The U.S. Department of Education has approved about $1.7 billion in K-12 spending extensions for COVID-19 emergency funding under the American Rescue Plan. The Education Department had not rejected any state's application in full to extend spending under the various COVID emergency funding programs, as of Nov. 21.
The bulk of the ARP spending extensions — about $1.3 billion — is for seven states and Puerto Rico to extend their spending deadline for the ARP-Elementary and Secondary School Emergency Relief allocations to school districts. Those states are Alabama, Delaware, Iowa, Kansas, Kentucky, Massachusetts and Nebraska.
The remaining $425 million is for eight states to extend spending from ARP-Emergency Assistance to Non-Public Schools, according to updated information from the Education Department as of Nov. 21. Those states are California, Colorado, Kansas, Massachusetts, Missouri, New York, Texas and Utah.
Another 10 states and Puerto Rico had ARP extension requests under review by the Education Department. ARP is the last and largest — at a total of $121.9 billion — of the three COVID emergency aid packages approved by Congress for K-12 schools.
States and districts had to make spending commitments for their ARP dollars by Sept. 30, 2024. For states without spending extensions, ARP funds must be liquidated by Jan. 28, 2025. Those approved for extensions have an extra 14 months — or through March 30, 2026.
More states may seek ARP spending extensions as the January deadline nears. State education agencies file late liquidation requests to the Education Department on behalf of school districts.
The Texas Education Agency, for example, had asked districts to send in requests to the state for spending extensions, if needed, by Nov. 30. Allowable justifications for extensions include delays in supply chain, receiving services or procurement.
About half of the states, outlying areas, Puerto Rico and the District of Columbia also were approved for spending extensions for ESSER allocations under the earlier COVID aid packages for K-12 — the Coronavirus Aid, Relief, and Economic Security Act and the Coronavirus Response and Relief Supplemental Appropriations Act. Those allocations had earlier obligations and spending deadlines.
Survey data released earlier this year by the Association of School Business Officials International found that 13% of districts surveyed were interested in late liquidation flexibility. Reasons given included supply chain issues, construction delays, need for more time to spend strategically, and desire to extend tutoring and student programs beyond 2024.
"While most districts didn't require an extension, some still needed this flexibility, and we’re glad to see state agencies and the Department working with those districts to grant them more time," said Elleka Yost, director of advocacy and research at ASBO, in an email. "Many critics had said they were worried districts wouldn’t spend these funds in time, but the overwhelming majority have."
Most states — 33 — have spent 90% or more of their total ESSER funds, according to an Education Department dashboard last updated Sept. 30. Any federal COVID emergency money left unspent by districts and states will eventually revert to the Education Department.
Yost added that although ESSER spending is coming to an end, school districts are continuing to identify ways to address student academic recovery, digital learning, mental health and other needs. "The funding sources may change, but the spending priorities don’t — it’s all about what’s best for students.”
