President House Senate. Obama 332 Republicans Democrats Democrats Republicans Independent. Romney *

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1 777 6th Street NW Suite 650 Washingtn DC Tel: (202) Fax: (202) MEMORANDUM TO: Interested Parties FROM: Penn Hill Grup DATE: Nvember 7, 2012 SUBJECT: 2012 Electin and Federal Educatin Plicy The purpse f this mem is t summarize the results f the electin and prvide an initial analysis f the peple, prcess, plitics, and plicies that are crucial t the cnsideratin f federal educatin and jb training plicies in the next Cngress and Administratin. It is imprtant t recgnize that sme f these dynamics will shift as agendas becme clearer and leadership and cmmittee psitins get slidified, at which time we will prvide an updated versin f this mem at the start f the new Cngress in January. Electin Results After a lng and tenuus campaign seasn, the electin results are in and essentially reflect the status qu. President Obama will serve a secnd term as President, the Senate will remain in the cntrl f Demcrats and the Huse will remain in the cntrl f Republicans. President Huse Senate Obama 332 Republicans Demcrats Demcrats Republicans Independent Rmney * Huse Races Undecided *Includes Luisiana 3 rd District seat that will be decided in December Republican runff. While the party-makeup f the new Cngress will essentially be the same as it was in the 112 th Cngress, at least ne-third f the 113 th Cngress will feature Huse members with less than three years f experience and fr the first time ever, white males n lnger cnstitute the majrity f Demcrats in the Huse. Acrss the bard there will likely be greater plarizatin amng the tw parties in bth chambers with liberals gaining amng Demcrats and cnservatives gaining amng Republicans. It is likely that there will be greater unity amng Republicans than amng Demcrats (especially in the Senate). Impact n Educatin and Jb Training Plicies (Peple, Prcess, Plitics, and Plicy) T help examine the impact f the electin, Penn Hill Grup prvides an analysis f the peple, prcess, plitics and plicies (which we call the fur P s) that are crucial t the cnsideratin f federal educatin and jb training plicies in the cming years. In general, the fur P s are:

2 peple the key plicy makers wh impact federal educatin plicy; prcess the ften bscure, but always crucial, prcedures used in Washingtn t make plicy; plitics a careful lk at the interests f key educatin leaders and hw they are impacted as plicy is made; and finally plicy the changes in laws, regulatins, and ther plicies that are ultimately prduced by the federal gvernment. In ur experience, mst if nt all f the P s must be in general alignment fr majr bills t pass Cngress and be signed by the President. Almst nne f the P s have been in alignment fr the past few years. As a result, reauthrizatin f majr educatin and jb training legislatin has stalled. Belw is an analysis f hw the fur P s line up fr the new Cngress and Administratin. PEOPLE Backgrund In the realm f federal plicymaking, like s many ther ccupatins, persnnel decisins are just as imprtant as plicy psitins. Having the right persn in the right jb be it a Cmmittee Chairman, Ranking Member, key staff persn, r Administratin fficial can be the difference between accmplishment and disappintment. In bth Cngress and the Administratin, we expect a gd number f the key federal plicy makers t remain in place frm the line-up last year. There will be sme imprtant changes, hwever, which are described belw: The President and the Administratin It is imprtant t nte that even thugh the President was re-elected, his Administratin will be reshuffling sme f its persnnel line-up. In an Administratin mre willing t push the limits f Executive authrity in educatin plicy than any in histry, wh fills key plicy slts at the White Huse, OMB, and the Educatin Department, will have a critical impact n educatin plicy thrughut the natin. Educatin Secretary Arne Duncan has expressed interest in staying in a secnd term, and it is als likely that Labr Secretary Hilda Slis will remain in place. Hwever, with the impending start f any secnd term, it is pssible that a number f key psitins immediately belw the Secretary and ther psitins impacting educatin plicy culd change hands. Turnver in sme imprtant educatin plicy jbs at OMB and the White Huse Dmestic Plicy Cuncil is als pssible. Cngress In the Huse, the Republicans will maintain their majrity with at least 234 Members (Republicans cntrlled the Huse ging int the electin). Currently, Demcrats have maintained 192 seats with the utcme f 9 races still t clse t call. In the Senate, Demcrats will maintain their majrity with at least 53 Senatrs (plus tw Independents expected t caucus with the Demcrats). Demcrats cntrlled the Senate ging int the electin. Currently, Republicans have maintained 45 seats with the utcmes f tw races still t clse t call. Leadership Elected leadership will likely remain the same in the Huse. The Huse Republican Cnference will chse its leadership team the week f Nvember 12 with Jhn Behner (R-OH) and Eric Cantr (R-VA) running unppsed. The Huse Demcratic Caucus will hld its leadership electin the week after Thanksgiving with Nancy Pelsi (D-CA) and Steny Hyer (D-MD) likely t remain in their current psitins. On the Senate side, Harry Reid (D-NV) will remain as the Majrity Leader and Sen. Mitch McCnnell (R-KY) will stay the Minrity Leader. It is pssible a 2

3 leadership race fr Senate Majrity Whip takes place between Sen. Dick Durbin (D-OH) and Sen. Chuck Schumer (D-NY). On the Republican side, Sen. Jn Kyl (R-AZ) retired and will n lnger serve as Whip. Sen. Jhn Crnyn (R-TX) has been mentined as a ptential replacement. Cmmittees Althugh nt due t the electins, there will likely be a significant amunt f change n the Cmmittees that deal with educatin and jb training issues, the full extent f which we will nt knw until early next year. Althugh the Huse Republican Cmmittee psts will likely be selected the week f Nvember 26, the Huse Demcrats will nt rganize their Cmmittee assignments until January. The Senate Cmmittee psts will be selected later this year and early next year. Huse Educatin Cmmittee On the Huse Cmmittee n Educatin and the Wrkfrce, Rep. Jhn Kline (R-MN) will cntinue as Chairman, and Rep. Gerge Miller (D-CA) will cntinue t serve as the Ranking Member. Mst f the key staff n bth sides f the aisle are likely t stay. Hwever, the Cmmittee is likely t get a significant number f new Members frm bth parties t replace thse wh have retired r are mving t ther Cmmittees. The Republican Members that will n lnger serve n the Cmmittee are Rep. Tdd Platts (PA) and Rep. Judy Biggert (IL) wh lst in her bid fr re-electin. They were perhaps the tw mst mderate Members f the Cmmittee and ften wrked acrss party lines n educatin and wrkfrce issues. Demcrats wh will n lnger serve n the Cmmittee include: Rep. Dale Kildee (MI) and Rep. Lynn Wlsey (CA), wh are bth retiring. Rep. Dennis Kucinich (OH) and Rep. Jasn Altmire (PA) bth lst in their primaries, and Rep. Mazie Hirn (HI) was elected t the Senate. In particular, the lss f Rep. Kildee, wh has played a majr rle in the cnsideratin f all educatin issues fr the past several decades, culd have a significant impact n the Cmmittee s deliberatins ging frward. While we d nt knw fr certain wh will serve as Subcmmittee Chairs and Ranking Members, we expect Rep. Fxx (R-NC) t remain n the Cmmittee and head up the subcmmittee fcused n higher educatin and jb training. We als believe it is likely that Rep. Hunter (D-CA) will remain n the Cmmittee and head up the Cmmittee fcus n K-12 issues. The lineup fr Ranking Members is less clear given the departure f Rep. Kildee (D-MI) and Rep. Lynn Wlsey (D-CA), but will likely include Rep. Andrews (D- NJ), Rep. McCarthy (D-NY), Rep. Hinjsa (D-TX), and pssibly Rep. Tierney (D-MA). Belw are the electin utcmes f the current Members f the Huse Educatin and the Wrkfrce Cmmittee: Member Party State Status Kline, Jhn R MN Wn re-electin 3

