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USA
3rd September 2026
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THE HOT STORY

NYC schools tighten AI and screen-tme rules amid parent concerns

New York City Public Schools, the largest district in the U.S., will prohibit roughly 600,000 elementary and middle school students from using artificial intelligence (AI) under new technology rules, with AI use permitted only in specific circumstances once students reach high school. The policy will also prohibit individual screens before third grade, recommend limiting middle school screen time to 45 minutes per day, ban AI companion chatbots across all grades, and prevent teachers from using AI to grade assignments. The rules include exceptions for approved instructional programs, certain assessments, students with disabilities, and English learners. Teachers will be permitted to use AI for tasks such as lesson planning, translation, and communications, but not for decisions involving graduation or counseling students in crisis. The policy follows growing concerns from parents about screen time, cheating, and AI’s impact on learning; Los Angeles USD has banned students from using generative AI, while more than half of the candidates for the Chicago Public Schools board have signed a pledge calling for a three-year moratorium on its use.

DIGITAL CURRICULUM

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DISTRICTS

Portland schools weigh up to 20 closures as enrollment declines

Portland Public Schools is moving ahead with plans that could close or consolidate up to 20 schools as declining enrollment and rising operating costs strain the district. Five of seven school board members supported continued modeling of the closures, although no final decisions have been made. District officials said closing up to 15 elementary schools could help ensure remaining K-5 schools have at least 360 students by 2031-32, allowing them to offer more consistent staffing, arts, counseling, library services, and after-school programs. The district is also considering middle school changes, including potentially phasing out some K-8 schools, as it targets at least 500 students per middle school. Board members said significant questions remain about potential cost savings, layoffs, the impact on remaining schools, and the future of closed buildings. Two members expressed concerns about the scale of the proposal, while parents and the teachers union warned that closures could increase pressure on students, educators, and schools that remain open.

FINANCE

Education research agency races to spend $180m before federal funds expire

The Institute of Education Sciences has roughly $180m in unspent fiscal 2025 funding that must be obligated by September 30 or returned to the U.S. Treasury, after spending slowed sharply following staffing cuts that reduced the agency from about 190 employees to fewer than 30. IES had spent $587m of its $768m fiscal 2025 appropriation as of August 26, while researchers say operational disruption and uncertainty over federal grants have discouraged applications and stalled projects. The agency says it plans to use the remaining funds for existing research grants, statistical work, and evaluations, but it is also redirecting more than $68m from areas including data collection and regional education laboratories toward other research grants and statewide data systems.

Idaho K-12 budget proposal prioritizes funding formula over high-needs program

Idaho Superintendent of Public Instruction Debbie Critchfield has requested a $2.95bn general fund K-12 budget for 2027-28, a 4.5% increase, while proposing to reduce funding for the state’s new high-needs special education program to $1.7m from $5m because less carryover and interest funding is available. Her proposal instead includes a $22.8m increase in operational funding, including $20m in new money, partly to support a potential overhaul of Idaho’s K-12 funding formula toward a more student-based model. The request does not include funding for a $13m Idaho School Benefit Trust shortfall, while Critchfield is also asking lawmakers to use stronger-than-expected state revenues to cover $72.8m of existing education commitments rather than drawing from the state’s $231.3m K-12 rainy-day fund.

Iowa City Schools investigates systemic financial control issues

Iowa City Community School District’s Financial Oversight Committee is examining the causes of years of financial mismanagement after its fiscal 2024 audit identified five material weaknesses involving payroll, bill payments, cash collection, bank reconciliations, and year-end accounting. The problems follow years of inadequate tracking and internal controls, which contributed to cash-flow difficulties, interfund loans, accounting errors, and payroll expenses running 9% over budget in 2025-26. Chief financial officer Pat Moore said the district’s business office has limited experience and is receiving basic training as it works to improve financial controls and reporting. Staffing accounts for 86% of the general fund budget, and Moore would like to move that closer to 82% as the district considers further cost reductions over the next five years.

Louisiana schools raise funding concerns over proposed senior property tax exemptions

Louisiana school officials are warning that Amendment 6, which will appear on the November 3 ballot, could reduce property tax revenue available to school districts by allowing local voters to expand exemptions for qualifying homeowners age 65 and older. The proposal would increase exemptions as homeowners age, with the total exempt market value rising from $135,000 for those ages 65 to 68 to $375,000 for those 81 and older, while requiring taxing authorities to absorb any resulting revenue losses. Nearly 185,000 taxpayers received the existing age-based special assessment in 2025, and the Legislative Fiscal Office estimates that even an additional $1,000 in exempt assessed value for each could reduce local government revenue by about $19.4m annually. If approved statewide, local governments could begin adopting the additional exemptions for tax years starting in 2028.

