ACF-OCS-CSBG-IM-25-165 Use of CSBG Funds for K-12 Education and Ancillary Programs and Services
Community Services Block Grant
Information Memorandum
IM#: ACF-OCS-CSBG-IM-25-165
DATE: April 29, 2025
TO: CSBG Network
SUBJECT: Use of CSBG Funds for K-12 Education and Ancillary Programs and Services
ATTACHMENT(S): Attachment 1: Examples of Potential Education-Related Voucher Support for K-12 Readiness and Success
PURPOSE
This Information Memorandum (IM) provides guidance on the permissible uses of Community Services Block Grant (CSBG) funding for education-related services and includes an attachment with examples of permitted uses consistent with the CSBG Act.
RELATED REFERENCES
Community Services Block Grant Act (PDF), 42 U.S.C. § 9901 et seq.; Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, 2 C.F.R. Part 200 ; Executive Order 14191: Expanding Educational Freedom and Opportunity for Families .
OFFICIAL POLICY
Consistent with the administration’s policy to support parents in choosing and directing the upbringing and education of their children, states and eligible entities may support education-related services either in voucher form or comparable delivery approaches that empower parents.
BACKGROUND
Section 5 of Executive Order 14191 directed the Secretary of Health and Human Services to “issue guidance regarding whether and how States receiving block grants for families and children from the Department … can use them to expand educational choice and support families who choose educational alternatives to governmental entities, including private and faith-based options.” Pursuant to this order, the Office for Community Services (OCS) is issuing this guidance. CSBG grant recipients and eligible entities may use CSBG funds for a variety of programs and services ancillary and supportive to core public school services, as long as the use meets the CSBG eligibility requirements and aligns with an approved community action plan or Tribal plan. Funds could be distributed through vouchers for services such as child care, before- and after- school programs, tutoring, supplemental special education services, or adult training or education. Please see the examples attached to this IM for potential education-related voucher support for K-12 readiness and success.
Further, a state may, within its discretion, use a portion of the state’s remainder funds for direct purchase of vouchers for K-12 education. States are required to apply cost principles contained in OMB’s uniform grant requirements to the 90% of CSBG funds that are passed through to eligible entities.[1] These cost principles prevent use of CSBG funds by eligible entities for the general costs of government, which include “services normally provided to the general public,” including K-12 education.[2]
States are permitted to retain up to 10% of their CSBG allotments for other activities, and the retained funds are not subject to any prohibition against use for public schooling or the general costs of government. Section 675C of the CSBG Act identifies authorized uses of funds, including the 10% retained by states.[3] Use of CSBG funds directly for K-12 vouchers must be limited to funds included in the discretionary 10% allowed for statewide activities, identified in Section 675C(b), including technical assistance, administrative expenses, data analysis, coordination, and support of other activities consistent with CSBG purposes. Within available remainder funds, states have discretion to consider direct purchase of education vouchers. States must satisfy their CSBG statutory obligations in grant administration, data collection, and performance management, but a state could choose to make a portion of the remaining funds available for school vouchers for income-eligible households.[4] Any state use of CSBG funds for education vouchers should be implemented consistent with Executive Order 14190: Ending Radical Indoctrination in K-12 Schooling and Executive Order 14214: Keeping Education Accessible and Ending COVID-19 Vaccine Mandates in Schools , to the maximum extent consistent with applicable law.
RESPONDING TO COMMUNITY NEEDS
While CSBG funds awarded to eligible entities may not support daily K-12 instruction, resources can support vouchers for a variety of educational support, school enrichment, career and life skills, social and emotional development, and family and community engagement programs directly connected to educational success. By offering vouchers, state or eligible entities can give families flexibility in choosing programs that best fit their children’s needs while ensuring access to quality enrichment opportunities. The examples in Attachment 1 are provided for technical assistance purposes only on potential categories for consideration. Identification and approval of specific community-based strategies must be consistent with income eligibility criteria established by states and must be consistent with underlying statutory obligation and liquidation timeframes.
Thank you for your attention to these matters. OCS looks forward to continuing to provide high-quality services to OCS partners.
/s/
J. Janelle George
Acting Director
Office of Community Services
[1] 42 U.S.C. § 9916(a)(1)(B).
[2] 2 C.F.R. § 200.444.
[3] 42 U.S.C. § 9907.
[4]If a state elects to use any of its remainder funds for K-12 education vouchers, please review Executive Order 14190, Ending Radical Indoctrination in K-12 Schooling , to ensure consistency.