New Mexico — K–12 Federal Programs · Issue 9
Federal Programs Weekly Brief
Top updates
ED transfers OSERS to HHS and OCR to DOJ on June 16—the most significant structural dismantling of the Education Department since its creation in 1979.
On June 16, 2026, the U.S. Department of Education announced four new interagency agreements (IAAs) transferring two of its most consequential offices to other federal agencies. The Office of Special Education and Rehabilitative Services (OSERS)—which administers IDEA, overseeing approximately $15.5 billion in FY 2026 for early intervention and K–12 special education—will now be administered by the Department of Health and Human Services. The Office for Civil Rights (OCR)—which investigates complaints from students and families alleging discrimination based on disability, race, sex, and national origin—will partner with and refer complaints to the Department of Justice’s Civil Rights Division, currently led by Harmeet Dhillon. ED officials described the moves as “partnerships” rather than full transfers and stressed that OSERS would retain direction of HHS activities and that OCR would retain management of civil rights casework. FY 2026 IDEA grants will still be managed through ED’s existing grant system; subsequent allocations will move to HHS’s grant and payment management system. A broad coalition of disability rights, civil rights, and education organizations—including COPAA, AAPD, EdTrust, Autism Society, and CEC—immediately condemned the moves as unlawful and potentially catastrophic for students with disabilities.
Why it matters for districts
For NM special education directors, three immediate action items apply. First, your FY 2026 IDEA Part B grant flows through ED’s existing G5/EDGAR system and is unaffected this cycle—no changes to current drawdown. However, flag now that future IDEA allocations may require new HHS grant system registration, and plan for potential transition. Second, if your district has any active or pending OCR complaint—or anticipates filing one—understand that complaint routing is now through DOJ’s Civil Rights Division. Contact information for filing remains the same (OCR.gov) but investigation and resolution will involve DOJ staff. Third, the separation of OSERS from OESE (Office of Elementary and Secondary Education) is particularly significant for NM districts: state-level coordination between general education program guidance and special education oversight now crosses agency lines. Contact NMPED’s Special Education Bureau for any updated state-level guidance on how this affects NM’s interactions with federal IDEA monitors.
Indiana receives the broadest ESEA “Returning Education to the States” waiver yet on June 16—including accountability flexibility that no state has received before.
Secretary McMahon traveled to Plainfield, Indiana on June 16 to announce that Indiana had secured the third and most expansive “Returning Education to the States” waiver under ESSA Section 8401. Indiana’s waiver goes further than the prior waivers granted to Iowa (January 2026) and Louisiana (May 2026) in two significant ways. First, it consolidates approximately $50 million in state-level federal funding streams over four years by merging the state portions of five programs: Title I-B (state assessments), Title II-A (professional development), Title III-A (English learner education), Title IV-A (student support and enrichment), and Title IV-B (21st Century Learning Centers). Second—and unprecedented—it waives ESSA Section 1111(c)(4)(C)(ii), removing the requirement that academic indicators carry “much greater weight” in school accountability ratings. This allows Indiana to use its own A-F accountability system for high schools, which weights graduation rates at 10%, standardized test scores at 10%, and college and career readiness indicators at 80%. Indiana originally sought broader district-level flexibility but ED did not grant that; instead, ED approved a pilot allowing up to 15 percent of Indiana LEAs to consolidate Title II-A and IV-A funds directly at the district level.
Why it matters for districts
No immediate action is required for NM districts—New Mexico has not applied for a similar waiver and no public comment process has been announced by NMPED. However, NM federal program directors should monitor two developments. First, ED confirmed it is in active conversations with 10 additional states about ESEA waivers; the Indiana precedent—particularly the accountability flexibility provision—significantly expands what future state applicants may request. Second, the Indiana pilot allowing 15 percent of LEAs to directly consolidate Title II-A and IV-A represents a new district-level option that did not exist before. If NMPED pursues a similar waiver, NM districts that currently coordinate professional development (Title II-A) and student support activities (Title IV-A) spending separately should begin documenting how those programs intersect—because integration and consolidation arguments will be central to any future waiver narrative.
NMPED ESSA Participation Data Review window closed June 19—participation data is now locked for the 2025–26 accountability cycle.
The NMPED ESSA Participation Data Review window closed at the end of business on June 19, 2026. No further corrections to student participation data for the 2025–26 accountability cycle will be accepted. The corrected participation data—including NM-MSSA and iMSSA participation rates by student subgroup—now flows into NMPED’s accountability model to be used in generating school designations, which will be published in NM Vistas on September 14, 2026. Any uncorrected errors in participation data will be reflected in those designations and will carry forward into SY 2026–27 school improvement planning requirements, Title I set-aside obligations, and school improvement plan timelines.
