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2013 Education Budget: What It Means for You

February 13, 2012 at 7:02 PM ET by Cameron Brenchley

Summary:

Education funding is increasing by $1.7 billion in Obama's 2013 budget proposal-- find out where the money's going and how it will affect you.

Ed. note: this post originally appeared on Homeroom, the U.S. Department of Education's official blog.

Continuing its commitment to education and an America built to last, the Obama Administration released its 2013 budget proposal to Congress today. It includes new education investments that will give U.S. students and workers the education and training they need for the jobs of today and tomorrow.

The Department of Education is requesting $69.8 billion in discretionary funding for Fiscal Year 2013, an increase of $1.7 billion, or 2.5 percent, from 2012. The critical investments in education are part of an overall federal budget that abides by very tight spending caps that reduce discretionary spending by $1 trillion over 10 years and, including that amount, has more than $4 trillion of balanced deficit reduction.

But what, exactly, does this mean for you?

Job Training to Meet the Demands of the Workforce
Helping students, employers and communities.

Two million jobs are waiting to be filled in the United States, yet many Americans seeking work don’t have the necessary skills to fill those jobs. To close that skills gap and deliver employers the kinds of workers they want to hire, the Administration is proposing $8 billion for a new Community College to Career Fund.

These funds would help community colleges become community career centers where individuals can learn the skills that local businesses need. Additionally, employers would offer paid internships for low-income students to help them learn skills on the job and gain experience.

ED is also proposing to invest $1.1 billion to support the reauthorization and reform of the Career and Technical Education program to ensure that the training and education our students receive are in line with the demands of the workforce.

Boosting the Teaching Profession
Giving teachers the respect and support they deserve.

ED is proposing $5 billion in competitive funding to support states and districts as they pursue bold reforms that can help better prepare, support and compensate America’s teachers.

The Department would also invest $190 million for a new Presidential Teaching Fellows program that would provide scholarships to talented students who attend top-tier teacher prep programs and commit to working in high-need schools.

The budget also creates $620 million in new grants for states that would reward and support highly effective teacher preparation programs, help decrease STEM teacher shortages, and invest in efforts to enhance the teaching profession.

Making College Affordable
Ensuring that everyone gets a shot at higher education.

The 2013 budget seeks to make college more affordable and to help achieve President Obama’s goal of the U.S. leading the world in college graduates by 2020. The budget proposes to sustain the maximum Pell Grant and increase the maximum award amount to $5,635, supporting nearly 10 million students across the country.

The Department is proposing to freeze the interest rate on subsidized student loans at 3.4 percent. Currently the rate is scheduled to double to 6.8 percent this summer if Congress doesn’t act.

The budget seeks to tackle college costs and quality by encouraging shared responsibility among states, colleges, families and the federal government. ED would invest $1 billion for a new Race to the Top focusing on college affordability and completion to drive reform at the state level and help students finish faster. This new Race to the Top would provide incentives for colleges to keep costs under control, it would double the number of work-study jobs, and it would increase by nearly $7.5 billion the amount available for Perkins loans.

Additional Budget Information:

Cameron Brenchley is the Director of Digital Engagement for the U.S. Department of Education.