Obama's economic recovery package offers direct and indirect benefits to afterschool

From Afterschool Alliance: Policy News & Massachusetts Afterschool Partnership: Action Center

February 17, 2009

Congress worked into Friday evening, February 13, to pass the revised American Recovery and Reinvestment Act of 2009.  The House passed the Conference Report by a vote of 246-183 and the Senate by 60-38.  President Obama signed the bill today in Denver, Colorado. The legislation provides a total of $789 billion in spending and tax cuts.  Of this total, the following provisions have both direct and indirect benefits to afterschool:

Overview: The Child Care Development Block Grant (CCDBG) is one of the largest funding streams that help subsidize child care costs for children who are under the age of 13.

Details: The full $2 billion is available upon enactment. Of the $2 billion:
           § $255 million for quality improvement à $93 million towards improvement of infant
              and toddler care

Massachusetts: The state will receive a total of $23,966,940 in CCDBG economic recovery funds:
           § $20,838,175 in non-targeted CCDBG funds
           § $1,981,321 in non-targeted quality improvement funds
           § $1,147,444 in targeted quality improvement funds for infants/toddlers

  • $3 billion for School Improvement
  • $10 billion for Title I

Overview: Title I funds are used to help disadvantaged students reach high academic standards-a portion of these funds can be used to support afterschool programs. 

Details: $13 billion for distribution through state and local education agency grants under subpart Title II of the Elementary and Secondary Education Act of 1965. Of the $13 billion:
           § $3 billion for subgrants to local schools for school improvement
           § $10 billion for formula grants to local education agencies (LEAs)

Massachusetts: The state will receive a total of $208.3 million in Title I economic recovery funds.

  • $1.2 billion for summer jobs for youth through the Workforce Investment Act

Overview: Of the $3.95 billion provided for Workforce Investment Act state formula grants for adult, dislocated worker, and youth job training programs, $1.2 billion is designated for youth services, and the bill specifically mentions creating summer employment opportunities for youth.

Massachusetts: The state will receive a total of $25.1 million in economic recovery funds for summer jobs for youth.

  • $50 million for YouthBuild 

Overview: Of the $3.95 billion for Workforce Investment Act state formula grants for adult, dislocated worker and youth job training programs, $50 million will go toward the YouthBuild program to expand this program to give at-risk youth the opportunity to gain education and occupational credentials while constructing or rehabilitating affordable housing.

Overview: $89 million to make additional awards to existing AmeriCorps State and national grantees and to provide adjustments to awards made prior to September 30, 2010.  In addition, not less than $65 million will be made available for the AmeriCorps Volunteers in Service to America (VISTA) program. AmeriCorps members currently help staff many afterschool programs, and additional members could be a great resource for struggling afterschool programs.

  •  $53.6 billion for a State Fiscal Stabilization Fund

Details: The US Department of Education will have oversight of $5 billion total for:
           § State Incentive Grants
           § $650 million for an Innovation Fund
States (via their Governors) will receive $48.3 billion to support education. Of the $48.3 billion:
           § $40.1 billion to be spent on education
           § $8.2 billion for public safety and other government services, which may include
              education and school modernization, renovation and repair.
Massachusetts: The state will receive a total of $813.3 million in state fiscal stabilization funds.

For more details on these provisions and additional tools to learn how afterschool programs can access the funding and resources provided in the bill see Afterschool Alliance's Economic Recovery page.