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Final Revisions to Certain Data Collection and Reporting Requirements, Final Priority; State Fiscal Stabilization Fund Program and Discretionary and Other Formula Grant Programs rule (2012)

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The Final Revisions to Certain Data Collection and Reporting Requirements, Final Priority; State Fiscal Stabilization Fund Program and Discretionary and Other Formula Grant Programs rule is a significant rule issued by the U.S. Department of Education effective March 1, 2012, that established revisions to data collection and reporting requirements regarding the State Fiscal Stabilization Fund program, which provides budget stabilizing grants to state and local governments in exchange for what the Obama administration refers to as efforts toward education reform.[1]

HIGHLIGHTS
  • Name: Final Revisions to Certain Data Collection and Reporting Requirements, Final Priority; State Fiscal Stabilization Fund Program and Discretionary and Other Formula Grant Programs
  • Code of Federal Regulations: 34 CFR Subtitle B, Chapter II
  • Agency: Department of Education
  • Type of significant rule: Economically significant rule

    • Timeline

    The following timeline details key rulemaking activity:

    Background

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    The State Fiscal Stabilization Fund program provides grants to state and local governments in an effort to promote what the Obama administration refers to as education reform in exchange for funding to stabilize state and local budgets. The program was established by the American Recovery and Reinvestment Act, which was signed into law in February 2009 by President Barack Obama (D). The Department of Education issued requirements, definitions, and approval criteria for the program in the Federal Register that were effective January 11, 2010.[1][6]

    Obama issued an executive order on January 21, 2011, directing executive agencies to review significant regulations and "to modify, streamline, expand, or repeal them in accordance with what has been learned," according to the order. In response to the order, the Department of Education on September 23, 2011, issued proposed revisions to certain data collection and reporting requirements for the State Fiscal Stabilization Fund program.[5]

    The Department of Education also issued an interim final rule on September 23, 2011, to extend the deadline by which states had to collect and report data on State Fiscal Stabilization Fund indicators. The November 2009 final rule had issued a deadline of September 30, 2011. The department extended the deadline to January 31, 2012, because it was argued that "a number of States will be unable to comply fully with the SFSF requirements by the September 30, 2011 deadline," according to the interim rule.[4]

    Summary of the rule

    The following is a summary of the rule from the rule's entry in the Federal Register:

    “ The Secretary of Education (Secretary) issues final revisions to certain data collection and reporting requirements, and a final priority, under the State Fiscal Stabilization Fund program.[1][7] ”

    Summary of provisions

    The following is a summary of the provisions from the rule's entry in the Federal Register:[3]

    “ In this notice, the Secretary (1) exempts certain States from collecting and reporting on Descriptors (a)(1) and (a)(2) and Indicators (a)(3) through (a)(7); (2) eliminates the requirement for States to report data annually for Indicators (c)(1) through (c)(9) and (d)(1) through (d)(6); (3) extends to December 31, 2013, upon submission of an approvable request by a State, the deadline for meeting the requirements under Indicators (b)(1) and (c)(12); (4) extends to December 31, 2013, upon submission of an approvable request by a State, the deadline for collecting and publicly reporting or developing the capacity to collect and publicly report student enrollment data under Indicator (c)(11) for high school graduates who enroll in an in-state public institution of higher education (IHE); and (5) applies an alternative standard, upon submission of an approvable request by a State, by which a State may meet the Indicator (c)(11) data collection and reporting requirements for high school graduates who enroll in in-state private, out-of-state private, or out-of-state public IHEs. The Secretary establishes December 31, 2013, as the deadline by which a State must meet the requirements of the Indicator (c)(11) alternative standard.


    In addition, the Secretary establishes a priority that the Department may use in future discretionary grant competitions for States that have met the requirements of Indicator (b)(1) on or before the applicable deadline. Further, the Secretary establishes the authority to extend those sanctions to State educational agencies (SEAs) in States that have received an extension of the deadline to December 31, 2013, for Indicator (b)(1), (c)(11), or (c)(12) but fail to meet the revised deadline or that have received permission to use the alternative standard for Indicator (c)(11) but fail to meet the requirements of that standard by the deadline.

    The Department also establishes the authority to take enforcement action against an SEA under certain circumstances where a State fails to meet the requirements of Indicators (b)(1), (c)(11), or (c)(12).[7]

    		”

    Significant impact

    See also: Significant regulatory action

    The Office of Management and Budget (OMB) deemed this rule economically significant pursuant to Executive Order 12866. An agency rule can be deemed a significant rule if it has had or might have a large impact on the economy, environment, public health, or state or local governments. The term was defined by E.O. 12866, which was issued in 1993 by President Bill Clinton.[1]

    Text of the rule

    The full text of the rule is available below:[1]

    See also

    External links

    Footnotes

    1. ↑ 1.0 1.1 1.2 1.3 1.4 1.5 1.6 Federal Register, "Final Revisions to Certain Data Collection and Reporting Requirements, Final Priority; State Fiscal Stabilization Fund Program and Discretionary and Other Formula Grant Programs," January 31, 2012
    2. ↑ Federal Register, "State Fiscal Stabilization Fund Program," January 31, 2012
    3. ↑ 3.0 3.1 3.2 Federal Register, "State Fiscal Stabilization Fund Program and Discretionary and Other Formula Grant Programs," September 23, 2011
    4. ↑ 4.0 4.1 Federal Register, "State Fiscal Stabilization Fund Program," September 23, 2011
    5. ↑ 5.0 5.1 Federal Register, "Improving Regulation and Regulatory Review," January 21, 2011
    6. ↑ 6.0 6.1 Federal Register, "State Fiscal Stabilization Fund Program," November 12, 2009
    7. ↑ 7.0 7.1 Note: This text is quoted verbatim from the original source. Any inconsistencies are attributable to the original source.
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