There is money sitting in district accounts right now that could fund after-school enrichment programs, tutoring, and student support — and many school leaders don’t realize it’s available, or don’t know it’s about to disappear.
Elementary and Secondary School Emergency Relief (ESSER) funds — including ESSER II and ARP ESSER — had their final obligation deadlines pass in 2024. But some districts still have carryover, and many have not fully spent what was allocated. If you have unspent ESSER funds, this article explains what you can still do with them and how to move quickly before they’re lost.
Understanding the ESSER Deadline Landscape
Here’s where things stand:
- ESSER I (CARES Act): Obligation deadline was September 30, 2022. Liquidation extended through January 28, 2023.
- ESSER II (CRRSA Act): Obligation deadline was September 30, 2023. Liquidation extended through January 28, 2024.
- ARP ESSER (American Rescue Plan): Obligation deadline was September 30, 2024. Liquidation deadline is January 28, 2025.
If your district has any ARP ESSER funds still in the liquidation window — meaning you obligated them before September 30, 2024 but haven’t fully paid out yet — you have a narrow window to spend them. Contact your district’s federal programs coordinator immediately to confirm your status.
What Enrichment Programs Qualify Under ESSER
ESSER was explicitly designed to address learning loss and support student well-being. The following types of after-school and enrichment programming have been widely approved as allowable ESSER expenditures:
- Academic enrichment and tutoring — direct academic support, including STEM enrichment
- Social-emotional learning programs — explicitly named in ARP ESSER allowable uses
- After-school and summer programs — full program costs including staffing, materials, and provider contracts
- Arts, sports, and enrichment — allowable as student wellness and engagement support
- Mental health services and supports — broad category covering SEL-integrated programs
If you contracted with a qualified enrichment provider before the obligation deadline, those costs are covered even if the actual program runs slightly after the deadline — as long as the contract was executed in time.
How to Reallocate Unspent ESSER Funds
If you have obligations that haven’t been fully paid out, here’s the process most districts follow:
- Audit your encumbrances — work with your district business office to identify what was obligated vs. what was actually paid
- Confirm remaining liquidation window — verify your exact deadline with your state education agency
- Identify allowable expenditures — match your remaining funds to enrichment contracts, staff costs, or materials that clearly tie to ESSER goals
- Execute or amend contracts now — get paperwork signed and purchase orders issued within the liquidation window
- Document the connection to learning loss — every expenditure needs a clear narrative tying it back to COVID-19 impact on students
What Happens to Unspent ESSER Funds
Unspent ESSER funds revert to the U.S. Department of Education after the liquidation deadline. They do not roll over into other federal programs. They cannot be transferred to your general fund. They are simply lost.
For a district that received $2 million in ARP ESSER funds and leaves $300,000 unspent, that’s $300,000 in after-school programming, counseling, or student support that simply never happened — not because the need wasn’t there, but because the window closed before anyone moved.
What to Do If You’ve Already Missed the Deadline
If your ESSER window has fully closed, you’re not out of options. The funding landscape for after-school enrichment in 2026 includes:
- Title IV-A (SSAE): Flexible federal funding that flows to districts annually and covers well-rounded educational opportunities including enrichment, arts, STEM, and SEL
- ELOP (California): Per-pupil expanded learning funding for K-6 in qualifying districts — one of the most robust enrichment funding streams in the country
- 21st Century Community Learning Centers: Competitive federal grants for before/after school and summer programs in low-performing schools
- Local foundation grants: Many community foundations have spring cycles with accessible application processes for individual schools
The lesson from ESSER is to move early on whatever funding cycle is currently open. Don’t wait until the deadline is two weeks away.