4 Member Party State Status Petri, Thmas E. R WI Wn re-electin McKen, Buck R CA Wn re-electin Biggert, Judy R IL Defeated Platts, Tdd Russell R PA Retiring Wilsn, Je R SC Wn re-electin Fxx, Virginia R NC Wn re-electin Gdlatte, Bb R VA Wn re-electin Hunter, Duncan D. R CA Wn re-electin Re, Phil R TN Wn re-electin Thmpsn, Glenn 'GT' R PA Wn re-electin Walberg, Tim R MI Wn re-electin DesJarlais, Sctt R TN Wn re-electin Hanna, Richard R NY Wn re-electin Rkita, Tdd R IN Wn re-electin Bucshn, Larry R IN Wn re-electin Gwdy, Trey R SC Wn re-electin Barletta, Lu R PA Wn re-electin Nem, Kristi R SD Wn re-electin Rby, Martha R AL Wn re-electin Heck, Je R NV Wn re-electin Rss, Dennis R FL Wn re-electin Kelly, Mike R PA Wn re-electin Miller, Gerge D CA Wn re-electin Kildee, Dale E. D MI Retiring Andrews, Rbert E. D NJ Wn re-electin Sctt, Rbert C. D VA Wn re-electin Wlsey, Lynn C. D CA Retiring Hinjsa, Ruben D TX Wn re-electin McCarthy, Carlyn D NY Wn re-electin Tierney, Jhn F. D MA Wn re-electin Kucinich, Dennis J. D OH Defeated in Primary Hlt, Rush D. D NJ Wn re-electin Davis, Susan A. D CA Wn re-electin Grijalva, Raul M. D AZ Wn re-electin Bishp, Timthy H. D NY Wn re-electin Lebsack, Dave D IA Wn re-electin Altmire, Jasn D PA Defeated in Primary Fudge, Marcia D OH Wn re-electin Hirn, Mazie D HI Ran fr Senate (wn) 4

5 Huse Apprpriatins There will be several key changes t the Huse Apprpriatins Cmmittee in the 113 th Cngress. Rep. Nrm Dicks (D-WA), the current Ranking Member f the Full Apprpriatins Cmmittee, will be retiring at the end f this year and there is a battle t replace him between Rep. Marcy Kaptur (D-OH) and Rep. Nita Lwey (D-NY). On the Labr/HHS/Educatin Apprpriatins Subcmmittee there will be a new Chairman t replace Rep. Denny Rehberg (R-MT), wh left t run fr the Senate and lst. Rep. Rdney Alexander (R-LA) has been mentined as a pssible replacement fr Rehberg and it is expected that Rep. Rsa DeLaur will cntinue as Ranking Member f the Labr/HHS/Educatin Subcmmittee (regardless f the utcme f the race fr Full Cmmittee Ranking Member). All ther current members f the subcmmittee wn in their re-electin bids and Rep. Flake (R- AZ) wn in his bid fr Senate. Belw are the electin utcmes f the current Members f the Huse Labr/HHS/Educatin Apprpriatins Subcmmittee: Member Party State Status Rehberg, Dennis R MT Ran fr Senate (Defeated) Lewis, Jerry R CA Retiring Alexander, Rdney R LA Wn re-electin Kingstn, Jack R GA Wn re-electin Granger, Kay R TX Wn re-electin Simpsn, Mike R ID Wn re-electin Flake, Jeff R AZ Ran fr Senate (wn) Lummis, Cynthia R WY Wn re-electin DeLaur, Rsa D CT Wn re-electin Lwey, Nita D NY Wn re-electin Jacksn, Jesse D IL Wn re-electin Rybal-Allard, Lucille D CA Wn re-electin Lee, Barbara D CA Wn re-electin Senate HELP Cmmittee The Senate Educatin line-up will change in a few key spts. The Health, Educatin, Labr and Pensins (HELP) Cmmittee, the key Senate educatin plicy Cmmittee, will cntinue t be chaired by Sen. Tm Harkin (D-IA). Hwever, the new Ranking Member will likely be Sen. Lamar Alexander (R-TN), replacing Sen. Mike Enzi (R-WY) wh must step dwn due t Senate Republican rules that set term limits fr serving as ranking member n a single cmmittee. In terms f verall numbers, the rati appears likely t remain the same 12 Demcrats t 10 Republicans, with a few new members likely as a result f Cmmittee reassignments and retirements. Sen. Jeff Bingaman (D- NM), wh has played a majr rle n educatin issues, is retiring and his absence will clearly be felt. With significant turnver n Sen. Harkin s staff befre the electin, and a number f new staff members wh will ptentially be brught in by likely new Ranking Member Alexander, this Cmmittee may take a bit mre time t get up and running at full speed. 5

6 Belw are the electin utcmes f the current Members f the Senate Health, Educatin, Labr and Pensins (HELP) Cmmittee: Member Party State Status Harkin, Tm D IA * Mikulski, Barbara A. D MD * Bingaman, Jeff D NM Retiring Murray, Patty D WA * Sanders, Bernard I VT Wn re-electin Casey, Rbert D PA Wn re-electin Hagan, Kay D NC * Merkley, Jeff D OR * Franken, Al D MN * Bennet, Michael D CO * Whitehuse, Wn-re-electin Sheldn D RI Blumenthal, Richard D CT * Enzi, Michael B. R WY * Alexander, Lamar R TN * Burr, Richard R NC * Isaksn, Jhnny R GA * Jhn McCain R AZ * Hatch, Orrin G. R UT Wn-re-electin Murkwski, Lisa R AK * Paul, Rand R KY * Rberts, Pat R KS * Kirk, Mark R IL * * N electin this cycle Senate Apprpriatins On the Senate Apprpriatins Cmmittee, the Chairman f the Full Cmmittee Daniel Inuye (D-HI) and the Chairman f the Subcmmittee n Labr/HHS/Educatin Tm Harkin (D-IA) are bth likely t retain their rles, and Ranking Member Thad Cchran (R-MS) will remain n the Cmmittee but will step aside as Ranking Member. Interestingly, Sen. Lamar Alexander (R-TN), in additin t being the new Ranking Republican n the HELP Cmmittee, will be a senir member f the Educatin Apprpriatins Subcmmittee which means that with Sen. Harkin as Chairman f bth the key authrizing and apprpriatins Cmmittee and Subcmmittee, and Sen. Alexander serving in key psitins n these same bdies, bth will be uniquely psitined t impact bth educatin plicy and funding debates. Only ne Member f the Subcmmittee was up fr re-electin this cycle, Sen. Brwn (D- 6

