CTE Policy Watch: A blog for CTE advocates

Senate Releases FY 2025 Education Funding Bill

Senate appropriators on Aug. 1 released and passed the fiscal year (FY) 2025 Labor, Health and Human Services, Education and Related Agencies funding bill. The bill would provide $80 billion in discretionary funding for the Department of Education, representing a little more than a 1% increase for the Department of Education, which is in sharp contrast to the 14% cut the House Appropriations Committee approved last month. 

The bill passed out of the Senate Appropriations Committee by a vote of 25-3. In some good news for CTE, the bill provides a $35 million increase over FY 2024 for the Perkins Basic State Grant. That represents a 2.5% increase. Appropriators are also proposing a $10 million increase for CTE National Activities, which would be used for the department’s Career-connected High Schools initiative. ACTE and partners have raised concerns about this initiative. 

Other highlights in the bill include: 

• $100 increase to the maximum Pell Grant, bringing the award to $7,495 

• Flat funding for the Strengthening Community College Training Grants at $65 million 

• $280 million increase for the Every Student Succeeds (ESSA) Title I Grants for local education agencies 

• $100 million increase for the Office of Federal Student Aid 

Highlights for the Department of Labor include: 

• $2.9 billion for the Workforce Innovation and Opportunity Act (WIOA) formula grants, equal to FY 2024 

• $290 million for Registered Apprenticeships, a $5 million increase over FY 2024 

• $110 million for YouthBuild 

With the August recess in full swing, it is not yet clear when this bill will move forward. Appropriators will likely continue negotiations well after the fiscal year starts on Oct. 1. In the meantime, lawmakers will likely pursue a continuing resolution to keep the government open after Sept. 30 and give legislators more time to finalize the spending bills.  

As Congress continues this work, ACTE will be advocating for a robust investment in CTE as well as other critical programs that increase access to learners of all ages.

Appropriators Release FY 2025 Education Funding Bill

The House Appropriations Subcommittee on Labor, Health and Human Services, Education, and Related Agencies released their Fiscal Year (FY) 2025 appropriations bill earlier this week. The bill proposes deep cuts to many education and job training programs.  

The bill would cut spending for the agencies within its jurisdiction by 11 percent or $24.6 billion. Specifically, the bill would cut the Department of Education by 14 percent or $11 billion and the Department of Labor by 23 percent or $3 billion. There are also recissions to some current funding streams.  

In good news for CTE, the bill proposes a $10 million increase for the Perkins Basic State Grant. However, while we appreciate the legislation’s recognition of increasing current Perkins funding levels, we are extremely concerned about proposed cuts to other major education and workforce development programs elsewhere in the legislation. 

Below are just a few of the funding cuts or program eliminations included in the bill that are most relevant: 

Department of Education: 

• 25% cut for Every Student Succeeds Act (ESSA) Title I Grants for local education agencies 

• 50% reduction to the Supplemental Educational Opportunity Grant and Federal Work Study Programs 

• Elimination of funding for Supporting Effective Instruction State Grants (ESSA Title II)  

Department of Labor: 

• 57 percent grant for the Workforce Innovation and Opportunity Act (WIOA) State Grants 

• 25 percent cut to the Employment and Training Administration 

• $135 million decrease to Registered Apprenticeship program 

• Elimination of funding for WIOA Youth Job Training 

A few programs will keep their funding at the same level as FY 2024 or also have small increases like Perkins. The maximum Pell grant will remain at $7,395, and the Department of Labor Strengthening Community Colleges Training Grant program will stay at $65 million. A small increase was proposed for ESSA Title IV and for IDEA state grants.  

On Thursday, the subcommittee advanced the bill and will be considered by the full committee on July 10. Be on the lookout for an Action Alert next week to get involved and let Congress know that these massive cuts will have a negative impact on the broader education and workforce system, including CTE programs. You can view the full text of the bill here. 

 

IES Announces Availability of CTE Research Grants

In late May, the National Center for Education Research within the national Institute of Education Sciences (IES) released a funding announcement for Fiscal Year 2025 research grant competitions.

Education Research Grants through IES are designed to “expand the understanding of what works for whom, in what context, and why to provide reliable information about how to improve education outcomes for learners at all levels, including early childhood, elementary, secondary, postsecondary, and adult education.” Grants of up to $4 million are available to researchers in 11 different topic areas, including CTE. The CTE topic area is designed to support research on the implementation and effects of CTE programs and policies on students’ education and workforce outcomes. Specific topics mentioned in the research description include work-based learning, middle school CTE programs, and CTE teacher recruitment and retention and the impact on learner outcomes. Research looking at longer-term outcomes, such as college completion and earnings is also a priority. Applications for these grants are due September 12, 2024.  

