U.S. Department of Education Approves South Dakota’s Returning Education to the States Waiver

Today, the U.S. Department of Education (the Department) delivered another win for state-driven innovation by granting South Dakota's Returning Education to the States (RES) Waiver and approving its Ed-Flex application. These actions grant the Mount Rushmore State new freedoms to better align federal education dollars with state priorities and support academic achievement. South Dakota is the 22nd Ed-Flex state and the sixth state to receive a RES waiver, joining Iowa, Louisiana, Indiana, Vermont, and Arkansas in streamlining siloed state activities funds so states can better direct federal resources to their students' needs.

This waiver allows South Dakota to consolidate over $19 million in federal funds through 2029, which the state can then align with its state-level improvement priorities and strategic plan. That means across the six states with Returning Education to the States waivers, more than $109 million in federal funding can now be invested where it will have the greatest impact for students.

South Dakota also received approval for Ed-Flex authority, marking the 22nd state approved to use the freedom to waive select federal requirements for local education agencies without first having to receive approval from ED. This is the highest number of Ed-Flex states in the Department's history.

"Today marks a significant milestone in our promise to return education to the states, with over $100 million across six states officially liberated from federal overreach and returned to local hands," said U.S. Secretary of Education Linda McMahon. "Instead of forcing state leaders to jump through separate, bureaucratic hoops to use federal funds, the Returning Education to the States Waiver gives state leaders more control over federal funding allocations so they can focus on improving student achievement and keep funding closest to the child. The Trump Administration is excited to see South Dakota leverage this flexibility to pursue its own vision for excellence in education."

"Government works best when it is closest to the people. These waivers are another step in the right direction to returning education to the states," said Governor Larry Rhoden. "Thank you to the Trump Administration for the confidence you've expressed in my Department of Education. I am proud of the work we are doing to improve outcomes for our kids and grandkids."

"Approval of the Returning Education to the States waiver is a ground-breaking advancement for South Dakota education," said Secretary of Education Dr. Joseph Graves. "This waiver allows flexibility in how school districts can best use their federal funds to meet the needs of their students. The South Dakota Department of Education is committed to better serving our schools, students, and communities through thoughtful and strategic decisions that emphasize our aspiration to enhance student achievement and success."

Background:

When the existing statutory flexibilities for states, districts, and schools are insufficient, Title VIII of the Elementary and Secondary Education Act of 1965 as amended (ESEA), allows states and tribes to submit requests to the Secretary to waive statutory or regulatory requirements. These waiver requests are subject to certain restrictions in law and must specify how the waiver will improve student outcomes.

The South Dakota Department of Education (SDDOE) submitted a waiver request to better focus on priority areas of literacy, family engagement, and mathematics instruction by streamlining administration of funds and consolidating resources to advance student academic achievement.

With the U.S. Department of Education's approval, SDDOE staff can home in on the quality of improvement activities, rather than tracking time spent administering different programs.

Through this waiver, SDDOE may consolidate State-level activities funds for the following programs:

• Title I, Part B of the ESEA (State Assessments).

• Title II, Part A of the ESEA (Supporting Effective Instruction).

• Title III, Part A of the ESEA (English Language Acquisition).

• Title IV, Part A of the ESEA (Student Support and Academic Enrichment).

• Title IV, Part B of the ESEA (21st Century Community Learning Centers).

On March 20, 2025, President Trump signed Executive Order 14242, Improving Education Outcomes by Empowering Parents, States, and Communities. Since then, ED has taken steps to break up the federal education bureaucracy, expand education freedom, and empower states by sharing guidance and resources on existing flexibilities in statute to spend federal education dollars.

For more information on how the Department has empowered states in education, click here.

Read the official letter to Secretary Graves  here.