Fiscal Year 2018 Budget

Summary and Background Information

Table of Contents

Page

I. SUMMARY OF THE 2018 BUDGET ....................................................................................... 1

Department of Education Discretionary Appropriations ...........................................................2

Major Initiatives for Fiscal Year 2018.......................................................................................2

Improving School Choice ...................................................................................................2

Maintaining Support for the Nation’s Most Vulnerable Students .........................................3

Preparing Students and Simplifying Funding for Postsecondary Education........................4

Building Evidence Around Innovation.................................................................................4

Streamlining Existing Programs .........................................................................................5

II. THE 2018 EDUCATION BUDGET BY PROGRAM AREA...................................................... 6

A. ELEMENTARY AND SECONDARY EDUCATION .............................................................6

Overview............................................................................................................................6

Title I Grants to Local Educational Agencies ......................................................................7

Education Innovation and Research...................................................................................8

Charter Schools Grants......................................................................................................8

State Assessments ............................................................................................................9

Supporting Effective Educator Development ......................................................................9

Teacher and School Leader Incentive Grants ....................................................................9

Magnet Schools Assistance ...............................................................................................9

Promise Neighborhoods...................................................................................................10

School Safety National Activities ......................................................................................10

English Language Acquisition ..........................................................................................10

Title I State Agency Programs..........................................................................................11

Migrant Education.......................................................................................................11

Neglected and Delinquent Education..........................................................................11

Education for Homeless Children and Youths ..................................................................11

Rural Education................................................................................................................11

Indian Education ..............................................................................................................12

Comprehensive Centers...................................................................................................12

Impact Aid........................................................................................................................13

Training and Advisory Services ........................................................................................13

Supplemental Education Grants.......................................................................................14

Preschool Development Grants........................................................................................14

B. SPECIAL EDUCATION AND REHABILITATIVE SERVICES ...........................................15

Overview..........................................................................................................................15

Special Education ............................................................................................................16

Grants to States ...............................................................................................................16

Preschool Grants .............................................................................................................17

Grants for Infants and Families ........................................................................................17

State Personnel Development..........................................................................................17

Technical Assistance and Dissemination .........................................................................17

Personnel Preparation......................................................................................................18
Parent Information Centers ..............................................................................................18

Educational Technology, Media, and Materials ................................................................18

Rehabilitation Services.....................................................................................................19

Vocational Rehabilitation (VR) State Grants.....................................................................19

Client Assistance State Grants.........................................................................................19

Training............................................................................................................................20

Demonstration and Training .............................................................................................20

Independent Living Services for Older Blind Individuals ...................................................20

Protection and Advocacy of Individual Rights...................................................................20

Helen Keller National Center for Deaf-Blind Youths and Adults........................................21

Special Institutions for Persons with Disabilities ...............................................................21

American Printing House for the Blind ........................................................................21

National Technical Institute for the Deaf .....................................................................21

Gallaudet University ...................................................................................................21

C. CAREER, TECHNICAL, AND ADULT EDUCATION ........................................................22

Overview..........................................................................................................................22

Career and Technical Education ......................................................................................22

Adult Education................................................................................................................23

D. STUDENT FINANCIAL ASSISTANCE .............................................................................24

Overview..........................................................................................................................24

Student Aid Summary Tables...........................................................................................26

Federal Pell Grant Program .............................................................................................28

Campus-Based Aid Programs..........................................................................................28

Federal Supplemental Educational Opportunity Grants....................................................28

Federal Work-Study .........................................................................................................29

Perkins Loans ..................................................................................................................29

Iraq and Afghanistan Service Grants................................................................................30

TEACH Grants .................................................................................................................30

Federal Family Education Loans and Direct Loans ..........................................................31

E. HIGHER EDUCATION PROGRAMS ...............................................................................33

Overview..........................................................................................................................33

Title III: Aid for Institutional Development .........................................................................34

Aid for Hispanic-Serving Institutions (HSIs)......................................................................36

Tribally Controlled Postsecondary Career and Technical Institutions ...............................36

Special Programs for Migrant Students ............................................................................37

Federal TRIO Programs...................................................................................................37

Gaining Early Awareness and Readiness for Undergraduate Programs (GEAR UP) .......38

Graduate Assistance in Areas of National Need (GAANN)...............................................38

Model Transition Programs for Students with Intellectual Disabilities into Higher Education 

(TPSID)........................................................................................................................38

Howard University ............................................................................................................38

Academic Facilities ..........................................................................................................39

F. INSTITUTE OF EDUCATION SCIENCES........................................................................40

Overview..........................................................................................................................40

Research, Development, and Dissemination....................................................................40

Statistics ..........................................................................................................................40

Regional Educational Laboratories (RELs).......................................................................40

Assessment .....................................................................................................................41

Research in Special Education.........................................................................................41
Statewide Longitudinal Data Systems ..............................................................................41

Special Education Studies and Evaluations......................................................................42

III. PROGRAMS PROPOSED FOR ELIMINATION...................................................................43

A. Proposed Discretionary Program Eliminations .................................................................43

B. Programs No Longer Authorized by ESEA.......................................................................47

IV. DEPARTMENTAL MANAGEMENT .....................................................................................49

History and Background ........................................................................................................49

Salaries and Expenses Overview..........................................................................................50

Program Administration....................................................................................................50

Student Aid Administration ...............................................................................................51

Office for Civil Rights........................................................................................................52

Office of Inspector General ..............................................................................................52

APPENDICES...........................................................................................................................53
“We must enrich the mind and the souls of every American child. Education is the civil rights 

issue of our time. I am calling upon members of both parties to pass an education bill that funds 

school choice for disadvantaged youth, including millions of African American and Latino 

children. These families should be free to choose the public, private, charter, magnet, religious, 

or home school that is right for them.” 

President Donald Trump

I. SUMMARY OF THE 2018 BUDGET

The President’s commitment to improving education grew out of his conviction that for too long 

our education system has tolerated an unacceptable achievement gap between disadvantaged 

and minority students and their more privileged peers. It is clear that top-down, 

Washington-directed education reform has not worked, despite discretionary spending 

quadrupling at the Department of Education from fiscal year 1989 to fiscal year 2016, rising from 

$17.1 billion to $68.3 billion.

The President’s Budget Request would refocus on the Department’s mission of supporting 

States, school districts, and postsecondary institutions in their efforts to provide a high-quality 

education to all our students. The 2018 President’s Budget would provide robust funding for the 

President’s top priority of ensuring that every child has the opportunity to attend a high-quality 

school selected by his or her parents, maintain strong support for the Nation’s most vulnerable 

students, simplify funding for college, continue to build evidence around educational innovation,

and streamline Department programs consistent with a limited Federal role in education.

Consistent with the reauthorization of the Elementary and Secondary Education Act by the 

Every Student Succeeds Act, the 2018 request recognizes the primary role of States and school 

districts in turning around failing schools, improving classroom instruction, and closing 

achievement gaps. The achievement gaps in education result in hundreds of billions of dollars 

of lost economic potential every year and this disparity disproportionately harms minority 

students. Currently, more than 40 percent of African-American male students do not graduate 

from high school.

The 2018 Budget places power in the hands of parents and families. Research shows that 

increasing school options can have positive effects on students generally, and an even greater 

impact on poor and minority students. If we truly want to provide better education to 

underserved communities, then we must start by giving parents and students the power to 

select high-quality schools that meet their needs.

The President requests $59 billion in discretionary appropriations for the Department of 

Education in fiscal year 2018, a $9 billion or 13 percent reduction below the 

2017 annualized Continuing Resolution (CR) level. The request includes $1.4 billion to 

support new investments in public and private school choice. A full-year 

2017 appropriation was not enacted at the time the fiscal year 2018 Budget was prepared; 

therefore, the Budget is built off of the Further Continuing Appropriations Act, 2017

(P.L. 114-254). The amounts included for 2017 reflect the annualized level provided by 

the Continuing Resolution. The Department of Education Appropriations Act, 2017, 

provides $68.2 billion in discretionary funding, a decrease of $67.6 million, or 0.1 percent, 

below the 2016 level.

The 3-year table below displays the 2018 President’s Request without Pell Grants, the 

2018 discretionary request for the Pell Grant program, and the 2018 total discretionary request.
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Department of Education Discretionary Appropriations

(in billions of dollars)

Program Information

2016

2017

Annualized CR

2018

Request

Change

from 2017

Discretionary

(without Pell Grants) $45.8 $45.7 $36.5 -$9.2

Pell Grants

(discretionary portion) $22.5 $22.4 $22.4 0.0

Total $68.3 $68.2 $59.0 -$9.2

The Department’s Budget also includes mandatory funds. In general, mandatory funding does 

not require an annual appropriation because authorizing legislation establishes a fixed funding 

level or a method for calculating automatic appropriations without further congressional action. 

The largest mandatory programs in the Department's Budget are federally subsidized loans for 

postsecondary students, the costs of which are estimated based on assumptions about the cost 

of Federal borrowing, loan volume, origination fees, repayments, and defaults. In total, 

discretionary and mandatory funding would make available $193.1 billion in aid to education in 

fiscal year 2018, of which $134.2 billion would fund new postsecondary grants, loans, and 

work-study assistance to help an estimated 12.2 million students and their families pay for 

postsecondary education and training.

Major Initiatives for Fiscal Year 2018

The 2018 Budget Request focuses on five major priorities: (1) providing robust funding for the 

President’s top priority of ensuring that every child has the opportunity to attend a high-quality 

school selected by his or her parents; (2) maintaining strong support for the Nation’s neediest 

students; (3) preparing students and simplifying funding for postsecondary education;

(4) continuing to build evidence around educational innovation; and (5) streamlining Department 

programs consistent with a limited Federal role in education.

Improving School Choice

President Trump believes that one of the best ways to improve equity in our schools is to give 

parents the information and options necessary to make the best choices for their children’s 

education. School choice increases equity for our Nation’s students and families by placing

power in the hands of parents and families to choose schools that are best for their children. 

The 2018 request would expand choice through the following initiatives that represent a down 

payment on the President’s goal of investing $20 billion annually in public and private school 

choice:

• A $1 billion increase for the Title I Grants to Local Educational Agencies (LEAs) program,

dedicated to Furthering Options for Children to Unlock Success (FOCUS) grants, for a 

proposed fiscal year 2018 Title I total of $15.9 billion. The proposed FOCUS grants would 

provide supplemental awards to school districts that agree to adopt weighted student 

funding combined with open enrollment systems that allow Federal, State, and local funds to 

follow students to the public school of their choice.

• A $250 million increase for the Education Innovation and Research program for competitive 

awards for applicants to provide scholarships for students from low-income families to attend 
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the private school of their choice and to build the evidence base around private school 

choice.

• A $167 million increase for the Charter Schools program to strengthen significant State 

efforts to start new charter schools or expand and replicate existing high-performing charter 

schools while providing up to $100 million to meet the growing demand for charter school 

facilities.

Maintaining Support for the Nation’s Most Vulnerable Students

In addition to increased funding and new incentives for expanding choices for students and 

parents, the 2018 request maintains strong support for longstanding State formula grant 

programs that help States and school districts meet the educational needs of poor and minority 

students, students with disabilities, English learners (ELs), homeless students, migrant 

students, and neglected and delinquent students. Support for key programs includes: 

• Level funding of $14.9 billion for the core Title I Grants to LEAs program to support State 

and local efforts to ensure that more than 25 million students in high-poverty schools have 

access to rigorous coursework and teaching.

• $12.7 billion to maintain the Federal investment in the Individuals with Disabilities Education 

Act formula grant programs, which help support services for the 6.8 million children with 

disabilities nationwide and States in their ongoing work to design and implement program 

improvement efforts under the Department’s Results Driven Accountability framework. 

• $736.0 million for the English Language Acquisition program to implement effective 

language instruction educational programs designed to help ELs attain English language 

proficiency. The program also awards grants that support professional development for 

teachers of ELs and a clearinghouse of research-based information about instructional 

methods, strategies, and programs for ELs.

• $374.0 million for Migrant Education to provide formula-based assistance to meet the 

educational needs of children of migrant agricultural workers and fishers who may 

experience educational disruption and other challenges resulting from repeated moves.

• $175.5 million for Rural Education to help both small and low-income rural school districts 

address the unique challenges of providing a high-quality education in rural areas that often 

lack access to many of the educational resources found in larger urban and suburban 

districts.

• $143.7 million for Indian Education Grants to supplement the efforts of States, LEAs, and 

Indian tribes to improve educational opportunities for Indian children so that they can 

achieve the same academic outcomes as other students.

• $69.9 million for Education for Homeless Children and Youths to provide State formula 

grants to help homeless children enroll in, attend, and succeed in school. Grants fund such 

services as preschool programs, enriched supplemental instruction, before- and after-school 

programs, transportation, and health care referrals.
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• $47.5 million for Neglected and Delinquent Education to provide State formula grants to 

support education services for neglected and delinquent children and youth in local and 

State-run institutions, attending community day programs, and in correctional facilities.

Preparing Students and Simplifying Funding for Postsecondary Education

The President’s 2018 Request would continue support for Federal programs that help prepare 

low-income and minority students for postsecondary education, targeted student financial aid 

programs that help students and families pay rising college costs, and programs that strengthen 

postsecondary institutions serving large proportions of minority students. As Congress prepares 

to reauthorize the Higher Education Act, the Department looks forward to working with them to 

address student debt and higher education costs while accelerating student completion rates 

and reducing the complexity of student financial aid. Key strategies include:

• Simplifying student loan programs and student loan repayment by replacing five different 

income-driven repayment plans with a single plan aimed at prioritizing effective loan 

repayment for undergraduate borrowers. To support this ambitious proposal, and to 

generate savings to help put the Nation on a more sustainable fiscal path, the Budget 

proposes a package of targeted reforms along with the elimination of Public Service Loan 

Forgiveness and subsidized student loans.

• Safeguarding and strengthening the Pell Grant program by level funding the discretionary 

appropriation and supporting year-round Pell, which will increase aid available by 

$16.3 billion over 10 years. The Budget also proposes the cancellation of $3.9 billion from 

unobligated carryover funding; this cancellation will have no effect on students and will leave

the Pell program on sound footing.

• Eliminating the Federal Supplemental Educational Opportunity Grant program, a less 

well-targeted method of delivering need-based aid than the Pell Grant program. This 

reduction will save $732.0 million from the 2017 annualized CR level. 

• Providing $808.3 million for the Federal TRIO Programs and $219.0 million for Gaining Early 

Awareness and Readiness for Undergraduate Programs (GEAR UP), resulting in savings of 

$193.1 million from the 2017 annualized CR level. Reductions focus on areas for which 

there is limited evidence of effectiveness and that can be supported with other resources.

The Budget would fully support GEAR UP continuation awards.

• Providing $492.2 million for Historically Black Colleges and Universities, Minority-Serving

Institutions, and Hispanic-Serving Institutions through the Higher Education Act 

Titles III and V programs that help to close gaps among racial and socioeconomic groups in 

college enrollment and degree attainment by improving these institutions’ academic 

programs, institutional capacity, and student support services.

