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CLEVELAND -- Schools are bracing for possible cuts in federal funding if a deal isn't reached.

The nation's school receive about $35 billionfrom federal sources, but if a compromise isn't in the works, that would mean an 8 percent cut to the U.S. Department of Education.

"It would be devastating," says Lyman Millard, of the Breakthrough Schools Network.

School districts rely on federal funding to help with intervention services for special needs and low income students, even homeless students.

High poverty districts like Cleveland receive about $170 million in federal funds, which is25 percent of their total budget.

Fiscal Cliff coverage: http://www.wkyc.com/money/economy/fiscalcliff/default.aspx