How to Maximize Funding for Career and Technical Education (CTE)

by Hadley Blangy
Most K-12 leaders turn to the Strengthening Career and Technical Education for the 21st Century Act (Perkins V)—the primary federal source dedicated to CTE—when thinking about funding for college and career readiness programs (learn more about Perkins funding). While Perkins is foundational, it’s far from the only funding opportunity. Many states provide categorical or incentive-based dollars for CTE, and numerous federal and state funding streams—though not exclusively tied to CTE—can support career-readiness initiatives.
This article presents an array of funding sources to consider when planning CTE or career-connected learning (CCL) programs for your district.
How Can Districts Leverage ESSA to Fund CTE Programs?
The Every Student Succeeds Act (ESSA) provides several flexible funding options that can support CTE programs:
- Title I, Part A – Improving Academic Achievement of the Disadvantaged: The funds can be used for a wide range of supports, including expanded learning opportunities—like CTE—aimed at closing achievement gaps and ensuring equitable access to high-quality education.
- Title IV, Part A – Student Support and Academic Enrichment (SSAE) Grants: These funds support a well-rounded education and improved learning conditions. CTE can be included as part of enrichment and academic achievement strategies.
- Title IV, Part B – 21st Century Community Learning Centers (CCLC): Title IV, Part B provides funding for academic enrichment and expanded learning opportunities, including CTE, STEM, financial literacy, and more.

How Does State Formula and Incentive Funding Support CTE?
Most states use categorical funding models—based on cost, enrollment, or program type—to support CTE. Others use a hybrid approach, combining general formula funding with targeted CTE dollars. States may also offer incentive payments for CTE participation and completion.
Examples include:
- Texas CCMR Outcomes Bonus: Districts receive $2,000–$5,000 per student who meets College, Career, and Military Readiness (CCMR) benchmarks.
- Indiana: $1,000 incentive per student earning an industry-recognized credential upon graduation.
- Michigan Section 61d(1): $35 per student enrolled in a CTE program (grades 9–12) and $70 per student in high-demand field programs.
Learn more about your state’s funding model using ECS’s 50-State Comparison or Advance CTE’s state CTE funding analysis.
How Can School Improvement Grants Fund CTE Programs?
Under ESSA, states must include at least one non-academic indicator in their accountability system—a School Quality or Student Success (SQSS) metric. Over half of the states include college and career readiness (CCR), often measured by CTE course or pathway completion.
In your state, review the funding that's made available for general school and district improvement, in addition to specific grants focused on increasing CTE course completion for historically underserved students. Here are some examples:
- Alabama Career Readiness Indicator Grant: Prioritizes schools with a >15% gap between graduation and CCR rates.
- Ohio Equity in CTE Grants: $1.6M in FY25 Perkins V reserve funds for districts addressing equity gaps in CTE participation and outcomes.
- Ohio Career-Based Intervention (CBI): Funding for academic and career supports for at-risk students.

Focusing on High-Demand Career Fields Expands CTE Funding Eligibility
Expand your eligibility for CTE funding with a focus on high-demand career programs. Many states align CTE grants with workforce priorities. These include:
- Indiana Education Readiness Grants: These support high school CTE programs aligned with in-demand fields and foster school-industry partnerships.
- New Jersey Elevate CTE Innovation Grants: Enhance programs in state-identified key industry sectors.
- Washington Core Plus Grants: Support aerospace, manufacturing, maritime, and construction CTE programs.
How to Support CTE with Gifted Education Funding
Advanced coursework, including CTE, is supported in many states through gifted education funding. Check out the National Association for Gifted Children’s (NAGC) State of the States Report to learn more about state funding and initiatives.
Here are some examples:
- Minnesota: Competitive grants to expand Pre-AP, AP, and IB STEM course participation.
- Wisconsin Competitive Gifted and Talented Grants: Grants for services beyond regular programming for gifted students across academic and creative domains.
How Can Computer Science and Technology Grants Support CTE?
With over 30 states investing in computer science (CS), many include CTE-related programs or require high schools to offer CS courses, sometimes as a graduation requirement. Check out Code.org’s State of Computer Science Education Report to learn more about state funding and initiatives.
Examples of computer science and technology grants that can support CTE:
- Pennsylvania PAsmart Grants: Expand CS and STEM programs.
- Illinois CS Equity Grants: Increase enrollment of underrepresented students, expand access, and support early preparation for success.
- New Jersey CS Education Grants: Develop and implement new, high-quality CS courses aligned to state standards.
Final Takeaway
Districts can strategically use a broad range of federal and state funding streams—including those focused on equity, accountability, innovation, and workforce development— to expand and sustain high-quality CTE programs. Understanding how these funds align with CTE priorities can help schools unlock new opportunities and drive meaningful outcomes for student.
When you're ready to build a districtwide program for middle and high school students, Edmentum is here to help. Edmentum Career is a comprehensive career-connected learning solution designed to help students grades 6-12 build a deeper connection between their learning and their future and to enhance postsecondary success and workforce readiness.
About the author
Hadley Blangy is Director of Policy and Advocacy for Edmentum. She leads strategic policy development and advocacy initiatives to shape national K-12 education policy. Her work focuses on career-connected learning, accountability, online and blended education, and optimizing funding frameworks. With experience from The College Board and the Council of Chief State School Officers, Hadley specializes in translating complex policy landscapes into actionable strategies.
How to Implement Districtwide CTE Programs Aligned to State Standards
In this video, gain insights into states’ objectives around career and technical education (CTE) and career-connected learning (CCL), and find out how your district can implement successful programs. You'll hear examples of quality programs in states like Texas and Maryland and learn about funding sources available for districts to enhance CTE programs. You can also watch the webinar here.