Colorado school districts can breathe easier knowing that access to unspent pandemic relief funds has been restored—but the clock is ticking.
In late June, the U.S. Department of Education reversed a March 2025 policy that had abruptly stripped away deadline extensions for spending ESSER III and other pandemic relief funds. That reversal reinstated the original March 2026 deadline for all states, including Colorado—providing a temporary reprieve for districts left in limbo.
Before this policy shift, only a group of 16 states and Washington, D.C. that sued the Department had been allowed to continue spending. Colorado did not join that lawsuit, meaning districts across the state faced halted projects, postponed reimbursements, and uncertainty over whether planned initiatives could move forward.
Relief Is Back—But So Is the Deadline
With access now restored, Colorado districts have a renewed opportunity to finish their recovery efforts—but they need to act quickly:
- March 2026 is once again the official deadline, but it could be shortened if the lawsuit against the Department doesn’t succeed.
- Further delays could create financial risk, especially if the policy shifts again.
- Certain expenses remain under scrutiny—such as construction projects or professional development not clearly tied to COVID-19’s impact.
Districts should ensure any remaining funds are used in direct support of COVID-related challenges like learning loss, chronic absenteeism, or interrupted services.
What This Means for Student Transportation in Colorado
Transportation remains a critical link between students and the classroom—and COVID-era funding helped many Colorado districts rethink services for students who don’t fit traditional busing models.
Now that access has been restored, districts can:
- Fund alternative transportation solutions for students experiencing homelessness, those in foster care, or those with disabilities
- Support flexible routing and scheduling that helps boost attendance and reduce barriers for high-need students
- Close persistent transportation gaps created or worsened by the pandemic
To qualify for reimbursement, these services must clearly support pandemic recovery efforts—and align with the intent of the ESSER program.
“We know that funding uncertainty has made planning difficult for districts across the country. Now that the timeline has been restored, we’re working closely with school leaders to help them make the most of these remaining funds—especially for students who depend on flexible, reliable transportation to access their education.” — Danielle Press, Chief Growth Officer, EverDriven
Resources for Colorado School Districts
Now Is the Time to Act
This policy change offers Colorado schools a chance to resume critical student-focused initiatives—but the window to act may not stay open for long.
Districts should:
- Reevaluate remaining ESSER allocations
- Prioritize spending that supports student recovery and access
- Maintain strong documentation for compliance in case policies change again
Whether through tutoring, mental health resources, or alternative transportation, now is the time to maximize what remains.
Morgan Judge is an attorney and regulatory strategist with a rare combination of legislative, legal, and private sector expertise. As Senior Director of Compliance, Regulation, and Policy at EverDriven, she leads government relations and regulatory strategy for a company operating at the intersection of technology, education, and a rapidly evolving policy landscape , overseeing multi-state legislative and compliance initiatives, managing contract lobbyists, and working across teams to advance policies that align with EverDriven’s mission and growth.
Morgan’s foundation in law and policy runs deep. She earned her law degree from Loyola University New Orleans School of Law and gained early experience through legal clerkships researching civil law, criminal procedure, and local government policy. She then spent six and a half years as a nonpartisan staff member in a state legislature, working her way from enrolling clerk to senior projects and calendar manager. In those roles she developed deep fluency in legislative process, parliamentary procedure, and the mechanics of how policy actually gets made, experience that now gives her a distinctive edge navigating state-level regulatory environments on EverDriven’s behalf.
Morgan joined EverDriven in 2021 and has grown steadily within the organization, moving from Regulatory Compliance Manager to Director to her current Senior Director role. She is a visible voice in the student transportation policy community, regularly engaging at national industry conferences and advocating for regulatory frameworks that reflect the realities of modern, technology-enabled student transportation.