Those interested in applying for these research grants can access virtual office hours hosted by the National Center for Education Research. To learn more, visit https://ies.ed.gov/funding/technicalassistance.asp or reach out to the CTE program officer, Dr. Corinne Alfeld, at [email protected]. More information about IES grants overall can be found at https://ies.ed.gov/funding/.

Recent Dear Colleague Letter on Correctional Education

Recently, the Office for Career, Technical and Adult Education (OCTAE) at the U.S. Department of Education circulated a Dear Colleague Letter (DCL) advocating for strong investments in correctional education to promote safer communities and help reintegrate incarcerated individuals into the workforce through allocations of funds designated for CTE and adult education. 

OCTAE’s DCL encourages States and localities to allocate more funding from the Adult Education and Family Literacy Act (AEFLA) and Perkins V to correctional education programs. It also urges a more comprehensive approach toward correctional education to yield greater employment opportunities for incarcerated individuals after they are released and reduced recidivism rates. A specific goal outlined in the letter is to enable more people to benefit from the newly expanded, Pell-eligible Prison Education Programs (PEPs).  

Correctional education includes but is not limited to programming such as adult basic education, high school equivalencies and diplomas, postsecondary education, including CTE, and English language learning. About 1 in 3 incarcerated adults have less than a high school equivalence and only about 15 percent of incarcerated adults earn postsecondary degrees prior to or during their incarceration. However, research has shown that people who obtain their high school equivalencies while incarcerated increase their earnings by 24-29% the year after their release. Those who participate in postsecondary correctional education programs have a 48% lower risk of recidivating than those who don’t. 

The DCL also addresses the workforce gap that can be filled with the hundreds of thousands of people being released from incarceration each year. It outlines how workforce opportunities created by the Biden Administration’s “Investing in America” agenda can benefit recently released individuals while fulfilling a need in our nation’s labor force, but only if these individuals are properly equipped with the educational background to take on the available roles.  

Update on FY 2025 Appropriations

Each year, members in both chambers lead “Dear Colleague” letters that are sent to the Chair and Ranking Member of the Labor, Health and Human Services, Education and Related Agencies Appropriations Subcommittee in both the House and Senate requesting robust funding for the Perkins Basic State Grant. This year’s letters were led by Reps. G.T. Thompson (R-PA) and Suzanne Bonamici (D-OR) in the House as well as Sens. Richard Blumenthal (D-CT) and Tim Kaine (D-VA) in the Senate. A total of 40 senators and 71 members of the House signed these letters. 

Additionally, ACTE in coordination with Advance CTE recently sent a letter to House and Senate Appropriations Committee leadership requesting an $82 million increase to Perkins for Fiscal Year (FY) 2025. The letter in part states, “adjusted for inflation, current levels of investment for this program are roughly half of the amount of the federal investment made in CTE in 1980. It is imperative that Congress begin to close this $1.3 billion gap in funding for CTE given significant new demand for skilled talent driven, in part, by new investments authorized by Congress in advanced manufacturing, energy, infrastructure, and other sectors of our shared economy.”   

House Appropriations Committee Chair Tom Cole (R-OK) also laid out his timeline for FY 2025 appropriations bills this week. The Labor, Health and Human Services, and Education bill is tentatively scheduled to come before the subcommittee on June 28 and before the full committee on July 10.  He also announced the subcommittee allocations for each bill. The allocation for the Labor, Health and Human Services, and Education our bill will be $184,564,000. That represents a cut of approximately 11 percent compared to FY 2024, which will make it very difficult for any education or workforce development programs to gain needed increases, and even maintaining funding will be challenging. 

ACTE is closely monitoring developments in the appropriations process, and we will keep you updated so that you can continue to advocate for the highest possible levels of CTE spending within this budget environment. Please let us know if you have any questions! 

Sec Cardona Testifies Before Committee on Education and the Workforce

Earlier this week, Secretary of Education Miguel Cardona testified before the House Committee on Education and the Workforce in a hearing, “Examining the Education Department’s Policies, Priorities, and FY 2023 Financial Audit Failure.” The hearing primarily discussed recent challenges that students, families and postsecondary institutions have encountered with the Department of Education’s new Federal Application for Student Aid (FAFSA) form, and issues of free speech and civil liberties as protests persist on college campuses across the country.  