• Reducing Federal Work-Study by $487.8 million while reforming the program by limiting 

eligibility to undergraduate students who would benefit most.

Building Evidence Around Innovation

The Department builds evidence around educational innovation through reliable data, strong 

research, and rigorous evaluations that can both improve programmatic decision making at the 

Federal level and, more importantly, help States and school districts identify what works to 
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improve student outcomes. The 2018 Budget provides strong support for activities in which 

evidence plays a critical role, including: 

• $616.8 million for the Institute of Education Sciences for continued research, evaluation, and 

statistics to help educators, policymakers, and other stakeholders improve outcomes for all 

students.

• $370.0 million for Education Innovation and Research to expand evidence-based initiatives 

to develop, validate, and scale up effective education interventions that help States and 

LEAs meet ESEA requirements. The 2018 request includes an increase of $250 million to 

support a competition to develop and evaluate projects that operate private school 

scholarship programs.

• $42.0 million for Supporting Effective Educator Development to provide continuation awards 

for evidence-based professional development activities and support for teachers and 

principals from nontraditional preparation and certification routes who serve in high-need 

LEAs.

Streamlining Existing Programs

The President’s 2018 Budget eliminates or reduces funding for more than 30 discretionary 

programs that do not address national needs, duplicate other programs, are ineffective, or are 

more appropriately supported with State, local, or private funds. These eliminations and 

reductions would decrease taxpayer costs by $9 billion. Major eliminations in the 2018 Budget

include:

• Supporting Effective Instruction State grants (Title II-A), a savings of $2.3 billion. The 

program is proposed for elimination because evidence shows that the program is poorly 

structured to support activities that have a measurable impact on improving student 

outcomes. It also duplicates other ESEA program funds that may be used for professional 

development.

• 21st Century Community Learning Centers program, a saving $1.2 billion. The program 

lacks strong evidence of meeting its objectives, such as improving student achievement. 

Based on program performance data from the 2014-2015 school year, more than half of 

program participants had no improvement in their math and English grades and nearly 

60 percent of participants attended centers for fewer than 30 days.

• Comprehensive Literacy Development Grants/Striving Readers, the elimination of which will 

save $189.6 million. This program has limited impact (only 5-8 State grants are expected in 

the final cohort) and duplicates activities that may be supported with other Federal, State, 

local, and private funds. 
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II. THE 2018 EDUCATION BUDGET BY PROGRAM AREA

A. ELEMENTARY AND SECONDARY EDUCATION

Overview

The 2018 request for elementary and secondary education reflects the reauthorization of the 

Elementary and Secondary Education Act (ESEA) by the Every Student Succeeds Act (ESSA). 

ESSA reauthorized the ESEA for the first time in 14 years and eliminated many of the 

prescriptive and obsolete requirements of the previous authorization, the No Child Left Behind 

Act.

The reauthorized ESEA recognizes that the primary responsibility for creating, improving, and 

sustaining public education systems lies with States and local school districts. Consequently, 

the new law builds on State and local reform efforts in recent years that help to ensure 

educational opportunity for all students. Key provisions include:

• Holding all students to high academic standards that prepare them for success in college 

and careers;

• Requiring that, when students and schools fall behind, steps are taken to help them

improve, with a particular focus on the lowest-performing 5 percent of Title I schools, high 

schools with low graduation rates, and schools where subgroups, including students from 

low-income families, English Learners, students with disabilities, and students of color, are 

falling behind;

• Empowering State and local decision makers to continue to refine their own systems for 

school improvement; and

• Supporting the replication and expansion of high-performing charter schools for high-need 

students, including those that emphasize strategies for increasing racial and socioeconomic 

diversity.

The Administration’s 2018 request maintains funding for essential formula grant programs that 

serve as the foundation of the ESEA’s focus on disadvantaged student groups that often 

struggle to meet challenging State academic standards, graduate high school, and transition 

successfully to a postsecondary education or a career path, including students from low-income 

families, English learners, students with disabilities, homeless students, and Native American 

students.

At the same time, the request includes three proposals designed to help deliver on 

President Trump’s commitment to ensure that every child has the opportunity to attend a 

high-quality school selected by his or her parents:

• A $1 billion increase for the Title I Grants to LEAs program, for a total of $15.9 billion in 

fiscal year 2018, dedicated to Furthering Options for Children to Unlock Success (FOCUS) 

grants. The proposed FOCUS grants would provide supplemental awards to school districts 

that agree to adopt weighted student funding combined with open enrollment systems that 

allow Federal, State, and local funds to follow students to the public school of their choice.
7

• A $250.2 million increase for the Education Innovation and Research program for 

competitive awards to applicants that propose to provide scholarships that allow students 

from low-income families to attend the private school of their choice, including both secular 

and religious private schools.

• A $167.5 million increase for the Charter Schools Program to expand significantly efforts to 

start up new charter schools or expand and replicate existing high-quality schools to meet 

the growing demand for charter school facilities.

The 2018 request also streamlines and refocuses the Federal investment in ESEA programs by 

eliminating funding for 13 programs totaling $3.9 billion that are duplicative, ineffective, or more 

appropriately supported through State, local, or private funding sources.

Title I Grants to Local Educational Agencies

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions............................................... $14,909.8 $14,881.5 $15,881.5

Title I Grants to Local Educational Agencies provides supplemental education funding, 

especially in high-poverty areas, for local programs that provide extra academic support to help

students in high-poverty schools meet challenging State academic standards. The program 

serves more than 25 million students in nearly 60 percent of all public schools. Title I Grants to 

LEAs also provides the foundation for the accountability system under ESEA, which 

emphasizes State and local responsibilities in the areas of standards and assessments, 

measuring student academic progress, reporting on performance, and supporting school 

improvement to provide all students equitable access to a high-quality education and close 

achievement gaps.

The request would maintain support for the regular Title I program while providing up to 

$1 billion to support crucially needed, locally driven efforts to make public school choice a 

meaningful reality for more students, especially the poor and minority students who are the 

focus of Title I. Specifically, the proposed Furthering Options for Children to Unlock Success 

(FOCUS) grants would support LEAs in establishing or expanding student-centered systems 

that: (1) differentiate funding based on student characteristics, providing disadvantaged 

students more funding on a per-pupil basis than other students; (2) offer a range of viable 

school options and enable the Federal, State, and local funds to follow students to the public 

school of their choice; (3) make school performance and funding data easily accessible to 

parents; and (4) empower school leaders to use funds flexibly to address student and 

community needs. Under the Administration’s proposal, LEAs (including consortia of LEAs) that 

commit to developing and implementing these funding and open enrollment systems would be 

eligible for grants, which the Department would administer under the Flexibility for Equitable 

Per-Pupil Funding (Flexibility) authority in Title I, Part E of the ESEA. 

Using funds pooled for evaluation under section 8601 of the ESEA, the Department would 

rigorously evaluate the implementation of FOCUS grants, including their impact on the equitable 

distribution of funding, the availability of public school choice options, the demographic 

distribution of students, and student achievement and other academic outcomes, such as high 

school graduation rates. To assist grantees in implementing their projects, the request includes 

authority for the Department to reserve up to $10 million for national activities including technical 

assistance and information dissemination.
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Education Innovation and Research

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions................................................ $120.0 $119.8 $370.0

The Education Innovation and Research (EIR) program, the successor to the Investing in 

Innovation (i3) program, would support the creation, development, implementation, replication, 

and scaling up of evidence-based, field-initiated innovations designed to improve student 

achievement and attainment for high-need students. The proposed $250 million increase would 

support efforts to test and build evidence for the effectiveness of private school choice as a 

strategy for (1) expanding school choices for parents who wish to send their children to 

high-quality private schools; (2) improving educational outcomes for students from low-income 

families; and (3) increasing competition in order to improve the quality and performance of all 

schools. The Department also would continue to support innovation through an open EIR 

competition for projects that would develop and expand the evidence base for effective 

interventions and innovations responding to other education needs. Increasing the evidence 

base in education will support States and school districts implement the new ESEA 

requirements to use evidence-based interventions in schools identified for comprehensive 

support and improvement or implementing targeted support and improvement plans. Further, 

an expanded evidence base will ensure that States and LEAs have the tools they need to 

address the persistent challenges in their lowest-performing schools.

Charter Schools Grants

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions................................................. $333.2 $332.5 $500.0

Through grants to State entities, charter school developers, and charter school management 

organizations, Charter Schools Grants support the startup of new charter schools and the 

replication and expansion of high-quality charter schools serving students in prekindergarten 

through grade 12. Funds also support grants to improve charter schools’ access to facilities and 

information dissemination and evaluation activities.

The request would make significant new resources available for Charter Schools Grants in 2018 

and is a central element of the Administration’s efforts to empower States and communities to 

increase the number of high-quality educational options available to meet the varied needs of 

students and their families, particularly those from underprivileged backgrounds. The request 

would expand funding for charter school developers, including through subgrants from State 

entities and through grants directly from the Department, to increase the number of available 

charter school seats and help reduce the number of students on charter school waiting lists. 

The request would also enable new, cost-effective investment of Federal funds in efforts to help 

charter schools obtain affordable, high-quality facilities through grants that improve charter 

schools’ access to credit and that promote the establishment of dedicated State funding 

streams. Finally, the request would support a strengthened set of national activities, such as 

new grants through which experts would disseminate information on priority topics, which may 

include effective models of collaboration and information-sharing between high-performing 

charter schools and other public schools.
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State Assessments

(BA in millions)

Programs

2016

2017

Annualized CR

2018

Request

State Grants ....................................................... $369.1 $369.1 $369.1

Competitive Assessment Grants........................ 8.9 8.2 8.2

Total ................................................................ 378.0 377.3 377.3

Annual, high-quality, statewide assessments aligned to challenging State academic standards 

will continue to play a key role in helping schools support student learning under the 

reauthorized Title I program while also serving as a critical element of the statewide 

accountability systems that each State must establish under the ESEA, as amended. The 

request includes $369.1 million to be distributed via formula to assist States in implementing the 

assessments required under Title I, along with $8.2 million for Competitive Assessment Grants

to support projects designed to spur innovation in assessment design and delivery and to help 

States address pressing needs they have identified for developing and implementing the next 

generation of their assessment systems.

Supporting Effective Educator Development 

Programs 2016

2017

Annualized CR

2018

Request

BA in millions....................................................... $94.0 $93.8 $42.0

The Administration requests $42 million for the SEED program, which funds teacher and school 

leader enhancement projects that have evidence of success. The SEED program previously 

was funded through an appropriations language set-aside under the Title II, Part A Improving 

Teacher Quality State Grants program. The 2018 request is a reduction of nearly $52 million 

from the 2017 annualized CR level, but would be sufficient to pay the continuation costs of 

awards made in 2017.

Teacher and School Leader Incentive Grants

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions................................................. $230.0 $229.6 $199.6

This program, the successor to the Teacher Incentive Fund, would receive nearly $200 million 

under the 2018 request, a decrease of $30 million, to support continuation costs of awards 

made in 2016 and 2017 for developing, implementing, improving, or expanding human capital 

management systems as well as performance-based compensation systems in high-need 

schools. In addition, the Department would use up to 1 percent of the funds for technical 

assistance and evaluation.

Magnet Schools Assistance

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.................................................. $96.6 $96.5 $96.5

Under this program, the Department makes competitive 5-year grants to support high-quality 

magnet schools in LEAs implementing a desegregation plan and to increase educational 
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options for parents and families. The request would support approximately 40 continuation 

awards.

Promise Neighborhoods

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.................................................. $73.3 $73.1 $60.0

The request would support an estimated 10 continuation awards from the 2016 and 

2017 competitions to local partnerships that are implementing comprehensive, 

neighborhood-based plans for meeting the cradle-to-career educational, health, and social 

service needs of children and families in high-poverty communities. The Promise 

Neighborhoods program provides effective, achievement-oriented schools and strong systems 

of support to children and youth in poverty, offering them the best hope for overcoming poverty 

and building a better life. In particular, the request supports an estimated four continuation 

awards from the 2017 competition that will prioritize grants to rural areas and areas that have 

been disproportionately impacted by the opioid epidemic or by high crime rates.

School Safety National Activities

Programs 2016

2017

Annualized CR

2018

Request

BA in millions........................................................ $75.0 $74.9 $74.9

This program, the successor to the Safe and Drug-Free Schools and Communities National 

Activities program, authorizes activities to improve students’ safety and well-being both during 

and after the school day. The 2018 request includes funds to pay continuation costs for 

activities begun in prior years to foster safe, secure, and drug-free learning environments and to 

facilitate emergency management and preparedness. Supported programs include School 

Climate Transformation grants to help schools implement evidence-based strategies to improve 

conditions for learning, Project Prevent grants to help schools in communities with pervasive 

violence to break the cycle of violence, and Promoting Student Resilience grants to LEAs in 

communities that have experienced significant civil unrest to help address the comprehensive 

behavioral and mental health needs of students. The request also includes funds for Project 

SERV (School Emergency Response to Violence) to support education-related services to LEAs 

and institutions of higher education in which the learning environment has been disrupted due to 

a violent or traumatic crisis.

English Language Acquisition

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions...................................................... $737.4 $736.0 $736.0

This program awards formula grants to States based on each State’s share of the Nation’s 

English learners and recent immigrant students. States must develop, in meaningful 

consultation with geographically diverse districts, statewide entrance and exit procedures for 

EL status, and also must ensure that districts annually assess the English proficiency of the 

EL students they serve. Schools use this funding to implement effective language instruction 

educational programs designed to help English learners attain English language proficiency. 

The program also awards grants to schools operated predominantly for Native American and 

Alaska Native students and supports national activities, including professional development for 
11

teachers of ELs and a clearinghouse of research-based information about instructional 

methods, strategies, and programs for ELs.

Title I State Agency Programs 

(BA in millions)

Programs

2016

2017

Annualized CR

2018

Request

Migrant Education ............................................. $374.8 $374.0 $374.0

Neglected and Delinquent Education................ 47.6 47.5 47.5

Total ............................................................... 422.4 421.6 421.6

Migrant Education 

State Grants provide formula-based assistance in meeting the educational needs of children of 

migrant agricultural workers and fishers, including overcoming educational disruption and other 

challenges resulting from repeated moves, so that these students can meet the same academic 

standards expected of all children. In the 2015-16 school year, 312,695 children were identified 

as eligible under the program, and States and local entities provided services to 

216,489 migrant students during the regular school year and 95,728 during the summer or 

intersessions. The Department uses a portion of funding to improve inter- and intra-State 

coordination of migrant education activities, including State exchange of migrant student data 

records through the Migrant Student Information Exchange system.

Neglected and Delinquent Education

This program provides formula grants to States to support education services for neglected and 

delinquent children and youth in local and State-run institutions, attending community day 

programs, and in correctional facilities. The request would help an estimated 80,000 neglected 

and delinquent students continue their studies while in State institutions and prepare them to 

return to and complete school and obtain employment.

