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ESSER III Funds & After-School Programs: What to Know

Mar 4, 2026 · 7 min read

The clock is ticking. If your school or district hasn’t yet deployed ESSER III funds for after-school programs, you’re not alone — but the window to act is closing faster than many administrators realize. With the deadline looming and billions of dollars still unspent, now is the moment to understand exactly what these funds can do for your students and how to use them wisely before they’re gone for good.

Whether you’re a principal looking to expand programming, a district leader trying to make smart budget decisions, or a parent wondering why your school hasn’t offered more enrichment opportunities, this guide breaks down everything you need to know about ESSER III funds and after-school programs.

What Are ESSER III Funds and Why Do They Matter for After-School Programs?

ESSER stands for Elementary and Secondary School Emergency Relief. It was created as part of the federal government’s COVID-19 pandemic relief response, and ESSER III — also called the American Rescue Plan (ARP) Act funds — was the largest of three rounds of funding, allocating approximately $122 billion to K-12 schools nationwide.

The core purpose of ESSER III is to address the academic, social, emotional, and mental health impacts of the pandemic on students. That language matters, because it opens the door wide for after-school enrichment programs that support the whole child — not just traditional tutoring or remediation.

Schools have significant flexibility in how they spend these dollars. Eligible uses include:

  • Expanded learning time and after-school programs
  • Social-emotional learning (SEL) initiatives
  • Mental health services and supports
  • Summer learning and enrichment programs
  • Technology and STEM-related instruction
  • Addressing learning loss across core academic areas

When it comes to ESSER III funds and after-school programs, the alignment is strong. Enrichment programming that keeps kids engaged, supported, and learning beyond the school day is exactly the kind of investment these funds were designed to support.

The ESSER III Deadline: What School Leaders Need to Know Right Now

Here’s the detail that deserves your full attention: the ESSER III obligation deadline is September 30, 2024, with a liquidation deadline of January 28, 2025. That means school districts must have contracts or purchase orders in place — funds obligated — before the fall 2024 cutoff. Any money left unspent after the liquidation deadline goes back to the federal government.

According to EdTrust and other education policy organizations, many districts — particularly those serving high-poverty and under-resourced communities — have been slower to spend their allocations due to staffing challenges, planning capacity, and bureaucratic complexity. That’s both a challenge and an opportunity. There is still time to act, but the planning process needs to start immediately.

For school leaders asking “what do I need to know about ESSER III funds and after-school programs,” the short answer is this: you likely have more flexibility and more money than you think, but the time to plan and contract is now.

How After-School Enrichment Programs Directly Address ESSER Goals

The pandemic didn’t just create academic learning loss — it disrupted the social fabric of childhood. Students lost access to sports, arts, friendships, mentorship, and routine. Research from the RAND Corporation found that students who participate in high-quality after-school programs show improvements not only in academic achievement but also in social skills, school attendance, and long-term outcomes like high school graduation rates.

This is where after-school enrichment programs shine — and why they are such a strong fit for ESSER III spending. A well-designed program doesn’t just fill hours after school. It builds confidence, community, and competence. Consider what different types of programming directly address:

  • STEM and coding programs rebuild academic engagement and future-readiness, especially for students from underrepresented communities who fell furthest behind.
  • Social-emotional learning (SEL) programs directly target the mental health and relationship-building disruptions caused by the pandemic.
  • Culinary arts and entrepreneurship programs connect academic concepts to real-world skills, increasing motivation and self-efficacy.
  • Sports and movement programs address the physical inactivity and stress that characterized pandemic-era childhood.
  • Arts programs restore creative expression and identity formation that many students missed during remote learning.

Each of these aligns with the documented, allowable uses of ESSER III funding. When you build the case internally — and you will need to — connecting your program choices to specific ESSER goals makes the approval and compliance process significantly smoother.

One thing that catches many school leaders off guard: ESSER III comes with meaningful equity requirements. Under the law, districts must reserve at least 20% of their ARP ESSER funds specifically to address learning loss, with a priority on evidence-based interventions for the students most impacted by the pandemic — including students from low-income families, students with disabilities, English learners, and students experiencing homelessness.

