American Recovery and Reinvestment Act (ARRA)

Added to Programs No Longer Administered by the California Department of Education (CDE) on June 11, 2015 and subsequently updated on May 13, 2016.

This information is for historical purposes only and it is possible that information contained here may not be current.

American Recovery and Reinvestment Act (ARRA), State Fiscal Stabilization Fund

Summary

From 2009-2013, the federal American Reinvestment and Recovery Act (ARRA) legislation allocated nearly $7 billion for California’s pre-Kindergarten through grade twelve public schools. The funding was used at the local level to avoid teacher layoffs, continue efforts to close achievement gaps that exist between higher- and lower-performing students, improve educational opportunities for students, and advance education reform. ARRA funding was allotted through State Fiscal Stabilization Funds; Title I, Part A; the Individuals with Disabilities Education Act; McKinney-Vento Homeless Assistance; Nutrition Equipment grants; Enhancing Education through Technology grants; and Child Care and Development grants.

Time Period

2008–09 through 2010–11

One time funding provided over three state fiscal year budget authorities.

Applicable Statutes/Regulations

• Public Law 111-5, American Recovery and Reinvestment Act of 2009, Section 14001, et seq
• Senate Bill 4 (Chapter 12, Statutes 2009, Third Extraordinary Session, SBX3 4)
• Assembly Bill 56 (Chapter 31, Statutes of 2009, Third Extraordinary Session, ABX3 56)
• Assembly Bill (AB) 185 (Chapter 221, Statutes of 2010) as amended by AB 1610 (Chapter 724, Statutes of 2010)

Source of Appropriation/Budget Act Item

• Control Section 1.5 (Chapter 2, Statutes of 2009, Third Extraordinary Session), Budget Act of 2008, Budget Revision 6110-609-0001-002
• Control Section 28 of the Budget Act of 2009
• Budget Act of 2009 (Chapter 1, Statutes of 2009, Third Extraordinary Session, as amended by Chapter 1, Statutes of 2009, Fourth Extraordinary Session), Budget Item 6110-109-0001
• Section 1(b)(1)(A) of AB 185 (Chapter 221, Statutes of 2010) as amended by Section 37 of AB 1610 (Chapter 724, Statutes of 2010).

Program Description

Apportionments for the State Fiscal Stabilization Funds (SFSF) were made from the state’s Federal Trust Fund, as transferred to the California Department of Education via an Interagency Agreement with the California Office of Planning and Research, over three state fiscal year (FY) budget authorities; $3,100,000,000 available in 2008–09, $354,899,894 available in 2009–10, and $271,419,360 available in 2010–11.

SFSF were one-time federal funds provided to the state under the American Recovery and Reinvestment Act (ARRA) of 2009 (Public Law 111-05), with an intended use to avert layoffs of teachers and other personnel and further education reform in the key areas of teacher quality, standards and assessments, longitudinal data to improve instruction, and support struggling schools. Local educational agencies (LEA) funding amounts were calculated based on reductions to state general purpose (e.g. revenue limits) and categorical program funding pursuant to SBX3 4 and ABX3 56.

LEAs were required to apply for SFSF funding, complete the ARRA Section 1512 quarterly reports, and met cash management requirements under federal statute and regulations. SFSF funds were to be used for any activity that was authorized under the following: (1) The Elementary and Secondary Education Act of 1965, including Impact Aid, (2) The Individuals with Disabilities Education Act, (3) The Adult Education and Family Literacy Act, or (4) The Carl D. Perkins Career and Technical Education Act of 2006. The start date for the SFSF was April 17, 2009; LEAs could not charge expenditures incurred before this date. SFSF funds were available for obligation until September 30, 2011.

SACS Resource/Revenue Codes

3200 / 8290

Flexibility

n/a

Links to Ongoing Non-CDE Resources

Refer to the U.S. Department of Education's ARRA website for additional information.