Cardona spent a good portion of the hearing fielding questions regarding the latest updates and struggles with FAFSA processing. He assured lawmakers that the system is improving and that more applications have been filed of late, arguing that the new application will yield a more inclusive and productive process in the future, but lawmakers remain skeptical. Many lawmakers also pressed Cardona on efforts to help curb antisemitism and islamophobia on college campuses in the wake of many large-scale demonstrations taking place across the nation.  

In addition to these broader issues, House CTE Caucus co-chair, Rep. Glenn “GT” Thompson, and several other Members raised questions related to CTE.  

Rep. Courtney initially voiced interest in CTE, referencing 8.5 million job openings. They discussed the skills gap, and Cardona voiced his support for CTE, having graduated from a technical high school himself.  

Rep. Thompson later discussed many of the benefits of CTE with Cardona, noting the high rates of secondary graduation and postsecondary completion and placement rates. He also discussed how CTE programs align with local labor markets, specifically referencing the health care sector, in the aftermath of a global pandemic. Rep. Thompson questioned Cardona on proposed potential regulations related to Perkins, and why regulations would be necessary after the last six years of successful implementation. Cardona did not provide details in his response but expressed an interest in shared goals and further collaboration with Congress to expand access to CTE programs.  

Rep. Bonamici, House CTE Caucus co-chair, also expressed her support for CTE, thanking Cardona for his support and interest in the cause. 

The hearing can be accessed here. 

Secretary Su Testifies Before Education and Workforce Committee

On Wednesday, acting Secretary of Labor Julie Su testified before the House Education and Workforce Committee on the policies and priorities of the Department of Labor.  

During Su’s opening testimony, she highlighted many aspects of President Biden’s budget request for fiscal year (FY) 2025. She stated that the budget “includes major new investments through the $8 billion mandatory Career Training Fund and a new $50 million investment in the Sectoral Employment through Career Training for Occupational Readiness program, both of which will support the development and expansion of public-private partnerships between employers, education and training providers, and community-based groups to equitably deliver high-quality training focused on growing industries.”  

The hearing became contentious as members of the committee used their time to question Su on new regulations. House CTE Caucus co-chair Rep. G.T. Thompson (R-PA) expressed concerns about the proposed regulations regarding CTE programs and apprenticeships. He said that the rules would expand federal control over already successful programs. “Just because each of these are successful on their own does not mean the Department of Labor should have any role in forcing them together through regulation,” Thompson stated. 

In her response, Su replied that the intention of rules is to “braid together more connectivity,” and not to limit CTE programs.  

Thompson later added that the new rules would also require new CTE apprenticeships to adhere to new “industry skills frameworks,” which would dictate CTE curriculum in violation of federal law. 

ACTE submitted extensive comments regarding the proposed apprenticeship regulations back in March, and we continue to follow and weigh on this important conversation.  

A recording of hearing can be found here. 

FY 2024 CTE Earmarks Analysis

ACTE has analyzed the Fiscal Year (FY) 2024 omnibus appropriations bill signed into law in March 2024, which contained over 130 projects that awarded funding to educational institutions, government agencies and nonprofit partners related to CTE and workforce development. Total funding for this year’s CTE-related earmarks equaled over $137 million.

The earmarks or congressionally directed spending opportunities allow Members of Congress to guarantee a specific amount for grantees for the direct benefit of their state or district. ACTE’s analysis of these FY 2024 earmarks found the following:

• CTE and workforce development projects funded through the U.S. Department of Education Higher Education Act account received $75.6 million through 72 earmarks.
• CTE and workforce development projects funded through the U.S. Department of Labor Education and Training Administration account received $43.5 million through 36 earmarks.
• CTE-related projects funded through the U.S. Department of Education Innovation and Improvement account received $18.8 million through 30 earmarks.

Thirty-three states received funding earmarked for CTE-related projects in FY 2024 with Kansas receiving the most money, totaling $8.56 million, and West Virginia receiving the most earmarks with 10 total projects funded. CTE and workforce development projects that received the most funding are listed below:

• $6 million for Midlands Technical College in South Carolina
• $4.675 million for Fox Valley Workforce Development Board in Wisconsin
• $4 million for Kansas State University Salina Aerospace and Technology Campus in Kansas
• $4 million for Henry Ford College in Michigan

In addition to these projects, additional CTE and workforce development projects were funded through organizations like unions and hospitals, so we encourage you to check out the FY 2024 appropriations bill to see more earmarks in your state that may be of relevance to CTE.

