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USA
23rd June 2026
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THE HOT STORY

Districts adapt family outreach and safety protocols amid heightened ICE activity

School districts across the United States are expanding family support services and revising safety protocols in response to heightened immigration enforcement activity and growing concerns among immigrant communities. Educators report increased demand for food assistance, transportation support, legal information, and emergency planning, as some families have avoided public spaces or kept children home from school out of fear of encounters with immigration authorities. Districts including St. Paul, Minnesota, and Montgomery County, Maryland, have partnered with community organizations, trained staff on responding to immigration-related incidents, and developed contingency plans for families facing detention or deportation proceedings, while school leaders warn that responding to these challenges is diverting time and resources away from teaching and learning.

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LEGISLATION

Staffing reductions and new mandates raise concerns about IES future

The future of the Education Department’s independent research division, the Institute of Education Sciences (IES), is increasingly uncertain as the Trump administration and House Republicans pursue significant budget reductions that education advocates warn could undermine efforts to improve student outcomes. House Republicans have proposed reducing IES funding by 37.5% to $493.5m , while the Trump administration has sought even deeper cuts of 67%, which would lower funding to $261.3m. According to the Institute for Higher Education Policy, the House proposal alone would reduce funding for education data collection and research studies by nearly 50%. The proposed cuts come as recent National Assessment of Educational Progress (NAEP) results showed little to no improvement in student reading and math performance, prompting critics to argue that reducing research investment is poorly timed. Education advocates contend that research funded by IES plays a critical role in identifying effective teaching practices and informing policy decisions.

FINANCE

More than half of districts tap reserves as insurance costs continue to climb

A new national study by AASA and the Association of School Business Officials International has found that rapidly rising health care costs are placing significant pressure on public school budgets, forcing many districts to delay hiring, reduce educational spending, and draw on reserve funds to cover escalating insurance expenses. Based on responses from 767 school superintendents and business officials across 42 states, the report found that 98% of district leaders said rising health care costs had a measurable impact on their budgets. During the 2025-26 fiscal year, 92% of districts spent up to 30% of their operating budgets on employee insurance benefits. The primary drivers of premium increases were higher prescription drug costs, cited by 60% of respondents, followed by increased claims for expensive treatments and greater use of high-cost specialty medications such as GLP-1 drugs, both identified by 56% of districts. AASA and ASBO concluded that without additional funding, greater flexibility, and policy reforms, school districts will continue to face difficult trade-offs between maintaining employee health benefits and investing in educational opportunities for students.

Chicago principals turn to fundraising and rentals as district finances tighten

As Chicago Public Schools (CPS) confronts mounting financial challenges, more schools are relying on money they raise independently through fundraising, facility rentals, cell tower leases, grants, and fees to supplement shrinking budgets and maintain essential programs and staffing. District-run schools spent approximately $48m in independently generated revenue during fiscal year 2025, a 78% increase from 2021, according to a Chalkbeat and Chicago Tribune analysis. The rise comes as CPS grapples with a $732.5m budget deficit, significant long-term debt obligations, pension liabilities, aging facilities, and state funding levels that remain below adequacy targets. Historically, private fundraising was concentrated in wealthier neighborhoods and used primarily for enrichment activities. Increasingly, however, schools across the city are using outside revenue to fund core operational needs, including staff salaries, building maintenance, academic programs, athletics, and student support services.

NYC schools face budget crunch

New York City is allocating nearly $290m for the upcoming school year to prevent budget cuts at schools experiencing declining enrollment, according to new data from the Education Department. This funding, part of the “hold harmless” policy initiated during the COVID pandemic, has more than doubled since the 2025-26 school year. The total expenditure on this policy since 2020 has reached nearly $1.9bn. Ana Champeny, lead researcher for the Citizens Budget Commission, said: "Continuing this misguided policy is just not the right choice for the city, and it's not the right choice for fiscal stability." While some schools rely heavily on this funding, concerns arise regarding its sustainability amid a significant budget deficit. The city’s student population has decreased by approximately 22,000, with projections indicating further declines. As a result, the cost of maintaining the hold harmless policy continues to rise, complicating the Education Department's funding strategies.

Rural Ohio districts cut jobs and seek new taxes as costs rise

Rural school districts across Ohio are facing mounting budget pressures as costs rise while state funding remains largely unchanged. More than 120 districts are projected to have negative cash balances by 2029, prompting job cuts, staffing reductions, and efforts to raise local taxes. School leaders say rural communities have fewer options to generate revenue and are struggling to offset rising expenses. Many also argue that state funding priorities, including private-school vouchers, provide little benefit to areas with few alternative schooling options. Officials warn that rural schools are often the largest employers and central institutions in their communities, making their financial challenges a broader concern for local economies and residents.

