Rep. Don Bacon has expressed concern over a delay in the release of federal education funds for the 2025-2026 school year. In a letter to Russell Vought, Director of the Office of Management and Budget (OMB), Bacon urged the release of funds already appropriated by Congress and issued by the U.S. Department of Education for federal formula grants.
On June 30, OMB informed the Nebraska Department of Education that these funds are still under review, although they are usually available around July 1. Local school districts and educational service units have included these resources in their staffing plans and contractual obligations for the upcoming academic year.
Bacon stated, “Schools across Nebraska made hiring decisions this spring based on projected allocations and are finalizing budgets for the 2025-2026 academic year, which begins in a matter of weeks. Delays in these awards place them in the impossible position of revisiting hiring and programming decisions with little time to adjust—decisions that are foundational to academic success and student support.”
The delay affects nearly $40 million in federal funding impacting every public school district and most nonpublic schools in Nebraska. Bacon noted that if grant funding is not released, Millard Public Schools in Omaha would face an unexpected burden of nearly $900,000, potentially falling on local taxpayers due to existing contractual obligations.
The programs affected include Title II-A (Supporting Effective Instruction), Title III-A (English Language Acquisition State Grants), Title IVA and IV-B (Student Support and Academic Enrichment Program; 21st Century Community Learning Centers), and the Adult Education and Family Literacy Act (AEFLA).



