Issue Brief 9-30
August 18, 2009

The Department of Education (ED) recognizes that states will assume increased administrative responsibilities under the American Recovery and Reinvestment Act of 2009 (ARRA; P.L. 111-5). However, both Title I-Education for the Disadvantaged and Special Education have caps on the amount of funds that can be used for administrative costs. Since these limits do not take into account the new ARRA data collection requirements, ED is proposing an increase in the caps for Title I-Part A (grants to local educational agencies [LEAs]) and Special Education-Part B (grants to states). The proposal, published in the Federal Register on August 17, 2009, would allow states to use additional existing funds to administer, monitor, and report on the use of ARRA funds. Public comments to the notice are due on September 16, 2009.