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THE A-B-CS OF STATE SCHOOL AID:
THE TEN-MINUTE VERSION
Last presented at Public School 163 -- CSD #3
(3/25/00) and the City Club of New York (5/5/00)
A.
What we absolutely want to avoid is coming up with ideas for changing
the system of school funding that are actually worse than the current
system. Some of the "solutions" proposed by
various public officials would actually create greater inequalities in
education resources than currently exist. We can't do that.
Some people are completely turned off by budget discussions
and math. But most of us have a working knowledge of how the state school
funding system works, even if its pretty rudimentary. We know that:
- State school aid formulas are complicated.
- State school aid formulas are unfair.
B.
Here is why the formulas are so complicated: State school aid formulas
are an attempt to be fair.
1. When the state provides
funding to school district, it provides more money to districts
of lower wealth and less money to districts of higher wealth.
Of the 48 school aid formulas, 90% are wealth adjusted.
Examples of school districts that are near to each
other, but get different amounts of state school aid:
65% of Buffalo's public school system expenditures
are funded by state school aid. In the 1993-94 school year the average
expenditure per student was $7,746.
19% of Amherst's school system expenditures are
funded by state school aid. But their average expenditure per student
was $9,806.
51% of Rochester's public school system expenditures
are funded by state school aid. In the 1993-94 school year the average
expenditure per student was $10,403.
16% of Brighton's school system expenditures
are funded by state school aid. But their average expenditure per
student was $10,835.
59% of Syracuse's public school system expenditures
are funded by state school aid. In the 1993-94 school year the average
expenditure per student was $9,120.
21% of Jamesville-Dewitt's school system expenditures
are funded by state school aid. But their average expenditure per
student was $9,657.
37% of Yonkers' public school system expenditures
are funded by state school aid. In the 1993-94 school year the average
expenditure per student was $10,104.
7% of Scarsdale's school system expenditures
are funded by state school aid. But their average expenditure per
student was $13,301.
39% of New York City's public school system expenditures
are funded by state school aid. In the 1993-94 school year the average
expenditure per student was $8,205.
6% of Great Neck's school system expenditures
are funded by state school aid. But their average expenditure per
student was $16,926.
A good number of the formulas attempt to measure a school
district's property wealth and income wealth against a state average.
The wealthiest school districts get limited state funding,
the poorest school districts get lots of school aid.
2. When
the state provides funding to school districts, it provides more
money for more-expensive-to-educate students. High school students,
vocational education students, summer school students,
and special education students are counted as more than one
student.
Most of the complications in the state school formulas,
and most of the math and jargon, deal with attempts to fairly measure
a district's wealth, its ability to fund its schools, and
to count students by the level of resources needed to educate them.
C.
These formulas do not work particularly well -- they do not create
a fair system for distributing adequate resources to students in less
wealthy districts in this state. There are seven reasons for
this:
1) The state provides, on average, about a third
of what it takes to run most school districts. So wealthy communities
can spend $12,000 per pupil while poor communities can only spend
$6,000 per pupil -- and state aid does not make up the difference.
The wealthy district may only be getting $1,200 per student in state
school aid, but it has the local resources to fund the remaining $10,800.
The poorer district may get $4,200 per student from the state, but
it has difficulty raising the additional $2,800 locally.
2) The state legislature has a tradition of assuring
school districts that they will never get less state school aid than
they did the year before. What this means is that all the complicated
formulas for measuring students and district wealth become irrelevant
over time. School districts with far fewer students and at higher
levels of wealth are getting more money in state school aid than districts
with more students and at lower wealth.
3) The governors and legislative leaders have
a tradition of placing caps on any increases in state school aid --
so districts with increases in student enrollment or drops in wealth
do not get the funds they are entitled to under the formulas.
4) The New York State formulas do not measure
the differences among regions in average wages, cost of living, construction,
and cost of land. Cities are particularly hurt by this lack of regional
cost adjustment.
5) Even though different weights are created
for students, and funding programs have been created to help certain
groups of at-risk students, the formulas do not fully reflect student
needs for services. The Big Five cities have the highest proportion
of students in the state who have to learn English along with their
regular academic program (190,000). Student poverty also means that
our large cities have higher than average student absenteeism -- which
reduces state school aid, which is based on attendance. The State
Education Department has made progress in the area by creating Extraordinary
Needs Aid index, but the funding provided does not adequately cover
the extra services needed by a high-poverty student body.
6) The state school aid formulas, while
they measure school district wealth, do not measure the extent of
city government responsibilities, what is often called "municipal
overburden." In other words, when it comes to cities, the state school
aid formulas do not recognize the funding that is needed for a larger
police force, a fire department that is not run by volunteers, city
buses and subway systems, public health, social services, and public
housing.
7) The last explanation of why the formulas
do not work deserves special attention -- because our challenge is
to develop a system that avoids this last problem.
School formulas, however imperfect they are, are not
allowed to run neutrally. Every year the formulas are changed because
the actual amount of new funding for public schools is determined
by legislative negotiations between the Governor, the Assembly Speaker,
and the Senate Leader for each region of the state. The formulas are
then backed into the dollar amounts. So every year there are changes
in how district wealth is measured, how pupils are counted, and what
categorical programs are created, refunded, and eliminated.
New York City is slightly poorer than the average for
school districts around the state, our regions costs are higher,
and our student needs are greater. A child's access to a computer,
a student's ability to do well on state tests, and children's success
in getting into the college of their choice should not depend on
the school district where they reside. Let's make sure there is
educational opportunity in our state for all public school students.
Any new funding system would have to:
- measure school district wealth
- measure student needs for a sound, basic education
- measure regional costs
- accurately count students
- allow increases and decreases in state school
aid to school districts based on objective measures, not political
deal making.
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