Education for Homeless Children and Youths

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions..................................................... $70.0 $69.9 $69.9

This program, which is authorized by the McKinney-Vento Homeless Assistance Act as 

amended, provides formula grants to States, which subgrant most funds to LEAs for services 

and activities that help homeless children enroll in, attend, and succeed in school, such as 

preschool programs, enriched supplemental instruction, before- and after-school programs, 

transportation, and health care referrals. States may reserve funds for State-level activities, 

including implementing a comprehensive State plan for the education of these children.

Rural Education

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions....................................................... $175.8 $175.5 $175.5

The Rural Education Achievement Program (REAP) supports two programs to help rural school 

districts carry out activities to improve the quality of teaching and learning in their schools. The 

Small, Rural School Achievement program provides formula funds to rural school districts that 
12

serve small numbers of students, and the Rural and Low-Income School program provides 

funds to rural school districts that serve concentrations of poor students, regardless of the 

district’s size. Funds appropriated for REAP are divided equally between the two programs. 

The request would maintain support for rural, often geographically isolated, districts that face 

significant challenges in meeting ESEA requirements.

Indian Education

(BA in millions)

Programs

2016

2017

Annualized CR

2018

Request

Grants to Local Educational Agencies ................ $100.4 $100.2 $100.2

Special Programs for Indian Children ................. 38.0 37.9 37.9

National Activities................................................ 5.6 5.6 5.6

Total ................................................................. 143.9 143.7 143.7

Indian Education programs supplement the efforts of States, LEAs, and Indian tribes to improve 

educational opportunities for Indian children. The programs link these efforts to broader 

educational reforms underway in States and localities to help ensure that these reforms benefit 

Indian students, enabling them to master the same challenging academic standards as other 

students by better meeting their educational and cultural needs.

Grants to Local Educational Agencies provide formula grants to LEAs and to schools operated 

and supported by the Department of the Interior’s Bureau of Indian Education for activities to 

improve the educational achievement of Indian students. The request for Special Programs for 

Indian Children includes support for the Native Youth Community Projects (NYCP) initiative, 

which makes awards to high-need American Indian and Alaska Native communities to ensure 

the college- and career-readiness of Indian students. NYCP grants support projects that 

implement culturally relevant and coordinated strategies that are informed by evidence and data 

and address the greatest in- and out-of-school barriers facing students. The request also 

supports National Activities, which fund grants to support Native language immersion programs; 

State-Tribal Education Partnership grants to build the capacity of Tribal education agencies; and 

research, evaluation, and data collection activities designed to provide critical information on the 

educational status and needs of Indian students and to identify effective practices in the 

education of Indian students. 

Comprehensive Centers

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions....................................................... $51.4 $51.3 $51.3

The Comprehensive Centers provide intensive technical assistance to increase the capacity of 

State educational agencies to help districts and schools implement ESEA programs and 

requirements as well as meet State targets for student achievement. The current system 

includes 15 regional Centers that work with SEAs along with 7 Content Centers that provide 

indepth, specialized support in key areas. The program currently funds separate Centers 

focusing on: (1) standards and assessment, (2) great teachers and leaders, (3) school 

turnaround, (4) enhancing early learning outcomes, (5) college- and career-readiness and 

success, (6) building State capacity and productivity, and (7) innovations in learning. The 

2016 Appropriations Act authorized the provision of assistance to the Bureau of Indian 

Education. It also provided $1.5 million to establish a new comprehensive center focusing on 
13

students at risk of not attaining full literacy skills due to a disability; these activities would be 

continued in fiscal year 2018. The request would support a new cohort of centers to be selected 

through a competitive process in fiscal year 2018 that will reflect changing priorities and new 

demands resulting from the reauthorization of the ESEA.

Impact Aid

(BA in millions)

Programs

2016

2017

Annualized CR

2018

Request

Payments for Federally Connected Children:

Basic Support Payments ............................ $1,168.2 $1,166.0 $1,166.0

Payments for Children with Disabilities ...... 48.3 48.2 48.2

Facilities Maintenance....................................... 4.8 4.8 4.8

Construction ...................................................... 17.4 17.4 17.4

Payments for Federal Property ......................... 66.8 66.7 0.0

Total............................................................ 1,305.6 1,303.1 1,236.4

The Impact Aid program provides financial assistance to school districts affected by Federal 

activities. The presence of certain children living on Federal property across the country can 

place a financial burden on the LEAs that educate them because such property is exempt from 

local property taxes, denying LEAs access to the primary source of revenue used by most 

communities to finance education. Impact Aid helps replace the lost local revenue that would 

otherwise be available to LEAs to pay for the education of these children.

The request for Basic Support Payments would provide formula grants for both regular Basic 

Support Payments and Basic Support Payments for Heavily Impacted LEAs. The request for 

Payments for Children with Disabilities would support formula grants to help eligible districts 

meet their obligations under the Individuals with Disabilities Education Act to provide a free 

appropriate public education for federally connected children with disabilities. The request for 

Facilities Maintenance would fund essential repair and maintenance of the nine school facilities 

serving large numbers of military dependents that are owned and operated by the Department 

of Education, while also supporting the transfer of these schools to local school districts. The 

entire request for Construction would be used for competitive grants to the LEAs with the 

greatest need and would provide sufficient assistance to enable those LEAs to make major 

repairs and renovations. The Administration requests no funds for Payments for Federal 

Property because these payments compensate LEAs for lost property tax revenue due to the 

presence of Federal lands without regard to whether those districts educate any federally 

connected children.

Training and Advisory Services

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions...................................................... $6.6 $6.6 $6.6

This program supports four regional Equity Assistance Centers, selected competitively, that 

provide services to school districts on issues related to discrimination based on race, gender, 

national origin, and religion. Typical activities include disseminating information on successful 

practices and legal requirements related to nondiscrimination; providing training to educators to 

develop their skills in specific areas, such as in the identification of bias in instructional 

materials; and technical assistance on selection of instructional programs. The request would 

support the third year of funding for a cohort of Equity Assistance Center grantees, as well as 

the annual administration of a customer satisfaction survey and an analysis of its results.
14

Supplemental Education Grants

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions...................................................... $16.7 $16.7 $16.7

The request would maintain support for Supplemental Education Grants to the Federated States 

of Micronesia (FSM) and the Republic of the Marshall Islands (RMI), as authorized by the 

Compact of Free Association Amendments Act of 2003 (P.L. 108-188). Under this program, the 

Department transfers funds and provides recommendations on the uses of those funds to the 

Department of the Interior, which makes grants to the FSM and the RMI for educational services 

that augment the general operations of the educational systems of the two entities.

The request would allow the RMI and the FSM to support programs that focus on improving the 

educational achievement of students in the two Freely Associated States.

Preschool Development Grants

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions................................................... $250.0 $249.5 —

NOTE: Funds were appropriated under the Fund for the Improvement of Education in fiscal year 2016 and 

under the fiscal year 2017 annualized Continuing Resolution.

The request does not include additional funding for Preschool Development Grants, reflecting 

the anticipated completion of the fiscal year 2014 cohort of grantees in fiscal year 2017 and the 

consolidation of the program with early learning activities at the Department of Health and 

Human Services (HHS), consistent with the transfer of the program to HHS by the Every 

Student Succeeds Act.
15

B. SPECIAL EDUCATION AND REHABILITATIVE SERVICES

Overview

The Administration is committed to providing Americans with disabilities the opportunities and 

services they need to succeed in school, in the workplace, and in the community. The fiscal 

year 2018 Budget supports a wide range of programs that can improve educational, 

employment, and independent living outcomes for people with disabilities. 

The $12.9 billion request for Special Education programs focuses on improving educational and 

developmental outcomes for children with disabilities. The Administration is committed to 

ensuring that, regardless of where they go to school, all children, including children with 

disabilities, have an equal opportunity to participate in a high-quality education; are expected to 

perform to high levels; and to the maximum extent possible, are prepared to lead productive, 

independent lives. For the Grants to States program, the Administration is requesting 

$11.9 billion, level with the fiscal year 2017 annualized Continuing Resolution level, to maintain 

the Federal contribution toward meeting the excess cost of special education. Grants cover 

15 percent of the national average per pupil expenditure and provide an estimated average of 

$1,742 per student for about 6.8 million children ages 3 through 21. This funding would support 

States and local educational agencies (LEAs) as they work to improve results for children with 

disabilities. Funding for the Grants for Infants and Families and Preschool Grants programs 

would be maintained at the 2017 annualized CR level.

The $226.7 million request for Special Education National Activities would maintain support for 

technical assistance, dissemination, training, and other activities that assist States, LEAs, 

parents, and others in improving results for children with disabilities. The earmark for Special 

Olympics Education programs would be eliminated.

For Rehabilitation Services, the Budget provides $3.6 billion to support comprehensive and 

coordinated vocational rehabilitation services for individuals with disabilities through training, 

demonstration, and technical assistance, as well as other direct service programs to help 

individuals with disabilities to live more independently in their communities. In July 2014, the 

Rehabilitation Act was reauthorized by Title IV of the Workforce Innovation and Opportunity Act 

(WIOA). WIOA supports the Nation’s primary programs and investments in employment 

services, workforce development, adult education, and vocational rehabilitation.

The Administration remains committed to ensuring that individuals with disabilities have the 

opportunities to compete for and enjoy high-quality employment in the 21st century global 

economy. The $3.5 billion request for the Vocational Rehabilitation (VR) State Grants program 

includes an increase of $54.4 million over the fiscal year 2017 mandatory level, consistent with 

the inflation increase specified in the authorizing statute, to assist States and Tribal 

Governments in increasing the participation of individuals with disabilities in the workforce. As 

an integral partner in the workforce development system, the VR program is the primary Federal 

vehicle for assisting individuals with disabilities, particularly individuals with the most significant 

disabilities, to prepare for, obtain, retain, or advance in high-quality employment. 

The 2018 request also includes appropriations language that would allow the Department to use 

amounts under the VR State Grants program that would otherwise return to the Treasury to 

support innovative activities aimed at improving outcomes for individuals with disabilities. The 

requested language also would provide authority for these funds to remain available for Federal 

obligation until September 30, 2019. 
16

No funds are requested for fiscal year 2018 for the Supported Employment State Grants 

program. The Administration recognizes that supported employment can be an effective 

strategy in assisting individuals with the most significant disabilities to obtain competitive 

employment in integrated settings. However, the Administration believes that a separate 

supplemental grant program is not necessary for the provision of supported employment 

services and the proposed elimination would reduce unnecessary administrative burden and 

streamline program administration at the Federal and State levels. The increase requested for 

the VR State Grants program also would help to reduce the impact of the loss of these 

supplemental funds.

Funding for the remaining programs in the Rehabilitation Services account would be maintained 

at the 2017 annualized CR level.

The Budget includes $216.3 million for special institutions for persons with disabilities, including 

$25.4 million for the American Printing House for the Blind, $69.9 million for the National 

Technical Institute for the Deaf, and $121.0 million for Gallaudet University. 

Special Education

Grants to States

Program Information

2016

2017

Annualized CR

2018

Request

BA in millions.................................................... $11,912.8 $11,890.2 $11,890.2

Estimated average Federal share

per child (in whole dollars)......................... $1,738 $1,742 $1,742

The Grants to States program, which is authorized under the Individuals with Disabilities 

Education Act (IDEA), makes formula grants that help States pay the additional costs of 

providing special education and related services to children with disabilities aged 

3 through 21 years. The request, level with the fiscal year 2017 annualized Continuing 

Resolution level, would provide a per-child average of $1,742 for an estimated 6.8 million 

children with disabilities, which would maintain the Federal contribution of about 15 percent of 

the national average per pupil expenditure. 

Under the IDEA, States are required to provide a free appropriate public education to all 

children with disabilities. Services are provided in accordance with individualized education 

programs that are developed by teams that include the child’s parents, a special educator, a 

representative of the LEA, a regular educator, if appropriate; and others. In addition, services 

must be provided, to the maximum extent appropriate and in the least restrictive environment, 

which for most children means in classes with children who are not disabled. Students with 

disabilities also must be included in general State and district-wide assessments, including the 

assessments required under ESEA, and States must appropriately accommodate children with 

disabilities so they can participate in these assessments, or alternate assessments for those 

children with the most significant cognitive disabilities who cannot participate in regular 

assessments. 

The request for Grants to States also includes $21.5 million that would be reserved for technical 

assistance to improve the capacity of States to meet the data collection requirements of the 

IDEA.
17

Preschool Grants

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.................................................... $368.2 $367.5 $367.5

This program provides formula grants to help States make a free appropriate public education 

available to all children with disabilities ages 3 through 5. The request would provide an 

estimated $482 per child for approximately 763,000 children to supplement funds provided 

under the Grants to States program and help to ensure that young children with disabilities are 

ready to learn when they enter school. 

Grants for Infants and Families

Program Information

2016

2017

Annualized CR

2018

Request

BA in millions.................................................... $458.6 $457.7 $457.7

This program provides formula grants to help States implement statewide systems of early 

intervention services for infants and toddlers with disabilities and their families so that State and 

local agencies identify and serve children with disabilities early in life, when interventions can be 

most effective in improving educational outcomes. The request would enable States to provide 

high-quality early intervention services to approximately 352,000 infants and toddlers with 

disabilities and their families. 

State Personnel Development

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.................................................... $41.6 $41.6 $41.6

This program provides competitive grants to help States reform and enhance their systems for 

personnel preparation and professional development in the areas of early intervention, 

educational, and transition services in order to improve outcomes for children with disabilities. 

The 2018 request would cover the cost of continuation awards to State educational agencies to 

improve the knowledge and skills of special education and regular education teachers serving 

children with disabilities. It would also help recruit and retain highly qualified personnel 

providing services to children with disabilities.

Technical Assistance and Dissemination

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.................................................... $44.31 $44.31 $44.3

1 Excludes $10.1 million for Special Olympics in 2016 and 2017.

This program funds competitive grants for technical assistance and dissemination of materials 

based on knowledge gained through research and practice. The request, which is in addition to 

the separate $21.5 million set-aside under the Grants to States program to help States meet 
18

data collection requirements, would support continuation costs for projects initiated in previous 

years. 

Personnel Preparation

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions................................................... $83.7 $83.5 $83.5

This program helps ensure that there are adequate numbers of personnel with the skills and 

knowledge necessary to help children with disabilities succeed educationally. Program activities 

focus both on meeting the demand for personnel to serve children with disabilities and 

improving the qualifications of these personnel, with particular emphasis on incorporating 

knowledge gained from research and practice into training programs. The Department is 

required to support (1) training for leadership personnel and personnel who work with children 

with low-incidence disabilities, (2) at least one activity in the broadly defined area of personnel 

development, and (3) enhanced support for beginning special educators.

Parent Information Centers

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions............................................... $27.4 $27.4 $27.4

These funds support centers that provide parents with the training and information they need to 

work with professionals to meet the early intervention and special education needs of their 

children with disabilities. The request would support continuation awards for about 103 centers 

as well as awards to provide technical assistance to the centers.

