Obama Proposes $1.35 Billion Expansion to Race to the Top Fund

[Philanthropy News Digest] President Barack Obama has called for a $1.35 billion expansion to the public school reform program known as Race to the Top fund, which was included in last year's stimulus package, as part of his fiscal 2011 budget proposal, the Washington Post reports.

The funding would be in addition to the $4.35 billion that states already are competing for under the program, which is designed to encourage and support ideas that address the problems of a public education system that, most people agree, is failing too many students. To date, eleven states have implemented reforms to make them eligible to receive funding, and more than thirty states are expected to have applied by yesterday's deadline for the first round. Some of the stimulus money allocated to the schools program will be awarded in April, with states that do not receive funding eligible to re-apply in June.

Competition for funds from next year's budget will be opened to school districts, eliminating the tensions that emerged between local and state governments over stimulus money distribution. Obama wants states to use the funds to ease limits on charter schools, link teacher pay to student achievement, and move toward common U.S. academic standards. Charter schools receive public funding but are exempt from some state or local rules and serve as an alternative to regular public schools.