7 OH), wh wn in his bid. Sen. Herb Khl (R-WI) was the nly retirement n the Subcmmittee. Belw are the electin utcmes f the current Members f the Senate Labr/HHS/Educatin Subcmmittee: Member Party State Status Harkin, Tm D IA * Inuye, Daniel D HI * Khl, Herb D WI Retiring Murray, Patty D WA * Landrieu, Mary D LA * Durbin, Richard D IL * Reed, Jack D RI * Pryr, Mark D AR * Mikulski, Barbara D MD * Brwn, Sherrd D OH Wn re-electin Shelby, Richard R AL * Cchran, Thad R MS * Hutchisn, Kay Bailey R TX Retiring Alexander, Lamar R TN * Jhnsn, Rn R WI * Kirk, Mark R IL * Graham, Lindsay R SC * Mran, Jerry R KS * * N electin this cycle Overall Peple Analysis President Obama has had cnsiderable success in driving an educatin plicy agenda thrugh the Executive nt Legislative Branch. Even if there are sme shifts in persnnel, the Administratin is likely t keep a similar team and game plan t create and push plicy ut thrugh the Department f Educatin. Unlike the beginning f the 112th Cngress when there were a number f new key players in educatin plicy at bth the Member and staff levels, there is likely t be a mre stable persnnel situatin in the cming mnths. The tw mst ntable changes, as nted earlier, are n the Republican side with Sen. Lamar Alexander (R-TN) taking ver as Ranking GOP Member f the HELP Cmmittee, and a new Huse GOP Member (ptentially Rep. Rdney Alexander (R-LA)) wh will be tapped t lead the Huse Labr/HHS/Educatin Apprpriatins Subcmmittee. The mre stable persnnel situatin in Cngress may help t create an envirnment mre cnducive t passing educatin legislatin. With tw years under their belts as Chairmen in the Senate and Huse Educatin Cmmittees, Sen. Harkin (D-IA) and Rep. Kline (R-MN) have much mre experience running their cmmittees and learning t deal with plitical cncerns, plicy challenges, interest grups, and the Obama Administratin. Huse Ranking Member 7

8 Gerge Miller (D-CA) has cnsiderable experience n these same issues and can be a prductive frce t get things dne if he chses t be. And, finally, adding frmer Educatin Secretary Lamar Alexander (R-TN), an acknwledged GOP leader and ptential deal maker n educatin issues, t the mix in an fficial rle as a tp educatin plicy maker can nly increase the pssibility f Cngressinal accmplishment n educatin legislatin. At the staff level, Chairman Kline (R-MN) and Ranking Member Miller (D-CA) will likely maintain staffs with significant experience. Fr Chairman Harkin s (D-IA), in the last six mnths there was a switch in the staff at the Cmmittee leadership level as well as many changes in the educatin staff. The primary educatin staff that led Elementary and Secndary Educatin Act (ESEA) reauthrizatin effrts in the last Cngress are n lnger in place. In additin, if Sen. Alexander (R-TN) des take the Ranking Member psitin, there will be sme hiring f additinal staff. T the extent staff experience matters, the Huse has an advantage and the Senate will take sme time t ramp up. Finally, we have saved the mst imprtant plicy players fr last: the Cngressinal leadership, particularly the majrity in the Huse and Senate. In tday s Cngress, largely because f the prcedural gridlck f the Senate and the need t keep a majrity tgether in a plitically divided Huse, mre decisins than ever are made at the Leadership level and by leadership staff abut what issues and legislatin see the light f day past the cmmittee level. On educatin, generally, the leadership des nt get invlved in the daily details f cmmittee wrk. Hwever, leadership in bth the Huse and Senate wield significant pwer ver ntewrthy issues, particularly plicies that affect budget discussins (like Pell Grants), as well as whether and what legislatin is cnsidered n the Flr. The Speaker f the Huse, Rep. Jhn Behner (R-OH), has significant experience with educatin plicy issues having chaired the Huse Educatin and the Wrkfrce Cmmittee befre assuming his current psitin. His staff is extremely well versed in educatin issues. Majrity Leader Cantr has als been invlved in educatin issues, and his staff has been particularly active n educatin spending issues that receive significant press and plitical attentin like the student lan interest rate and the Pell Grant shrtfall. In general, hwever, the Huse GOP leadership has nt chsen t put educatin issues frnt and center fr the Huse, in ur view largely due t the difficulties f finding a slid cnsensus n educatin in their Cnference and their unwillingness t have an extended battle with cngressinal Demcrats n several plicy and funding issues. The Huse Demcratic leadership, led by Rep. Nancy Pelsi (D-CA) and Whip Steny Hyer (D- MD) may make educatin legislatin a higher pririty but the minrity has n real pwer in the Huse t frce cnsideratin f its agenda. As a result the Huse Demcratic leadership plays a much less significant rle n educatin issues frm a prcedural standpint. In the Senate, Majrity Leader Harry Reid (D-NV) cntrls the flr schedule and determines whether r nt educatin bills are cnsidered by the full Senate. Neither Sen. Reid, nr his Deputy Dick Durbin (D-IL) are particularly knwn fr their invlvement in educatin thugh Sen. Durbin (D-IL) has been invlved in DC Opprtunity Schlarships, the fight against fr-prfit educatin, and educatin technlgy issues. Because Sen. Reid and President Obama are frm the same party, the Majrity Leader cnsults clsely with the Administratin regarding the bills that are brught t the flr f the Senate fr debate. During the last sessin f Cngress, Sen. Reid (likely in clse cnsultatin with the President) chse nt t bring educatin legislatin, such as the bipartisan Cmmittee-reprted ESEA reauthrizatin bill, t the flr and make it a tp pririty. 8

