Delaware Education Stimulus

Summary

Delaware will receive education-related funding from the American Recovery and Reinvesting Act of 2009 (ARRA), through two principal avenues:

• $209 million to be distributed through the U.S. Department of Education.
• $134 million through the State Fiscal Stabilization Funds. These funds go directly to governors to use for what they determine to be "critical services", which can include funds to local school districts, public colleges and universities for financial aid and operating costs. Governors can also direct money from this fund to private colleges and universities to modernize facilities or for other purposes.

Delaware Education Stimulus Breakdown

Higher Education Funds

The educational stimulus package includes a variety of higher education and vocational training funds and grants for Delaware:

• An increase in 2009 Pell Grant funding of $11.6 million over 2008 funds. The 12,000 current Pell Grant recipients in Delaware will receive an increase in the average award for the 2009-10 academic year from $3400 to $3,850.
• An additional $306,000 for student financial assistance through grants to institutions to assist in the operation of work-study programs under the Higher Education Act.
• $32.7 million for Special Education Part B State Grants to help improve educational outcomes for individuals with disabilities.
• $3.1 million in education technology funds to purchase up-to-date computers and software and provide professional development.
• $39.3 million for Title I Education for the Disadvantaged.

Delaware's higher education students and institutions are also eligible to apply for the following grants funded by the stimulus package:

Community College and Career Training Grants

A college or university in Delaware is eligible for one grant, not to exceed $1,000,000, by demonstrating that it has reached out to employers to identify shortcomings in existing training opportunities within the community.

Teacher Certification and Training

Teacher quality enhancement grants are available to schools and eligible partnerships in Delaware on a competitive basis.

Education and Human Resources

Provides grants for Delaware colleges and universities to attract math and science teachers, and grants to improve math and science in K-12 schools.

Health Professional Training Program

Provides funding for the National Health Services Corporation (NHSC), which recruits and trains health professionals to deliver health care in underserved communities in Delaware.

Demonstration Program to Integrate Information Technology into Clinical Education

Provides grants to medical schools and medical related graduate schools in Delaware to carryout demonstration projects and develop academic criteria integrating EHR technology in the clinical education of health professionals.

Education tax credits

The federal education stimulus package also includes the American Opportunity Tax Credit. This modifies the federal higher-education tax credit established in 1997, which benefited middle-income students by offsetting their tax liability. The new credit is “refundable,” meaning that lower-income households in Delaware that have limited or no federal income tax liability can now receive a partial credit in the form of a tax “refund" of up to 40 percent of qualifying expenses for a maximum refund of $1,000. This will potentially benefit 8,000 more students in Delaware.

Stimulus Breakdown (2008 vs. 2009)