Educational Technology, Media, and Materials

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.................................................. $30.0 $30.0 $30.0

This program makes competitive awards for research, development, and other activities that 

promote the use of technology, including universal design features, in providing special 

education and related services. Funds also support media-related activities, such as providing 

video description and captioning of films and television for use in classrooms for individuals with 

visual and hearing impairments and increasing the availability of books in accessible formats for 

individuals with visual impairments and other print disabilities.
19

Rehabilitation Services

Vocational Rehabilitation (VR) State Grants

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.................................................. $3,161.1 $3,398.61 $3,452.9

1 The amount shown for fiscal year 2017 is the mandatory level for the VR State Grants program and does not 

include the 6.9 percent sequester reduction for mandatory programs that went into effect October 1, 2016, pursuant 

to the Budget Control Act of 2011. The reduced fiscal year 2017 amount is $3,164.1 million.

This program provides formula grants to State VR agencies to help individuals with disabilities 

become gainfully employed. These agencies provide a wide range of services to nearly 

one million individuals with disabilities annually. Services include vocational evaluation, 

counseling and guidance, work adjustment, diagnosis and treatment of physical and mental 

impairments, education and vocational training, job placement, and post-employment 

assistance. States that are unable to serve all eligible individuals with disabilities who apply 

must give priority to individuals with the most significant disabilities. Services are provided 

according to an individualized plan for employment. In implementing the changes to

Titles I and IV of WIOA, the Department is working with its partners in the Federal workforce 

development system to improve employment outcomes for individuals with disabilities, 

particularly individuals with significant disabilities and youth with disabilities.

The Department’s request would assist States and Tribal Governments to increase the 

participation of individuals with disabilities in the workforce. Giving workers with disabilities the 

supports and the opportunity to acquire the skills they need to pursue in-demand jobs and 

careers is critical to growing our economy. The requested increase ($54.4 million over the fiscal 

year 2017 mandatory level) is consistent with the inflation adjustment specified in the 

authorizing statute (1.6 percent for 2018). In 2016, the VR program helped approximately 

186,715 individuals with disabilities―94 percent with significant disabilities―achieve 

employment outcomes. Of the amount requested for VR State grants, $43.0 million would be 

set aside to support an anticipated 88 continuation grants under the American Indian Vocational 

Rehabilitation Services program in 2018.

Client Assistance State Grants

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.................................................... $13.0 $13.0 $13.0

This program makes formula grants to States for activities to inform and advise clients of the 

benefits available to them under the Rehabilitation Act, to assist them in their relationships with 

service providers, and to ensure the protection of their rights under the Act. The request would 

support advocacy services for approximately 35,000 individuals with disabilities.
20

Training

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.................................................... $30.2 $30.1 $30.1

The Training program makes competitive grants to State and other public or nonprofit agencies 

and organizations, including institutions of higher education, to help ensure that personnel with 

adequate skills are available to provide rehabilitation services to persons with disabilities.

Demonstration and Training

program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.................................................... $5.8 $5.8 $5.8

This program supports competitive grants and contracts to expand and improve programs and 

services authorized under the Rehabilitation Act or to further the purposes of the Act in 

promoting the employment and independence of individuals with disabilities in the community. 

Funds are used to support model demonstrations, technical assistance, and projects designed 

to improve program performance and the delivery of VR and independent living services. All of 

the funds requested would be used to support the continuation costs of projects awarded in 

previous fiscal years.

Independent Living Services for Older Blind Individuals

Programs program budget authority

2016

2017

Annualized CR

2018

Request

BA in millions.................................................. $33.3 $33.3 $33.3

The Independent Living Services for Older Blind Individuals program assists individuals aged 

55 or older whose severe visual impairments make competitive employment difficult to obtain. 

Funds are provided under a formula to State VR agencies to provide services designed to help 

eligible individuals to adjust to their blindness by increasing their ability to care for their 

individual needs. In fiscal year 2015, the program served approximately 60,435 individuals with 

severe visual impairments.

Protection and Advocacy of Individual Rights

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.................................................. $17.7 $17.7 $17.7

The Protection and Advocacy of Individual Rights (PAIR) formula grant program funds systems 

in each State to protect and advocate for the legal and human rights of individuals with 

disabilities, helping them to pursue legal and administrative remedies to secure their rights 

under Federal law. The PAIR systems also provide information on, and referrals to, programs 

and services for individuals with disabilities. The request would support advocacy services to 

approximately 51,200 individuals with disabilities.
21

Helen Keller National Center for Deaf-Blind Youths and Adults

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.................................................. $10.3 $10.3 $10.3

This program serves individuals who are deaf-blind, their families, and service providers through 

a national headquarters center with a residential training and rehabilitation facility and a network 

of 10 regional offices that provide referral, counseling, training, and technical assistance 

services. The funds requested would serve an estimated 1,600 consumers, 450 families, and 

985 agencies and organizations through its regional offices and provide direct services for 

approximately 65 clients at the Center’s residential training and rehabilitation program and 

serve.

Special Institutions for Persons with Disabilities

(BA in millions)

Programs

2016

2017

Annualized CR

2018

Request

American Printing House for the Blind ................. $25.4 $25.4 $25.4

National Technical Institute for the Deaf .............. 70.0 69.9 69.9

Gallaudet University ............................................. 121.3 121.0 121.0

Total ........................................................ 216.7 216.3 216.3

American Printing House for the Blind

The American Printing House for the Blind (APH) manufactures and distributes specially 

adapted educational materials for students who are visually impaired, offers advisory services 

for consumers and educational agencies, and conducts applied research related to the 

development of new products. At the request level, APH would provide free educational 

materials to approximately 63,357 persons with visual impairments at an average per student 

allotment of $299, continue funding for initiatives to improve its technical assistance and 

outreach services, and support a variety of new and continuing research projects.

National Technical Institute for the Deaf

The National Technical Institute for the Deaf (NTID) provides postsecondary technical education 

and training for students who are deaf or hard of hearing, as well as graduate education and 

interpreter training for persons who are deaf or hearing. NTID also conducts research and 

provides training related to the education and employment of individuals who are deaf or hard of 

hearing. The request would support education and training for students enrolled in 

undergraduate and graduate programs.

Gallaudet University

Gallaudet University offers undergraduate, graduate, and continuing education programs for 

individuals who are deaf or hard of hearing, and for hearing students wishing to pursue careers 

in fields related to deafness. Gallaudet also maintains and operates the Kendall Demonstration 

Elementary School and Model Secondary School for the Deaf. The request provides support for 

operations, including funds that may be used for the Federal Endowment Grant program.
22

C. CAREER, TECHNICAL, AND ADULT EDUCATION

Overview

Programs in the Career, Technical, and Adult Education account provide formula grants to 

States to support State and community efforts to improve career and technical education (CTE) 

and adult education and literacy systems. The Department also awards competitive grants and 

contracts under both CTE and adult education for evaluation, performance measurement and 

improvement, technical assistance, research and development, innovative programs, and other 

national activities. For 2018, the Administration is requesting $976.9 million to support CTE 

programs under the Carl D. Perkins Career and Technical Education Act (Perkins Act). The 

2018 request also provides $500.0 million for Adult Education programs.

Career and Technical Education

(BA in millions)

Programs 2016

2017

Annualized CR

2018

Request

State Grants ......................................................... $1,117.6 $1,115.5 $949.5

National Programs ............................................... 7.4 7.4 27.4

Total ........................................................ 1,125.0 1,122.9 976.9

The request provides $949.5 million for the Career and Technical Education (CTE) State Grants

program, a decrease of approximately $166 million from the fiscal year 2017 annualized 

Continuing Resolution level. CTE is an important component of the President’s job creation 

agenda, as employers who develop or expand operations in the United States will require 

qualified workers to fill those new jobs.

Although a decrease is necessary to align with overall Budget priorities, the request would 

continue to provide significant flexible formula grant funds that support State and local efforts to 

implement high-quality CTE programs, such as programs of study (non-duplicative CTE courses 

that progress from the secondary to the postsecondary level and lead to a credential, certificate, 

or an associate or baccalaureate degree), dual enrollment programs, and career pathways that 

help students attain the credentials or certificates they need to gain employment in high-skill and 

high-demand occupations. The Administration plans to work with Congress to reform and 

improve this program through the upcoming Perkins Act reauthorization.

The $27.4 million request for CTE National Programs provides an increase of $20 million that 

would support a competition to promote the development, enhancement, implementation, or 

expansion of innovative CTE programs in science, technology, engineering, and mathematics 

(STEM) fields. The remaining funds would continue to support more effective State and local 

implementation of CTE programs under the Act.
23

Adult Education

(BA in millions)

Programs 2016

2017

Annualized CR

2018

Request

Adult Education State Grants.............................. $582.0 $580.8 $485.8

National Leadership Activities............................. 13.7 13.7 13.7

Total ....................................................... 595.7 594.5 500.0

The request provides $485.8 million for Adult Education State Grants, $95 million below the 

fiscal year 2017 annualized Continuing Resolution level. The request reflects the tough 

decisions needed to achieve the President’s goal of increasing support for national security and 

public safety without adding to the Federal budget deficit. States and providers across the 

country are still working to implement changes in adult education requirements made as a result 

of the enactment of WIOA in July 2014; future decisions regarding the program will be informed 

by the statutorily required program evaluation and performance data based on the full 

implementation of WIOA. The program assists adults without a high school diploma or the 

equivalent to become literate and obtain the knowledge and skills necessary for postsecondary 

education, employment, and economic self-sufficiency. Funds proposed for National 

Leadership Activities would continue to support efforts to increase the literacy and workforce 

skills of adults. 

The Adult Education and Family Literacy Act is authorized by WIOA, which promotes alignment 

of the Adult Education programs with Federal job training programs and the postsecondary 

education system.
24

D. STUDENT FINANCIAL ASSISTANCE

Overview

The student financial assistance programs support students in their pursuit of a postsecondary 

education. The fiscal year 2018 Budget for postsecondary student aid includes both 

discretionary and mandatory funding that would make available $134.2 billion in new grants, 

loans, and work-study assistance to help an estimated 12.2 million students and their families 

pay for college.

The fiscal year 2018 Budget for the Federal student aid programs focuses on simplifying funding 

for college, while continuing to help make college more affordable. The Budget includes

proposals that address student debt by simplifying student loan repayment and redirecting 

inefficiencies in the student loan program to prioritize expedited debt relief for undergraduate 

borrowers. The Budget supports reinstating incentives that will help students accelerate 

progress toward their degrees by attending school year-round, thereby increasing their 

likelihood of on-time completion. These proposals would support congressional efforts to 

reauthorize the Higher Education Act to address student debt and higher education costs while 

accelerating student completion rates and reducing the complexity of student financial aid. 

Specific policy proposals include:

Protect Pell Grants

Pell Grants are the foundation of low-income students’ financial aid packages, to which other 

forms of aid are added. This Budget would fully fund the Pell program in 2018, with a maximum 

award of $5,920.

Support Year-Round Pell

To create more flexibility in how students can use Pell Grants, the Budget also supports yearround Pell Grant eligibility. This would allow students the opportunity to earn a third semester of 

Pell Grant support during an award year, boosting Pell Grant aid disbursed by $1.5 billion in 

award year 2018 to approximately 900,000 students. Year-round Pell would also help 

incentivize students to complete their degrees faster, which can help them reduce their loan 

debt and enter the workforce sooner.

Simplify Campus-Based Aid Programs

Most of the roughly 6,500 institutions of higher education that participate in the Federal Pell 

Grant and/or Federal Student Loan programs also participate in one or more of the Federal 

Campus-Based Aid programs. While all schools are eligible to participate in Campus-Based Aid 

programs, antiquated statutory formulas with stringent hold-harmless provisions have resulted in 

institutional allocations that are not well targeted to the neediest students. The President’s 

2018 Budget proposes to reform student eligibility in the Federal Work-Study program to ensure 

funds go to the undergraduate students who would benefit the most. The President’s 

2018 Budget also proposes to eliminate funding for the Federal Supplemental Educational 

Opportunity Grant program, which is largely duplicative of the Pell Grant program and does not 

deliver need-based aid in the most targeted method.
25

Simplify Student Loan Repayment and Student Loan Programs

In recent years, income-driven repayment (IDR) plans, which offer borrowers the option of 

making affordable monthly payments based on factors such as income and family size, have 

grown in popularity. However, choosing and enrolling in the right repayment plan is overly 

complicated by the numerous repayment plans authorized and required by law to be offered to 

borrowers.

The 2018 Budget proposes to greatly simplify student loan repayment by consolidating five IDR 

plans into a single plan. The single IDR plan would set a borrower’s monthly payment at 

12.5 percent of discretionary income, while eliminating the standard repayment cap to ensure 

that high-income, high-balance borrowers make payments commensurate with their income. 

Married borrowers who file separately would have their payments determined based on both 

their and their spouse’s income. For borrowers with undergraduate student debt only, any 

balance remaining after 15 years of repayment would be forgiven. For borrowers with any 

graduate debt, any balance remaining after 30 years of repayment would be forgiven.

While retaining teacher loan forgiveness programs in order to incentivize more high-quality 

teachers to teach in high-need schools and subjects, the Budget proposes eliminating inefficient 

subsidies to help put the Nation on a more sustainable fiscal path and prioritize expedited debt 

relief for undergraduate borrowers. These proposals include eliminating Public Service Loan 

Forgiveness, Subsidized Stafford loans, and the payment of Account Maintenance Fees to 

guaranty agencies. As a result of these proposals, all new undergraduate student loans would 

be unsubsidized. These proposals would also help simplify the student loan programs.

All policies for student loans would apply to loans originated on or after July 1, 2018, with an 

exception for students who borrowed their first loans prior to July 1, 2018, and who are 

borrowing to complete their current course of study. These policies together would save 

approximately $143 billion over 10 years.