9 The Republican Minrity Leader in the Senate, Sen. Mitch McCnnell (R-KY), has cnsiderably mre pwer than the minrity in the Huse. Sen. McCnnell is nt particularly knwn fr his invlvement in educatin issues, thugh he has a key senir staff member wh served n the HELP Cmmittee fr several years and played (and still plays) a critical backgrund rle in educatin plicy. McCnnell als has nt expressed an verwhelming desire t bring educatin legislatin t the Senate flr, as there is cnsiderable internal divisin in his wn Cnference that he wuld have t attempt t bridge in rder t take full advantage f his psitin as Minrity Leader. PROCESS Backgrund Prcess is all abut the inside baseball ways in which the federal plicy making machine wrks (r fails t wrk). Fr many, perhaps mst, wh care abut educatin issues, the plicy making prcess is nearly incmprehensible perhaps n mre s than in tday s wrld f waivers, regulatins, sub-regulatry guidance, new grant requirements, apprpriatins and budget prcess, and cngressinal attempts at rewriting laws. Yet, prcess issues ften have as much f an impact n educatin plicy as any f the ther fur P s. Briefly, here are sme examples f hw prcess issues have impacted educatin plicy in recent years: The number ne prcedural hurdle in tday s Cngress is the need t almst always btain 60 vtes in the U.S. Senate t pass majr laws. Alng with several arcane Senate rules, this situatin makes it extremely difficult t bring legislatin t the Senate flr fr a vte as varius time-cnsuming prcedural rad blcks are put in place by a bill s ppnents t delay r pstpne cnsideratin f varius bills. As a result, Senate prcedure has becme ne f the mst imprtant reasns fr Cngress s failure t pass majr legislatin including educatin reauthrizatins, budgets and apprpriatins bills under regular rder. Many Senatrs in bth parties cnsider themselves t be experts n educatin plicy and ften have their wn educatin prpsals t ffer as amendments n the Senate flr r standalne bills. Because f this, educatin bills tend t take a very lng time t cnsider in the full Senate. In fact, the N Child Left Behind Act (the last reauthrizatin f ESEA t be brught t the Senate flr) tk lnger than all but a few bills in the histry f the Senate t pass. Because educatin bills d nt pass easily in the Senate, there seems t be mre reluctance than ever t bring them up fr a vte. Because there are s many prcedural difficulties preventing actin, the few educatin issues that have been tackled by Cngress in recent years tend t happen as a result f prcedural wrkarund. These wrkarunds include passing the student lan interest rate fix as part f a highway bill extensin; including ther student lan prvisins in healthcare legislatin; and making plicy changes t the Pell Grant and after schl care prgrams; as well as making significant changes t prgram authrizatins including Schl Imprvement Grants, the Teacher Incentive Fund, i3, Race t the Tp, Prmise Neighbrhds, and the Charter Schls Prgram as part f an apprpriatins bill all f which are technically prcedural n-n s. The granddaddy f all specialized Cngressinal prcedures is budget recnciliatin. The recnciliatin prcess eliminates the need fr 60 vtes fr the Senate t mve frward n legislatin and limits debate n amendments ultimately guaranteeing a final, 9

10 timely vte n the bill itself. This prcess is limited, hwever, t prvisins that have a direct impact n tax and mandatry spending issues, and therefre des nt ften directly affect a large majrity f educatin plicy issues, particularly in the K-12 arena. Recnciliatin is, hwever, ften used t change student lan plicies, and has been used in the past t pass changes t mandatry educatin prgrams that include a prtin f the Pell Grant prgram, schl lunch, and welfare refrm. Because f the break-dwn in Cngress, the Administratin has chsen t use the prcedural ptins that are available t the Executive Branch and has dne frequently these past few years. They have prmulgated a number f imprtant wide ranging regulatins (largely in higher educatin), inserted highly impactful new prvisins in grant prgrams like Race t the Tp and i3 (that were created thrugh apprpriatins language, nt authrizing language) t leverage their plicy gals, and instituted a state waiver prcess that has changed the face f N Child Left Behind. All f these actins have been taken largely withut specific Cngressinal authrizatin r frmal input. It shuld be nted, hwever, that the Administratin s initial waivers f NCLB nly last fr up t three years (unless the Administratin decides t extend them), and thus the prcess des nt cnstitute the relatively stable plicy change that wuld be included in a Cngressinal reauthrizatin. Overall Prcess Analysis In additin t the issues discussed abve there are several ther significant factrs that will cmplicate educatin plicy-making prgress next year including: The sheer number f educatin bills that are due r past due t be cnsidered, which will cnstitute a huge scheduling challenge if Cngress decides t make educatin a pririty; The even mre clsely divided partisan makeup f the Senate after the electins which will make it even harder t reach the 60 vte threshld; And, the press f ther higher-pririty issues largely related t the federal budget that must take precedence befre the President and Cngressinal leadership can turn its attentin t issues like educatin. In ur view, this means that majr stand-alne educatin legislatin will nly happen with a fullcurt press by the Leadership in Cngress (especially the Senate), and ultimately, the President himself, t surmunt the prcedural hurdles facing educatin bills. Up t this pint, this kind f leadership has been limited. Lacking a majr effrt by the President and Leadership, we lk fr educatin plicy t be made in a variety f piecemeal prcedural ways that can have just as much impact as new legislatin: While K-12 and Higher Educatin reauthrizatins may simply be t tugh t accmplish early n, Cngressinal reauthrizatins f secnd-tier, less cntrversial issues may be pssible like the Wrkfrce Investment Act (WIA), Career and Technical Educatin, the Educatin Sciences Refrm Act (ESRA), and Child Care Develpment Blck Grants (CCDBG). If a budget deal is finally reached between the President and Cngress, there is a gd chance that it wuld be taken up in Cngress using the recnciliatin prcess. This type 10

11 f all-encmpassing bill culd include prvisins that make key plicy changes t the student lan and Pell Grant prgrams, as well as further adjust verall discretinary prgram funding level limits that will have a dramatic impact n funding fr mst, if nt all, federal educatin prgrams. With r withut a budget agreement, there will cntinue t be the need t pass apprpriatins bills f sme srt, and as time ges n, we believe that Cngress culd use the apprpriatins prcess t fight and smetimes win educatin plicy battles with a President wh will be lame duck during his secnd term. The Administratin will likely cntinue t take full advantage f its pwers t regulate educatin prgrams and pursue plicy gals thrugh ther administrative means (such as setting new cnditins under frmula and cmpetitive prgrams). We will lk fr cntinued effrts t d s very sn after his re-electin, beginning with issues like teacher educatin and distance educatin, and further refining the K-12 waiver prcess. The bttm line is that we expect the Obama Administratin t be nce again in cntrl f the plicy-making prcess and therefre able t set the plicy agenda right up until the day when Cngress prves it can pass bills that can be signed int law. But in the end, there is nly s much an Administratin can d t implement significant and lasting plicy change in educatin withut the invlvement f Cngress. This ne fact gives us hpe, and culd bring Cngress and the President t agreement n majr legislative changes at sme pint during the next fur years. POLITICS Backgrund The plitics f educatin cntinue t be as jumbled as ever, with bth parties facing internal divisins n educatin issues that must be surmunted befre attempting t reach the kind f cnsensus between the parties needed t pass majr educatin legislatin. In sme ways, the Demcrats appear t be very united n educatin issues. Almst t a persn, Demcrats in Washingtn agree n the imprtance f a strng federal rle in educatin. When it cmes t the budget, mst Demcrats stand behind the idea f increasing federal educatin funding t ne degree r anther r at the very least preventing cuts t mst majr existing prgrams. This internal cnsensus appears t wither smewhat when it cmes t several key educatin plicy issues, hwever. There are significant differences within the Demcratic Caucus regarding testing and accuntability in schls, schl chice and charter schls, tying teacher evaluatin and pay t student achievement levels, and the rle f fr-prfit cmpanies in educatin, amng thers. These differences are ften exacerbated by the cmpeting interests f a brad array f utside educatin entities and rganizatins. There are als nticeable differences between the Obama Administratin and Cngressinal Demcrats n many f these same issues. The differences between Demcrats explain why the Senate Educatin Cmmittee passed a bipartisan ESEA reauthrizatin bill that never even made it t the Senate flr. The fact is, while Republicans and Demcrats squabbled abut varius prvisins, in the end it was the Administratin s behind the scenes ppsitin t the bill that caused the Senate Demcratic Leadership t kill the ESEA reauthrizatin bill. Until the splits between and amng Cngressinal Demcrats and the Obama Administratin are vercme, it is difficult t see hw it is in the plitical interests f the Demcrats t wage 11

