The Federal Government's Perspective for Funding Consumer Education.

Overview & Synopsis

According to a General Accounting Office study, virtually no money is being spent on consumer education, although consumer education has been authorized under the Education Consolidation and Improvement Act of 1981 and under the Education Amendments of 1976. The Education Consolidation and Improvement Act of 1981 authorizes state and local education agencies to use their block grants in accordance with educational needs and priorities. These agencies are free to keep such records as they determine are necessary for fiscal audits and program evaluation, since nothing in the statute or regulations indicates the types of records that must be maintained. The Education Amendments of 1976 also provide for funding of a consumer and homemaking education program. Federal funds are made available to states on a formula grant basis for educational and ancillary services. The United States Department of Education is also initiating an effort to promote adult literacy. Interest is being generated in the area of consumer rights and responsibilities for adult consumers who are functionally illiterate. (YLB)