The U.S. Department of Education denied an appeal to continue a $30M grant, ending funding for 22 rural Idaho school districts on Dec. 31.
Federal Grant Funding to End for Idaho Schools
Federal funding supporting 22 rural school districts in Idaho will expire on Dec. 31 after the U.S. Department of Education denied an appeal to continue the program.
The decision ends nearly $30 million in remaining grant funds and affects educational services for approximately 25,000 students across rural communities statewide.
Appeal Denied After Early Termination Decision
The grant was administered by United Way of Treasure Valley, which confirmed it received notice that its appeal had been rejected.
The appeal sought to reverse an earlier decision to terminate Idaho’s Full-Service Community Schools State Scaling Grant three years ahead of schedule.
Program Originally Funded Through 2028
The grant was awarded in 2023 and was designed to provide $45.9 million over five years, continuing through 2028.
According to program documentation, the funding supported:
- Literacy and STEM education initiatives
- Mental health and student support services
- Career-connected learning programs
- Afterschool and enrichment services
The grant served 65 schools across the state.
Department Cited DEI Language in Application
The Department of Education initially notified United Way of Treasure Valley on Dec. 12 that the grant would be terminated, citing diversity, equity, and inclusion language included in the original application.
United Way of Treasure Valley stated that no DEI-related activities were conducted under the program and that none were planned.
The organization said it submitted a formal amendment in September removing references to DEI activities to align with current federal priorities. The department’s response to the appeal did not reference that amendment or the supporting documentation submitted.
Staffing and Student Services at Risk
United Way of Treasure Valley previously warned that ending the grant could place approximately 60 full-time positions at risk.
Those roles included community coordinators who connected students and families to services such as:
- Food assistance
- Dental and mental health care
- Job placement support
- GED and adult education programs
Idaho Leaders Urged Continuation of Funding
U.S. Senators Mike Crapo and Jim Risch sent a letter to the Department of Education on Dec. 18 supporting the appeal.
The senators urged the department to allow the program to continue under its original five-year structure.
Districts Face Budget Challenges
With the appeal denied, affected school districts must now seek alternative funding sources.
Officials from the American Falls School District said absorbing the cost of coordinator positions would be difficult, noting that district budgets for 2026 have already been finalized.
District leaders indicated that potential responses could include reducing staff hours or benefits, or asking voters to approve new funding through local levies.
Related Coverage
- Idaho News – https://idahonews.co/idaho-news-3/
- National News – https://idahonews.co/national-news/
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