12 extended legislative fights ver anything but federal educatin funding, r the handful f ther issues n which they are relatively united. Federal educatin plicy gets far less attentin frm Republicans than it des frm Demcrats. By and large, Republicans at the federal level believe educatin is mre f a state and lcal respnsibility, and are skeptical by nature f federal prgrams. Republicans are far less mindful f educatin plicy detail than their Demcratic cunterparts, and less likely t have the heated internal battles n educatin plicy details that ccur behind the scenes in Demcratic circles. Republicans als have significant inter-party splits. After all, this is the party wh s last President, and its current Speaker, champined the N Child Left Behind Act while at the same time had a party platfrm that advcated eliminating the Department f Educatin in the nt t distant past. Internal GOP debates are at times fcused n educatin plicy issues like public and private schl chice, teacher perfrmance pay, and testing and accuntability, but they are much mre likely t stray int brader philsphical areas i.e. whether r nt there shuld even be federal educatin prgrams that are already settled n the Demcratic side f the aisle. Furthermre, there are a significant number f Republicans wh are unlikely t vte fr any ESEA reauthrizatin, and wh want t dramatically scale back the federal rle in higher educatin, jb training, and pre-k. There are thers whse interest in federal educatin plicy extends nly t scial issues like sex educatin and schl prayer. At the same time, there are ther Republicans wh believe in a federal rle in educatin, albeit a mre scaled back versin than mst Demcrats. These Republicans supprt increased accuntability fr taxpayer dllars and using federal resurces t leverage change in teacher unins, clleges and educatin bureaucracies that fail t serve the needs f students and families. These Republican vtes are always in play fr the Demcrats, particularly if Demcrats dn t verplay their hand n federal accuntability and funding issues. But, all in all, a public debate amng Republicans n educatin issues is likely t drive a wedge between varius factins f the party this is why the Republicans have been n mre eager t have a full debate n educatin plicy n the Huse flr than have the Demcrats in the Senate. Overall Plitical Analysis Fr the past few years, it has nt been in the plitical interests f either party t have a full-fledged educatin plicy debate in Cngress because neither has quite figured ut where their wn interests lie. Furthermre, there has nt been an verwhelming clamr amng interest grups invlved in educatin and nthing like the calitin led by the business and civil rights cmmunities that existed during the NCLB reauthrizatin that has united t push Cngress frm the utside up t this pint. And, again, there has nt yet been an all hands n deck call by the Administratin t pass a majr, cntrversial educatin law. Until this ccurs, it is hard t imagine either an HEA r ESEA reauthrizatin being signed int law next year, thugh there may be an pening fr ther less cntrversial bills like vcatinal educatin, ESRA, r perhaps even WIA t skirt thrugh this prcess. POLICY Backgrund The last sessin f Cngress was ne f the least prductive in memry n educatin plicy. The accmplishments were primarily limited t shrt-term fixes t the Pell Grant shrtfall and preventing the autmatic dubling f federal subsidized student lan interest rates. Overall, despite attempts t reauthrize ESEA and WIA, nt ne educatin r jb training 12

13 authrizatin bill made it t the Flr fr cnsideratin, with the exceptin f a charter schl bill that was passed by the Huse. Nr was there a significant amunt f educatin plicy driven thrugh apprpriatins bills, which has been cmmn up until recently. As a result f this inactin, the Obama Administratin was given nearly cmplete latitude t carry ut many f their key plicy initiatives with very little directin frm Cngress. Fr better r wrse, and there are strng arguments t be made n bth sides, the Obama Administratin has been in the driver s seat n educatin plicy frm the day the President tk ffice. With the passage f the American Recvery and Reinvestment Act (ARRA) in the first few mnths f the President s tenure, the Administratin set the agenda fr educatin plicy fr the next fur years f his term. ARRA included funding fr prgrams like Race t the Tp, Investing in Innvatin (i3), Schl Imprvement Grants, and dramatic increases in funding fr teacher pay-fr-perfrmance initiatives and investments in educatin data all this while als prviding recrd amunts f funding t state and lcal budgets hit by the recessin and thrugh stalwart federal prgrams like Title I, IDEA, and Pell Grants, amng thers. ARRA gave Educatin Secretary Duncan unprecedented authrity t set the Federal educatin plicy agenda, and by mst measures, he succeeded thrughut the early years f the Obama Administratin. Hwever, the Administratin was nt quite as successful in cnvincing Cngress under either Republican r Demcratic cntrl t pass its plan fr reauthrizatin f ESEA, utside f ARRA (including nging funding fr RTTT and i3) and the student lan prvisins that were included in the President s Health Care bill. As the 113 th Cngress cnvenes, we are lking at what we believe t be an unprecedented situatin in which nearly every single educatin and training bill is up fr reauthrizatin during the next tw years (see chart belw). Thus, in a seasn f plicy uncertainty, the single biggest questin in the wrld f federal educatin plicy is this: will Cngress be able t get its act tgether t pass any educatin legislatin? If the answer is n, Cngress is likely t becme largely irrelevant; a mere distractin t an unchecked Administratin with a free hand t implement its educatin agenda. If the answer is yes, Cngress will be very busy n educatin issues. Either way, federal educatin plicy will be in fr significant change in the next few years. Authrizatin Legislatin Expired Carl D. Perkins Career and Technical Educatin Act FY 2012 Head Start Act Native American Prgrams Act Older Americans Act FY 2011 Title II f the Higher Educatin Act Assistive Technlgy Act Child Nutritin Act, which includes the Richard B. Russell Natinal Schl Lunch Act FY 2010 Individuals with Disabilities Educatin Act (IDEA), ther than Part B (Grants t States) Welfare Refrm, thrugh the Temprary Assistance fr Needy Families (TANF) FY 2009 Special Olympics Sprt and Empwerment Act 13

