On January 27, 2025, the White House budget office announced a pause on federal grants and loans, potentially disrupting public assistance programs for millions of Americans, including critical support for low-income families in Tennessee. Programs at risk include Medicaid, school meal programs, Section 8 housing assistance, Title I funding, and others. Tennessee relies heavily on federal funding, receiving about $1.1 billion annually for K-12 education and other services. Concerns have been raised by state officials, including JC Bowman from Professional Educators of Tennessee, about the impact on essential programs like school meals and special education funding. Bowman told WGNS in a press release that if federal funding is not restored, Tennessee state leaders may need to ensure these programs are funded adequately at the state level, free from federal regulations. Scroll down to read the entire release below...
MORE: Monday, January 27, 2025, the White House budget office announced a pause on federal grants and loans, which could potentially disrupt public programs for millions of Americans. The suspension could impact a wide range of programs designed to assist low-income families, including Medicaid, school meal programs, Section 8 housing assistance, Title I educational funding, Temporary Assistance for Needy Families, state childcare subsidies, Head Start programs, and the Special Supplemental Nutrition Program for Women, Infants, and Children.
According to the Sycamore Institute:
- Tennessee typically receives about $1.1 billion annually in federal K-12 funding for over a dozen programs that have grant-specific and broader federal requirements.
- Tennessee received about $340 million under ESSA’s Title I provisions, primarily targeting low-income students.
- Tennessee received almost $250 million for K-12 under the Individuals with Disabilities Education Act (IDEA).
Child nutrition is the most extensive program managed by the U.S. Department of Agriculture (USDA), with an estimated annual cost of $480 million.
“Our concern is specifically the school meal programs, Title I educational funding, and the Individuals with Disabilities Education Act. Our state cannot educate children without those dollars. So, we hope the federal government resolves this issue and restores these monies immediately,” according to JC Bowman, executive director of Professional Educators of Tennessee.
“If the funding is not restored, it is the responsibility of the state of Tennessee to ensure that schools and districts have adequate funding for these critical programs immediately. We urge Governor Lee and the Tennessee General Assembly to commit to ensuring these programs can continue without interruption,” added Bowman.
State leaders have often considered rejecting federal funding. Speaker Sexton stated that if federal dollars were no longer available, “The state will cover the costs and continue to fund those programs, but we will be free from federal regulations.” It appears the state may have to step in sooner rather than later.