Why it matters for districts
Federal program directors should confirm with their data teams that all submitted corrections were received and accepted by NMPED before the June 19 close. Contact [email protected] if you have questions about confirmation status. Begin reviewing your district’s anticipated school designations now using preliminary NM-MSSA vendor data—the next opportunity to formally respond to data is the August 10–28 embargo review window. Use the interim period to prepare school improvement planning documentation for any schools expected to carry or change improvement designations.
The Senate Appropriations Committee has not yet scheduled its FY 2027 LHHS markup—Senate action is the critical next signal on Title I and Title II-A rescission risk.
As of the close of this week, the Senate Appropriations Committee has not announced a date for its FY 2027 Labor, Health and Human Services, Education and Related Agencies (LHHS) subcommittee markup. Senate Appropriations Committee Chair Susan Collins (R-ME) and Ranking Member Patty Murray (D-WA) lead the committee, with LHHS Subcommittee Chair Shelley Moore Capito (R-WV) and Ranking Member Tammy Baldwin (D-WI). CRFB’s Appropriations Watch confirms FY 2027 action is underway in both chambers. The Senate’s FY 2026 LHHS bill—passed 26–3 on a bipartisan vote in July 2025—flatly rejected the House’s proposed Title I cuts and formula program eliminations and maintained level funding. Congress faces a September 30 deadline to pass FY 2027 appropriations before the start of the new fiscal year.
Why it matters for districts
The Senate markup is the most important upcoming signal on whether the House’s $1.89 billion Title I cut and $1.6 billion Title II-A rescission will advance. Based on the FY 2026 pattern—where a bipartisan Senate bill ultimately prevailed over the House’s deeper cuts—most education policy analysts expect the Senate to reject the rescission and defend Title II-A and Title III-A funding. However, the compressed FY 2027 timeline and ongoing government funding dynamics make early Senate action more uncertain than in prior years. Districts should maintain Title II-A budget contingency plans through July and August while monitoring Senate action.
OMB Uniform Grants Regulation comment period is open through July 13—AASA, NACo, and GFOA are preparing formal comments; NM districts should act.
The 45-day public comment period for OMB’s proposed Uniform Grants Regulation (UGR)—docket OMB-2026-0034 on regulations.gov—remains open through July 13, 2026. Multiple national organizations including ASCE, AAMC, and university research associations have formally petitioned OMB to extend the comment window to 90 days given the proposed rule’s 400-plus pages and sweeping scope. OMB has not yet responded to those extension requests. AASA’s advocacy team published a detailed LEA-specific analysis this week highlighting the three provisions of greatest operational concern: the new per-payment written justification requirement, the ban on using federal grant funds for personnel recruitment advertising, and the requirement that conference attendance be expressly approved by the awarding agency and written into the grant’s terms and conditions before incurring costs.
Why it matters for districts
NM federal program directors have approximately three weeks to submit comments. Individual district comments describing the operational impact of the conference attendance restriction, payment justification requirement, or E-Verify mandate on small or rural NM districts carry legitimate weight in the administrative record. Coordinate with NMPED, NMPSIA, or AASA on joint comment strategy. Docket OMB-2026-0034 is searchable at regulations.gov. If the 90-day extension is granted, the deadline moves to approximately mid-August; if not, July 13 is firm. Do not count on an extension—submit before July 13.
Comprehensive Centers Program application deadline is June 30—one week away for eligible organizations; NM districts should verify TA continuity plans with NMPED.
The FY 2026 Comprehensive Centers Program competition closes June 30, 2026 (11:59:59 p.m. ET) via Grants.gov (ED-GRANTS-050826-001). The $46 million competition includes National, Regional, and Field-Initiated Content Centers (84.283B) and the National Center on Improving Literacy for Students with Disabilities (84.283D). Existing CC awards may be terminated as part of this redesign. The current Southwest regional Comprehensive Center, which provides TA to NM and surrounding states on ESSA compliance, school improvement, and evidence-based practice, may experience a gap in service if its award is terminated before a new award is made and onboarded.
Why it matters for districts
Contact your NMPED School Improvement Bureau contact this week to confirm whether the state has a continuity plan for regional TA during any gap between the current CC award and any new award. New CC awards, once made, may not begin services until late 2026 or early 2027. Districts that regularly access CC-funded resources—ESSA school improvement planning tools, evidence-based intervention libraries, or Title I compliance resources—should identify alternative sources of TA now, including NMPED’s own technical assistance staff, regional education cooperatives, and CCRLE resources.
WIDA ACCESS standard-setting is proceeding in July 2026—NM districts serving English learners should be prepared for potential changes to proficiency cut scores affecting Title III AMAOs.