14 FY 2008 FY 2007 FY 2003 Abandned Infants Assistance Act Child Abuse Preventin and Treatment Act (CAPTA) Educatin Sciences Refrm Act, which includes the Institute fr Educatin Sciences Family Vilence Preventin and Services Act Natinal Assessment f Educatinal Prgress (NAEP) Authrizatin Act Develpmental Disabilities Assistance and Bill f Rights Act Elementary and Secndary Educatin Act (ESEA) Juvenile Justice and Delinquency Preventin Act Adult Educatin and Family Literacy Act Cmmunity Services Blck Grant (CSBG) Act Rehabilitatin Act Wrkfrce Investment Act (WIA) FY 2002 Child Care and Develpment Blck Grant (CCDBG) Act FY 1996 Natinal Envirnmental Educatin Act (NEEA) FY 1993 Natinal Fundatin n the Arts and Humanities Act Frm a big picture perspective, here is a quick lay f the land during the next tw years f Cngress Every majr educatin prgram is up fr reauthrizatin; The utlk fr educatin funding is cmpletely up in the air pending any pssible decisins in the upcming lame duck sessin f Cngress; and The Obama Administratin will likely cntinue its effrts t implement its agenda thrugh administrative and regulatry actins (with sme regulatins ptentially ready t g right after the electin). Legislatin Here is ur review f budget and apprpriatins issues that must be addressed befre the end f this year as well as key educatin and jb training legislatin that will likely be cnsidered during the 113 th Cngress: Budget and Apprpriatins In the near term, Cngress must address the fllwing issues: Apprpriatins Cngress recently passed a 6-mnth cntinuing reslutin (CR) that will fund the federal gvernment thrugh March 27, This actin became necessary since nne f the FY 2013 Apprpriatins bills have cleared the Senate at this pint. The CR package is funded at the level agreed t fr FY 2013 in the Budget Cntrl Act. This level was set at $1.047 trillin fr FY 2013, $4 billin ver the FY 2012 enacted level f $1.043 trillin. Amng the prvisins f the versin f the CR that passed the Huse that impact educatin are: A 0.6% increase (6/10ths f a percent) abve the FY 2012 levels f funding fr nearly every discretinary prgram including Department f 14

15 Educatin prgrams. But nte that this increase will have n real impact n prgrams during the perid f the CR. An extensin f the prvisin included in a CR at the end f 2010 that permitted teachers wh were participating in alternative certificatin prgrams t be cnsidered highly qualified teachers under ESEA. This prvisin wuld be extended thrugh the end f the schl year. In additin, new reprting requirements were added that require the Department f Educatin t submit a reprt n the extent t which students with disabilities, English Language learners, and students in rural areas and frm lw-incme families in each state and lcal educatinal agency are being taught by such teachers. Nte: While educatin nearly always des better than ther dmestic prgrams in the budget prcess, the very real pssibility f prgram eliminatins and funding cuts lms if an verall budget agreement between Cngress and the President is reached that tuches n all prgrams in an indiscriminate manner. Clearly, the era f hundreds f billins f dllars f additinal educatin spending is ver. While at the end f the day we d nt fresee huge cuts in educatin funding in the next Cngress, we certainly d nt see big increases either. We believe there will be an nging re-priritizatin f funding fr educatin prgrams, with smaller mre targeted prgrams as well as new initiatives taking a back seat t prgrams that traditinally have much brader supprt such as IDEA, Title I and Pell Grants. Sequestratin Since the super cmmittee failed t strike a deal n deficit reductin, the Budget Cntrl Act passed in August 2011 calls fr autmatic spending cuts (sequestratin) starting n January 2, 2013 that will reduce the deficit by $1.2 trillin ver nine years (generally, thse cuts wuld be divided evenly between defense and nndefense spending). There will likely be an effrt amng Republicans and Demcrats in Cngress t diminish the impact f sequestratin befre the end f the year. If that fails, there is a chance that Cngress will chse t delay sequestratin by a number f mnths t prvide sme additinal time t seek a slutin t the cuts. On July 20, Secretary Duncan sent a letter t the Chief State Schl Officers that said sequestratin wuld nt be felt until the schl year. On July 25, Sen. Harkin (D-IA) released a reprt Under Threat: Sequestratin s Impact n Nndefense Jbs and Services that utlined the impact f cuts t varius nndefense prgrams. The Administratin recently released the reprt required by the Sequestratin Transparency Act f 2012 that prvides further infrmatin n the impact f budget sequestratin. The reprt prjects that there will be an 8.2% cut t nn-defense discretinary prgrams, and a 7.6% cut t nn-defense mandatry prgrams. Fr the mst part, these cuts wuld be made acrss the bard t educatin prgrams, with the exceptin f Pell Grants which are exempt frm sequestratin cuts in FY

16 Tax Cuts The Bush era tax cuts expire in In general, Republicans want t extend all f the Bush era tax cuts. President Obama wants t extend the tax cuts fr all brackets except fr individuals wh make $200,000 and abve, and families that make $250,000 and abve per year. In additin, Cngress will likely seek t fix the alternative minimum tax (AMT) fr an additinal year. Other Expiratins The payrll tax rate hliday, federal unemplyment benefits, and reimbursement rates fr physicians wh accept Medicare (Dc Fix) expire in It is likely that sme cmbinatin f these issues will be debated befre the end f the year. Debt Limit It is pssible that the gvernment will reach its debt limit befre the end f If the debt limit is reached, Cngress will likely wrk t reach agreement n anther debt limit expansin (that will als include reductins in spending). Reauthrizatin Legislatin With the significant backlg f scheduled reauthrizatins, it will be difficult, if nt impssible, t tackle mst f these issues in the 113 th Cngress. Instead, Cngress will have t priritize these reauthrizatins. Frm what we can tell at this pint, the likely schedule t be pursued by the Huse Educatin and the Wrkfrce Cmmittee will begin with reintrducing and passing (at least ut f Cmmittee) the ESEA and WIA bills frm last Cngress. Getting either f these bills t the Flr will cntinue t be a struggle and culd easily take up much f the year; this wuld mst likely be fllwed by an attempt t reauthrize the Higher Educatin Act (HEA). It shuld be nted, hwever, Cngress will be frced t deal ne way r anther next year with the Pell Grant prgram shrtfall and the subsidized student lan rate increase scheduled fr July 1, regardless f whether r nt there is a HEA reauthrizatin. We believe that the Perkins Career and Technical Educatin Act, the Educatin Research and Sciences Refrm Act, and the reauthrizatin f the Child Care and Develpment Blck Grant (primarily in the Senate) may als find their way n t the agenda if any f the afrementined reauthrizatins stall. Elementary and Secndary Educatin Act The Senate HELP Cmmittee reprted a cmprehensive bill t reauthrize ESEA (S. 3578) n Octber 20, 2011 by a bipartisan vte f Supprters f the bill included Chairman Harkin (D-IA), Ranking Member Enzi (R-WY), Sen. Alexander (R-TN), Sen. Kirk (R-IL), and all f the Cmmittee Demcrats. Technically, the bill is currently awaiting flr cnsideratin; thugh it is nt likely t be scheduled fr a vte this year. The Huse Cmmittee n Educatin and the Wrkfrce has chsen t fllw a mre piecemeal strategy, breaking reauthrizatin f ESEA int five separate bills and mving them individually thrugh the Cmmittee and n t the flr. These bills include: 1. A bill fcused n charter schls which passed the full Huse by an verwhelmingly bipartisan margin; 2. A bill which wuld eliminate many f the individual small prgrams currently authrized under ESEA (reprted by the Huse Cmmittee n 16

