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Dear Friends,
There is no joy in Mudville over the funding for public schools in the final budget. The budget was posted for review in the wee hours this morning and will be voted on tonight. If you want to see the budget and the school funding formula for yourself, it is posted on the General Assembly website on the House Republican page. Here are my sad conclusions after a quick read. No doubt given more time there could be more concerns. If you want to share your opinions with legislators, please feel free, although there is no doubt that the budget will pass tonight, perhaps after midnight. Tax credits for private school scholarships run by Scholarship Granting Organizations hit a bonanza! Current funding in 2016-17 was $9.5 million. Funding for next year 2017-18 has been raised to $12.5 million, up 31%. Funding for every year starting in 2018-19 will be $14 million, a 12% raise about $12.5 million. This adds up to a $7.5 million increase in the two-year budget. This is a large increase to promote private school tuition when most public school categorical funding has been absolutely frozen. Summer School funding, for example, has been stuck on $18.3 million for years. The private school proponents showed their influence once again. Let's hope someone starts checking the SGO audits. These are largely unsupervised groups, and they are now getting more public money than Alternative Education ($6M) and the Senator Ford Technology Fund ($3M) combined. Under the law, the SGO can keep 10% for overhead and salaries. Do the math. They must be well paid. The Senate budget's excellent effort to put a line item in the budget for Choice Scholarships has disappeared from the final budget. Money for private school vouchers will again be taken from the same Tuition Support budget line item used for all K-12 schools. Transparency in line items has been requested for years and is still not part of the budget. There is a helpful statement of cost projections for Choice Scholarships on the last page of the School Funding formula. It projects $156 million (a 7.2% increase) for the first year and $167 million (a 6.9% increase) for the second year in funding Choice Scholarships based on an estimate that voucher enrollment would increase 5.8% the first year and would increase 5.5% in the second year. The final budget funded K-12 schools with $345 million new dollars in the two-year budget, a total of $13 million less than the Senate budget. The hope that a $200 million gain in the April revenue forecast would give K-12 an extra boost turned out to be a mirage. The House budget (Feb.) raised K-12 funding by $77 M in the 1st year and by $273 M over two years. (Percentage increases: 1.1% in the 1st year and 1.7% in the 2nd year) The Senate budget (March) raised K-12 by $117 M in the 1st year and by $358 M over two years. (Percentage increases: 1.7% in the 1st year and 1.7% in the 2nd year) The final budget (April 21) raised K-12 by $113 M in the 1st year and by $345 M over two years. (Percentage increases: 1.6% in the 1st year and 1.7% in the 2nd year) It is extremely disappointing that the Senate budget increase of $358 million was not maintained in the final budget, especially given the new revenue forecast. There was no time for a full analysis of how school districts fared in the final funding formula, but the Senate budget is an indicator of the stress to school districts that will come with this budget since the final budget is close to the Senate budget. The Senate budget gave 144 districts either a negative percentage increase or less than a 1% increase, which is well below inflation. These low increases mean hard times ahead for the resources available to many K-12 students in approximately half of the school districts in Indiana. It is sad that Indiana leaders could not do better for their K-12 students. While the 1.6% and 1.7% increases are better than the 1.0% in FY 2013 and FY 2015, they are well below recent increases given in FY 2014 (2.0%), in FY 2016 (2.3%) and in the current year FY 2017 (2.3%). Keep talking with your legislators about how you feel they are doing for public schools. Thank you for your strong support of public education in Indiana! Best wishes, Vic Smith vic790@aol.com
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Dear Friends, Thanks to all who came to Tuesday's rally for better K-12 funding! The letter delivery and contacts with legislators afterward brought excellent conversations such as mine with Senator Ruckelshaus. Joel Hand and Indiana PTA leader Deb Fox were both interviewed on Channel 59 to get the message out that we need to do better for our K-12 students in the budget. House Bill 1004 - PreKindergarten This afternoon (Wed., April 19) the Conference Committee Report on the prekindergarten bill (HB 1004) was released. The final bill will be voted on tomorrow. The final version, while it narrowed the problem, did not break the link between getting a pre-K grant and getting a K-12 voucher. The final version thus creates a new eighth pathway to K-12 vouchers. Those who get a pre-K grant will be eligible for a K-12 voucher in many cases. This is a provision that has nothing to do with the pre-K experience but will help private and religious schools build their voucher program. The final version of the 1004 also reverses a ban on using pre-K grants funds to expand capital facilities. This reversal would allow private or public preschools to use the grant funds for facility expansion. This would of course be especially helpful to expand private facilities that serve K-12 voucher students. If you oppose the K-12 voucher expansion in the pre-K bill, please contact your Senator or any Senator tonight or tomorrow morning to let them know you oppose the final version of HB 1004 and ask them to vote against it.