Per NMPED’s April 30 assessment memo, WIDA will conduct standard-setting for ACCESS for ELLs and WIDA ACCESS for Kindergarten in July 2026, establishing new proficiency cut scores aligned to the WIDA English Language Development Standards Framework, 2020 Edition. New Mexico uses ACCESS for ELLs as its required annual English language proficiency assessment for identified ELs in Grades K–12 under Title III. The standard-setting results will affect how student scores map to proficiency levels and, consequently, how Title III Annual Measurable Achievement Objectives (AMAOs) are calculated beginning in SY 2026–27. NMPED’s Assessment Bureau and Language and Culture Division have committed to keeping LEAs informed of any updates to NM cut scores following the standard-setting process.
Why it matters for districts
Title III directors and EL program coordinators should plan conservatively for SY 2026–27 AMAO targets until NMPED releases updated cut score guidance following the July standard-setting. If NM’s proficiency cut scores change materially, the number of students classified as proficient could shift—affecting AMAO performance data, EL reclassification timelines, and Title III reporting. Contact NMPED’s Language and Cultural Equity Bureau (formerly Language and Culture Division) for updated guidance as soon as it is released.
Funding & grant opportunities
Comprehensive Centers Program — FY 2026 (Federal, Competitive)
National, Regional, and Field-Initiated Content Centers plus the National Center on Improving Literacy for Students with Disabilities. Submit via Grants.gov (ED-GRANTS-050826-001). Contact: [email protected]. One week remains for eligible organizations.
Quick take: NM districts should confirm with NMPED whether a regional TA continuity plan exists. Districts with school improvement or ESSA compliance data should share that documentation with prospective NM-based applicants this week as evidence of regional need.
OMB Uniform Grants Regulation — Public Comment Period
Docket OMB-2026-0034 on regulations.gov. Multiple organizations are requesting a 90-day extension; no response yet. AASA published LEA-specific analysis this week. Three weeks remain in the confirmed comment window. Focus areas for LEA comments: per-payment justification requirement, conference attendance pre-approval, personnel recruitment advertising ban, E-Verify for all employees on federal awards, and expanded termination authority for competitive grants.
Quick take: Do not count on an extension. Submit comments to regulations.gov before July 13. Coordinate with NMPED or NMPSIA. District comments from small or rural NM LEAs describing operational impact carry real weight in the administrative record.
Ready to Learn Programming — FY 2026 (Federal, Competitive via HHS)
Supports development of educational television and digital media for preschool and elementary-age children. Administered by HHS Administration for Children and Families. Federal Register 2026-09716. Contact: [email protected]. Submit via Grants.gov.
Quick take: Media organizations and early childhood program partners primarily. NM districts with Head Start partnerships may be relevant implementation partners. Deadline is July 8.
SEED — Supporting Effective Educator Development (Federal)
Applications in peer review following the June 1 close. Award announcements expected on or before September 30, 2026. Contact [email protected] with post-submission questions. Keep SAM.gov registrations current for all partner organizations.
Quick take: Maintain SAM.gov registrations. Request reviewer feedback if not awarded. Begin documenting educator development needs for any FY 2027 application cycle planning.
Compliance / deadlines watch
- Comprehensive Centers Program — June 30, 2026 (11:59:59 p.m. ET): One week remains for eligible organizations (research orgs, IHEs, nonprofits). Submit via Grants.gov (ED-GRANTS-050826-001). NM districts: confirm TA continuity plan with NMPED School Improvement Bureau this week.
- Ready to Learn Programming — July 8, 2026 (11:59:59 p.m. ET): Media organizations and early childhood program partners. Contact [email protected]. Submit via Grants.gov (FR 2026-09716).
- OMB Uniform Grants Regulation — Comment Deadline July 13, 2026: Docket OMB-2026-0034 on regulations.gov. Three weeks remaining. Coordinate with NMPED or NMPSIA on joint comment. Do not count on a 90-day extension — submit by July 13. Proposed effective date: October 1, 2026.
- NMPED DTC & Accountability Lead Designation — July 31, 2026: Required under 6.10.7 NMAC. Controls SAGE and iTester portal access for SY 2026–27. Complete before summer staff transitions whenever possible.
- WIDA ACCESS Standard-Setting — July 2026: WIDA will conduct standard-setting in July, establishing new proficiency cut scores aligned to the 2020 WIDA ELD Standards. NM Title III AMAOs may be affected. Contact NMPED Language and Cultural Equity Bureau for updates when released.
- NMPED ESSA Embargo Review Window — August 10–28, 2026: Districts will review and may appeal aggregated school-level accountability data before public release on September 14. Begin preparing now by reviewing preliminary NM-MSSA vendor data and identifying potential anomalies.
