President Obama Releases Detailed FY2010 Budget Request

Today, President Barack Obama formally released his FY2010 budget request. The budget request provides the full listing of program appropriations and other Administration-directed funding. The Administration’s budget totals $3.4 trillion with $46.7 billion in discretionary funding for the Department of Education (does not include the Pell Grant program).

In the President’ budget request, the Pell Grant maximum would be increased to $5,550. The budget request outlines the path to reclassify the Pell Grant program as a mandatory program, with increases based upon Consumer Price Index plus one percent. The budget states that $4 billion each year would be saved by the consolidation of the Federal Family Education Loan program. Additionally, the request contains a $500 million ($2.5 billion over five years) program to improve college success and completion. This program would also be funded on the mandatory side.

Here are some funding levels for key community college programs (compared to FY2009):

· Pell Grant maximum: $5,550 ($200 increase)
· Career and Technical Education State Grants: $1.16 billion (level funding)
· Tech Prep: $102.9 million (level funding)
· Strengthening Institutions, Title III-A: $84 million ($4 million increase)
· GEAR-Up: $313.2 million (level funding)

At the Department of Labor, Secretary Hilda Solis announced the creation of the Career Pathways Innovation Fund, which will continue the support for community colleges provided by Community-Based Job Training Grants (CBJTG), but will focus on career-pathway programs at community colleges. These programs help individuals of varying skill levels enter and pursue rewarding careers in high-demand and emerging industries. Funded at $135 million, career-pathway programs are clear sequences of coursework and credentials that may lead to better jobs in particular fields, such as health care, law enforcement, or clean energy.

Grants will be awarded to community colleges and consortia of community colleges that develop or expand career-pathway programs in partnership with education and training providers, employers, and the workforce investment system. In addition to the provision of training services, a portion of funds may be used for program operations and capacity-building activities, such as curriculum development, hiring faculty, and purchasing equipment.

The Department of Education funding levels are detailed at: http://www.whitehouse.gov/omb/budget/fy2010/assets/edu.pdf

The Department of Labor funding levels can be found at:
http://www.whitehouse.gov/omb/budget/fy2010/assets/lab.pdf