The Anchorage School District joined this lawsuit because the unexpected freeze of federal education funds has caused significant disruption to our core mission of educating all students for success in life. Our students’ success depends on professional learning support that drives early literacy, strengthens mental health services, and improves graduation rates. These funds also provide targeted support for English learners and for families whose livelihoods depend on agricultural work, logging, or fishing.

Districts like ours rely on timely and predictable access to these funds to meet federally mandated obligations and ensure a strong start to the school year. When longstanding commitments are withheld without warning, it creates instability across our schools and directly impacts the students who depend on these programs the most. Legal action became necessary to protect those students, uphold our responsibilities, and restore the stability every public school system needs to serve its community well.

You can read the full court filing here.

The budget book is available on the FY26 Budget Solutions Hot Topics page.

On July 1, the Alaska Department of Education and Early Development (DEED) Commissioner sent THIS email to all superintendents, flagging the issue that Federal funds would be delayed for all Alaska school districts. On July 9, DEED confirmed that the U.S. Department of Education will freeze federal funds through the Elementary and Secondary Education (ESEA) Consolidated Grants, and districts should not obligate funds in excess of their anticipated carryover amounts from FY2025. 

The Anchorage School District is facing a potential loss of approximately $14 million in allocations. 

Every school in the Anchorage School District will have an impact on support services as a result of the funding withholdings. That said, some schools that have previously received more support will feel a greater degree of impact. 

• After-school programs (21st Century program)
• Summer School Programs
• Credit recovery opportunities for students
• Educational support for students of families who participate in subsistence activities, or move around the state for logging, agricultural, and fishing employment. Bridge academic gaps through internet credit recovery, tutoring, technology support, and other means as necessary
• Professional learning opportunities for staff
• English Language Learner support, including summer school and graduation support
• Instructional support for Reading, Math, Career Technology Education (CTE), and Positive Behavioral and Intervention Supports
• Mentorship and coaching for teachers and principals to improve their craft
• Instructional Support for World Language Teachers
• Literacy resources, access to books, and before and after-school book clubs
• Reduced Family Engagement opportunities

Yes, in some ways. Some staffing and programs are immediately impacted. An absence of allocated funds will result in greater impacts over time. We will continue to update this document as more information and specifics become available.

DEED advised districts to assume the money will not arrive. We cannot spend money we don’t have.

No. The Anchorage School District receives funds from a variety of sources. The BSA is a funding formula at the state level. Federal funding is another significant source of funding for ASD. The grant funds being withheld are a separate budget that the district relies on to provide supplemental student services that are separate from BSA and state funding. 

Through strategic use of vacant positions and limited alternative funds, we were able to reduce the number of layoffs. These were difficult choices, but they reflect our determination to keep instability away from our students. Still, the loss of 34.5 positions will have a real and lasting impact. Essential services, including after-school programming, summer learning, literacy and math support, and ELL assistance, will be reduced across our schools. These are not extras. They are foundational supports that our students rely on.

This number will likely increase as we continue to exhaust our federal reserves.

No. Most positions that are affected are not classroom teachers. Instead, they are student support positions that assist the classroom teachers in their daily work. It will also reduce training opportunities at the beginning of the year for new teachers and throughout the school year.

Staff who hold a teacher certification will be reassigned to classroom positions to fill existing vacancies at schools across the district. 

No. This federal funding is being withheld from all school districts across Alaska.  It was congressionally approved and not expected to be withheld. 

Anchorage School District (ASD) leadership met with staff from each of Alaska’s congressional offices to advocate for the immediate release of frozen federal education grants. District leaders emphasized the urgent need for these funds to prevent further disruption to staffing, student support services, and essential academic programs. 

ASD extends its appreciation to Alaska’s congressional delegation for stepping up and engaging on this critical issue.

Reach out to Alaska’s congressional delegation to let them know how you feel about the federal funding freeze. 

• Senator Dan Sullivan

• Senator Lisa Murkowski

• Representative Nick Begich

ASD remains committed to working closely with its federal partners to ensure these funds are released and stability is restored for Alaska’s public schools.  

There is indeed a lot of misinformation and disinformation circulating about this issue. Here are the facts:

ASD approved one of the leanest budgets in district history earlier this year. We cut 42 central office positions, reduced more than $30 million in salaries, benefits, and services, and drew down reserves below our policy minimum. After exhausting those options, we made agonizing choices to increase class sizes and pause enrichment programs—moves made to protect classrooms and preserve core services.

Despite these deep, early cuts, ASD was hit with unexpected financial shocks: a federal funding freeze and last-minute reductions in state support. No school district budget—no matter how carefully planned—can absorb that kind of disruption without consequences.

That’s why layoff notices and staff reassignments were issued. These are not abstract decisions. They affect real people, and our students will feel the impact when they return to school in August.

The U.S. Department of Education has frozen funding allocations under the Elementary and Secondary Education Act (ESEA), including Title I-C grants that support Migrant Education. ASD was expecting approximately $5.5 million in funding, which is now delayed.

Without the expected funding, the ASD Migrant Education Program will only be able to continue limited services using remaining unspent funds through September 30, 2025. After that date, services may be interrupted.

 If the funding freeze continues, programs that could be impacted include:

• School-based migrant staff support
• After-school academic programs
• Tutoring services
• Summer school opportunities
• Community partnership sponsorships
• Access to supplemental resources for students

 Our ability to provide services beyond September will depend on whether federal funding is restored.

ASD is working closely with state and federal partners to seek clarity and solutions. Internally, we are reviewing staffing and resource allocations to maintain critical services for migratory students for as long as possible.

Families can reach out directly to the ASD Migrant Education office with questions. We are committed to keeping families informed and supported through this period of uncertainty.