Indiana becomes the latest state to receive flexibility from Trump on federal education spending

Key Points:

• The Trump administration has granted Indiana a waiver to consolidate $50 million in federal education funds from five streams into one with fewer spending restrictions, aiming to reduce compliance costs by about $20 million.
• Indiana's waiver, the third of its kind after Iowa and Louisiana, also allows changes to the state's school accountability system, reducing the emphasis on academic indicators in performance scores.
• The Education Department denied Indiana's request to create a school choice program by reallocating funds from low-performing to higher-performing districts, citing limits on the secretary's waiver authority.
• Critics, including education equity advocates, argue the waiver reduces transparency and accountability, potentially diverting funds away from disadvantaged students by rolling targeted funding into broader spending pools.
• The administration promotes these waivers as efforts to empower states and reduce federal involvement, while also supporting school choice initiatives that encourage alternatives to traditional public schooling.