• Tuesday, May 29, 2012
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Spellings Rejects Governors' Request for Waiver on Education-Spending Levels

In October the National Governors Association sent a letter to Education Secretary Margaret Spellings, asking that all states be exempted from a new federal requirement to maintain the same level of higher-education spending they had provided, on average, over the previous five years. The governors cited the deteriorating budget conditions across the nation as a reason to grant the waiver.

Today Ms. Spellings sent a reply to the association, rejecting that blanket request but noting that states may apply individually for waivers from the requirement, known as a “maintenance of effort” provision of legislation enacted last year to renew the Higher Education Act. Ms. Spellings or a future education secretary could approve those waivers, “based on exceptional or uncontrollable circumstances that have led to a precipitous and unforeseen decline in the financial resources,” Ms. Spellings wrote to the governors.

If states fail to meet the provision and do not receive a waiver, they could lose federal College Access Challenge Grant funds, which are matching grants intended to increase the number of low-income students who are prepared to enter and succeed in college.

Both the governors’ association and the National Conference of State Legislatures strongly opposed the requirement for steady funds, arguing that it would force them, over time, to actually curtail higher-education spending in order to avoid penalties in lean fiscal times. —Eric Kelderman