FRIDAY, OCTOBER 9, 2026
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FORMATIVESPACES.COM

GAO: Education Department halted consolidated ESEA monitoring in 6, leaving $18B Title I at risk

Watchdog says 32 states never received the broad review; department disputes that monitoring stopped.

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Schools with chronic absenteeism rates above 100 percent in 2022-20232.5%All schools30%Shared-time and low-performing
Original Research by FormativeSpaces.com
GAO found rates above 100 percent in about 2.5 percent of all schools and in more than 30 percent of shared-time and low-performing schools. [1]

The U.S. Government Accountability Office reported on September 23, 2026 that the Department of Education discontinued its most comprehensive monitoring of Elementary and Secondary Education Act programs in 2026. The process, called consolidated monitoring, was fully implemented in 2019 and was the department's main tool for checking whether states complied with ESEA programmatic and fiscal requirements, including Title I. GAO found that 32 of 51 states, counting the District of Columbia, had never undergone a consolidated review, and that as of August 2026 the department had not provided a timeline for resuming the process.

Education officials told GAO the department suspended consolidated monitoring because it is developing plans for future monitoring activities, but had not provided a timeline or details on an alternative as of August 2026. In an August 21, 2026 letter responding to GAO's draft, Assistant Secretary Kirsten Baesler said the department had not ceased monitoring, cited more than 100 oversight and monitoring activities from 2019 to 2025, and called GAO's broad statements about its oversight inaccurate. She also said the department would provide its fiscal year 2027 monitoring plan in early fall 2026.

A statutory gap

GAO found that the ESEA provision intended to improve oversight of funds does not explicitly direct the department to monitor grantees, nor does it include requirements about the method or frequency of monitoring. The department told GAO it must oversee grantees but has broad discretion in how. By contrast, Congress wrote explicit monitoring duties into the Individuals with Disabilities Education Act and the Child Care and Development Block Grant. GAO identified the lack of such a requirement in ESEA as a statutory gap.

What is at stake

$18BTitle I funding allotted to states in fiscal year 2025 [1]

Title I accounts for about two-thirds of the nearly $27 billion in total ESEA funding in 2025. GAO said Education is not currently assessing compliance with ESEA fiscal requirements for Title I, placing the funds at higher risk of undetected fraud, waste, or abuse. GAO described this as a heightened risk, rather than evidence of actual misuse. The department disputes the characterization, citing the other oversight activities it has conducted.

The National Title I Association and Education Week reported that the pause in consolidated monitoring is likely related to the department's implementation of interagency agreements, under which programs are being shifted or co-administered with other agencies such as the Department of Labor. The Trump administration is moving administration of Title I and other key K-12 programs to the Department of Labor.

Chronic absenteeism data questioned

GAO also examined chronic absenteeism reporting. Twenty-five states remain unmonitored on chronic absenteeism reporting requirements that apply to all states. The department's method for calculating chronic absenteeism rates counts chronically absent students over a full school year but relies on a single-day enrollment count, producing rates above 100 percent in about 2.5 percent of schools in 2022-2023. More than 30 percent of shared-time and low-performing schools had implausible rates, compared with under 2 percent for other schools. The department called the mismatch a known limitation and declined to require a more uniform approach, but agreed to publish nonbinding guidance for shared-time schools.

Recommendation and response

GAO recommended that Congress consider enacting clearer state monitoring requirements for ESEA and that the department promptly resume more comprehensive monitoring. The department did not concur with the recommendation to resume monitoring and disagreed with most of the report's conclusions.

Analysis

By the Formative Spaces Newsroom, written after the reporting above was filed.

The monitoring halt is a byproduct of moving Title I to the Labor Department, not a scheduling hiccup.

The interagency agreement signed September 30, 2025 explicitly assigns monitoring of OESE programs, including internal controls and risk assessments, to the Department of Labor. But DOL has not stood up its own monitoring operation. The formula grant delivery system was supposed to move to DOL this year and was twice pushed back to Education's existing portal, in April and again in August. DOL's own inspector general has already opened an audit of the transition, including grant monitoring tools and procedures. The gap GAO identified is the gap between two bureaucracies during a handoff neither has finished.

GAO has called Title I oversight inadequate for two decades. The 2019 consolidated review was the fix, and it is the thing now paused.

In 2003, GAO found that Education's Title I monitoring had limited coverage and that most states conducted only limited program monitoring (GAO-03-377). In 2011, GAO found monitoring was not designed to capture all district noncompliance (GAO-11-595). In 2024, GAO found the department relied on states to select their own plans for review rather than choosing independently (GAO-24-105648). The consolidated monitoring process, fully implemented in 2019, was the department's most comprehensive attempt to address these weaknesses. Pausing it reverts oversight to the narrower, program-by-program approach GAO had already judged insufficient.

Baesler promised a fiscal year 2027 monitoring plan by early fall 2026. Treat that deadline as soft.

In her August 21 letter to GAO, Assistant Secretary Kirsten Baesler said the department would provide its fiscal year 2027 monitoring plan in early fall 2026. That is the next concrete date. But Baesler is the same official who told states in April 2026 that the DOL grant system was not ready, forcing formula funds back through Education's old portal for both the July and October disbursements. If the payment transfer is months behind, the monitoring plan tied to it is unlikely to land on time. Parents should watch for that plan and whether it names DOL or Education as the agency doing the reviewing.

Sources

  1. U.S. Government Accountability Office (via LegiStorm). K-12 Education: Actions to Improve Oversight of Key Federal Programs and Address High Chronic Absenteeism (GAO-26-107920) View
  2. National Title I Association (ESEA Network). GAO Report Finds ED Halted Consolidated ESEA Monitoring View
  3. Stateline (Pew Charitable Trusts). K-12 spending, absenteeism programs face risks as feds stop key monitoring, watchdog says View
  4. Hugin. GAO: Education halted its broadest check on Title I aid View
  5. Education Week. Ed. Dept. Isn't Ensuring States Get Reliable Chronic Absence Data, Watchdog Says View
  6. U.S. Department of Education / Education Week. ED-DOL Interagency Agreement for OESE Programs; Education Week reporting on delayed formula grant transfer (April and August 2026) View
  7. U.S. Government Accountability Office. GAO-03-377: Disadvantaged Students: Fiscal Oversight of Title I Could Be Improved (February 2003) View
  8. U.S. Government Accountability Office. GAO-11-595: Disadvantaged Students: School Districts Have Used Title I Funds Primarily to Support Instruction (2011) View
  9. U.S. Government Accountability Office. GAO-24-105648: Education Could Enhance Oversight of School Improvement (2024) View