State of California, Department of Education v. William J. Bennett, Secretary of Education, United States Department of Education

The State of California Department of Education (“California”) petitions for review of two final decisions of the United States Secretary of Education (“Secretary”) ordering California to refund a total of $250,279.94 in federal funds extended under Title I of the Elementary and Secondary Education Act that were found to have been misspent during the fiscal years 1978-1980. California contends that the Secretary improperly interpreted regulations governing the allowability of conference costs under Title I. We disagree and deny the petition.

BACKGROUND

Under Title I of the Elementary and Secondary Education Act of 1965, Pub.L. No. 89-10, 79 Stat. 27 (codified as amended at 20 U.S.C. § 2701 et seq.), the federal government provided funds to local educational agencies (“LEAs”) to meet the needs of educationally deprived children residing in school attendance areas with high concentrations of children from low income families. 20 U.S.C. § 2701 . Title I funds were channeled from the federal government to the LEAs through state educational agencies (“SEAs”) such as California’s.

Respecting the deeply rooted tradition of state and local control over education, Congress entrusted…