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Arkansas becomes fifth state approved for Returning Education to the States waiver giving leaders more control over federal education funding decisions

Credit: United States Department of Education

Hot Springs, Arkansas – Arkansas has become the fifth state in the nation to receive a “Returning Education to the States” waiver from the United States Department of Education, giving state officials more control over how certain federal education funds are managed.

U.S. Education Secretary Linda McMahon announced the approval Tuesday during an event in Hot Springs, saying the waiver will allow Arkansas to take a different approach to organizing federal education dollars and supporting programs across the state.

Arkansas joins Vermont, Indiana, Iowa, and Louisiana as the first states approved for the waiver. The initiative is designed to give states more flexibility in using federal education funding while allowing local leaders to focus resources on programs they believe are most effective.

“With this waiver, Arkansas can take greater control of its federal education dollars,” McMahon said.

According to McMahon, the waiver will allow Arkansas to combine four separate federal funding streams into one. The change is expected to consolidate more than $8.8 million in education funding over the next four years, creating a simpler system for managing and directing resources.

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The U.S. Education Secretary said the new flexibility will give Arkansas leaders additional options when deciding where funding can have the greatest impact.

The waiver would also provide more opportunities for rural school districts, allowing them to combine federal funding sources and potentially make it easier to support local education needs.

The announcement was attended by several Arkansas officials, including Governor Sarah Huckabee Sanders, U.S. Sen. Tom Cotton, and Arkansas Department of Education Secretary Jacob Oliva. Leaders discussed the importance of giving states and communities more authority over education decisions.

McMahon said the goal of the waiver is to allow states to move away from a one-size-fits-all approach and focus more directly on strategies that address local challenges.

The approval comes as Arkansas continues efforts to reshape its education system and increase flexibility for schools. State officials have argued that local decision-makers often have a better understanding of the needs facing their communities and should have more tools available to support students.

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The “Returning Education to the States” waiver represents a shift in how certain federal education funds can be managed, allowing Arkansas to create a more streamlined approach to distributing resources.

Officials said the additional flexibility will help schools, especially those in rural areas, focus on programs and interventions designed to improve student outcomes while reducing administrative barriers.

With Arkansas now among the states approved for the waiver, state education leaders will begin implementing the new funding approach and evaluating how the added flexibility can support schools and students across the state.

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