On the recordOctober 12, 1998
I have in my hand an April 1998 report by the Secretary of Education that was requested by appropriators from Congress that is based on data from States, the Coopers & Lybrand financial analysis model, and GAO reports, completed this summer, which I think should be part of the Record on this debate, and it says: One-half of 1 percent of the Federal funding for elementary and secondary education programs is spent on Federal administration. One-half of 1 percent. States retain on average an additional 2 percent. The remaining 97.5 percent goes to local school districts. End of quote from the report. To suggest that it is 50 to 60 percent cost of administration really doesn't square with the facts given us in this report. Across more than 20 major State formula programs, States, in fiscal year 1995, retained an average of only 4 percent of the money at the State level; they distributed the remaining 96 percent to school districts and other recipients, such as colleges and universities. For the program under the Elementary and Secondary Education Act, the percent retained at the State level was even lower--about 2 percent. For Title I, the largest Federal elementary and secondary program, States retain only about 1 percent of the funds.
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