	Introduction

The importance of early learning for children's healthy development and positive outcomes in school and the workforce has become a subject of increasing interest to the public, Members of Congress, and the Adm inistration. During recent congresses many bills have been introduced that would provide funding to states aiming to facilitate improvements in the quality of, and access to, early childhood education (ECE) programs. Report Roadmap

This report focuses on two recent early childhood initiatives proposed by the Obama Administration and funded between FY2011 and FY2016: Race to the Top-Early Learning Challenge (RTT-ELC) grants and Preschool Development Grants (PDG). While funding for these programs is appropriated to the U.S. Department of Education (ED), these programs are jointly administered by ED and the Department of Health and Human Services (HHS). This report provides background and information on both the RTT-ELC and PDG programs, and on the states that have received a grant from one or both of these programs. Readers should note that the Every Student Succeeds Act (ESSA; P.L. 114-95 ) established a standalone authorization for a new PDG program beginning in FY2017. A full discussion of the new PDG program is beyond the scope of this report. However, some limited information on the newly authorized PDG program, as compared to the current PDG program, is provided in Appendix C . 

	Early Learning Challenge Grants

		Program Goals

The overarching goal of the RTT-ELC program was to help states build comprehensive statewide systems that improve early learning programs, and increase access to high-quality ECE programs for high-need children. 2. 3. FY2013 funding included supplements to six states in addition to six new awards. ED and HHS ultimately reserved $200 million for RTT-ELC funding, which was awarded to five states in two blocks. ED reserved $370 million for RTT-ELC. The program is intended to support state and local efforts to build, develop and expand high quality preschool programs. In its FY2016 budget request, the Administration states that the PDG program will lay the groundwork to help ensure that states are ready to participate in the Administration's proposed Preschool for All program—which would make high-quality preschool programs available for all four-year-olds from low- and moderate-income families. Funding

In the FY2014 President's Budget, the Obama Administration requested $750 million in discretionary funding for the new PDG program, as well as $75 billion (over 10 years) in mandatory funding for a Preschool for All program that would provide high-quality public preschool to all low- and moderate-income three- and four-year-olds. The Administration subsequently requested $500 million in discretionary funding for PDG in FY2015 and $750 million in FY2016. FY2015 and FY2016 funding allowed existing grantees to receive a continuation award but was not sufficient to fund new grantees. On December 10, 2014, ED and HHS announced that 18 of the 36 states and outlying areas that applied for a PDG grant would receive FY2014 funding. As has been noted, PDG-Development Grants are designed for states with fewer than 10% of their four-year-olds in state-funded preschool that have not received a RTT-ELC grant. PDG-Preschool Expansion Grants are designed for states that already serve 10% or more of their four-year-olds in state-funded preschools or received a RTT-ELC grant.
The importance of children's early learning experiences to their development and later success in school and the workforce has become a subject of increasing interest to the public, Members of Congress, and the Administration. During recent congresses many bills have been introduced that would provide funding to states aiming to facilitate improvements in the quality of, and access to, early childhood education (ECE) programs.
This report focuses on two early childhood initiatives—Race to the Top-Early Learning Challenge (RTT-ELC) grants for FY2011-FY2013 and Preschool Development Grants (PDG) for FY2014-FY2016. Both programs have been administered jointly by the U.S. Department of Education (ED) and the Department of Health and Human Services (HHS). In addition to background and information on these programs, the report provides data on states that received grants under one or both of these programs.
Through the RTT-ELC program, ED and HHS awarded three rounds of RTT-ELC grants in December 2011 ($500 million), 2012 ($133 million), and 2013 ($370 million). Nine states received RTT-ELC grants in 2011 (Phase 1), five states in 2012 (Phase 2), and six states in 2013 (Phase 3). These grants were broadly focused on building comprehensive statewide systems to support high-quality preschool, as well as increasing access to preschool for high-need children.
The Obama Administration's proposed PDG program was intended to build on the RTT-ELC grants program to accomplish similar goals. For FY2014-FY2016, the PDG program focused specifically on expanding access to high-quality preschool for four-year-olds from low-income families.
The Administration requested $750 million in FY2014 and FY2016, and $500 million in FY2015 for the PDG program; the program received $250 million in each of the three years. According to the Administration's FY2016 budget request to Congress, higher funding for the PDG program would help lay the groundwork for the Administration's larger Preschool for All initiative—which was intended to provide high-quality preschool to all low- and moderate-income children.
Separately, the Every Student Succeeds Act (P.L. 114-95), enacted in December 2015, established a standalone authorization for a new PDG program. This new program has not yet been funded; FY2017 is the first year for which funding is authorized. This report is focused on the initial programs, as administered through FY2016. The new PDG program is generally beyond the scope of this report, though some additional information on it can be found in Appendix C.
On December 10, 2014, ED and HHS awarded PDG grants to 18 states from FY2014 funding. FY2015 and FY2016 funding allowed existing grantees to receive continuation awards but did not fund any new grantees. PGD grants were divided into two separate funding streams. States with fewer than 10% of their four-year-olds in state-funded preschool that had not received an RTT-ELC grant were eligible for PDG-Preschool Development Grants. Five states received these grants. States with more than 10% of their four-year-olds in state-funded preschool or that had received an RTT-ELC grant were eligible to apply for PDG-Preschool Expansion Grants. Thirteen states received these grants.