NAEYC Update December 1, 2004

Fiscal Year 2005 Federal Spending Numbers

As reported last week in the email update, Congress has determined the spending levels for discretionary programs for fiscal year 2005. Early childhood and education programs did not fare very well. Tight spending caps meant real cuts in several programs, and much smaller increases in others than had been anticipated. Child care assistance now is below last year's funding levels, Head Start had only a one percent increase, and after-school programs suffered a cut. While Title I of No Child Left Behind increased overall, but the basic grants to local educational agencies were cut, as was Even Start, and special education and related services for infants, toddlers and preschool age children with disabilities.

The numbers in this update reflect the spending levels after taking the cut across the board into account. A reminder: the Congress needs to come back to finalize the omnibus appropriations bill next week in order to deal with IRS tax returns language that will be deleted from the bill. The Continuing Resolution, which keeps the government open and funds flowing to programs, ends on December 8.

Cuts and increases are based on comparisons with fiscal year 2004 levels.

Cuts:

CCDBG—$5 million cut
Title I basic grants to school districts—$102 million cut
Even Start—$21.8 million cut
Early Childhood Educator Professional Development—$118,500 cut
21st Century Community Learning Centers—$8 million cut
IDEA Part C infants/toddlers—$3.55 million cut
IDEA Preschool—$3.1 million cut
CCAMPIS—$128,792 cut

Increases:

Head Start—$67 million increase
Reading First—$17.7 million increase
Early Reading First—$9.7 million increase
IDEA Part B—$521.6 million increase
Early Learning Opportunities Act—$2.1 million increase
Title I targeted grants—$250 million increase

When does this process begin for fiscal year 2006?
Each year, in early February, the President presents his budget request. Congress then debates a Budget Resolution, which is the macro blueprint for spending. Learn more about the federal budget process by going to http://www.house.gov.

Click on "Committee Offices"
Then click on "Committee on the Budget."
As you scroll down the page, you will see a box that says "Budget Tutorial." Click on that box.
Then click on "Budget Basics."
We apologize that the link we provided in last week's update does not appear to be working. This should direct you to the same set of documents.