If the US Department of Education is abolished, what happens to KY education funding?
A top education official in Kentucky is worried about what would happen to the more than $1 billion the state receives in federal funding for critical programs if President Donald Trump follows through on an executive order to weaken the U.S. Department of Education.
Trump is mulling such an order which could come as early as Thursday, according to multiple news reports.
Kentucky Department of Education Commissioner Robbie Fletcher said in early February the state depends on federal funding for a host of critical services for Kentucky’s most vulnerable students, including the poor and those with disabilities.
“If the U.S. Department of Education closes, “ Fletcher said in a statement, “our first priority will be to determine the impact that it will have on federal funding. “
The potential move comes after Trump pledged on the campaign trail to dismantle the federal agency that oversees academic standards and billions of dollars in federal funding sent to states and local school districts.
Trump does not have the authority to abolish the federal education department by executive order but is mulling an order to weaken it, USA Today and the Washington Post reported.
Meanwhile, U.S. Congressman Thomas Massie, R-Ky, filed legislation in the House in January to scrap the department.
“Unelected bureaucrats in Washington, D.C. should not be in charge of our children’s intellectual and moral development,” Massie said in a press release. “States and local communities are best positioned to shape curricula that meet the needs of their students.”
Kentucky receives a substantial amount of funding to support academic interventions in schools with high percentages of low-income students — known as Title I funding — and for services for students with disabilities — known as IDEA funding — Fletcher said.
According to state budget documents, in the 2023-2024 fiscal year, the state received $1.9 billion in federal funding, accounting for about 28% of the state’s total funding.
Fletcher said thousands of students across the Commonwealth receive free- or reduced-cost meals through federal programs, too.
“These are just three examples of multiple federal funding sources that aid districts in addressing the needs of the students of the Commonwealth,” Fletcher said. “As of February 3, 2025, there has been no disruption to the process for our receiving federal funds, but if the USDOE closes, we hope that the funding sources remain and the processes for receiving those funds are transferred to another agency at the federal level.”
Kentucky Department of Education spokeswoman Jennifer Ginn said late Thursday the agency hasn’t heard any more news about how a shutdown would work or what would happen with the funding streams and the state functions now filled by the U.S. Department of Education.
The loss or rollback of funding for free and reduced lunches could be devastating, according to Kentucky 120 United AFT-Fayette, which represents teachers and school personnel.
“Unfortunately, there is growing concern that federal grants for school nutrition could be at risk,” the statement released Tuesday said. “The recent freeze on federal grants created further uncertainty for funding school nutrition. Some legislators have suggested eradicating child labor laws as a solution to paying for school meals.”
About 20 million children, or about 40% of the nation’s public school children, receive free or reduced meals, according to the union.
How Kentucky schools are funded
Kentucky’s schools are funded through a combination of local property taxes, state and federal funding. If federal funding is nixed, school districts would be reliant on state and local tax dollars to fund those services.
In many cases, the loss of federal funds would be catastrophic.
For example, Fayette County Public Schools received a total of $21.8 million from the federal government for food services in the 2023-2024 academic year. That’s roughly 68% of its $31.9 million food budget, according to FCPS budget documents.
In other federal programs, including Title I and IDEA funding, Fayette County received $29.9 million in 2023-2024, according to the Kentucky Department of Education website. The bulk of that money went to low-income schools and kids with disabilities. But it also includes money for homeless students.
Fayette County Public Schools’ general fund budget last year was $681 million.
This story was originally published February 4, 2025 at 9:26 AM.
