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What is the purpose of this program?
The Impact Aid Program provides financial support to school districts affected by federal activities. The presence of certain children living on federal property across the country may place a financial burden on the school districts that educate them. The property on which these children live is exempt from local property taxes, denying districts access to the primary source of revenue used by most communities to finance education. Impact Aid helps to replace the lost local revenue that would otherwise be available to districts to pay for the education of these children. Five different kinds of payments are supported.
How can these funds be used?
Basic support payments are used for basic operation costs within the LEA, including teacher salaries, special education costs, utilities, books and supplies.
What are the eligibility requirements?
LEAs that educate high percentages of federally connected children are eligible. Federally connected children are those whose parents live on, work on, or are employed on federal property (for example, Indian lands, a military base, or a federal building).
Any LEA that is eligible to receive basic support payments on behalf of federally connected children may receive additional funds for children with disabilities.
What is the application or allocation process?
Basic support payments are provided to approximately 1,300 LEAs across the country in FY 2003. Eligibility is determined on an annual basis through applications submitted by school districts. Payments generally are deposited in eligible LEAs' general fund accounts and are used for basic operation costs within the LEA. Funding is not provided directly to private schools.
Contact the Impact Aid Program at ED to learn about the application process, timeliness, eligibility requirements, and when funds are disbursed.
Funding Process for Schools:
Formula-based funding
Total FY 2004 Funding:
$26,666,534
Office of Elementary and Secondary Education
This information also appears at the US Department of Education:
http://www.ed.gov/programs/8008/index.html
Authorizing Legislation:
Elementary and Secondary Education Act of 1965, as amended, Title VIII, 20 U.S.C. 7701-7714
Phone: (202) 260-3858
Email: ImpactAid@ed.gov
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