Federal Updates

The U.S. Department of Education has released new guidance implementing the federal grant payment requirements established under Executive Order 14222, commonly referred to as “Defend the Spend.” The initiative requires all agencies to provide additional justification and review before federal grant funds can be drawn down by grantees, with the stated goal of increasing transparency and accountability in federal spending.

On September 24, the White House sent Congress a rescission package that would cut $810 million of federal funding that was appropriated by Congress for Fiscal Year 2026 but has not yet spent.

The President signed the Supporting Early-Childhood Educators’ Deductions (SEED) Act, allowing early childhood and pre-K educators to claim the same $350 federal tax deduction for out-of-pocket classroom expenses as K-12 teachers. This deduction will help offset the hundreds of dollars educators spend out of their own pockets each year on classroom supplies, books, and learning materials.

In September, the U.S. Government Accountability Office released a report documenting the real-world consequences of deferred maintenance and aging school facilities, finding that nearly 20 percent of school districts were forced to cancel school during the 2024-25 school year due to facility problems.

Last week, the U.S. Department of Agriculture (USDA) and Department of Health and Human Services (HHS) announced the Harvest to Hallways Initiative to provide new investments and technical assistance for school meal programs. The announcement is the latest step in a broader federal effort to change federal nutrition programs. USDA is also expected to release new school meal regulations in the coming months.

The U.S. Department of Education (ED) issued a notice of proposed rulemaking on August 24th that would make it easier for the agency to terminate or discontinue discretionary grants and further cement administration policies in regulations.