Arkansas education chief outlines ESSER spending, facility projects and mask guidance ahead of school year

Secretary Johnny Key of the Arkansas Department of Education told the Senate Education Committee that the state has substantially spent the first federal relief tranche but still holds large balances in later allocations and that districts must prepare and post local plans before using ARP ESSER funds.

"93% of those funds have been expended to this point," Key said of ESSER I, and he described ESSER II as roughly 45% spent with the rest remaining as of July. On the most recent ARP ESSER funding, Key said the state received "over $1,000,000,000," that those funds carry a three-year period of availability, and that the department has requested an initial $865,000,000 appropriation from the legislative council with additional requests to follow.

Key outlined allowable uses and examples: districts may use funds for technology, personnel, sanitation and other "systemic procedures" that sustain safe operations, and for COVID-related facilities projects such as HVAC or ventilation upgrades. He reported the department has approved 311 school bus purchases at a cost "just over $29,000,000." On facility projects (E5), Key said projects range from repairs to full HVAC replacements and that districts may accelerate planned projects using available allocations.

On allowable compensation, Key said ESSER funds can be used for staff costs — including offerings to cover sick leave for COVID-related quarantine — provided the expenditures are included in a district's plan and conform to U.S. Department of Education guidance. Key reiterated that the plans must be COVID-related and are required to be posted; he said plans are due by August 15 and must be updated as conditions change.

Committee members pressed for technical details on ventilation and filtration. Key said the department issues best-practice guidance focused on measurable air changes per hour and defers to HVAC professionals for specifications; the department does not intend to impose technical mandates but will advise districts on recommended practices.

On masking guidance, Key said DESE issued guidance jointly with the state health department but modified that guidance after the CDC changed recommendations shortly afterward. He said updated guidance would be distributed as soon as necessary approvals are complete. Key also noted a guidance footnote referencing a recent ruling by Judge Fox that affects enforcement of Act 1002 and advised districts to consult local counsel when considering mask policies.

Key highlighted academic supports tied to ARP priorities: the department is finalizing a statewide tutoring plan (led by Missy Wally) and expects rollout materials in September. He also described an early-warning "smart data" system intended to combine assessment, attendance and discipline data to target learning-loss interventions for K–2 and other students.

The committee asked whether districts can promote vaccinations or provide incentives; Key said promotion of vaccinations is an eligible use of federal funds but deferred procedural consent questions (for minors) to the health department.

The committee did not vote on policy changes during the presentation; members were advised that project approvals for facilities and buses require prior approval, while other plan elements are locally developed and submitted to DESE for oversight.