Obama Dealt a Blow Over Education Initiatives
By STEPHANIE BANCHERO
President Barack Obama's education-overhaul agenda was dealt its first major setback after the U.S. House of Representatives diverted money from charter schools, teacher merit pay and the Race to the Top competition to help fund a jobs bill that would stave off teacher layoffs.
Even a last-minute veto threat by Mr. Obama late Thursday couldn't prevent the diversion of $800 million, including a $500 million cut from Race to the Top, the president's showcase initiative that rewards states for adopting innovative education redesigns.
Officials with the U.S. Department of Education vowed Friday to keep the president's education agenda intact and find other places to make budget trims.
"We're grateful they passed a jobs bills but not at the expense of the reform efforts we need for our long-term economic interests," said Peter Cunningham, spokesman for the Education Department.
Mr. Cunningham said that if the budget cuts hold, two or three states could lose out on Race to the Top, 15 to 20 school districts won't launch teacher merit pay programs, and dozens of charter schools might not open.
The measure, which passed the House Thursday night, was an amendment to a war-spending
