— The vast majority of the more than $75 billion in relief money that the federal government doled out to colleges during the pandemic has already been spent. But about 6 percent of higher education relief dollars remain unspent, according to the Education Department. — More than 700 colleges each have more than $1 million of unspent relief money, department officials wrote in a filing with the White House Office of Management and Budget last month. — “The number of colleges with funds remaining decreases each week as institutions continue to spend down the much-needed emergency relief funds ahead of the current deadline,” a department spokesperson said. — The remaining money is mostly funds that colleges are able to use for a wide range of institutional purposes, such as purchasing technology or replacing revenue lost because of the pandemic. Nearly all — 99 percent — of the relief money that Congress required colleges to spend on emergency financial aid grants to students has already been spent, according to the department. — Jon Fansmith, senior vice president for government relations at the American Council on Education, said that some colleges have unspent money because they are paying for services on an ongoing basis, such as a contract to pay for telehealth mental health services. In other cases, he said, colleges made specific plans to spend the money but haven’t yet finalized the transaction for a wide range of reasons, such as supply chain issues or other logistical challenges. — “This is not like there are big pools of money lying around,” Fansmith said. “It’s a small number of schools and small amount of money overall. By and large, colleges and universities have been really good stewards of the money and following the intentions of Congress. This data shows that we’re wrapping up that process and that seems appropriate to the timing of the end of the pandemic.” — The Education Department last year issued an automatic, blanket extension of the deadline to June 30. But this year it plans to decide one-year extensions on a case-by-case basis. — Colleges will be required to submit a request for an extension by June 20. The form requires colleges to explain why they need the extension and how they plan to use their remaining Covid relief dollars. — The department “will not grant extensions merely for the purpose of using unobligated balances,” the agency spokesperson said. Department officials wrote in their filing with OMB that the agency plans to “assiduously determine” that colleges seeking an extension “have a thought-out plan for using their remaining [Higher Education Emergency Relief Fund] grant funds to address the lingering effects and impacts related to COVID-19.” IT’S MONDAY, MAY 1. WELCOME TO MORNING EDUCATION. Please send tips and feedback to the POLITICO education team: Michael Stratford (mstratford@politico.com), Mackenzie Wilkes (mwilkes@politico.com), Juan Perez Jr. (jperez@politico.com) and Bianca Quilantan (bquilantan@politico.com). Follow us on Twitter: @Morning_Edu and @POLITICOPro.
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