Funding

Carl D. Perkins Career and Technical Education Act (Perkins Act) 2018

StudentThe newly revised Perkins Act is the main federal funding source for career and technical education (CTE) programs.  The Perkins Act is the primary federal funding source for high school, college and university CTE programs that are critical for preparing youth and adults, including immigrants, for jobs in local and regional economies.  Additional funding for CTE programs was added this year, to boost technical education funding and quality the meet the twenty-first century.

The Perkins Act provides funds under three main programs:

  • Basic State Grants Programs
  • National Programs
  • Tech Prep Programs (Title II)

What is Career Technical Education (CTE)?
Career preparation programs. CTE programs prepare workers, including immigrants, to meet employers’ needs in a variety of occupations.  CTE programs also prepare workers for middle-skills jobs, which American companies currently struggle to fill.  Middle-skill jobs require higher levels of education than a high-school diploma but less than a four-year college degree.  Middle-skill jobs currently form the biggest portion of the Labor Market.  Companies in every state have been reporting a strong demand for middle-skills workers, and the need is projected to grow.

How does the government distribute the Perkins CTE funding?
They base it on state population.  The Basic State Grants Program (Title I) are allotted to states through a formula based on populations in certain age groups and earning certain levels of per-capita income.  States are required to distribute at least 85 percent of Title I funds to local education agencies, vocational and technical schools, community colleges and other public or private nonprofit institutions offering CTE programs.  Each state may decide how much money will be distributed to recipients at the secondary and postsecondary education levels.  Generally, about 64 percent of the funds go to secondary education, and 36 percent go to postsecondary education programs.