Alaska Faces Risk of Losing $425 Million in Education Funds Due to Alleged Rule Violations
U.S. Department of Education Labels Alaska as “High-Risk” Grant Recipient Over Funding Dispute
According to WebsCenter FairBanks Alaska’s education money is in danger because the U.S. Department of Education says it’s a “high-risk” grantee which means it might lose $425 million. This trouble started because Alaska didn’t keep giving the same amount of money to four school districts when it got funds from the American Rescue Plan Act (ARPA). This broke the rules about how the money should be shared out according to the federal government.
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Alaska Struggles to Meet Deadline in Resolving Education Funding Dispute Amid Enrollment Challenges
The problem happened because fewer students enrolled in the four districts including Fairbanks North Star Borough. The government gave Alaska’s Department of Education and Early Development (DEED) 30 days to fix the issue back in December but Alaska didn’t meet the deadline. DEED says they’re trying to work things out with the federal government to avoid losing so much money. The Senate Education Committee plans to have a special meeting on April 3 to talk about how to solve the problem before it’s too late.