The Advocate March 2025: Federal Funding

“Are we headed for another shutdown?” is the question on everyone’s mind in Washington, D.C. Majorities of Democrat staff believe that a shutdown is likely whereas Republican staff seem more bullish that negotiations will be successful over the next few days.

Despite being halfway through the fiscal year (federal fiscal year 2025 started October 1 and runs through September 30, and those funds will be in schools for the 25-26 school year), Congress is still operating under a continuing resolution (CR). The current CR expires on March 14^th leaving lawmakers limited time to negotiate to avert a shutdown. If Congress is able to come to an agreement, the current expectation is that Congress will pass a year-long CR (funding through September 30^th), so they can shift focus to FY26 funding. If they are unable to come to an agreement, it is unclear how long a government shutdown could last.

While CRs can include funding adjustments (i.e. reductions or increases for various programs), such modifications are rare, especially with the tight timeline. Given the House FY25 proposal gutted Title I funding by 25% and eliminated Titles II and III, a CR is a safer alternative for education funding at this time.

Unfortunately, the most recent reports are stating that bipartisan negotiations have broken down due to policy disputes related to the recent actions by the Department of Government Efficiency (DOGE). As a reminder, if the government shuts down, these are the education programs that are immediately impacted: Impact Aid, Head Start and school nutrition.

Democrats appear unwilling to negotiate for a full-year CR if there are no guarantees in writing by Republican appropriators that the funding for specific programs will not be held up by the Administration via DOGE or other fiscal maneuvers. Due to the flurry of actions related to spending reviews and restrictions within the executive branch, particularly through actions taken by DOGE, Democrats are seeking assurances that programs funded under the FY25 CR will be distributed appropriately. While the actions for DOGE have had tangential impacts for districts, there are a few major grant programs designed to strengthen the educator workforce—Supporting Effective Educator Development (SEED), Teacher Quality Partnership (TQP), and the Teacher and School Leader Incentive Program (TSL)—where grants have been cancelled or indefinitely paused. These programs are essential in developing high-quality, affordable, work-based pathways to expand the pool of qualified teachers, particularly in high-need subject areas. In addition, the Institute of Education Sciences saw 169 contracts terminated, effectively halting much of its research and data collection efforts.

The annual appropriations packages (funding laws) crafted by bipartisan majorities of Congress are at odds with the Administration’s recent actions to cancel grants to increase the number of highly trained educators and to pause the evaluation of student performance and effective educational programs to improve student achievement. While it is the prerogative of any new Administration to set new priorities for education, there are legal and constitutional means to do so; AASA has joined a few letters requesting the Trump administration to abide by precedent and distribute the funding set forth in statute.

AASA also sent a letter to lead appropriators in Congress urging them to swiftly complete FY25 funding and prioritize investment in the nation’s public schools. Read the full letter here.