States Using Education Stimulus to Stay Afloat

Instead of using stimulus funds to build new schools or invest in early childhood education programs, a recent audit has found that many school districts across the country are using the funds to simply stay afloat. While the Government Accountability Office, which released its report in July, found the stimulus was keeping teachers off the unemployment lines, helping states make Medicaid payments and providing a needed cushion for state budgets, it also found that states are favoring short-term spending over long-term efforts, such as education reform.