Increase Higher Education Accountability

Earning a college degree is one of the most important investments students can make in their

future and remains a gateway to the middle class. Federal student grants and loans play a key 

role in helping students afford to enroll in and successfully complete college. However, some 

colleges lack adequate incentives to support their students in graduating, finding a good job, 

and repaying their loans. A better system would create shared responsibility for success among 

students, schools, and the Federal Government to ensure students do not take on debt that they 

cannot afford to repay—leaving taxpayers on the hook for the costs of loan default or 

forgiveness. The Administration looks forward to working with Congress to address these 

issues.
26

Student Aid Summary Tables

Budget Authority 

(dollars in millions)

2016

2017

Annualized CR

2018

Request

Pell Grants

Pell Grants: Discretionary funding ............................ .... $22,475.4 $22,432.6 $22,432.6

Pell Grants Mandatory funding1.......................................... 4,840.4 7,897.7 7,055.0

Subtotal, Pell Grants ................................... 27,315.7 30,330.3 29,487.6 

Federal Supplemental Educational Opportunity 

Grants ............................................................... 733.1 731.7 0.0

Federal Work-Study .............................................. 989.7 987.8 500.0

TEACH Grants2 ..................................................... 11.9 153.3 24.6

Iraq and Afghanistan Service Grants .................... 0.4 0.4 0.5

Federal Family Education Loans3 .......................... -1,074.7 10,785.8 -443.4

Federal Direct Loans4 ............................................ -1,472.1 26,833.5 -10,662.8

Total ........................................................ 26,503.9 69,822.8 18,906.4

1 Amounts appropriated for Pell Grants for 2017 and 2018 include mandatory funding provided in the Higher 

Education Act (HEA), as amended, to fund both the base maximum award and add-on award. The HEA did not 

provide mandatory funding for the base award in 2016; the increase in mandatory funding from 2016 to 2017 reflects 

an increase in the add-on award provided for in the HEA. The decrease in mandatory funding from 2017 to 2018 

primarily reflects a decrease in definite mandatory funding as shown in the following Federal Pell Grant table. 2 For budget and financial management purposes, this program is operated as a credit program under the 

Federal Credit Reform Act of 1990. Budget authority reflects the estimated net present value of future Federal 

non-administrative costs for awards made in a given fiscal year. The 2016 amount includes a net downward 

reestimate of $1.8 million. The 2017 amount includes a net upward reestimate of $138.4 million due primarily to 

updated data, which indicate more students will complete their service requirements than previously assumed 

(resulting in fewer grants being converted to loans). The amount for 2018 reflects new loan subsidy. 3 FFEL budget authority does not include the Liquidating account. The FFEL reestimates include ECASLA 

reestimates. The 2016 amount includes a net downward reestimate of -$1.1 billion primarily related to updated 

interest rate assumptions. The 2017 amount includes a net upward reestimate of $10.8 billion primarily related to a 

$3.5 billion upward change due to updated collection rate assumptions. The 2018 amount reflects a modification cost 

of the policy proposal to eliminate Account Maintenance Fees. The reestimates and modification reflect the impact of 

changes on an outstanding FFEL portfolio of $232 billion. FFEL reestimates and modifications account for 

4.8 percent of the total outstanding portfolio. 4 The 2016 amount includes a net upward reestimate of $7.7 billion, primarily related to a $4.2 billion upward 

change due to increased participation in income-driven repayment plans and a $2.8 billion upward change due to 

revised prepayment assumptions. The 2017 amount includes a net upward reestimate of $28.4 billion, primarily 

related to a $14.6 billion upward change due to revised collection rate assumptions and a $8.1 billion upward change 

due to increased participation in income-driven repayment plans. Model assumptions affecting the 2016 cohort were 

also updated. These technical assumptions were not updated in the 2017 Budget due to the requirement in the 

Federal Credit Reform Act that estimates be based on current assumptions, as defined in section 250(c)(9) of the 

Balanced Budget and Emergency Deficit Control Act of 1985. A modification of $364 million is also included to reflect 

new closed school regulations. The reestimates reflect the impact of changes on an outstanding Direct Loan portfolio 

of $903 billion). Direct Loan reestimates for 2017 account for 3.2 percent of the total outstanding portfolio.
27

Aid Available to Students 

(dollars in millions) 2016

2017

Annualized CR 

2018

Request

Pell Grants $26,861.9 $26,899.3 $28,806.6

Federal Supplemental Educational Opportunity

Grants ................................................................... 992.9 991.0 0.0

Federal Work-Study ................................................ 1,096.1 1,094.0 553.7

Iraq and Afghanistan Service Grants ...................... 0.4 0.5 0.6

New Student Loans:

New Student Loans: Federal Direct Loans ........................................... 95,462.1 97,449.1 104,760.7

New Student Loans: Perkins Loans ..................................................... 782.2 782.2 0.0

TEACH Grants ........................................................ 91.0 92.8 101.2

Subtotal, Student Loans ................................... 96,335.31 98,324.11 104,861.91

Total ............................................................ 125,286.62 127,308.82 134,222.72

Note: Numbers may not add due to rounding.

1 Consolidation Loans for existing borrowers will total $45.6 billion in 2016; $46.9 billion in 2017; and $48.2 billion 

in 2018. 2 Shows total aid generated by Department programs, including Perkins Loan capital from institutional revolving 

funds, and institutional matching funds.

Number of Student Aid Awards

(in thousands) 2016

2017

Annualized CR

2018

Request

Pell Grants ............................................................... 7,213.0 7,143.0 7,281.0

Supplemental Educational Opportunity Grants........ 1,530.2 1,527.3 0.0

Work-Study .............................................................. 634.9 633.7 332.6

Iraq and Afghanistan Service Grants ....................... 0.1 0.1 0.1

New Student Loans:1

New Student Loans: Federal Direct Loans ........................................... 17,320.8 17,480.4 15,670.5

New Student Loans: Perkins Loans ..................................................... 315.5 253.5 0.0

TEACH Grants ........................................................ 31.5 32.2 32.8

Total awards ............................................... 27,046.1 27,070.1 23,317.0

Note: Numbers may not add due to rounding.

1 Excludes Consolidation Loans. Number of Consolidation Loans will total 813 million in 2016; 821 million in 

2017; and 826 million in 2018.

Number of Postsecondary Students Aided by Department Programs

Program Information 2016 2017 2018

Unduplicated Count (in thousands) ..................... 11,869 11,899 12,220
28

Federal Pell Grant Program

Program Information

2016

2017

Annualized CR

2018

Request

BA in millions

BA i n millions: Discretionary budget authority .......................... $22,475.4 $22,432.6 $22,432.6

BA i n millions: Mandatory budget authority .............................. 4,840.4 6,323.7 5,985.0

BA i n millions: Definite mandatory funding............................... — 1,574.0 1,070.0

BA i n millions: Total 27,315.7 30,330.3 29,487.6

Program costs (dollars in millions)....................... $26,898.0 $26,935.0 $28,843.0

Aid available (dollars in millions).......................... $26,861.9 $26,899.3 $28,806.6

Recipients (in thousands)..................................... 7,213 7,143 7,281

Maximum grant (in whole dollars)

Maxi mum grant Discretionary portion......................................... $4,860 $4,860 $4,860

Maxi mum grant Mandatory add-on............................................. 955 1,060 1,060

Maxi mum grant Total 5,815 5,920 5,920

Average grant (in whole dollars) .......................... $3,724 $3,766 $3,956

Note: Numbers may not add due to rounding.

The Federal Pell Grant program helps ensure financial access to postsecondary education by 

providing grant aid to low-income undergraduate students. The program is the largest 

need-based postsecondary student grant program, with individual awards based on the financial 

circumstances of students and their families. The 2018 discretionary request of $22.4 billion for 

Pell Grants would continue to make college more affordable for an estimated 7.3 million 

students by keeping the maximum award at $5,920.

In addition to fully funding the maximum award in fiscal year 2018, the Budget supports

year-round Pell eligibility.

Campus-Based Aid Programs

Federal Supplemental Educational Opportunity Grants (FSEOG), Federal Work-Study, and 

Perkins Loan programs are called the “campus-based aid” programs because they make grants 

directly to participating institutions, which have considerable flexibility to package awards based 

on the needs of their students. To simplify campus-based aid, the 2018 Budget would eliminate 

funding for the FSEOG program and reform the Federal Work-Study program to ensure funds 

go to undergraduate students who would benefit most. The Perkins Loan program is scheduled 

to end September 30, 2017, after which no new loans will be made available.

Federal Supplemental Educational Opportunity Grants

Program Information

2016

2017

Annualized CR

2018

Request

BA in millions ................................................... $733.1 $731.7 0

Aid available (dollars in millions) ..................... $992.9 $991.0 0

Recipients (in thousands) ................................ 1,530 1,527 0

Average award (in whole dollars)..................... $649 $649 0
29

This program provides grant assistance of up to $4,000 per academic year to undergraduate 

students with demonstrated financial need. Program funds are allocated to institutions 

according to a statutory formula and require a 25 percent institutional match. Awards to 

students are determined at the discretion of institutional financial aid administrators, although 

schools are required to give priority to Pell Grant recipients and students with the lowest 

expected family contributions. The request would eliminate funding for this program which is 

largely duplicative of the Pell Grant program and does not deliver need-based aid in the most 

targeted way.

Federal Work-Study

program Information

2016

2017

Annualized CR

2018

Request

BA in millions ....................................................... $989.7 $987.8 $500.0

Aid available (dollars in millions) ......................... $1,096.1 $1,094.0 $553.7

Recipients (in thousands) .................................... 635 634 333

Average award (in whole dollars)......................... $1,726 $1,726 $1,665

The Federal Work-Study program provides grants to participating institutions to pay up to 

75 percent of the wages of eligible undergraduate and graduate students working part-time to 

help pay their college costs. The school or another eligible employer provides the balance of 

the student’s wages. The Budget proposes to reduce Federal Work-Study to $500.0 million—a 

level which, when combined with institutional matching funds, would make available more than

$550 million to an estimated 332,600 recipients. Funds are allocated to institutions according to 

a statutory formula and individual award amounts are determined at the discretion of institutional 

financial aid administrators. The request would reform the program to ensure funds go to 

undergraduate students who would benefit most. 

Perkins Loans

Program Information 2016

2017

Annualized CR

2018

Request

Aid available (dollars in millions) ......................... $782.2 $782.2 0

Recipients (in thousands) .................................... 316 253 0

Average loan (in whole dollars)............................ $2,479 $3,086 0

The Perkins Loan program provides long-term, low-interest loans to undergraduate and 

graduate students with demonstrated financial need at roughly 1,400 institutions. Perkins Loan 

borrowers pay no interest during in-school, grace, and deferment periods, and are charged 

5 percent interest thereafter. Annual borrowing limits are $5,500 for undergraduate students 

and $8,000 for graduate students. The Perkins Loan program was extended through 

September 30, 2017, by the Federal Perkins Loan Program Extension Act of 2015. However,

authority to make new loans to graduate students was only extended through September 30, 

2017. No new loans will be made available in fiscal year 2018.
30

Iraq and Afghanistan Service Grants

Program Information

2016

2017

Annualized CR

2018

Request

BA in thousands .................................................. $384 $442 $499

Aid available (dollars in thousands) .................... $432 $484 $559

Recipients (in thousands) .................................... (1) (1) (1)

Average award (in whole dollars)......................... $4,9092 $4,9902 $5,3752

1 Number of recipients estimated to be less than 500. 2 Average award amounts for 2016 and 2017 reflect impact of sequestration. Sequestration is not expected in 

2018.

The Iraq and Afghanistan Service Grant program provides non-need-based grants to students 

whose parent or guardian was a member of the Armed Forces who died in Iraq or Afghanistan 

as a result of performing military service after September 11, 2001. Of those dependents of 

deceased service men and women, students who fall below the financial criteria for the Pell 

Grant program are eligible for a maximum Pell Grant and those who do not are eligible to 

receive a Service Grant. Additionally, students must be 24 years old or younger; or, if older 

than 24, must have been enrolled in an institution of higher education at the time of the parent 

or guardian’s death. Service Grants are equal to the maximum Pell Grant for a given award 

year, which is $5,920 for the 2017–2018 award year. 

TEACH Grants

2016Footnote

2017

Annualized CRFootnote

2018

Request

Footnote

BA in millions......................................................... $11.9 1 $153.3 1 $24.6 1

Aid available to students (in millions).................... $91.0 $92.8 $101.2

Recipients (in thousands) ..................................... 31.5 32.2 32.8

Maximum grant (in whole dollars)......................... $4,000 $4,000 $4,000

Average grant (in whole dollars) ........................... $2,885 $2,885 $3,084

1 The 2016 amount includes a net downward reestimate of $1.8 million. The 2017 amount includes a net upward 

reestimate of $138.4 million. The amount for 2018 reflects new loan subsidy. 

The TEACH Grant program awards annual grants of up to $4,000 to eligible undergraduate and 

graduate students who, within 8 years of graduation, agree to serve as full-time teachers in 

mathematics, science, foreign language, bilingual education, special education, or reading at a 

high-need school for not less than 4 years. For students who fail to fulfill this service 

requirement, grants are converted to Direct Unsubsidized Stafford Loans with interest accrued 

from the date the grants were awarded. The 2017 annualized CR level differs from 2016 and 

2018 significantly due to the inclusion of $138.4 million for an upward reestimate to reflect 

updated data, indicating more students will complete their service requirements than previously 

assumed, resulting in fewer grants being converted to loans.

For budget and financial management purposes, the TEACH program is operated as a loan 

program with 100 percent forgiveness of outstanding principal and interest upon completion of a 

student’s service requirement. Consistent with the requirements of the Credit Reform Act of 

1990, budget authority for this program reflects the estimated net present value of all future 

non-administrative Federal costs associated with awards made in a given fiscal year. 
31

Federal Family Education Loans and Direct Loans

(BA in millions)

2016Footnote

2017

Annualized CRFootnote

2018

Request

Footnote

Federal Family Education Loans1

Famil y F ederal Educati on Loans: Net modification of existing loans ................... $151.6 — $-443.42

Famil y F ederal Educati on Loans: Net reestimate of existing loans...................... -1,226.3 3,4 $10,785.83,4 —

Famil y F ederal Educati on Loans: Total, FFEL program BA............................ -1,074.7 10,785.8 -443.4

Federal Direct Loans

Federal Direct Loans: New loans subsidies (BA)................................. -9,165.4 3 -1,961.13 -10,662.82

Federal Direct Loans: Net modification of existing loans ..................... — 364.42 —

Federal Direct Loans: Net reestimate of existing loans ....................... 7,693.3 4 28,430.24 —

Federal Direct Loans: Total, new budget authority....................... -1,472.1 26,833.5 -10,662.8

Total, student loans (BA)..................... -2,546.8 37,619.3 -11,106.2

1 FFEL budget authority does not include the liquidating account. 2 Under Credit Reform, costs or savings related to the impact of enacted policy changes on existing loans are 

reflected in the current year. The 2018 FFEL modification reflects a cost associated with the policy proposal to 

eliminate payment of Account Maintenance Fees to guaranty agencies. 3 Total includes amount for Consolidation Loans.

4 Under Credit Reform, the subsidy amounts are reestimated annually in both Direct Loans and FFEL to account 

for changes in long-term projections. Reestimates and modifications reflect the impact of changes on outstanding 

portfolios of $232 billion for FFEL, $70 billion for ECASLA, and $903 billion for Direct Loans. Total reestimates and 

modifications in 2017 account for 3.3 percent of the total outstanding portfolio.

New loan volume (in millions) 2016

2017

Annualized CRFootnote

2018

Request Footnote

Direct Loans:

Direct Loans: Stafford loans .................................................... $22,423.5 $22,564.6 $14.527.8

Direct Loans: Unsubsidized Stafford loans ............................. 50,642.9 51,650.5 64,439.5

Direct Loans: Parent PLUS loans ........................................... 12,934.3 13,342.7 14,307.7

Direct Loans: Grad PLUS loans .............................................. 9,461.3 9,891.1 11,485.8

Direct Loans: Total 95,462.01 97,448.91 104,760.81

Number of new loans (in thousands)

Direct Loans:

Direct Loans: Stafford loans .................................................... 6,894 6,934 4,081

Direct Loans: Unsubsidized Stafford loans ............................. 8,859 8,955 9,899

Direct Loans: Parent PLUS loans ........................................... 1,005 1,020 1,070

Direct Loans: Grad PLUS loans .............................................. 562 572 620

Direct Loans: Total ..................................................... 17,3201 17,4811 15,6701

1 Consolidation Loans for existing borrowers will total $45.6 billion and 813,000 loans in 2016, $47 billion and 

821,000 loans in 2017, and $48.2 billion and 826,000 loans in 2018.

