Story perspectives

Indiana Education Waiver Merges Funds, Shifts $25M, Saves $20M

6/17/2026

Summary

Story summary

U.S. Secretary of Education Linda McMahon announced Indiana’s waiver that merges five education funds.
It lets up to 15 percent of districts combine Title II-A professional-development money with Title IV-A student-support funds.
The waiver also relaxes ESSA accountability, permitting Indiana’s A-F rating system weighted 80 percent non-academic factors from 2026-27.
Critics warn it could reduce safeguards and shift $25 million in money, while officials say it will save $20 million in compliance costs and keep funding unchanged.

History

Historical Context

In 2001 President George W. Bush signed the No Child Left Behind Act, giving the Department of Education under Secretary Rod Paige authority to attach $7.2 billion of Title I money to test results and to grant state waivers. That waiver power created a precedent that Indiana used in 2024, allowing districts to combine Title II-A and Title IV-A funds, echoing NCLB’s flexibility and signaling federal-state negotiation over accountability.

1 of 2

Story summary

U.S. Secretary of Education Linda McMahon announced Indiana’s waiver that merges five education funds.
It lets up to 15 percent of districts combine Title II-A professional-development money with Title IV-A student-support funds.
The waiver also relaxes ESSA accountability, permitting Indiana’s A-F rating system weighted 80 percent non-academic factors from 2026-27.
Critics warn it could reduce safeguards and shift $25 million in money, while officials say it will save $20 million in compliance costs and keep funding unchanged.

1 / 2