initiative but could not because their state declined to participate.

Some House Republicans are skeptical of the program, however, and — like other line items in the education budget — it could face trims or elimination as Congress works on its own budget and the administration’s.

The Republicans also propose to cut $1.1 billion from the Head Start program, which, according to estimates by the National Head Start Association, would eliminate services for more than 200,000 children and the jobs of more than 50,000 Head Start employees.

Reacting to the administration’s budget, Representative John Kline, the Minnesota Republican who is chairman of the House Education and the Workforce Committee, indicated a reluctance to invest more in education.

“Over the last 45 years we have increased our investment in education, but the return on that investment has failed to improve student achievement,” Mr. Kline said. “Throwing more money at our nation’s broken education system ignores reality and does a disservice to students and taxpayers.”

The administration’s education proposal also includes $600 million for School Turnaround Grants, another favorite of the president and of Secretary of Education Arne Duncan. This would be a $54 million increase above 2010 levels. The turnaround effort, which the administration hopes will finance makeovers of thousands of the country’s worst schools, was also financed with billions in economic stimulus money.

The vast program known as Title I, which channels money to school districts to help them educate disadvantaged children, would receive $14.8 billion, an increase of $300 million over 2010.

Last year, the president said that, to remain competitive, the nation must increase the number of college graduates. But forced to make deep cuts in many areas of government, the president now proposes to eliminate some provisions of the Pell program, which has doubled in size over five years, and serves nine million low-income students. The administration’s budget would end Pell grants for summer students and end interest subsidies on graduate students’ loans.

“We’re making some tough choices to protect the Pell grant,” Justin Hamilton, a department spokesman, said Monday in an e-mail statement. “We’re cutting where we can so that we can invest where we must.”

Congress passed the legislation providing an extra $36 billion over 10 years for the Pell program, and increasing the maximum grant to $5,550 only last year. But with the new Congress’s emphasis on cost-cutting, Pell grants became a prime focal point for cost-cutting. Beyond the 15 percent cut in this fall’s Pell grants, the House Republicans’ proposal would, over 10 years, cut $56 billion from the program.

Mr. Kline said the Democrats had expanded Pells beyond what taxpayers can afford and put the program on the path to bankruptcy.

But education groups warned that cutting the Pell program would put college out of reach for many low-income students.

“With millions of Americans struggling to make ends meet, cutting Pell grants would pull the rug right out from under students and families who are counting on these crucial grants to help pay for college this fall,” said Lauren Asher of the Project on Student Debt.