HARRISBURG — Gov. Ed Rendell on Tuesday blamed Pennsylvania's loss in the second round of the federal "Race to the Top" educational grant competition on shortcomings in the state's path for midcareer professionals to become teachers and inadequate support for linking teacher pay and tenure to performance.

Rendell said he was "very disappointed" that the state finished in 18th place as the U.S. Education Department doled out $3.4 billion in funding to nine states and Washington, D.C.

He had hoped the state would receive up to $400 million to help more than 100,000 additional students reach grade level in reading and math; to halve the number of students testing at the lowest level; and to ensure that at least 85 percent of students in the most struggling schools reach proficiency.

The "Race to the Top" program, part of President Barack Obama's economic stimulus plan, rewards states for implementing ambitious changes to improve struggling schools. Tennessee and Delaware obtained grants in the competition's first round earlier this year.

Rendell said some of the winning states announced Tuesday have made promises about merit pay that they will not be able to keep, and that Pennsylvania's application was more honest in how it dealt with the restrictions of union contracts.

He said other states provided letters of support from all district superintendents, whereas Pennsylvania obtained backing from statewide education unions and then went district-by-district to secure local support regarding the state's plan to improve achievement.

Superintendents, school board presidents and teacher union presidents signed those agreements for 122 districts and 69 charter schools.

"We could have put in that all 500 districts are willing to do it based on the supers' (superintendents') OK, but that couldn't have come to pass," he said at a Capitol news conference.