The Department of Education operates two major student loan programs—the Federal Family 

Education Loan (FFEL) program and the William D. Ford Federal Direct Loan (Direct Loan) 

program—but since July 1, 2010, the Department has made new loans only through the Direct 
32

Loan program. The legacy FFEL program made loans to students and their families through 

private lenders, with loans guaranteed by the Federal Government and administered by State 

and private nonprofit guaranty agencies. To generate savings to help put the Nation on a more 

sustainable fiscal path, the 2018 Budget proposes to eliminate payments of Account 

Maintenance Fees to guaranty agencies. Under the Direct Loan program, the Federal 

Government provides the loan capital and schools disburse loan funds to students. The 

Department carries out its loan origination and servicing functions under Direct Loans through 

private contractors. The Direct Loan program features four types of loans with fixed interest 

rates that are set annually:

• Stafford Loans are subsidized, low-interest loans based on financial need. The Federal 

Government pays the interest while the student is in school and during certain grace and 

deferment periods. The current interest rate for undergraduate loans made in award year 

2016–2017 is 3.76 percent. As of July 1, 2012, only undergraduate students are eligible for 

subsidized Stafford loans.

• Unsubsidized Stafford Loans have a fixed interest rate of 3.76 percent for undergraduate 

borrowers and 5.31 percent for graduate and professional borrowers in award year 

2016-2017. The Federal Government does not pay interest for the student during in-school, 

grace, and deferment periods.

• PLUS Loans are available to parents of dependent undergraduate students, and to graduate 

and professional students. The interest rate is 6.31 percent in academic year 2016–2017,

and the Federal Government does not pay interest during in-school, grace, and deferment

periods.

• Consolidation Loans allow borrowers with multiple student loans who meet certain criteria to 

combine their loans and extend their repayment schedules. The rate for both FFEL and 

Direct Consolidation Loans is based on the weighted average of loans consolidated rounded 

up to the nearest one-eighth of 1 percent. The resulting rate for the consolidated loan is 

then fixed for the life of the loan.
33

E. HIGHER EDUCATION PROGRAMS

Overview

The Administration’s 2018 request includes $1.7 billion in discretionary funds for Higher 

Education Programs aimed at improving student achievement and increasing access to a 

high-quality education for all students.

To foster more and better opportunities in higher education for communities that are often 

underserved, the request provides $492.2 million in discretionary funding for programs that 

serve high proportions of minority students. The request maintains $375.0 million for such 

institutions through the Aid for Institutional Development programs and $117.2 million in 

discretionary funding for the Aid for Hispanic-Serving Institutions programs. The request would 

strengthen institutions of higher education, including Historically Black Colleges and Universities 

(HBCUs) and Historically Black Graduate Institutions (HBGIs), by improving their academic 

programs, institutional capacity, and student support services. The request does not fund the 

Strengthening Institutions program, which is duplicative of other program funding for institutional 

support activities.

The request would provide $808.3 million in fiscal year 2018 for the Federal TRIO programs, 

$90 million less than the fiscal year 2017 annualized Continuing Resolution level. The request 

maintains support for programs focused on assisting middle school, high school, and college 

students in moving through the academic pipeline toward college completion and that have 

shown evidence of effectiveness or are designed to support strategies for which there is a 

growing body of evidence. The request includes $219 million, $103.1 million less than the 

2017 annualized CR level, to assist middle and high school students in preparing for college 

through Gaining Early Awareness and Readiness for Undergraduate Programs (GEAR UP). 

There is limited evidence that this program is effective in achieving its ultimate objectives of 

increasing high school graduation and college enrollment rates for students in high-poverty 

schools. At the level requested, the Department can fully fund continuation awards.

The Budget also provides $11.8 million for model comprehensive transition programs through 

the Model Transition Programs for Students with Intellectual Disabilities (TPSID) program. In 

addition, the Administration requests $5.8 million for the Graduate Assistance in Areas of 

National Need (GAANN) programs, a $23.5 million decrease from the fiscal year 2017 

annualized CR level. The request reflects the Administration’s intent to refocus the 

Department’s resources on programs designed to help students move through the academic 

pipeline toward college completion.

The Administration’s request for fiscal year 2018 eliminates funding for a number of Higher 

Education Programs that duplicate other programs, are more appropriately supported with 

State, local, institutional, or private funds, are outside of the Department’s core mission, or have 

not shown evidence of effectiveness. These programs include the Strengthening Institutions 

Program, International Education and Foreign Language Studies programs, Teacher Quality 

Partnership, and Child Care Access Means Parents in School.
34

Title III: Aid for Institutional Development

(BA in millions)

Programs

2016

2017

Annualized CR

2018

Request

Strengthening Institutions Program (SIP) ................. $86.5 $86.4 —

Strengthening Tribally Controlled Colleges 

and Universities (TCCUs)...................................... 27.6 27.5 $27.5

Strengthening Tribally Controlled Colleges

and Universities (mandatory TCCUs).................... 28.01 27.91 30.01

Strengthening Alaska Native and Native

Hawaiian-serving Institutions (ANNHs).................. 13.8 13.8 13.8

Strengthening Alaska Native and Native

Hawaiian-serving Institutions (mandatory ANNHs) 14.01 14.01 15.01

Strengthening Historically Black Colleges

and Universities (HBCUs)...................................... 244.7 244.2 244.2

Strengthening Historically Black Colleges

and Universities (mandatory HBCUs).................... 79.21 79.11 85.01

Strengthening Historically Black Graduate

Institutions (HBGIs)................................................ 63.3 63.2 63.2

Strengthening Predominantly Black

Institutions (PBIs)................................................... 9.9 9.9 9.9

Strengthening Predominantly Black

Institutions (mandatory PBIs)................................. 14.01 14.01 15.01

Strengthening Asian American- and Native

American Pacific Islander-serving

Institutions (AANAPISIs)........................................ 3.3 3.3 3.3

Strengthening Asian American- and Native

American Pacific Islander-serving

Institutions (mandatory AANAPISIs)...................... 4.71 4.71 5.01

Strengthening Native American-serving

nontribal institutions (NASNTIs)............................. 3.3 3.3 3.3

Strengthening Native American-serving

nontribal institutions (mandatory NASNTIs)........... 4.71 4.71 5.01

Minority Science and Engineering

Improvement (MSEIP) ........................................... 9.6 9.6 9.6

Total .................................................................. 606.7 605.6 529.9

Discretionary ................................................ 462.2 461.3 374.9

Mandatory .................................................... 144.51 144.31 155.01

1 Mandatory appropriations are provided under Section 371 of the HEA, as amended by P.L. 111-152. These 

amounts include sequester reductions of 6.8 percent in 2016 and 6.9 percent in 2017 that went into effect 

October 1, 2015, and October 1, 2016, respectively, pursuant to the Budget Control Act of 2011 (P.L. 112-25).

The request for Title III maintains support for institutions that serve large percentages of minority 

and low-income students. Title III funding, which is awarded both competitively and by a 

formula that directs aid to specified institutions, helps provide equal educational opportunity and 

strong academic programs for these students and enhances the financial stability of the 

institutions that serve them. Funds may be used to plan, develop, and implement activities that 

support student services, interventions that promote degree completion, and faculty 

development; administrative management; development and improvement of academic 

programs; joint use of libraries and laboratories; construction, maintenance, and renovation of 

instructional facilities; and endowment funds.
35

Strengthening Tribally Controlled Colleges and Universities (TCCUs) supports 35 Tribal 

Colleges and Universities located primarily in remote areas not served by other postsecondary 

education institutions. These institutions offer a broad range of degree and vocational certificate 

programs to students for whom these educational opportunities would otherwise be 

geographically and culturally inaccessible. In addition, $30 million in mandatory funds is 

available under section 371 of the HEA for TCCUs in fiscal year 2018.

Strengthening Alaska Native and Native Hawaiian-Serving Institutions supports institutions with 

undergraduate enrollments that are at least 20 percent Alaska Native and at least 10 percent 

Native Hawaiian students, respectively. The discretionary request would support continuation 

awards for these institutions, which typically are located in remote areas not served by other 

institutions. The Department also will use $15 million in fiscal year 2018 mandatory funds to 

award new and continuation grants.

Strengthening Historically Black Colleges and Universities (HBCUs) supports any accredited, 

legally authorized HBCU that was established prior to 1964 and which retains a principal 

mission of educating African-Americans. Fiscal year 2018 funding would support 97 HBCUs. In 

2018, $85 million in mandatory funding is available for HBCUs.

Strengthening Historically Black Graduate Institutions supports 24 postgraduate institutions with 

schools of law, medical schools, or other graduate programs. 

Strengthening Predominantly Black Institutions (PBIs) makes awards to primarily urban and 

rural 2-year colleges that have an enrollment of undergraduate students that is at least 

40 percent African-American and that serve at least 50 percent low-income or first-generation 

college students. The request would support approximately 35 continuation awards. In 

addition, $15 million in mandatory funding is available in 2018 for continuation awards to 

24 grantees.

Strengthening Asian American- and Native American Pacific Islander-Serving Institutions

supports institutions with undergraduate enrollments that are at least 10 percent Asian 

American and Native American Pacific Islander. The 2018 request would support 

10 continuation awards for institutions serving this diverse population. In addition, mandatory 

funding of $5 million is available in 2018 to support approximately 11 continuation awards for 

these institutions.

Strengthening Native American-Serving Nontribal Institutions supports institutions that are not 

designated as TCCUs, yet enroll at least 10 percent Native American students and serve at 

least 50 percent low-income students. The discretionary request would support 7 continuation 

awards and an additional $5 million in mandatory funds would support approximately 

11 continuation awards.

The Minority Science and Engineering Improvement program would fund approximately 15 new 

grants and 23 continuation grants that support improvement in science and engineering 

education at predominantly minority institutions and increase the participation of 

underrepresented ethnic minorities, particularly minority women, in scientific and technological 

careers.
36

Aid for Hispanic-Serving Institutions (HSIs)

(BA in millions)

programs

2016

2017

Annualized CR

2018

Request

Developing HSIs (discretionary) ............................. $107.8 $107.6 $107.6

Mandatory Developing HSI STEM 

 and Articulation Programs.................................... 93.21 93.11 100.01

Promoting Postbaccalaureate Opportunities for 

Hispanic Americans (discretionary) ..................... 9.7 9.6 9.6

Total ................................................................ 210.7 210.3 217.2

 Discretionary ............................................ 117.5 117.2 117.2

 Mandatory ................................................ 93.21 93.11 100.01

1 Mandatory appropriations are provided under Section 371 of the HEA, as amended by P.L. 111-152. These 

amounts include sequester reductions of 6.8 percent in 2016 and 6.9 percent in 2017 that went into effect 

October 1, 2015, and October 1, 2016, respectively, pursuant to the Budget Control Act of 2011 (P.L. 112-25).

The Developing Hispanic-Serving Institutions (HSIs) program funds competitive grants to 

expand and enhance the academic quality, institutional management, fiscal stability, and 

self-sufficiency of colleges and universities that enroll large percentages of Hispanic students. 

In fiscal year 2018, discretionary funding would support approximately 200 new and 

continuation awards. In addition, mandatory funds provided under section 371 of the HEA 

would support approximately 91 continuation awards under the HSI Science, Technology, 

Engineering, and Mathematics (STEM) and Articulation program.

The Promoting Postbaccalaureate Opportunities for Hispanic Americans program provides 

funds to eligible HSIs that offer a postbaccalaureate certificate or postbaccalaureate degreegranting program. The program is designed to help Hispanic Americans gain entry into and 

succeed in graduate study, a level of education in which they are underrepresented. The 

amount requested would support 19 continuation awards.

Tribally Controlled Postsecondary Career and Technical Institutions

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions........................................................ $8.3 $8.3 $8.3

The request would support awards to tribally controlled postsecondary career and technical 

institutions that meet the program’s eligibility requirements to fund instructional and student 

support services under a reauthorized Carl D. Perkins Career and Technical Education Act.
37

Special Programs for Migrant Students

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions........................................................ $44.6 $44.5 $44.5

Special Programs for Migrant Students include the High School Equivalency Program (HEP), 

which funds competitively selected projects to help low-income migrant and seasonal 

farmworkers earn high school diplomas or equivalency certificates, and the College Assistance 

Migrant Program (CAMP), which makes competitive grants to provide stipends and special 

services, such as tutoring and counseling, to migrant students who are in their first year of 

college. HEP and CAMP programs focus on finding and assisting migrant youth who have not 

been able—due to limited or inconsistent educational opportunity—to complete high school or 

go on to postsecondary education. Funds would support services to approximately 

5,700 participants under HEP projects and 2,500 participants under CAMP projects, as well as 

outreach, technical assistance, and professional development activities.

Federal TRIO Programs

(BA in millions)

Programs

2016

2017

Annualized CR

2018

Request

Talent Search....................................................... $150.3 $148.6 $148.6

Upward Bound ..................................................... 270.5 292.7 292.7

Veterans Upward Bound...................................... 13.8 15.2 15.2

Upward Bound Math-Science .............................. 44.3 46.5 46.5

Educational Opportunity Centers ......................... 55.9 54.5 0

Student Support Services .................................... 328.3 291.4 298.3

McNair Post Baccalaureate Achievement............ 28.6 40.0 0

Staff Training........................................................ 2.7 2.7 2.5

Evaluation .......................................................... 1.8 2.8 2.7

Administration/Peer Review................................. 3.7 3.8 1.8 

Total............................................................... 900.0 898.3 808.3

The TRIO programs are among the Department’s largest investments aimed at getting more 

students prepared for, into, and through postsecondary education. The request would maintain 

support for programs that are focused on assisting middle school, high school, and college 

students in moving through the academic pipeline toward college completion and that have 

shown some evidence of effectiveness or are designed to support strategies in areas for which

there is a growing body of evidence. The request does not include funding for the McNair 

Postbaccalaureate Achievement or Educational Opportunity Centers (EOC) programs. There is 

limited evidence of effectiveness for both of these programs. In addition, McNair is a high costper-participant program that serves relatively few students, and EOC offers very “low touch” 

services that can be provided through other programs like TRIO Talent Search and Adult 

Education State Grants. Colleges and universities can also use institutional resources to 

support these objectives. The request includes appropriations language to amend the HEA by

restoring the Department’s flexibility to conduct rigorous program evaluations for the primary 

purpose of assessing the effectiveness of these programs using random assignment 

methodologies. At the level requested, the Department could support nearly 2,700 TRIO 

projects. 
38

Gaining Early Awareness and Readiness for Undergraduate Programs (GEAR UP)

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions........................................................ $322.8 $322.1 $219.0

The Administration’s 2018 request includes $219 million for GEAR UP, a decrease of 

$103.1 million. GEAR UP provides funds for State grants and Partnership grants to support

early college preparation and awareness activities to help low-income elementary and 

secondary school students prepare for and pursue postsecondary education. There is limited 

rigorous evidence that the program is effective in increasing high school graduation and college 

enrollment rates for program participants. The request would support new and continuation 

awards for approximately 32 States and 80 Partnership awards in fiscal year 2018.

