What are the key elements of the State Fiscal Stabilization Fund?
A13. The State Fiscal Stabilization Fund is an appropriation of $53.6 billion, intended to provide fiscal relief to SEAs to prevent tax increases and cutbacks in critical education and other services. To that end, $48.3 billion will be distributed in Grants to States for fiscal relief, mainly tied to education; $4.35 billion for State Incentive Grants (also referred to as the “Race to the Top Fund”), $650 million for the Innovation Fund (also referred to as the “Invest in What Works and Innovation Fund”); and the U.S. Secretary of Education is permitted to reserve $14 million for administration and oversight of the Fund. To see how much money your state will receive, please look to the Department of Education’s chart. $48.3 billion in Grants to States: • First 81%: Governors must use approximately 81% of their state allocation to support elementary, secondary and post secondary education, and, as applicable, early childhood education programs and services. The overall purpose of this m