Biden Administration Announces Revised Overtime Rule

This week, the Administration announced a final rule updating overtime rules for millions of lower-income salaried employees. The new rule raises salary thresholds required to exempt a salaried executive, administrative or professional employee from federal overtime pay requirements. Acting Secretary of Labor, Julie Su, shared that, “This rule will restore the promise to workers that if you work more than 40 hours in a week, you should be paid more for that time.”

The new rule takes effect July 1, 2024, and will increase the overtime salary threshold from $35,568 to $43,888. The salary threshold will increase again to $58,568 on January 1, 2025. Additionally, the rule will adjust the threshold for highly compensated employees, and salary thresholds will be updated every three years by applying current wage data to determine new levels. The Department drafted this new rule after consulting and engaging with employers, workers, unions and other stakeholders and received approximately 33,000 comments in developing its final rule – although not all stakeholders supported the increases

This rule will take effect for some school district employees, including school nurses, athletic trainers and librarians. However, both secondary and postsecondary teachers and school administrators are exempt from the federal overtime rule.

The Department of Labor received a request from the National Education Association to end exemptions for teachers, given that they do not currently qualify for mandatory overtime pay under the Fair Labor Standards Act. The Department shared that they would require a separate rulemaking process to consider a change of that nature.

Proponents of the rule argue that employees should have the predictability of guaranteed overtime pay, and that it will benefit those who are currently overworked and underpaid. Ranking Member Bobby Scott (D-PA) on the House Committee for Education and the Workforce shared, “This rule is good for workers, good for businesses, and good for our economy.”

Opponents of the rule argue it will force secondary and postsecondary institutions to come up with millions of dollars in increased wages. This poses difficulties for postsecondary institutions struggling with constraints on tuition revenue and state funds, and for secondary school districts with limited budgets. Education leaders have been preparing for this shift for months, but may need to redirect efforts/resources toward recordkeeping and tracking hours for more employees. Ranking Member Bill Cassidy (R-LA) on the Senate Health, Education, Labor and Pensions Committee argued that, “The new overtime rule forces businesses to make a choice: eliminate jobs, gut wages, or raise prices on families already feeling the affordability crunch under President Biden.”

The new rules are likely to be challenged in court, so could be delayed during that process.

Congress Holds Hearings on FAFSA, President's FY 2025 Request

Congress is back from their two-week recess and held two education-centric hearings this week. The House Appropriations Subcommittee on Labor, Health and Human Services and Education held a hearing on the President’s budget proposal and heard testimony from Secretary of Education, Miguel Cardona. Meanwhile, the House Committee on Education and the Workforce held a hearing to discuss the challenges students, families and financial aid officers are experiencing with the rollout of the Department of Education’s new Free Application for Federal Student Aid (FAFSA) form, which was released in December of 2023. 

The House Committee on Education and the Workforce’s hearing reviewed the difficulties that students and financial aid offices are struggling with related to the new FAFSA as college admissions deadlines approach. There have been challenges both with the form submission and processing, leaving many colleges without the information they need to issue financial aid offers. Lower rates of FAFSA submission (about 40% down from the previous year) have led to concerns about postsecondary attendance in the Fall.  

Congressman Glenn “GT” Thompson, co-chair of the House CTE Caucus, asked witnesses about the root cause of certain difficulties the platform has faced and expressed concern about students whose aid would be potentially limited or eliminated by overall changes to the FAFSA. Witnesses noted it was too soon to tell how formula changes were impacting students because of the other issues with the process 

 Lawmakers also raised the issue of student debt, debating whether recent efforts focused on relieving student loan debt might be drawing resources away from solving FAFSA obstacles. These concerns were echoed in the Subcommittee on Labor, Health and Human Services, and Education Committee’s Hearing on the Fiscal Year (FY) 2025 budget request. Secretary Cardona discussed the aforementioned concerns by reassuring lawmakers that no other project was redirecting resources from FAFSA, and that it remains a top priority for the department.  

Secretary Cardona also discussed some areas in the budget that the Department of Education is working on, including but not limited to their Raise the Bar Initiative, academic recovery from the COVID-19 pandemic and the accessibility and affordability of various career and college pathways to ensure students have more opportunities for rewarding careers. Other concerns that members surfaced in this hearing included  absenteeism and the availability of support services for students, including mental health support and assistance for food insecurity. 

Secretary Cardona will continue discussing these issues with lawmakers in the coming months, likely testifying before the Senate Appropriations Committee as well, while Congress works on their budget for FY 2025. The President’s FY 2025 Budget Proposal was released earlier this year, and ACTE’s analysis of the Labor, Health and Human Services, and Education bill is posted on our blog. We will continue to share updates and important information pertaining to this process, and advocate for robust funding for CTE at the federal level.