Graduate Assistance in Areas of National Need (GAANN)

program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions........................................................ $29.3 $29.2 $5.8

The Administration’s 2018 request includes $5.8 million for GAANN, a decrease of 

approximately $23.5 million. Through competitive grants to postsecondary institutions, GAANN 

provides fellowships to graduate students with superior ability and high financial need studying 

in areas of national need. Fellowships supported under GAANN are more appropriately 

supported through other Federal programs, as well as through institutional and other nonFederal resources. The funds requested would fully cover the continuation awards of grantees 

that were successful in the 2015 competition.

Model Transition Programs for Students with Intellectual Disabilities into Higher Education 

(TPSID)

program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions........................................................ $11.8 $11.8 $11.8

TPSID supports competitive grants awarded to institutions of higher education or consortia of 

such institutions to create or expand high-quality, inclusive model comprehensive transition and 

postsecondary programs for students with intellectual disabilities. The 2018 request would 

support 25 continuation awards, as well as a Coordinating Center that provides technical 

assistance to institutions with transition programs.

Howard University

(BA in millions)

Programs

2016

2017

Annualized CR

2018

Request

General Support................................................... $194.5 $194.1 $194.1

Howard University Hospital.................................. 27.3 27.3 27.3

Total............................................................... 221.8 221.4 221.4
39

Howard University is a congressionally chartered HBCU that plays an important role in providing 

disadvantaged individuals, particularly Blacks or African-Americans, with access to a 

high-quality postsecondary education. The 2018 request would maintain support at the 

2017 annualized CR level for Howard University’s academic and research programs, serving 

approximately 9,600 undergraduate, graduate, and professional students and the Howard 

University Hospital. Federal support for the Hospital enables provision of medical, dental, and 

other health-related education, research, and training opportunities for graduate and 

professional students. The request includes $3.4 million for Howard University’s endowment, 

which is designed to assist the University in increasing its financial strength and independence.

Academic Facilities

(BA in millions)

Programs

2016

2017

Annualized CR

2018

Request

HBCU Capital Financing Program ....................... $20.5 $20.4 $20.4

CHAFL Federal Administration ............................ 0.4 0.4 0.4

These programs support the construction, reconstruction, and renovation of academic facilities 

at institutions of higher education. The 2018 request for the HBCU Capital Financing Program 

would support the management and servicing of loan guarantees on previously issued loans, 

and includes $20 million in loan subsidy that would allow the program to guarantee $314 million 

in new loans in 2018. Funds also would be used to continue technical assistance services to 

help HBCUs increase their fiscal stability and improve their access to capital markets. The 

Administration is seeking legislative authority to raise the limits on total loan authority and the 

sub-limits on authority for loans to public and private HBCUs.

Funding for College Housing Administration Facilities Loans (CHAFL) Federal Administration is 

used solely to manage and service existing portfolios of facilities loans and grants made in prior 

years.
40

F. INSTITUTE OF EDUCATION SCIENCES

Overview

The Institute of Education Sciences (IES) supports sustained programs of research, statistics, 

and evaluation to study and provide solutions to the challenges faced by schools, teachers, and 

learners. Investment in research, statistics, and evaluation activities is critical in order to identify 

effective instructional and program practices, track student achievement, and measure the 

impact of educational reform. Through its four centers—the National Center for Education 

Research (NCER), the National Center for Education Statistics (NCES), the National Center for 

Education Evaluation and Regional Assistance (NCEE), and the National Center for Special 

Education Research (NCSER)—IES ensures the Federal investment in education research, 

statistics, and evaluation is of high quality and relevant to the needs of educators and 

policymakers. The President’s fiscal year 2018 Budget requests $616.8 million for IES 

activities, the same as the 2017 annualized Continuing Resolution level.

Research, Development, and Dissemination

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.......................................................... $195.0 $194.6 $194.6

The request supports critical investments in education research, development, dissemination, 

and evaluation that provide parents, teachers, schools, and policymakers with evidence-based 

information on effective educational practices. The request would enable IES to sustain its 

efforts to produce and support the use of evidence-based practices in the field and in the 

Department, make approximately $34.9 million in new research awards, and continue 

disseminating information about what works in education to States and localities. 

Statistics

program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.......................................................... $112.0 $111.8 $111.8

The Department’s Statistics program—operated primarily through competitively awarded 

contracts administered by NCES—provides general statistics about trends in education, collects 

data to monitor reform and measure educational progress, and informs the IES research 

agenda. The 2018 request would support the collection, analysis, and dissemination of 

education-related statistics in response to both legislative requirements and to the particular 

needs of data providers, data users, and educational researchers. 

Regional Educational Laboratories (RELs) 

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.......................................................... $54.4 $54.3 $54.3

The RELs serve as a necessary bridge between the research community and State and local 

educational agencies by building the capacity of States and districts to conduct and use 
41

research in order to bring the latest high-quality research and proven practices to the school 

level. RELs work in conjunction with other Department technical assistance centers to support 

State and district education priorities. Key REL activities include providing technical assistance 

on data analysis, evaluating programs and strategies, and analyzing State and district data to 

inform educational improvement. The requested funds would be used to support the 

second-year activities for 9 of the 10 RELs under new 5-year contracts. RELs Southwest is on 

a different schedule and will be competed in fiscal year 2018. 

Assessment

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.......................................................... $157.2 $156.9 $156.9

The request would fund the ongoing National Assessment of Educational Progress (NAEP) and 

the National Assessment Governing Board (NAGB). NAEP measures and reports on the status 

of and trends in student learning over time on a subject-by-subject basis and makes objective 

information on student performance available to policymakers, educators, parents, and the 

public. As the largest nationally representative and continuing assessment of what American 

students know and can do, NAEP has become a key measure of our Nation’s educational 

performance. The request would support NAGB in formulating policy guidelines for NAEP and 

fund the sampling and data collection; pilot testing; item development; and scoring, analysis, 

and reporting of NAEP assessments.

Research in Special Education

program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions.......................................................... $54.0 $53.9 $53.9

Funds support a comprehensive program of special education research designed to expand the 

knowledge and understanding of infants, toddlers, and children with disabilities; answer 

questions about how children with disabilities develop and learn; and learn how best to support 

their development through improved teaching and special education and related services. 

Continued investment in such long-term programs of research is necessary to accumulate 

empirical knowledge and develop evidence-based practices and policies that will result in 

improved academic achievement, social and emotional well-being, behavior, and physical 

development for children with disabilities.

Statewide Longitudinal Data Systems

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions........................................................ $34.5 $34.5 $34.5

This program supports competitive awards to State educational agencies to foster the design, 

development, and implementation of longitudinal data systems that enable States to use data 

on student learning, teacher performance, and college- and career-readiness to enhance the 

provision of education and close achievement gaps. The request would support continuation 

costs of grants awarded in 2015; up to $6 million would be used for awards to public or private 

agencies and organizations to support activities to improve data coordination, quality, and use 

at the local, State, and national levels. 
42

Special Education Studies and Evaluations

Program budget authority (BA)

2016

2017

Annualized CR

2018

Request

BA in millions........................................................ $10.8 $10.8 $10.8

This program supports studies to assess the implementation of the Individuals with Disabilities 

Education Act (IDEA) and the effectiveness of State and local efforts to provide special 

education and early intervention programs and services to infants, toddlers, and children with 

disabilities. The request would support an evaluation of preschool special education practices,

a study of State and local implementation of IDEA, a study of post-high school outcomes for 

youth with disabilities, the Middle Grades Longitudinal Study, and special education reports from 

the What Works Clearinghouse.
43

III. PROGRAMS PROPOSED FOR ELIMINATION

A. Proposed Discretionary Program Eliminations

The 2018 request supports the Administration’s commitment to eliminating funding for programs 

that have achieved their original purpose, duplicate other programs, are narrowly focused, or 

are unable to demonstrate effectiveness. The fiscal year 2018 Budget eliminates funding for 

22 programs, in addition to 6 programs that were eliminated in the reauthorization of the 

Elementary and Secondary Education Act (ESEA), for an annual savings of $5.8 billion. The 

table shown below is followed by a brief summary of each program, in alphabetical order, for 

which funding would be eliminated under the 2018 request.

Programs Proposed for Elimination in FY 2018

(2017 BA in millions)

21st Century Community Learning Centers............................................................ $1,164.5

Alaska Native Education ........................................................................................ 32.4

American History and Civics Academies ............................................................... 1.8

Arts in Education .................................................................................................... 26.9

Child Care Access Means Parents in School ........................................................ 15.1

Comprehensive Literacy Development Grants/Striving Readers .......................... 189.6

Federal Supplemental Educational Opportunity Grants ........................................ 731.7

Full-Service Community Schools ........................................................................... 10.0

Impact Aid Payments for Federal Property............................................................ 66.7

Innovative Approaches to Literacy......................................................................... 26.9

International Education and Foreign Language Studies Domestic Programs....... 65.0

International Education and Foreign Language Studies Overseas Programs....... 7.0

Javits Gifted and Talented Education .................................................................... 12.0

Native Hawaiian Education .................................................................................... 33.3

Preschool Development Grants ............................................................................. 249.5

Ready to Learn Programming................................................................................ 25.7

School Leader Recruitment and Support .............................................................. 16.3

Special Olympics Education Programs.................................................................. 10.1

Strengthening Institutions....................................................................................... 86.4

Supported Employment State Grants .................................................................... 27.5

Supporting Effective Instruction States Grants ...................................................... 2,251.6

Teacher Quality Partnerships................................................................................. 43.0

Total .......................................................................................................... $5,093.1

(2017 BA in millions)

21st Century Community Learning Centers.......................................................... $1,164.5

This program makes formula grants to States, which awards local subgrants to support 

before-school, after-school, and summer school programs that provide safe spaces and 

opportunities for academic enrichment for nearly 2 million students at roughly 11,500 centers. 

This program lacks strong evidence of meeting its objectives, such as improving student 

achievement.

()
44

Alaska Native Education .......................................................................................... $32.4

This program supports supplemental education services for a very high-need student population 

facing unique challenges in obtaining a high-quality education. The Alaska Native Education 

program largely duplicates services that may be funded through the $260 million in other 

Federal elementary and secondary programs that support Alaska as well as State, local, and 

private funds.

American History and Civics Academies.................................................................... $1.8

This program supports efforts to improve the quality of American history and civics education 

through grants for intensive workshops for teachers and students and for evidence-based 

instructional methods and professional development programs. The program has limited 

impact, with American History and Civics Academies grants reaching only a small number of 

teachers and students (each academy may serve no more than 300 teachers or students 

annually).

()

Arts in Education...................................................................................................... $26.9

This program supports arts education projects and programs for children and youth, with special 

emphasis on serving students from low-income families and students with disabilities. Arts in 

Education has limited impact and funds activities that are more appropriately supported with 

other Federal, State, local, and private funds.

Child Care Access Means Parents in School (CCAMPIS)........................................ $15.1

The CCAMPIS program subsidizes campus-based child care services for low-income parents in 

postsecondary education programs. While the CCAMPIS program provides an important 

service that benefits low-income student parents, subsidizing expenses associated with child 

care is not consistent with the Department’s core mission. The Administration maintains funding 

for existing child care programs within the Department of Health and Human Services.

)

Comprehensive Literacy Development Grants/Striving Readers ............................ $189.6

This program awards competitive grants to States, which make competitive subgrants to local 

entities to improve literacy instruction from birth through grade 12. The program has limited 

impact (only 6 State grants in most recent cohort) and duplicates activities that may be 

supported with other Federal, State, local, and private funds.

Federal Supplemental Educational Opportunity Grants.......................................... $731.7

This program allocates money to institutions using a statutory formula; the institutions then use 

the money to award need-based aid to students. This program duplicates the Pell Grant 

program and its allocation formula is not targeted efficiently, basing most of the allocation on 

prior allocation levels.

Full-Service Community Schools.............................................................................. $10.0

This program supports projects that involve a school as the locus for the provision of 

comprehensive academic, social, and health services that respond to the needs of students, 

their families, and community members. The program has limited impact and largely duplicates 
45

activities that are more appropriately supported through other Federal, State, local, and private 

funds.

Impact Aid Payments for Federal Property............................................................... $66.7

This authority provides payments to local educational agencies without regard to the presence 

of federally connected children and thus does not necessarily support the provision of 

educational services for federally connected children. Most districts that receive these 

payments have been funded for 40 years or more—sufficient time to adjust to the removal of 

Federal property from their tax rolls.

Innovative Approaches to Literacy Program............................................................. $26.9

This program makes competitive grants to improve literacy through support of school libraries, 

professional development for school librarians, and the provision of high-quality books to 

children and adolescents in low-income communities. School districts and schools that choose 

to focus on libraries and the provision of free books as part of their early literacy strategies may 

use Title I funds for this purpose.

International Education and Foreign Language Studies Domestic Programs ........... $65.0

This program is designed to strengthen the capability and performance of American education 

in foreign languages and in international studies. This program supports activities that are 

better advanced by other agencies whose primary mission is national security.

International Education and Foreign Language Studies Overseas Programs............. $7.0

This program improves secondary and postsecondary teaching and research concerning other 

cultures and languages, training of specialists, and the American public's general understanding 

of the peoples of other countries. This program supports activities that are better advanced by 

other agencies whose primary mission is national security.

Javits Gifted and Talented Education....................................................................... $12.0

This program supports research and other activities to build local capacity to identify gifted and 

talented students and meet their special educational needs. Limited Federal education dollars 

should be focused on our most disadvantaged children, and programs for gifted and talented 

students can be supported with State, local, and private funds.

Native Hawaiian Education ...................................................................................... $33.3

This program supports supplemental education services for a very high-need student population 

facing unique challenges in obtaining a high-quality education. The program largely duplicates 

services that may be funded through the $127 million in other Federal elementary and 

secondary programs that support Hawaii as well as State, local, and private funds.

Preschool Development Grants ............................................................................. $249.5

The Preschool Development Grants (PDG) competition supports State efforts to (1) build or 

enhance a preschool program infrastructure that would enable the delivery of high-quality 

preschool services to children, and (2) expand high-quality preschool programs in targeted 
46

communities that would serve as models for expanding preschool to all 4-year-olds from 

low- and moderate-income families. The Consolidated Appropriations Act, 2017, provided 

funding for PDG through the Department of Health and Human Services.

Ready to Learn Programming .................................................................................. $25.7

This program supports the development and dissemination of high-quality educational television 

programming. The program is less relevant and necessary with the rise of the internet and the 

increasing number of private providers that create and disseminate programming, online games, 

and “apps” that are both educational and entertaining.

