U.S. Secretary of Education Arne Duncan today announced that more than
$2.7 billion is being made available early to help states as they face
increasing budgetary pressures. This funding represents that last third
of the government services fund which was initially scheduled to be
made available with the completion of Phase II applications as part of
the State Fiscal Stabilization Fund under the American Recovery and
Reinvestment Act (ARRA) of 2009. Of this $2.7 billion being distributed
early, $2.4 billion will be awarded today to states that have
successfully completed Phase I applications and the remaining $316.6
million of the accelerated funds will be awarded in the coming days as
the remaining states are approved for Phase I applications.
"To date, the Department has done everything possible to get
stimulus funds out the door quickly and effectively, including
approving Phase I applications within 10 days," said Duncan. "That is
unprecedented speed for a federal department and today we want to take
these efforts one step further by making more than $2.7 billion
available immediately. This money, which represents the final third of
the government services fund, provides maximum flexibility for states
to save jobs and drive reform."