- IDEA Grant Transition — OSERS to HHS — Monitor: FY 2026 IDEA Part B formula grants flow through ED’s existing G5/EDGAR system and are unaffected this cycle. Future IDEA allocations will move to HHS grant systems — timing TBD. Monitor NMPED Special Education Bureau for state-level guidance.
- FY 2027 Title II-A Rescission — Monitor Senate Action: Senate Appropriations Committee has not yet scheduled its FY 2027 LHHS markup. Maintain Title II-A budget contingency plans. Based on FY 2026 pattern, Senate is expected to reject the House rescission proposal, but timing is uncertain.
- NMPED ESSA Participation Data Review — Closed June 19: Participation data is locked for the 2025–26 accountability cycle. Confirm with NMPED that any corrections submitted were accepted. Next accountability milestone: August 10 embargo review window.
- SEED Grant Competition — Closed June 1: In peer review. Announcements expected by September 30. Keep SAM.gov registrations active for all partner organizations.
Practical spotlight
OSERS to HHS, OCR to DOJ: what NM special education and compliance officers need to do right now
The June 16 transfer of OSERS to HHS and OCR to DOJ is the most consequential single-day federal action for district special education and civil rights practice since the Trump administration began restructuring the Department. It does not change the law—IDEA and Section 504 remain in full force—but it changes who administers, monitors, and enforces those laws. Here is a practical orientation for NM district personnel.
For special education directors: Your FY 2026 IDEA Part B grant flows through ED’s existing G5/EDGAR system and is fully intact for this cycle. No immediate drawdown changes. However, future IDEA formula grant allocations will move to HHS’s grant and payment management system at a timeline to be announced. Contact NMPED’s Special Education Bureau for state-level guidance on transition planning. Also note: annual IDEA Part B state performance determinations—which affect how your district is rated for special education compliance—will now be made by HHS in coordination with OSERS. It is not yet clear how this will change monitoring schedules or determinations.
For 504/civil rights compliance staff: Students and families may still file OCR complaints through the same OCR portal and contact information (ocr.ed.gov). But investigations and resolution will now involve DOJ’s Civil Rights Division staff—an agency with different leadership priorities and enforcement history than the prior OCR. Districts with active or pending OCR complaints should ensure their legal counsel is aware of this transition and that all responsive documentation is complete and accessible. Given that DOJ’s staffing for education civil rights cases has not yet been determined, resolution timelines may lengthen further.
For federal program directors: The separation of OSERS from OESE—which oversees Title I, Title III, and ESSA—means that the federal coordination between general education and special education program guidance now crosses agency lines. NM’s own NMPED structure integrates these functions, but federal technical assistance and policy guidance will come from two different agencies. Document your district’s current IDEA-ESSA intersections: students with disabilities in CSI schools, EL students with IEPs, and children experiencing homelessness with special education needs. These populations are most vulnerable in any coordination gap.
For special education directors: Your FY 2026 IDEA Part B grant flows through ED’s existing G5/EDGAR system and is fully intact for this cycle. No immediate drawdown changes. However, future IDEA formula grant allocations will move to HHS’s grant and payment management system at a timeline to be announced. Contact NMPED’s Special Education Bureau for state-level guidance on transition planning. Also note: annual IDEA Part B state performance determinations—which affect how your district is rated for special education compliance—will now be made by HHS in coordination with OSERS. It is not yet clear how this will change monitoring schedules or determinations.
For 504/civil rights compliance staff: Students and families may still file OCR complaints through the same OCR portal and contact information (ocr.ed.gov). But investigations and resolution will now involve DOJ’s Civil Rights Division staff—an agency with different leadership priorities and enforcement history than the prior OCR. Districts with active or pending OCR complaints should ensure their legal counsel is aware of this transition and that all responsive documentation is complete and accessible. Given that DOJ’s staffing for education civil rights cases has not yet been determined, resolution timelines may lengthen further.
For federal program directors: The separation of OSERS from OESE—which oversees Title I, Title III, and ESSA—means that the federal coordination between general education and special education program guidance now crosses agency lines. NM’s own NMPED structure integrates these functions, but federal technical assistance and policy guidance will come from two different agencies. Document your district’s current IDEA-ESSA intersections: students with disabilities in CSI schools, EL students with IEPs, and children experiencing homelessness with special education needs. These populations are most vulnerable in any coordination gap.
Looking ahead
Watch next week for legal challenges to the OSERS and OCR transfers—advocacy organizations have already signaled litigation is likely, and federal courts have previously blocked comparable ED restructuring moves. The Comprehensive Centers application deadline on June 30 will also produce a flurry of final submissions. At the state level, watch for NMPED to publish any updated guidance on the OSERS-HHS transition and its implications for NM’s IDEA monitoring cycle. The Senate Appropriations Committee’s FY 2027 LHHS markup remains the most important signal yet to come on the Title II-A rescission risk.
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