The Education Department announced Tuesday that Indiana has been approved for a ‘Returning Education to the States’ waiver, which will streamline federal dollars and processes. 

The waiver will merge five federal funding sources into one, consolidating $50 million over four years. It will also redirect nearly $20 million of state and local funding from compliance costs back to school districts. 

Additionally, Indiana will allow certain schools to combine two student achievement-centered federal funding programs –titles II-A and IV-A of the Elementary and Secondary Education Act—to more efficiently support classrooms. 

“Our waiver is focused on one simple goal – maximizing every federal dollar to make it better for students,” said Katie Jenner, secretary of the Indiana Department of Education.

According to the U.S. Education Department, the waiver will also “allow Indiana to place greater emphasis on college- and career-readiness metrics in its high school accountability system, while maintaining academic achievement.”

Federal education waiver programs allow states and school districts to request exemptions from specific ESEA requirements, granting flexibility to pursue alternative accountability or reform strategies, subject to approval by the U.S. secretary of Education.

Iowa and Louisiana were the first two states to be awarded waivers, through which they will redirect $8 million and $18 million of federal education dollars, respectively, over the next four years.

Secretary McMahon expressed optimism about Indiana's waiver in a letter announcing the decision.

“We expect that IDOE will advance achievement by leveraging common-sense flexibility to LEAs and schools, empower local education agencies with greater autonomy over educational decision-making, and ensure students are prepared for success after graduation," she said.

Waivers are a part of McMahon’s campaign to cut bureaucracy and return education control to states and families—with the ultimate goal of eliminating the Department of Education altogether.

With the help of the waiver, “Indiana will continue setting the standard for education in the United States,” Indiana GOP Gov. Mike Braun said.