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Trends in the News

State Education Funding

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Chicago Tribune, 2/9/19

Time to say goodbye to 5-hour school days? Naperville school district officials say yes

In the past, a school day was mandated by Illinois to be five hours of direct supervision by a teacher, and how the state funded schools was based on student attendance during those days. In August 2017, the evidence-based funding formula was signed in to law, shifting the way state money is allocated to school enrollment figures and the number of students in need of extra supports. Because funding was no longer tied to attendance, the law also opened the door to more flexibility in terms of where and how students received instruction. Naperville District 203 has already taken great steps at the high school level toward making e-Learning days a reality by offering more blended classes, which combines direct-teaching days with days for independent online instruction.

The 74 Million, 2/11/19

The L.A. teacher strike may be over, but observers warn there’s no ‘clear path forward’ for how the school district can afford its new contract

The L.A. Unified school board has approved a contract with its teachers union that officials admit they can’t fully afford, calling the deal’s sustainability into question as the district receives repeated warnings from the county that it’s in severe financial straits. To shoulder about $840 million in added costs through 2021, district officials say they’re largely relying on more state funding and a 2020 California tax referendum — neither of which are guaranteed. District board members could also float a parcel tax, though it’s been unpopular in the past. Short-term fixes so far include cuts to the central office and the reassignment of some funds within the budget, a spokeswoman said via email.

School News Network, 2/5/19

MSU finance study finds education funding going backwards, with Michigan dead last among the states — and the disinvestment shows

In light of a new report on Michigan school finances, Kent County area superintendents say there’s no doubt more equitable school funding is needed. Findings show Michigan is dead last among all states in revenue growth for K-12 schools since voters approved Proposal A in 1994, which changed property taxes and school funding. Drops in achievement statewide have occurred during the same timespan, according to the 91-page report, “Michigan School Finance At The Crossroads: A Quarter Century of State Control”,…Godfrey-Lee Public Schools Superintendent Kevin Polston said the report brings awareness to a stark reality.  “What it shows is the correlation between disinvestment in education and drop in rankings (comparing states),” said Polston, who leads Kent County’s highest-poverty district.

Forbes, 2/5/19

States increase higher education funding by 3.7%

The 50 states appropriated a total of $91.5 billion to support their public universities and financial aid programs in Fiscal Year 2018-19. That’s a 3.7% increase over 2017-18 and an 18.2% increase over Fiscal Year 2013-14, according to Grapevine, the annual report of state higher education spending…This year’s increase continues a five-year trend of annual increases and is more than twice as large as last year’s uptick of 1.6%. While in general, the figures come as good news, reflecting the continuing recovery of state revenues, they mask considerable variation in support for higher education across the states.  For example: The five largest year-over-year increases were in: Colorado (12%), Utah (8.6%), Hawaii (8.5%), Washington (6.8%) and California (6.6%). Five states decreased their appropriation from 2017-18 levels: South Carolina (-3.7%), Kentucky (-2.4%), Minnesota (-1.4%), Ohio (-.1%) and Alaska (-.1%).

Education Week, 1/30/19

New governors aim to funnel money into early education

After campaigning on the expansion of preschool and other early-childhood programs, many of the nation’s newly elected governors are following through with budget proposals that include money to support children from cradle to school entry. One of the largest proposals is from California, where Democratic Gov. Gavin Newsom is in the enviable position of having a budget surplus projected at more than $20 billion. He has floated the largest proposal from a governor thus far, aiming to spend $1.8 billion on an array of programs including expansion of full-day kindergarten, free preschool for children from low-income families with the aim of making the program universal, and increased subsidies for child care, among other initiatives. In Colorado, newly elected Gov. Jared Polis, also a Democrat, used his State of the State address to advocate for more than $200 million that would allow all of Colorado’s school districts to offer full-day kindergarten.

Education Week, 1/29/19

These states could actually replace their school funding formulas this year.

The vast majority of K-12 dollars today are spent in very outdated, inefficient ways. But replacing a state’s funding formula is both complicated and politically contentious, and past efforts, for a variety of reasons, have fallen flat in many states. This year is different, or so advocates hope. It’s an off-election year, some states, including Kansas, Wisconsin and Idaho, have huge surpluses, and teachers across the nation are demanding state politicians provide higher pay and more school resources. That makes for the right political climate to push through a funding formula, school finance experts say. So what could be some of the hot spots this year as legislatures and governors get down to the business of how to best allocate billions of dollars in K-12 funding? Education Week highlights a few states to watch.

Education Dive, 1/25/19

Does outcome-based funding encourage academic progress or deepen the divide?

As Texas lawmakers consider increasing state education funding, some state education leaders fear a turn to outcome-based funding methods for part of that formula, allocating more money to schools based on 3rd-grade reading test scores and the number of graduating seniors who prove to be college- or career-ready. Top state officials have signaled their support for a plan recommended by a state-appointed school finance panel to spend a portion of the recommended education funding — about $800 million — on incentivizing superintendents to improve 3rd-grade reading scores and success rates of high school seniors. However, many education leaders are concerned such outcomes-based incentives will direct the flow of funds from schools that need it most, creating greater funding inequities between districts, and that it will simply encourage teaching to the tests or attempts to game the system. Texas has never tied funding to school performance before, and despite recommendations, lawmakers have yet to propose a bill in support.

The Texas Tribune, 1/15/19

Texas House and Senate about $3 billion apart on public education spending

Almost everyone at the Texas Capitol agrees the state should spend more money on public schools, but for House and Senate leaders, how much is enough? Last week, that became a $3 billion question. A day after the Texas House unveiled a proposal to pump more than $7 billion in new state funds into public schools, the Texas Senate answered with a budget that would boost the state’s share of public education spending by about $4.3 billion compared with the previous two-year budget cycle. The two chambers made differing suggestions about how to pay for those reforms, with the Senate favoring a big withdrawal from the state savings account to pay for leftover bills from last session, while the House recommended more modest spending from the state savings account for future expenses.

Hechinger Report, 1/21/19

Recessionary cuts in public education restored by 2015-16

In a December 2018 report, the U.S. Department of Education quietly noted an important milestone: spending by state and local governments, on average, was strong enough during the 2015-16 school year to return annual per-student spending to what it had been before 2008-9 recession and even grew above the pre-recession peak. This 2015-16 spending represents a 1 percent real improvement over that previous high point. These national numbers are just averages. Some states spent more than double what other states spent. While many states increased financing for schools, others did not.  In a few states, such as Kansas and Oklahoma, education spending remained lower than it was before the recession, after adjusting for inflation. “There is more spread across states in state and local funding than ever before,” wrote Marguerite Roza, the director of the Edunomics Lab, in an e-mail.  “While the national averages tell one story, that story may not apply to some states.”

Education Week, 1/18/19

California isn’t alone. School funding will be a headache for many states this year.

It looks like how and whether to spend more on K-12 schools this year will dominate this year’s legislative sessions. Many of the governors elected last fall are looking to deliver on promises they made on the campaign trail to provide more funding to schools and boost teacher salaries. More than 29 states still have not restored school funding to pre-recession levels and many districts continue to make dramatic cuts because of other obligations such as pensions and health-care costs.  But expanding pre-K, boosting teacher pay, and assuring that new money is spent on the classroom is a complicated and politically arduous task. Education Week outlines a list of states where fights over school funding will be especially politically contentious.