School Finance

School finance bills cross finish line

The Senate on Wednesday evening accepted House amendments and re-passed two major school finance bills, one to fund K-12 education in 2013-14 and another that proposes to modernize the entire system of paying for education.

Sen. Mike Johnston at podium before final passage of SB 13-213.
Sen. Mike Johnston at podium before final passage of SB 13-213.
Senate Bill 13-260, next year’s $5.5 billion finance bill, passed 23-12. Senate Bill 13-213, dubbed the “future school finance act,” received a 20-15 vote, with all Republicans voting no.

The next and perhaps the crucial test for Senate Bill 13-213 could come in November, when voters may have the chance to decide whether to raise income taxes by about $1 billion to pay for the new system. The bill won’t go into effect if voters don’t approve higher taxes.

There was no discussion on either bill, not even final pitches for SB 13-213 by Democratic sponsors Sen. Mike Johnston of Denver and Sen. Rollie Heath of Boulder.

In contrast to the budget cuts of the last four years, SB 13-260 provides an increase of 2.7 percent in average per-pupil funding. Total program funding, the combination of state and local revenue that pays for basic school operations, would rise to $5.5 billion, an increase of about $210 million. Average per pupil funding would move up from the current $6,479 to $6,652. The bill also provides additional funding for the Colorado Preschool Program and for special education. (Get more details on the bill in this EdNews summary and in this legislative staff note.)

Next year’s school funding is 15.49 percent lower than it would have been without use of what’s called the negative factor, a mechanism that allows lawmakers to set school funding at an amount necessary to balance the overall state budget.

Give the recent healthy increases in state revenues, some education interest groups lobbied for even higher 2013-14 funding in an effort to further reduce the estimated $1 billion shortfall created by use of the negative factor in recent years. There also was some argument about whether the negative factor was being calculated properly. Legislative leaders were resistant to those pleas, arguing that recent revenue increases were largely one-time.

SB 13-213 would increase funding for kindergarten and preschool, provide significantly more money for districts with the highest concentrations of at-risk students and English language learners, devote more money to special education and make extra payments to districts for the cost of implementing reform mandates. (Get details in this EdNews summary and in this legislative staff analysis.)

The details of the ballot measure needed to trigger SB 13-213 remain unclear. A total of 20 different measures have been proposed by two advocacy groups, one from the business community and one that’s education related. Tax-increase advocates are expected to decide later this month on a single proposal to take to the signature-gathering process, although there remains some disagreement about whether to go to the ballot this year.

Little love for energy-efficient schools bill

Sen. Andy Kerr’s energy-efficient schools bill stayed alive Wednesday, but only after a crucial section of Senate Bill 13-279 was amputated by the House Education Committee.

The bill is the latest version of an idea the Lakewood Democrat has been pushing unsuccessfully for years – requiring new school buildings to meet energy efficiency standards.

As it currently stands, the bill would require new schools built after next Jan. 1 and renovations involving more than 50 percent of an existing building meet “the highest energy efficiency standards practicable.”

The bill has been opposed by school district lobbyists because of the potential extra costs and what district’s see as the bill’s infringement on local control. One particularly disliked provision of the original bill required districts to pay outside experts to verify the energy efficiency of new buildings.

The committee Wednesday unanimously adopted an amendment to remove outside verification from the bill. Amendments to exempt charter schools from the requirements and to make the whole measure voluntary were defeated by the committee’s Democratic majority. The measure then passed on a 7-6 party-line vote.

The committee’s action didn’t silence the critics, and there are likely to be House floor fights over amendments on charter schools, making the program voluntary and over the definition of “practicable.” It’s also possible the issue of outside verification will come up again.

With the 2013 session required to adjourn next Wednesday, SB 13-279 also faces the possibility of “dying on the calendar,” meaning the bill dies if the House and Senate don’t agree on amendments before the final gavel falls.

The hearing, probably the committee’s last meeting of the 2013 session, provided a rare example of the “reluctant sponsor.” Rep. Cheri Gerou, R-Evergreen, is carrying the bill in the House and made it pretty clear that she’s doing so out of respect for Kerr rather than because she’s enthusiastic about the idea.

