Impact aid program, title VII, section 7003

The Department of Education Office of Elementary and Secondary Education awarded Hood Canal School District 404 $622,401 under the Impact Aid Program (CFDA 84.041) on October 1, 2025. The Impact Aid Program, Title VII, Section 7003, provides financial assistance to local educational agencies where the presence of federally connected children—those living on Federal property or having a parent employed on Federal property or on active duty in the uniformed services—reduces the district's tax base and revenue capacity. Hood Canal School District 404 serves a rural, federally impacted area in Shelton, Washington, where at least three percent or 400 of the total average daily attendance consists of eligible federally connected children. The award funds general educational services and operates through September 30, 2031. Payments under Impact Aid are computed annually using a statutory formula and are prorated if appropriations prove insufficient. The district must retain records supporting the payment amount for three years after the last payment for each fiscal year.