17 Educatin and the Wrkfrce n a partisan basis and awaiting flr actin); 3. A bill fcused n increased transferability and flexibility (reprted by the Huse Cmmittee n Educatin and the Wrkfrce n a partisan basis and awaiting flr actin); 4. The Student Success Act (essentially the Title I prgram and its accuntability prvisins; reprted by the Huse Cmmittee n Educatin and the Wrkfrce n a partisan basis and awaiting flr actin); and 5. The Encuraging Innvatin and Effective Teacher Act (the remaining ESEA prgrams, mst ntably teacher prfessinal develpment/evaluatin and a large lcally-driven blck grant that cnslidates mst f the remaining prgrams; reprted by the Huse Cmmittee n Educatin and the Wrkfrce n a partisan basis and awaiting flr actin). At this pint it is highly unlikely that either the Huse r Senate will be able t prduce a cmprehensive reauthrizatin bill that will be able t be signed int law by the President this year. Ging frward, the Administratin will need t push in a significant way t ensure a successful and cmprehensive reauthrizatin f ESEA. The inability f Cngress and the Administratin t cme tgether n reauthrizatin f ESEA ultimately led the Secretary t pursue a different curse, a state-by-state waiver prcess that became a de fact mini-esea reauthrizatin in each f the 35 states that have thus far been given flexibility t implement Administratin pririties in lieu f NCLB law. These waivers have dramatically changed federal K-12 plicy in immeasurable and ften undecipherable ways. Furthermre, the waivers have the ptential t negate the need (and n the part f the Administratin, the desire) t wrk with Cngress t reauthrize ESEA. They have als changed the nature f the federal rle in educatin frm a fairly unified structure that used a cmmn set f rules fr all states t ne in which each state cuts its wn deal in an extended negtiatin with federal fficials n many key educatin issues. T date, 35 states (including the District f Clumbia) have been granted waivers: Arizna Gergia Massachusetts New Mexic Suth Carlina Arkansas Idah Michigan New Yrk Suth Dakta Clrad Indiana Minnesta Nrth Carlina Tennessee Cnnecticut Kansas Mississippi Ohi Utah Delaware Kentucky Missuri Oklahma Virginia District f Clumbia Luisiana Nevada Oregn Washingtn Flrida Maryland New Jersey Rhde Island Wiscnsin 17

18 Wrkfrce Investment Act (WIA) WIA is the largest single surce f federal funding nearly $5 billin in FY12 fr wrkfrce develpment activities. WIA created a universal access system f ne-stp career centers fr the delivery f training and emplyment services fr a range f wrkers, including lw-incme adults, lw-incme yuth, and dislcated wrkers. The Wrkfrce Investment Act (WIA), which als includes the Department f Educatin s Adult Educatin prgram, has been scheduled fr reauthrizatin since Discussin Republicans and Demcrats have bth tried and failed t reauthrize the Wrkfrce Investment Act (WIA) fr several years. In ur view, the reasn fr this is that while there appears t be a wide cnsensus that the WIA system needs an verhaul, there are simply nt that many ideas n hw best t refrm the system as it currently exists. Outlk We may finally be at a pint where all sides agree that smething must be dne. This is a less plitically charged issue than either HEA r ESEA, s Republicans and Demcrats may be able t cme tgether n a WIA reauthrizatin. Higher Educatin Act The Higher Educatin Act authrizes the vast majrity f the federal aid prgrams that g directly t students attending qualified pstsecndary educatin institutins. Funding fr the Higher Educatin Act amunts t mre than $165 billin per year, which is largely spent n well-knwn prgrams such as subsidized and nn-subsidized federal direct student lans, Parent s Lans, the Pell Grant prgram, Teacher Educatin prgrams, Wrk Study, TRIO, Gear-Up, and much mre. The Higher Educatin Act als stipulates hw higher educatin institutins can becme eligible t receive financial aid and describes what institutins must d t maintain aid. The Higher Educatin Opprtunity Act (Public Law ) f 2008 is the mst recent reauthrizatin f the Higher Educatin Act f The Higher Educatin Act is scheduled t be reauthrized next Cngress. The nly legislative activity frm Cngress this past year was preventing the 3.4% student lan interest rate frm dubling t 6.8% in July. Hwever, the administratin prmulgated several regulatins ver the past year that have had a significant impact n higher educatin, including gainful emplyment, state authrizatin and clck/credit hur regulatins, amng thers that are tied up in curt battles at the mment. There are tw higher educatin issues that will frce Cngress t address higher educatin funding issues next year with r withut a reauthrizatin. The first is the scheduled dubling f the student lan interest rate frm 3.4% t 6.8% n July 1, Secnd, the Pell Grant prgram appears t be facing a shrtfall f apprximately $6 billin that will need t be addressed in the FY14 apprpriatins prcess. Discussin Fr many years, higher educatin has been the ne issue in educatin that never seems t take a break. Whether it is a reauthrizatin, recnciliatin, apprpriatins bill, r Department f Educatin regulatins, there always seems t be smething significant ccurring n the federal level that will have a dramatic impact n clleges and universities arund the natin. Next Cngress is nt likely t be any different. 18