This isn’t just a compliance checkbox. It’s a genuine call to center your most vulnerable students in how you spend these once-in-a-generation resources. When evaluating after-school program partners, ask these critical questions:

  1. Do they have experience working in Title I schools and high-need communities?
  2. Can they demonstrate outcomes related to learning loss recovery and social-emotional development?
  3. Are their programs culturally responsive and designed with equity in mind?
  4. Can they help with documentation and reporting requirements for ESSER compliance?
  5. Do they offer flexible programming that meets students where they are?

Equity-centered programming isn’t a nice-to-have — it’s the spirit and letter of the ESSER III law. Partnering with organizations that genuinely understand that distinction will save you headaches and better serve your students.

Making the Most of ESSER III: Practical Steps for School Administrators

If you’re ready to move forward with using ESSER III funds for after-school programs, here’s a practical roadmap to get started:

  1. Audit your current ESSER spending and remaining balance. Work with your district’s finance office to understand exactly how much you have left and what has already been obligated.
  2. Review your approved ESSER plan. Most districts submitted plans to their state education agency. Confirm that after-school enrichment programming is included or can be added through an amendment.
  3. Identify student need data. Pull attendance records, academic data, and any survey data on student well-being to build a clear picture of where enrichment programs would have the most impact.
  4. Research and vet program partners. Look for organizations with a proven track record, equity-centered values, and experience navigating school partnership logistics.
  5. Obligate funds before September 30, 2024. Get contracts or MOUs signed and in place. This is the hard deadline that cannot be missed.

Don’t let perfect be the enemy of good here. A strong after-school program launched now — even if it evolves over time — is infinitely better than unspent funds that disappear and students who never received the support they needed.

The Bottom Line: Your Students Deserve This Investment

The research is clear, the funding exists, and the need is undeniable. Using ESSER III funds for after-school programs is one of the most direct, impactful ways school leaders can respond to what students experienced during the pandemic. The enrichment, connection, and skill-building that quality after-school programs provide aren’t extras — they’re essentials for kids who lost so much over the past several years.

If your school or district is looking for an experienced, equity-centered partner to help bring STEM, coding, culinary arts, sports, entrepreneurship, SEL, or arts programming to your students — and to help you do it in a way that aligns with your ESSER goals — Kodely has been doing exactly that work in schools across the country. We understand both the urgency of this moment and the deep responsibility that comes with serving kids who need it most.

The deadline is real. The opportunity is real. And your students are worth every bit of effort it takes to get there.

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Frequently Asked Questions

What can ESSER III funds be used for in after-school programs?

ESSER III funds can be used to cover a wide range of after-school program expenses, including staffing, curriculum materials, technology, tutoring services, and transportation. Schools can also use the funds for mental health support, enrichment activities, and facility costs directly tied to pandemic recovery efforts. All expenses must be connected to addressing learning loss or other educational impacts caused by COVID-19.

When do ESSER III funds expire?

ESSER III funds must be obligated by September 30, 2024, and all liquidations must be completed by January 28, 2025. Schools and districts that have not yet committed their remaining funds should act quickly to avoid losing unspent allocations. Missing these deadlines means returning unused funds to the federal government.

Can K-8 schools use ESSER III funds to pay after-school program staff?

Yes, K-8 schools can use ESSER III funds to pay after-school staff, including teachers, tutors, and program coordinators, as long as those positions support pandemic recovery goals such as addressing learning loss. Staff costs are among the most common allowable expenditures under ESSER III guidelines. Districts should document how each staff role connects to eligible recovery activities to maintain compliance.

What are the compliance requirements for using ESSER III funds?

Schools must maintain detailed records showing that all ESSER III expenditures are reasonable, necessary, and tied to pandemic-related educational needs. Compliance requirements include proper documentation of expenses, adherence to federal procurement standards, and reporting through the required federal and state channels. Failure to meet compliance standards can result in audits or required repayment of funds.

How do schools apply ESSER III funds to existing after-school programs?

Schools can direct ESSER III funds toward existing after-school programs by expanding services, adding staff, or purchasing new materials that address COVID-related learning gaps. Districts should review their current program structure and identify specific components that qualify under ESSER III eligibility criteria. Working with the district’s grants or finance office is recommended to ensure proper fund allocation and documentation.