“I believe Sen. Kerr has very good intentions in this,” she said at one point. “I’m conflicted about all his … no bill is perfect. This one has particular challenges, and I’m glad I don’t have to vote on it.” Gerou is an architect and knows a thing or two about building standards.

Incentives for AP tests trimmed

At the same time Wednesday morning the Senate Education Committee had its own go-round with a bill that raised lots of questions but passed anyway.

House Bill 13-1056 is a bipartisan measure that proposes to expand availability of Advanced Placement classes and tests in small rural school districts by offering per-student bonuses to districts that expand AP offerings and to students who take the tests.

The bill has raised questions about its cost and about the fairness of providing bonuses to only some districts.

The committee approved an amendment reducing the bonus amounts but rejected a change that would have paid students for passing the AP tests, not just for taking them. The measure next heads to the Senate Appropriations Committee, where its cost (now somewhere below $500,000) could make it vulnerable.

Also crossing the finish line

The House Wednesday accepted Senate amendments and re-passed three education bills, including:

House Bill 13-1117 – This bill is a Hickenlooper administration priority and would consolidate various early childhood agencies in the Department of Human Services. Passed 39-25.

House Bill 13-1194 – The measure expands eligibility for resident tuition rates to certain military dependents. Passed 64-0.

House Bill 13-1005 – This proposal allows the community college system to create pilot, relatively short programs that combine adult basic education and vocational training programs. Passed 45-19.

Investment strategy

Here are the initiatives Memphis’ education philanthropists will focus on in 2018

PHOTO: Matt Detrich/The Indianapolis Star
A charter leader from Indianapolis, Marcus Robinson is now CEO of the Memphis Education Fund, a philanthropic collaborative that invests in education improvement initiatives for Memphis schools.

A Memphis philanthropic group has shed its “Teacher Town” name but still plans to spend this year recruiting new teachers while also investing in growing the city’s single-site charter operators.

Unlike similar organizations in other cities across the country, the Memphis Education Fund plans to center its search locally — by helping local universities and groups prepare teachers for the challenges of urban education.

Originally called Teacher Town, the fund was created in 2014 by Memphis education leaders and local philanthropists with a goal of transforming Memphis into a destination city for talented teachers. That vision built on a major investment by the Bill & Melinda Gates Foundation to improve teaching in the city.

In 2016, the group adopted a broader goal of improving all schools; brought in a new leader, Marcus Robinson, from Indianapolis; and joined Education Cities, a national collective of local groups seeking to reshape schools in their cities

In part inspired by changes that have taken place in Indianapolis, where Robinson had worked as a charter leader, Education Cities coordinates local groups advocating for the “portfolio model,” a vision in which cities have more charter schools and let district schools operate more like charters.

Robinson told Education Cities a year ago that his next step for Memphis would be “to unite everyone around a common set of operating principles, expectations, and evaluations to create a level playing field for each operator to perform optimally.” This appears to be in line with the portfolio vision, which aims to give all schools flexibility to operate as they see fit, while holding them equally accountability for results.

But instead of bringing the Shelby County Schools district and local charter operators closer together, 2017 saw them waging open competition for students.

For 2018, Robinson is tackling priorities that are not likely to inflame divisions. The fund will continue to focus on principal training, along with helping single-site charter organizations, boosting reading skills among the city’s youngest students, and recruiting new Memphis teachers.

“We’re hell-bent to fill classrooms with teachers,” said Robinson, pointing to elementary schools as having some of the greatest need.

Memphis will need an estimated 3,600 new teachers by 2020, said Lesley Brown, who directs how the fund invests its money to attract, develop and retain talent for local schools.

Rather than recruiting teachers from outside of Memphis, Teacher Town’s original focus, Robinson said the fund is strengthening partnerships with local universities and teacher preparation programs, such as one launched at Rhodes College in 2016 with the help of a $7 million gift from the fund.

