{ "id": "R45400", "type": "CRS Report", "typeId": "REPORTS", "number": "R45400", "active": true, "source": "EveryCRSReport.com", "versions": [ { "source": "EveryCRSReport.com", "id": 587396, "date": "2018-11-07", "retrieved": "2019-12-20T20:40:21.780821", "title": "Impact Aid, Title VII of the Elementary and Secondary Education Act: A Primer", "summary": "The Impact Aid program, administered by the U.S. Department of Education (ED) and authorized by Title VII of the Elementary and Secondary Education Act (ESEA), was originally established in 1950 by P.L. 81-815 and P.L. 81-874, 15 years prior to the enactment of the ESEA. Impact Aid compensates local educational agencies (LEAs) for a \u201csubstantial and continuing financial burden\u201d resulting from federal activities. These activities include federal ownership of certain lands, as well as the enrollments in LEAs of children whose parents work or live on federal property and children living on Indian lands. The federal government provides compensation because LEAs are unable to collect property or other taxes from these individuals (e.g., members of the uniformed services living on military bases) or their employers, even though the LEAs are obligated to provide free public education to their children. Thus, Impact Aid is intended to compensate LEAs, in part, for the resulting loss of tax revenue.\nThe Impact Aid program authorizes several types of payments, as detailed in the table below.\nTable 1. Impact Aid Payments: FY2019\n(Dollars in thousands)\nImpact Aid Payment\nFY2019\nPercentage of Total Impact Aid Funding\n\nPayments for federal property (Section 7002)\n$74,313\n5.1%\n\nBasic support payments (Section 7003(b))\n$1,301,242\n90.0%\n\nPayments for children with disabilities (Section 7003(d))\n$48,316\n3.3%\n\nConstruction (Section 7007)\n$17,406\n1.2%\n\nFacilities maintenance (Section 7008)\n$4,835\n0.3%\n\nTotal\n$1,446,112\n100.00%\n\nSource: Table prepared by CRS based on data available from the U.S. Department of Education (ED), Budget Service.\nNote: Details may not add to totals due to rounding. \nOverall, the Impact Aid program received about $1.4 billion in FY2019. The largest Impact Aid payment is basic support payments (BSPs) for federally connected children (Section 7003(b)), accounting for nearly 90% of the total appropriation. Federally connected children are those who reside with a parent who is a member of the uniformed services living on or off federal property, with a parent who is an accredited foreign military officer living on or off federal property, on Indian lands, in low-rent public housing, or with a parent who is a civilian working or living on federal property. BSPs are allocated directly to LEAs based on a formula that uses weights assigned to different categories of federally connected children, cost factors to determine maximum payment amounts, and provisions to determine payment amounts when appropriations are insufficient to provide maximum payments.\nIn addition to the Impact Aid programs administered by ED, a smaller set of programs administered by the Department of Defense (DOD) are often referred to as the \u201cDOD Impact Aid\u201d programs. These two programs include one that provides supplemental aid to LEAs serving military children, and one that provides assistance to LEAs serving military children with severe disabilities. For FY2018, total appropriations for these programs were $35 million ($30 million for the first program and $5 million for the second).", "type": "CRS Report", "typeId": "REPORTS", "active": true, "formats": [ { "format": "HTML", "encoding": "utf-8", "url": "https://www.crs.gov/Reports/R45400", "sha1": "77dfe7de164f78938a7d5e8e43cee52807f44c95", "filename": "files/20181107_R45400_77dfe7de164f78938a7d5e8e43cee52807f44c95.html", "images": {} }, { "format": "PDF", "encoding": null, "url": "https://www.crs.gov/Reports/pdf/R45400", "sha1": "fa1ea7ee23f2ac23eb0c321b89abf2f8b6b11eab", "filename": "files/20181107_R45400_fa1ea7ee23f2ac23eb0c321b89abf2f8b6b11eab.pdf", "images": {} } ], "topics": [ { "source": "IBCList", "id": 4810, "name": "Elementary & Secondary Education" } ] } ], "topics": [ "Appropriations", "Education Policy", "National Defense" ] }