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After reviewing more than 1,100 public comments on the initial Race to the Top application, the Education Department revised its guidelines and made the final packet available to states last Thursday, four months after it released the draft.
The $4.35 billion race, which is authorized by the American Recovery and Reinvestment Act of 2009, will reward states that have the courage and the political will to improve student achievement, Education Secretary Arne Duncan told reporters in a conference call last Thursday.
He emphasized that some states will win, and some will lose. After all, it is a competition.
But as for how many states will win, that's up for grabs. He doesn't have a specific number in mind; he's just looking for states that have demonstrated that they can close student achievement gaps and scale-up what is working.
"We're going to set a very high bar," Duncan said, "so any state that's looking to come in low is setting themselves up for failure."
First, states have to qualify for the race. That means the state must have an approved application for both phases of the State Fiscal Stabilization Fund program before they try out for Race to the Top. They also cannot have any barriers that prevent them from linking student achievement or growth data to teacher and principal performance.
Almost $36.8 billion has been awarded in the first phase, which all 50 states and the District of Columbia participated in. They are now applying for the second phase pot of approximately $11.5 billion.
Second, they have to apply. Applications for the first round are due Jan. 19, 2010, and applications for the second round are due June 1, 2010. States that do not enter or win in the first round can apply for the second round.
The prizes will be announced in April and September 2010.
Third, they need to rack up a high score. To meet that bar, states must earn points in up to seven areas and meet a number of the six priorities.

A. State Success Factors (125 points)
Create a statewide plan to change education. Implement, scale up and sustain the proposed plan. Demonstrate significant progress in raising student achievement and closing achievement gaps.
B. Standards and Assessments (70 points)
Develop and adopt common standards and high-quality assessments. Support the transition to higher standards and assessments.
C. Data Systems to Support Instruction (47 points)
Implement a statewide longitudinal data system and use the data to improve instruction.
D. Great Teachers and Leaders (138 points)
Provide high-quality pathways for aspiring teachers and principals. Based on performance data, improve teacher and principal effectiveness. Enhance teacher and principal preparation programs.
E. Turning Around the Lowest-Achieving Schools (50 points)
Intervene and turn around the lowest-achieving schools and local education agencies.
F. General Selection Criteria (55 points)
Prioritize education funding, create successful environments for high-performing charters and other innovative schools; demonstrate other significant improvements.
In addition to meeting this criteria, states need to address the Education Department's priorities in their applications.
The Education Department grouped states in five categories based on size and population, and gave an estimate of the amount that they may be in line to win.
On Thursday, Duncan said that good charter schools are a huge part of the answer to education's problems, but poor charter schools are part of the problem. States should figure out which charter schools are working and replicate them so that they can reach more students.
But when states cap the number of charter schools that they allow, they do not encourage the replication of successful models and will not do well in the race, he said.
As for the plans states submit, they can't just make changes on paper. They will not become top contenders if those plans don't translate into actions that benefit students.
"We're looking for what's changing for children and teachers in actual classrooms," Duncan said."If nothing's changed in classrooms, that's a problem."