The Memphis Education Fund receives support from several local philanthropies, including The Pyramid Peak Foundation and the Hyde Foundation. (Chalkbeat also receives support from Hyde; read about our funding here.)

Robinson added that the fund also is ramping up its support for single-site charter operators, such as helping teachers implement new literacy curriculum at Memphis Delta Preparatory Charter School and STAR Academy Charter School.

“There’s less of an appetite for national charter organizations to move into Memphis,” he said. ”The next phase isn’t national CMOs (charter management organizations), but how do we encourage single-site schools to evolve.”

The group has doled out such grants to charters as part of a larger effort to boost student reading levels and develop teacher training for Core Knowledge Language Arts and KIPP Wheatley.

“Early literacy is a huge focus,” Robinson told Chalkbeat. “When we look at the test scores, early elementary scores are horrific. What’s the root? Access to quality literacy instruction.”

Paying for school

Sweeping study proposes major changes to the way schools are funded in Michigan

Michigan needs to change the way it funds education so that schools get more money for students who need extra attention — such as those who live in poverty and those who don’t yet have a strong command of the English language.

That’s the top recommendation from a prominent group of educators, policymakers, and business leaders who have been studying Michigan’s school funding system for much of the past two years.

While many states use a complex formula that gives schools more money if they serve children facing extra challenges, Michigan has long used a system that distributes the same amount of money for virtually all students, regardless of their needs.

The state provides some extra funding for students with disabilities — but not nearly enough, according to a state study last year that found schools across Michigan are getting $700 million less a year than they need to serve those students.

The study released Wednesday recommends a major restructuring so that schools would be fully funded for special education programs and would get extra funds to provide resources to students who need extra help. With that money, schools could offer lower class sizes, add counselors and social workers, and give teachers more support, the report says.

The study was conducted by Augenblick, Palaich and Associates on behalf of the Michigan School Finance Research Collaborative.

The collaborative — including top business and education leaders across the state — came together in 2016 after an earlier “school adequacy study” was largely ignored by political leaders.

The earlier study, which was funded by the state legislature, recommended that the state significantly increase the amount of money it sends to schools per student.

The collaborative hopes this new more robust study, which clocks in at more than 300 data-packed pages, will have a greater impact.

Since this study used multiple methods to determine the right funding level for schools, it will be more difficult to ignore, the group hopes.

The study — paid for with $843,000 from major foundations and 18 county school districts — included interviews with hundreds of educators, including district and charters school teachers. Those interviews helped researchers determine how much money schools need to more effectively do their jobs.

The study examined geographic cost differences in different parts of the state, labor cost differences, and other factors and determined that schools need approximately $9,590 each for students who don’t have special needs, including funds that would come from the state and federal governments.

The study recommends that schools get 35 percent more for students living in poverty, between 50 and 70 percent more for students who are learning English, 70 percent more for students with mild disabilities and 115 percent more for students with moderate disabilities.

Among other recommendations in the  report is that charter schools receive the same per-student funding as districts. Currently, the state’s funding system pays some districts more per student than others based largely on historic funding levels as opposed to current needs. Some districts — including most charter schools — are currently getting around $7,600 per child from the state while others get thousands of dollars more

It’s difficult to compare how much funding schools are getting now with the proposed $9,590 per student because schools get a mix state and federal dollars and the $9,590 doesn’t include things like transportation dollars.

The report suggests that the state use a new approach to student transportation in which transportation dollars are distributed differently, taking into account differences between urban and rural school districts.

The report did not put a price tag on the cost of implementing the recommendations and did not spell out how Michigan could come up with the extra money. But members of the collaborative said they hope lawmakers will consider the report as they make policy changes. 

“The issue here is not about whether you live in Farmington or whether you live in Ingham County, it’s about every child ought to have the opportunity to be successful and that ought to be our goal in Michigan,” said Randy Liepa, the Superintendent of Wayne County’s intermediate school district. “I don’t think there will be significant pushback on that.”

The findings were released Wednesday morning, with press conferences planned in Lansing, Grand Rapids, and in the Detroit area.

Read the full report here: