Tennessee Governor Phil Bredesen announced Thursday that Tennessee is one of 16 finalists in the first round of the federal government’s Race to the Top competition, which will award $4.35 billion in competitive grants designed to encourage and reward states that are pursuing education innovation.

The U.S. Department of Education announced the first-round finalists early Thursday. Forty states and the District of Columbia submitted applications in January.

“I’m very pleased we’ve been named a finalist for the first round of funding, and believe that’s due to our shared commitment to making significant and meaningful improvements to K-12 education,” said Gov. Bredesen. “Tennessee is considered competitive in Race to the Top by national education reform experts because of the continued efforts we’ve demonstrated to public education reform. I want to thank the General Assembly, which adopted further landmark education reform legislation earlier this year with the support of the Tennessee Education Association and educators across the state. I have no doubt this was a significant part of our success.”

Finalists will travel to Washington, D.C., the week of March 15 to make presentations to peer reviewers evaluating Race to the Top applications. Winning states in the first round are expected to be announced in April, to be followed by a second round of competition later this year. Applications for Race to the Top Phase 2 will be due on June 1, and winners will be announced in September. President Obama has also requested an additional $1.35 billion in the FY 2011 budget to continue the Race to the Top program for another year.

Tennessee’s complete Race to the Top proposal can be found on the state Department of Education Web site at www.tn.gov/education.

The Tennessee Senate Democratic Caucus celebrated the announcement Thursday morning that Tennessee is one of 16 finalists for part of $4.35 billion in federal Race to the Top education grants.

“We are pleased and excited to have moved one step closer to providing significant assistance for our children’s education,” said Caucus Chairman Lowe Finney (D-Jackson). “Our dedication to making Tennessee’s children our top priority and giving teachers the rescoures they need is being noticed across the country.”

The Race to the Top competition awards states who are making significant education reforms and innovations. 40 states and the District of Columbia applied for the funds in January.

Senate Democrats led the passage of the Tennessee First to the Top Act during a special legislative session in January. Senate Minority Leader Jim Kyle (D-Memphis) sponsored the bill, and Sen. Finney and Sen. Andy Berke (D-Chattanooga) co-sponsored an amendment to create the Teacher Professional Development Fund, the first of its kind in the state.

“Given the cooperation between the teachers and the legislature, the leadership of Governor Bredesen and the significant changes we made to our education laws, I would have been surprised if we had not been named a finalist,” Sen. Kyle said. “I’m very optimistic we will be named a winner.”

The finalists are: Colorado, Delaware, the District of Columbia, Florida, Georgia, Illinois, Kentucky, Louisiana, Massachusetts, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, South Carolina and Tennessee.

Finalists will travel to Washington this month to make their case for their applications. Winning states are expected to be announced in April, with a second round of competition to begin later this year.