POLICY

NC officials debate graduation rates, achievement metrics, and growth measures

North Carolina’s State Board of Education Accountability Task Force continued its effort to redesign the state’s school accountability system, reviewing recommendations on achievement, academic growth, and graduation rate indicators. The group discussed incorporating both four- and five-year graduation rates into school evaluations, adopting a proficiency index to provide a more detailed measure of student achievement, and retaining a value-added growth model while exploring alternative approaches. Members also began examining how different performance indicators could be combined into an overall school rating, with further discussions planned as the task force works toward delivering recommendations for a new accountability framework by the end of the year.

Texas considers mandatory Bible readings in public schools

Texas could become the first state to require Bible readings in public schools after the State Board of Education gave preliminary approval to a mandatory reading list that includes biblical passages for students across multiple grade levels. The proposal has drawn criticism from religious scholars, who argue the selections rely heavily on evangelical Protestant Bible translations, provide limited representation of other faith traditions, and may present theological interpretations as historical fact. Critics also questioned the use of adapted religious stories and the lack of transparency around how the readings were selected. State officials say the biblical texts were included because of their influence on American history and Western culture and note that religious readings make up only a small portion of the overall list. However, opponents contend the proposal gives preferential treatment to Christianity and fails to reflect the religious diversity of Texas students. While many scholars support teaching religious texts in academic settings, they argue the material should be presented with broader context, greater religious diversity, and a stronger focus on historical and literary analysis rather than religious interpretation.

SOCIAL & COMMUNITY

Schools urged to prioritize social capital to expand opportunity for students

Richard Stopol, president emeritus of NYC Outward Bound Schools, argues that schools should make the development of “social capital” — access to relationships, networks, experiences, and institutions that help people succeed — a core part of education. Citing research showing that economic connectedness is a strong predictor of upward mobility, he contends that students from low-income communities often lack the exposure and connections available to their wealthier peers. Stopol calls for schools to provide internships, college visits, mentorship opportunities, and real-world learning experiences that broaden students’ horizons and prepare them for life beyond the classroom. While such efforts would not completely eliminate inequality, he argues they could help narrow the social capital gap and improve economic and social mobility for millions of young people.

EARLY YEARS

Inclusive preschool programs could help curb rising special education costs

Education leaders and researchers in California are arguing that greater investment in inclusive early childhood education could improve outcomes for students with disabilities while helping school districts manage rapidly rising special education costs. At Paso Robles Joint USD, where children with disabilities learn alongside their peers in preschool classrooms, officials say the number of students requiring more intensive special education placements has been cut in half, and 12% of students no longer need special education services by kindergarten. Advocates say inclusive preschool settings can strengthen language, social, and behavioral development, reducing the need for costly interventions later, though expanding such programs requires significant upfront investment, staff training, and coordination across multiple funding streams.

MATH

More schools adopt integrated math to expand advanced course options

A growing number of school districts and states are replacing the traditional sequence of Algebra I, geometry, and Algebra II with integrated math, which blends concepts from algebra, geometry, and trigonometry across multiple years. Supporters argue the approach helps students retain key concepts, creates greater flexibility for advanced courses such as data science and statistics, and better aligns with modern workforce and college demands. States including Maryland are adopting integrated math as part of broader efforts to expand postsecondary pathways beyond calculus, while educators in districts such as Chapman, Kansas, report improved student performance. Critics, however, warn that the model may leave some students less prepared for calculus-intensive STEM fields and can create challenges for students transferring between schools with different math sequences. While research suggests integrated math may modestly improve achievement, evidence of large-scale benefits remains limited, and debate continues over whether the approach best serves all students.

INTERNATIONAL

Beijing eliminates 12,000 degree programs in push for AI leadership

China has launched one of its most sweeping education reforms in decades, reshaping its academic system to prepare students for an economy increasingly driven by artificial intelligence, robotics, and advanced computing. As part of the overhaul, Chinese authorities have eliminated more than 12,000 university degree programs deemed outdated and introduced over 10,000 new courses focused on AI-related disciplines. Universities are also expanding into emerging fields such as "embodied intelligence," which combines artificial intelligence with real-world physical systems, with nine institutions already offering specialized degrees. The reforms extend well beyond higher education. China is introducing AI literacy into schools for children as young as six, treating knowledge of algorithms and artificial intelligence as foundational skills alongside reading and writing. The education transformation supports Beijing's broader ambition to become a global AI leader. The government is considering investments of approximately $295 billion in a national AI data-center network and is increasingly integrating AI into fields ranging from medicine and engineering to the humanities.
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