19 At this pint, there are several issues that culd drive cnsideratin f a higher educatin bill including the intensive fcus n fr-prfit higher educatin by Senate Demcrats and the Administratin, funding and eligibility questins fr the Pell Grant and student lan prgrams, the cntinued fcus n increasing accuntability, and the Administratin s expanded emphasis n cllege cmpletin. Outlk We believe that the dds are better than that Cngress and the President will agree t pass legislatin that will prevent the federal student lan interest rate frm dubling and address the Pell Grant shrtfall. This may ccur as a single bill(s), as part f a budget agreement, r a bill dealing with ther issues. A bill t address either r bth f these issues must be ffset accrding t cngressinal budget scring rules, and it is pssible that ther higher educatin prgrams (such as the interest subsidy fr federal subsidized student lans) will be cut t pay fr these changes. We d nt believe a full higher educatin reauthrizatin will be signed int law next year, thugh there may be a chance fr this t ccur by the end f the 113 th Cngress. Child Care and Develpment Blck Grant (CCDBG) CCDBG prvides subsidies t assist lw-incme families in btaining child care s that parents can wrk r participate in educatin r training activities. Discretinary funding fr this prgram is authrized by the Child Care and Develpment Blck Grant Act f 1990, which is lng verdue fr reauthrizatin (it hasn t been reauthrized since 1996). In additin, mandatry funding fr child care is prvided thrugh the Child Care Entitlement t states prgram (which was extended thrugh FY 2012 as part f P.L , the Temprary Payrll Tax Cut Cntinuatin Act f 2011). In cmbinatin, these tw funding streams are cmmnly referred t as the Child Care and Develpment Fund (CCDF). CCDF discretinary and mandatry funding is administered by the Department f Health and Human Services (HHS), and prvides blck grants t states accrding t a frmula, which are used t subsidize the child care expenses f wrking families with children under age 13. CCDF prvides states with significant flexibility t design and implement their child care prgrams and als supprts activities intended t imprve the verall quality and supply f child care fr families in general. Discussin Fr FY 2013, President Obama s budget request fr CCDF is $6.0 billin, including $2.6 billin fr CCDBG and $3.4 billin fr the mandatry Child Care Entitlement t States prgram. The President s FY 2013 budget request wuld help states avert mre cutbacks and maintain services t families, as well as cntinue investments in quality such as schlarships fr teachers and grants t prviders that were made pssible with ARRA funding. The FY 2013 child care funding request wuld extend child care assistance in FY 2013 t an estimated 70,000 mre children than culd be served in the absence f these additinal funds. The request als maintains $9.9 millin in discretinary funds t supprt cntinuing research, demnstratin, and evaluatin activities. 19

20 T expand access t high-quality child care, the budget request supprts a reauthrizatin package that devtes a larger share f CCDF t raising the bar n quality and puts mre infrmatin int the hands f parents s that they can make infrmed chices abut the care and educatin f their children. The Administratin s principles fr reauthrizatin include: Imprving the quality f early childhd develpment and afterschl settings t better prepare children fr success in schl. Serving mre lw-incme children in safe, healthy, nurturing child care settings that are highly effective in prmting learning, child develpment, and schl readiness. Supprting parent emplyment and parent chice by expanding high quality chices available t parents acrss a range f child care settings and prviding parents with infrmatin abut the quality f child care prgrams. Minimizing disruptins t children s develpment and learning by prmting cntinuity f care. Strengthening prgram integrity and accuntability in the CCDF prgram. Encuraging states t assess and track children s schl readiness. Streamlining federal, state, and lcal early care and educatin prgrams t supprt early learning and schl readiness. In the Senate, HELP Subcmmittee n Children and Families Chairwman Barbara Mikulski (D-MD) and Ranking Member Richard Burr (R-NC) have been wrking in a bipartisan manner t reauthrize CCDBG. T date, n legislatin has been intrduced, but staff has begun t discuss a draft reauthrizatin bill that wuld fcus n many f the quality issues in President Obama s budget request as well as new prvisins that wuld require cmprehensive backgrund checks fr all child care prviders. Outlk While the authrizatin fr CCDBG expired in FY 2002, there has nt been a significant effrt t update the law since welfare refrm was enacted under the Clintn Administratin. On the Senate side, bipartisan discussins have prgressed between Senatrs Mikulski (D-MD) and Burr (R-NC) ver the past several mnths with the hpes f releasing a discussin draft r intrducing a bill smetime this year. Regardless f whether a bill is released r intrduced in the Senate this year, Senate HELP Cmmittee staff have expressed an interest in pursuing reauthrizatin f CCDBG in the 113 th Cngress. On the Huse side the path t reauthrizatin is nt prgressing as in the Senate (in fact, we are nt aware f any serius staff r Member discussins n the Huse side related t reauthrizing CCDBG). Other Ptential Issues that culd be cnsidered in the 113 th Cngress include: 20

21 Career and Technical Educatin Reauthrizatins (Perkins Act) The Perkins Act is the largest surce f career and technical educatin funding fr high schls and cmmunity clleges. The last reauthrizatin f the Perkins Act in 2006 aimed t prvide an increased fcus n the academic achievement f career and technical educatin students, strengthen the cnnectins between secndary and pstsecndary educatin, and imprve state and lcal accuntability. The prgram has been flat funded ver the last few years. Discussin Earlier this year, the Administratin released its blueprint fr reauthrizatin, titled, Investing in America s Future: A Blueprint fr Transfrming Career and Technical Educatin. At present, this is the nly substantive Perkins reauthrizatin prpsal, which is driving mst f the cnversatin arund updating the statute. Outlk As reauthrizatins f this law are generally nt cntrversial, it is pssible the next Cngress is able t mve a Perkins bill. Individuals with Disabilities Educatin Act (IDEA) IDEA is the Federal law which prvides funding t states in exchange fr these states ensuring that children with disabilities receive a free apprpriate public educatin alng with due prcess prtectins fr such children. Funding fr the prgram enjys wide bipartisan supprt. The last reauthrizatin f IDEA was in Discussin There has been little fcus by the Administratin n reauthrizatin f IDEA at this pint. Instead, the Administratin has been wrking within the Department t reexamine the fcus f the system used t mnitr states fr IDEA cmpliance. As part f this effrt, the Administratin has fcused n structuring a mnitring system that lks mre at utcmes fr students with disabilities rather than strict cmpliance with IDEA s administrative requirements. A fcus n the plicy aspects f IDEA is likely frthcming frm the Administratin in Outlk The current IDEA statute has nt generated the same amunt f plicy cncerns as in past years prir t ther reauthrizatin effrts. Hwever, with the ther majr reauthrizatins that have nt been cmpleted, IDEA is nt likely t be addressed befre ESEA, HEA r WIA. Educatin Sciences Refrm Act (ESRA) ESRA is the largest federal investment in educatin research, and includes IES, NCES, the Reginal Educatinal Labratries, and the Cmprehensive Centers. There has been recent interest in evidence-based prgramming after a May 2012 OMB mem n this tpic, and ESRA culd play an imprtant rle in driving that agenda. In additin, n the Hill, ESRA is much less cntrversial than ther pending educatin legislatin. If ther majr educatin bills are stalled, ESRA is smething that culd mve fairly quickly n a bipartisan basis thrugh either the Huse r the Senate. The issue f educatin research bradly has been raised in hearings and cmmittee markups n bth sides f the aisle as an imprtant investment fr the federal gvernment, giving a strng hpe fr bipartisanship when it mves. 21