NUTRITION

SNAP cuts threaten free school meals across the U.S.

More than 1m children have lost Supplemental Nutrition Assistance Program (SNAP) benefits since July 2025, raising concerns that reduced participation could also threaten universal free school meals. SNAP enrollment helps determine federal reimbursement under the Community Eligibility Provision, which supported free meals at more than 49,000 public schools during the 2024-25 school year. As SNAP participation falls, some districts could receive less federal funding and may have to cover additional costs or end universal meal programs. Dozens of schools, including campuses in San Antonio, Houston, and Miami-Dade County, have already discontinued universal meals this academic year, although the role of SNAP declines remains unclear. Children can still qualify for free or reduced-price meals based on household income, but advocates warn that application requirements and strict eligibility thresholds could leave some families without assistance. Losing free school meals could cost families nearly $1,000 per student each school year.

 
NPR

HEALTH & WELLBEING

AASM urges families to prioritize sleep as students return to school

A new American Academy of Sleep Medicine (AASM) survey has found that work, school, and family responsibilities frequently take priority over adequate sleep, raising concerns as families transition from summer schedules to more structured school-year routines. About 32% of U.S. adults said work and school schedules take precedence over sleep, while 42% prioritized family or household responsibilities, and others cited screen time, entertainment, social activities, and exercise. The AASM recommends that families establish consistent bedtimes, prepare lunches, clothing, and backpacks in advance, and set aside 30 minutes to an hour to wind down before bed. The organization recommends at least seven hours of nightly sleep for adults, nine to 12 hours for children ages 6 to 12, and eight to 10 hours for teenagers ages 13 to 18.

CYBERSECURITY

NASCIO pushes cybersecurity funding, FirstNet renewal, and state AI authority

The National Association of State Chief Information Officers (NASCIO) has made reauthorization of the State and Local Cybersecurity Grant Program its leading congressional priority, alongside renewing FirstNet and preserving states’ authority to regulate artificial intelligence. The cybersecurity program expired in September 2025 amid a broader reduction in federal support for state and local cybersecurity operations, including resources that have served 18,000 public organizations and critical infrastructure operators, such as K-12 schools, public hospitals, and law enforcement agencies. NASCIO and other state and local groups have called for $300m in funding for one year, with participating states required to direct 80% of grant funding toward local government services. The organization is also seeking bipartisan action before FirstNet’s authority expires in February 2027 and has urged Congress to avoid broadly preempting state AI laws.

HIGHER EDUCATION

Democratic senators seek details on $1bn in student loan administration funding

Four Democratic senators have asked Education Secretary Linda McMahon to explain how the Department of Education has used $1bn allocated for student aid administration, after department documents showed only about $215.5m had been spent as of the start of fiscal 2026 and more than $452.4m is expected to remain unspent by September 30. Sens. Cory Booker (D-NJ), Jeff Merkley (D-OR), Chris Van Hollen (D-MD), and Elizabeth Warren (D-MA) are seeking details on whether the funding supported loan servicers, a Treasury Department agreement, or outreach to borrowers in or at risk of default, and have requested a response by September 16. Their concerns come as 10.6% of student loan balances were at least 90 days delinquent in the second quarter of 2026, while more than 7.5mSAVE Plan borrowers must move to another repayment option by September 30.

INTERNATIONAL

Achievement gaps widen for disadvantaged and remote Australian students

Australia’s 2026 NAPLAN results have shown a widening achievement gap between the most and least advantaged students, particularly in secondary school reading and numeracy. The Year 9 reading gap between students whose parents did not complete school and those whose parents held a bachelor’s degree increased from six years in 2023 to six years and eight months in 2026, while the numeracy gap widened from six years and eight months to seven years and nine months. Geographic disparities also remain significant, with about 70% of major-city students rated as exceeding or strong in reading and numeracy, compared with 23% in very remote schools.

AND FINALLY......

Tennessee lawmakers propose full state funding for Dolly Parton's Imagination Library

Tennessee lawmakers have proposed having the state cover 100% of the cost of Dolly Parton’s Imagination Library beginning in 2027, eliminating the portion currently paid by participating counties. The proposal, announced by House Speaker Cameron Sexton and Senate Finance Chair Bo Watson, must still be approved through the state budget process. The program provides enrolled children with a free, age-appropriate book every month until age five. Nearly 70% of Tennessee children were enrolled as of 2025, and the Imagination Library has distributed more than 332m books worldwide since Parton founded it in 1995. Currently, Tennessee covers half of book and mailing costs, while local programs fund the remainder. Under the proposal, the state would assume the full cost, which is about $2 per book. Lawmakers said the move would preserve Parton’s early-literacy legacy and ensure children across Tennessee continue to have access to the program.
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