School Leader Recruitment and Support Program ................................................... $16.3

This program funds activities to improve the recruitment, preparation, placement, support, and 

retention of effective principals and other school leaders in high-need schools. This small 

program has limited impact and effectiveness and duplicates other Federal funds that may be 

used to support local efforts to recruit, train, and retain effective school leaders.

Special Olympics Education Programs .................................................................... $10.1

This program supports a directed grant award to a not-for-profit organization. Funds are used to 

expand the Special Olympics and the design and implementation of Special Olympics education 

programs. Such activities are better supported with other Federal, State, local, or private funds.

Strengthening Institutions......................................................................................... $86.4

This program provides funds that may be used to support a wide variety of institutional support 

activities, including construction, maintenance, renovation, and improvement of instructional 

facilities. The program duplicates activities that may be supported with other Federal funds, 

including $492 million in the Higher Education Act Title III and V grant programs.

Supported Employment State Grants....................................................................... $27.5

Through this formula grant program, State Vocational Rehabilitation (VR) agencies receive 

supplemental funds to assist consumers with the most significant disabilities in achieving the 

employment outcome of supported employment. As supported employment is now an integral 

part of the Vocational Rehabilitation State Grants program, there is no longer a need for a 

separate funding stream to ensure the provision of such services.

Supporting Effective Instruction State Grants...................................................... $2,251.6

This program provides formula grants to SEAs and subgrants to LEAs to increase student 

achievement, primarily through professional development for teachers and class-size reduction. 

The Title II-A program is largely duplicative; virtually all other ESEA formula grant funds (e.g., 

Title I, Title III), as well as funding from competitive grant programs, may be used for teacher or 

staff professional development.
47

Teacher Quality Partnerships................................................................................... $43.0

The TQP program supports partnerships that enhance professional development activities and 

training for current and prospective teachers and staff. The statute places unnecessary burden 

on grantee activities, limiting their ability to design the programs that work best for local schools.

B. Programs No Longer Authorized by ESEA

In addition to programs proposed for elimination, 6 Department programs were either struck or 

repealed as a result of the reauthorization of the Elementary and Secondary Education Act 

(ESEA). The elimination or repeal of these programs saves the Department $729.4 million in 

2018. While these programs were eliminated under ESSA, they were funded under the fiscal 

year 2017 annualized CR. The table shown below is followed by a brief summary of each 

program, in alphabetical order.

Programs No Longer Authorized in FY 2018

(2017 BA in millions)

Advanced Placement .............................................................................................. $28.4

Elementary and Secondary School Counseling...................................................... 49.5

Mathematics and Science Partnerships.................................................................. 152.4

Non-Cognitive Skills Initiative.................................................................................. 3.0

Physical Education Program................................................................................... 46.9

School Improvement Grants ................................................................................... 449.1

Total ........................................................................................................... $729.4

(2017 BA in millions)

Advanced Placement (AP) ....................................................................................... $28.4

This program provides grants to eligible entities to enable them to increase the participation of 

low-income students in both pre-AP and AP courses and tests.

Elementary and Secondary School Counseling........................................................ $49.5

This program provides funding to local educational agencies to establish or expand elementary 

and secondary school counseling programs, with special consideration given to applicants that 

can demonstrate the greatest need for counseling services in the schools to be served, propose 

the most innovative and promising approaches, and show the greatest potential for replication 

and dissemination.

Mathematics and Science Partnerships ................................................................. $152.4

The program supports projects to improve math and science education through partnerships, 

which include, at a minimum, a high-need local educational agency and the mathematics, 

science, or engineering department of an institution of higher education.

Non-Cognitive Skills Initiative ..................................................................................... $3.0

This program provides competitive grants to district and researcher partnerships to develop and 

test interventions that improve students’ non-cognitive skills in the middle school grades, a time 
48

when many students lose interest in, engagement with, and motivation for academic work, 

thereby increasing the likelihood of their dropping out of high school.

Physical Education Program .................................................................................... $46.9

This program provides grants to local educational agencies and community-based organizations 

to initiate, expand, or enhance physical education programs, including before-school, 

after-school, and summer programs for students in kindergarten through 12th grade.

School Improvement Grants................................................................................... $449.1

This program authorizes grants to State educational agencies that are used to make competitive 

subgrants to local educational agencies that demonstrate the greatest need for the funds and 

the strongest commitment to use the funds to provide adequate resources in order to 

substantially raise the achievement of students in their lowest-performing schools.
49

IV. DEPARTMENTAL MANAGEMENT

History and Background

Congress established the Department of Education as a Cabinet level agency in 1980. Today, 

the Department supports programs that touch every area and level of education. The 

Department's early learning, elementary, and secondary education programs annually serve 

approximately 18,260 school districts and more than 50 million students attending more than 

98,000 public and 33,000 private schools. Department programs also provide grant, loan, and 

work-study assistance to more than 12 million postsecondary students at more than 

6,000 institutions of higher education.

The Department is responsible for administering education programs authorized and funded by 

Congress and signed into law by the President. This responsibility involves developing 

regulations and policy guidance regarding program operations, determining how program funds 

are awarded to recipients consistent with statutory requirements, and ensuring programs are 

operated fairly and conform to statutes and laws prohibiting discrimination in federally funded 

activities. The Department also collects data and conducts research on education to help focus 

attention on education issues of national importance.

Most Federal funds for education are distributed using one of three methods: (1) a statutory 

formula based on certain eligibility requirements, such as the number of low-income students in 

a school district; (2) a competitive process aimed at identifying the most promising proposals or 

projects targeting a particular educational purpose; or (3) an assessment of financial need, such 

as the ability of a student or family to pay for college.

Key programs administered by the Department include: Title I of the Elementary and Secondary 

Education Act (ESEA), for which the Administration’s fiscal year 2018 request would provide 

$15.9 billion to help more than 25 million students in high-poverty schools make progress 

toward State academic standards; $11.9 billion for Part B Grants to States under the Individuals 

with Disabilities Education Act to help States and school districts meet the special education 

needs of 6.8 million students with disabilities; Federal Pell Grants, which would make available 

$28.8 billion in need-based grants to 7.3 million students enrolled in postsecondary institutions; 

and the postsecondary student loan programs, which would help provide roughly $153 billion in 

new and consolidated Direct Loans to help students and families pay for college.

The Department’s programs and responsibilities have grown substantially over the past decade. 

Some of the growth has resulted from legislation that added responsibilities or changed 

requirements, including the SAFRA Act, which created 100 percent Direct Lending, the 

Workforce Innovation and Opportunity Act, and the Federal Information Technology Reform Act. 

Carrying out the existing Higher Education Act and making sure institutions comply with 

regulations to protect student and taxpayer interests has meant a greater workload. In addition, 

the reauthorization of the ESEA by the Every Student Succeeds Act significantly increased

demands on the Department to develop and disseminate program guidance, and provide 

substantial technical assistance to SEAs and LEAs to ensure a smooth transition to and 

implementation of the new statute.
50

Salaries and Expenses Overview

(dollars in millions)

Departmental Management 2016Footnote

2017

Annualized CRFootnote

2018

RequestFootnote

Program Administration..................................... $432.01 $431.2 $438.0

Office for Civil Rights......................................... 107.0 106.8 106.8

Office of Inspector General ............................... 59.3 59.1 61.1

Student Aid Administration................................ 1,551.9 1,548.9 1,697.7

Other ................................................................. 9.32 9.32 9.32

Total 2,159.4 2,155.3 2,312.9

Full-Time Equivalent Employment (FTE)

Program Administration..................................... 1,888 1,776 1,699

Office for Civil Rights......................................... 563 569 523

Office of Inspector General ............................... 228 237 237

Student Aid Administration................................ 1,453 1,555 1,524

Other ................................................................. 18 19 19

Total 4,1503 4,1563 4,0023

 1 Includes $1.0 million in for Building Modernization. 2 Includes small Federal Credit Administration accounts and S&E activities in program accounts. 3 Actual FTE usage in FY 2016; targets for FY 2017 and FY 2018.

The fiscal year 2018 Budget request for Salaries and Expenses (S&E) would pay the costs of 

staff, overhead, contracts, and other activities needed to administer and monitor the 

Department’s educational assistance programs. Despite having the third largest discretionary 

budget of all Cabinet-level agencies behind only the Department of Defense and the 

Department of Health and Human Services, the Department of Education has the fewest staff. 

The Department’s administrative funds are approximately 1 percent of the total annual program 

appropriations and new loan volume administered by the Department. 

The Department is requesting $2.31 billion for its S&E budget accounts in fiscal year 2018, an 

increase of $158 million, or 7.3 percent, over the fiscal year 2017 annualized CR level. 

Eighty-seven percent of the requested increase, or $136.6 million, is for servicing costs 

necessary to manage the Department’s approximately $1.3 trillion loan portfolio, and the 

remaining 13 percent of the requested increase is for enhanced IT security, critical IT 

infrastructure needs, continued audit and investigative work, and additional security costs for the 

Secretary. The fiscal year 2018 request includes funding for 4,002 FTE, a decrease of 154 FTE 

from the fiscal year 2017 annualized CR level of 4,156 FTE.

Program Administration

The Program Administration account provides administrative support for most programs and 

offices in the Department. The fiscal year 2018 request totals $438.0 million, a total increase of 

$6.8 million, or 1.6 percent, above the fiscal year 2017 annualized CR level. The request 

includes $270.0 million for personnel compensation and benefits to support 1,699 FTE, a 

decrease of $6.2 million from the fiscal year 2017 annualized CR level of $276.2 million.
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Non-personnel costs cover such items as travel, rent, mail, telephones, utilities, printing, 

information technology (IT) services and security, contractual services, equipment, supplies, 

and other services. The total request for non-personnel activities in fiscal year 2018 is 

$168.0 million, an increase of $13.0 million from the fiscal year 2017 annualized CR level of 

$155.0 million.

The overall increase of $6.8 million is needed for: (1) improvements to the Department’s IT 

security to ensure the integrity of Department of Education data as well as to prevent potential 

IT security breaches; (2) the upgrade of the Department’s core financial system from Oracle 

version 11i to Oracle Release 12 because the current system is on extended support at a 

premium cost to Department and presents security risks to the Department’s data; (3) personnel 

compensation and benefits increases related to a proposed 1.9 percent pay raise in January 

2018; (4) necessary spending to transition to new computer network services and IT 

infrastructure contracts; and (5) development of a new Impact Aid System to replace the current 

system that is dangerously past its lifecycle, potentially jeopardizing timely awards to more than 

1,100 Impact Aid recipients. 

Student Aid Administration

The Student Aid Administration account provides funds to administer the Federal student 

financial assistance programs. The Higher Education Act Title IV programs, which provide 

funds to help students and families pay for the cost of education and training beyond high 

school, are the Nation’s largest source of financial aid for postsecondary students. This account 

supports functions across the student aid lifecycle including: educating students and families 

about the process for obtaining aid and student loan repayment options; processing student 

financial aid applications; disbursing aid; servicing loans; collecting on defaulted loans; and

ensuring enforcement and oversight of the Title IV programs.

Ensuring the smooth operation of the complex financial transactions and assisting the many 

participants involved in the student financial aid programs while safeguarding the interests of 

both students and Federal taxpayers is one of the Department's greatest management 

challenges and highest administrative priorities. Primary responsibility for administering the 

Federal student financial assistance programs rests with Federal Student Aid (FSA), the Office 

of the Under Secretary, and the Office of Postsecondary Education.

In fiscal year 2018, FSA will provide $134.2 billion in new Federal student aid grants and loans 

(excluding Direct Consolidation Loans) to almost 12.2 million postsecondary students and their 

families. These students attend more than 6,000 active institutions of postsecondary education 

accredited by dozens of agencies.

SAFRA ended the origination of new loans under the Federal Family Education Loan (FFEL) 

program. Since July 1, 2010, all new loans are originated and serviced through the Direct Loan 

(DL) program administered by the Department of Education. Although all new lending is made 

through the DL program, lenders and guaranty agencies continue to service and collect 

outstanding loans from the FFEL portfolio in addition to the significant number of FFEL loans 

owned by the Government and serviced by the Department. The Department currently 

contracts with 9 servicers to service the Department’s portfolio of approximately 42 million 

borrowers.

The Student Aid Administration account represents 73 percent of the Department’s total 

discretionary administrative budget. The fiscal year 2018 request would provide $1.7 billion to 
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administer student aid programs, an increase of $148.8 million over the fiscal year 

2017 annualized CR level. Ninety-two percent of the increase is due to higher servicing costs, 

which result from growth in the number of borrowers and shifts of existing borrowers from 

in-school to more expensive in-repayment, statuses. In addition, the fiscal year 2018 request 

includes funds necessary to maintain operations for student aid application processing, 

origination and disbursement functions, and student aid IT system hosting; and to enhance IT 

security.

Office for Civil Rights

The Department’s Office for Civil Rights (OCR) investigates discrimination complaints, conducts 

compliance reviews, monitors corrective action plans, and provides technical assistance on civil 

rights issues. Since fiscal year 2006, the number of complaints nearly tripled through fiscal 

year 2016, while the number of investigative staff increased only by 5 percent over the same 

period. The FTE level is projected to be 523 in fiscal year 2018.

The fiscal year 2018 request for OCR is $106.8 million, the same as the fiscal year 2017

annualized CR level. About $77.5 million, or 73 percent, of the request is for staff pay and 

benefits for 523 FTE, as well as a proposed 1.9 percent pay raise in January 2018. The 

remaining $29.3 million is for non-pay projects and includes $4.1 million for information 

technology services, including contracts for the Civil Rights Data Collection (CRDC) and for 

pre-collection and collection activities for 2017-18 CRDC data collections. The requested funds 

would ensure essential program support to resolve complaints of discrimination filed by the 

public and to ensure that institutions receiving Federal financial assistance are in compliance 

with the civil rights laws enforced by OCR. 

Office of Inspector General

The Office of Inspector General (OIG) conducts audits and investigations of the Department’s 

programs and activities to help ensure accountability for taxpayer-provided funds and to identify 

management improvements. The fiscal year 2018 request for the OIG is $61.1 million, an 

increase of $2.0 million over the fiscal year 2017 annualized CR level. Approximately 

67 percent of this amount, or $40.8 million, is for personnel compensation and benefits to 

support a staffing level of 237 FTE, including a proposed 1.9 percent pay raise in January 2018.

The non-personnel request of $20.3 million includes $2.0 million to contract for the mandatory

annual audit of the Department’s financial statements. The scope of the audit would include the 

examination and analysis of account balances, review of applicable financial systems, and 

evaluation of internal controls and compliance with significant laws and regulations. 

Additionally, the non-personnel request includes funds to support the Council of Inspectors 

General on Integrity and Efficiency; and to continue to develop the ability to perform predictive 

analytics with a tool to identify patterns of fraud and risk, allowing the OIG to better target audit 

and investigative work.
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APPENDICES

• Summary of Discretionary Funds

• Summary of Mandatory Funds

• Advance Appropriations for the Department of Education

• Total Expenditures for Elementary and Secondary Education in the United States

• Detailed Budget Table by Program