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Houston, TX
November 2010
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The Economic Crisis Hits Home:
The Unfolding Increase In Child and Youth Homelessness
While the economic downturn has appropriately become the top priority of policy makers, one element of the crisis has gone largely unnoticed: its impact on children and youth.
Largely due to the economic and housing crises, many school districts across the country report increases in the number of homeless students in the classroom. The Economic Crisis Hits Home presents the results of a survey of local homeless education liaisons conducted by the National Association for the Education of Homeless Children and Youth (NAEHCY) and First Focus between October 24 and December 10, 2008. Based on these findings, the report also presents policy recommendations for the new Administration and Congress, as well as practice recommendations for schools and community agencies.
 Download the report.
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Final Economic Stimulus Legislation and Homeless Students
The American Recovery and Reinvestment Act includes $70 million for the McKinney-Vento Act's Education for Homeless Children and Youth (EHCY) program.
The U.S. Department of Education is required to provide the EHCY funding to State Educational Agencies within 60 days of the legislation's enactment. The EHCY funding must be allocated to States based upon on the state's share of the total number of students reported in the 2007-2008 school year. States must distribute the money to local school districts within 120 days of receipt of funds. States may award the money to school districts using a formula based on the number of homeless students, or on a competitive basis.
In addition to the EHCY funding, the final legislation includes:
- $53.6 billion for a State Fiscal Stabilization Fund intended to prevent cutbacks in critical education and other services. Governors must use 81.8% of the State's allocation for the support of elementary, secondary, and postsecondary education and, as applicable, early childhood education programs and services
- $13 billion in Title I funding ($10 billion in formula grants to local school districts, $3 billion for school improvement grants)
- $11.3 billion for Special Education Funding to States (IDEA Part B)
- $500 million for Special Education Infants and Families (IDEA Part C)
- $1.2 billion for Early Head Start
- $1 billion for Head Start
- $2 billion for the Child Care Development Block Grant
- $1.5 billion for homelessness prevention activities through the Emergency Shelter Grant program administered by the U.S. Department of Housing and Urban Development
- $100 million for the Emergency Food and Shelter Program administered by Federal Emergency Management Agency
The final legislation did not include Senator Stabenow's amendment to allow homeless and formerly homeless students to pursue their education full-time while living in housing financed by the Low Income Housing Tax Credit. Senate sponsors of the amendment are committed to seeking alternative legislative vehicles for enactment of this critical provision.
Chart of Child-Related Provisions:
First Focus has created a chart of child-related provisions in the stimulus. To download this chart, visit http://www.firstfocus.net/Download/StimulusSide-by-Side.pdf
For More Information:
 Please contact Barbara Duffield at bduffield@naehcy.org or 202.364.7392.
Learn More About the Foreclosure Crisis and Its Effects on Schools and Students
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information and resources on the foreclosure crisis.
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stories about the foreclosure crisis and its effect on education.
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