ED Fast Tracks Stabilization Funds Amid Grim Budget News

Washington, July 2 — Just as a majority of states face a new fiscal year certain to bring more economic pain, the U.S. Department of Education (ED) yesterday sought to ease the pressure by fast-tracking more than $2.7 billion in additional federal stimulus money for government services, bringing to nearly $40 billion the amount of funds hitting state coffers.

Texas submitted its State Fiscal Stabilization Fund (SFSF) application yesterday at 4:12 p.m., coming in just under the wire for the July 1 deadline for the first phase of funding, said ED spokeswoman Sandra Abrevaya. With Texas on board, all states have finally submitted their requests. It takes about 10 days for federal officials to review and approve applications and then to obligate the monies, she said. Applications from about 10 states —Vermont, Wyoming, and Pennsylvania among them — are pending approval, according to ED.