Even before the state fire marshal ordered the Somersworth (N.H.) School District in 2007 to abandon the top two floors of Hilltop Elementary School because of safety concerns, folks in the city of 12,000 had been debating whether the aging facility should be replaced--and how to pay for it. Finally, in February 2009, the city council approved plans to issue $19.9 million in bonds to pay for construction of a new 450-student elementary school. Three months later, the price tag became a little easier to swallow when the New Hampshire School Building Authority awarded Somersworth $19.9 million in zero-interest Qualified School Construction Bonds, part of the federal government economic stimulus package. Somersworth is one of many communities whose schools and universities stand to benefit from the stimulus--formally known as The American Recovery and Reinvestment Act of 2009--that Congress approved to help the U.S. economy regain its health. Preliminary versions of the economic stimulus legislation in Congress proposed allocating billions of dollars to pay for school facility upgrades--a version passed by the House called for $16 billion in school construction funding. But after House and Senate negotiators got together to work out differences and craft the final bill, that provision was eliminated from the $787 billion package. Still, the recovery effort offers schools and universities various subsidies, grants, tax credits and other incentives to alleviate the cost of modernizing and constructing facilities. The author describes ways the economic stimulus funds provide for schools and universities to improve facilities. These include (1) State Fiscal Stabilization Fund; (2) Qualified School Construction Bonds; (3) Qualified Zone Academy Bonds; (4) Build America Bonds; (5) Impact Aid; (6) Bureau of Indian Affairs School Construction; (7) Academic Research Infrastructure; (8) Biomedical and Behavioral Research Facilities; (9) Research Science Buildings; (10) Rural Community Facilities Program; (11) Energy Efficiency Block Grants; and (12) State Energy Program.