Thank you for any contacts you can make with Senators tonight or tomorrow and for your active support of public education in Indiana! Best wishes, Vic Smith vic790@aol.com State Superintendent bill - from the Indy Star "For the past 166 years, Hoosiers have elected the official in charge of overseeing Indiana's schools. By 2024, voters likely won't have the opportunity to choose the superintendent of public instruction. "The Indiana House voted 66-31 for a measure to allow the governor to appoint the schools chief starting in 2025. Gov. Eric Holcomb is expected to sign House Bill 1005 into law. He identified the change as one of his top legislative priorities when he took office in January." Read the full article. How does your school stack up in the two budget bills? We've posted a spreadsheet on our website. Call to Action
Please join ICPE and other educational groups for a rally to improve K-12 public school funding this Tuesday, April 18 at the Statehouse at 3:30 p.m. More details about the rally and the current state of the State budget can be read here. Education Bills to Be Concurred by the Senate More details can be found here. SB 196 - School debt service obligations. Provides the following for purposes of the school bond payment intercept statute: (1) The term "debt service obligations" also includes principal and interest payable to a school corporation's designated paying agent under a written agreement entered into in connection with the issuance of a school corporation's general obligation bonds. (2) Upon being notified of a school corporation's failure to pay debt service obligations when due, the treasurer of state shall within five days pay the unpaid debt service obligations that are due from state funds, in an amount equal to the amount of the unpaid debt service obligations that are due to the claimant (but only to the extent that amounts are available to the treasurer of state to fulfill this requirement). (3) The treasurer of state shall provide notice of the request by a claimant to the budget director, the auditor of state, and any department or agency of the state responsible for distributing funds appropriated by the general assembly for distribution to the school corporation from state funds, and such a department or agency of the state shall transfer those funds to the treasurer of state for purposes of paying the unpaid debt service obligations. (4) The amounts made available to the treasurer of state for this purpose shall be made from the following sources and in the following order of priority: (A) First, from amounts appropriated by the general assembly for the state fiscal year for distribution to the school corporation from state funds. (B) Second, from any remaining amounts appropriated by the general assembly for distribution for tuition support in each state fiscal year in excess of the aggregate amount of tuition support needed for distribution to school corporations. (C) Third, to the extent that the general assembly has adopted a biennial budget appropriating amounts in the immediately succeeding state fiscal year for distribution to the school corporation from state funds, then from such fund or account, as determined by the state budget director (from which fund or account there is appropriated to the treasurer of state an amount equal to the lesser of: (i) the unpaid debt service obligations not paid from the other sources; or (ii) the amount appropriated by the general assembly for the immediately succeeding state fiscal year for distribution to the school corporation). (5) If any amounts are transferred to the treasurer of state to pay the unpaid debt service obligations of the school corporation, the applicable department or agency shall recover those amounts by deducting an amount equal to the transfer from any future amounts to be distributed to the school corporation from state funds. Education Bills to Be Concurred by the House More details can be found here. HB 1024 - Prayer in schools. Provides that a school corporation or charter school shall not discriminate against a student or a student's parent on the basis of a religious viewpoint or religious expression. Provides that students may express their beliefs about religion in homework, artwork, and other written and oral assignments free from discrimination based on the religious content of their submissions. Provides that public school students may pray or engage in religious activities or religious expression before, during, and after the school day in the same manner and to the same extent that students may engage in nonreligious activities or expression. Provides that students in public schools may wear clothing, accessories, and jewelry that display religious messages or religious symbols in the same manner and to the same extent that other types of clothing, accessories, and jewelry that display messages or symbols are permitted. Requires the department of education, in collaboration with the attorney general's office and organizations with expertise in religious civil liberties, to establish a model policy. Provides that each school corporation may include as an elective in the school corporation's high school curriculum a course surveying religions of the world Education Bill Being Reviewed in House Conference Committee HB 1009 School financial management. Does the following, effective January 1, 2019: (1) Eliminates the school general fund. (2) Creates an education fund to be used as the exclusive fund to pay expenses allocated to student instruction and learning. (3) Creates an operations fund to replace the capital projects fund, the transportation fund, the school bus replacement fund, an art association or a historical society fund, and the public playground fund. Provides that the state board of accounts shall before January 1, 2019, develop a chart of accounts to be used by school corporations to reflect the implementation of the education fund and the operations fund. Provides that the levy for a school corporation's operations fund consists of the following separately calculated levies: (1) A transportation levy. (2) A school bus replacement levy. (3) A capital projects levy. (4) For certain schools, levies to provide funding for an art association, a historical society, or a public playground. Provides that on January 1, 2019, the balance in the school corporation's general fund shall be transferred to the education fund. Specifies that before March 1, 2019, the governing body of a school corporation may transfer to the school corporation's operations fund, from the amounts transferred from the school corporation's general fund, any amounts that are not allocated to student instruction and learning. Allows transfers between the education fund and operations fund. Allows a school corporation to request authorization from the state board of accounts to op out of examination requirements by the state board of accounts and instead contract with a certified public accountant for an annual financial audit. Provides new allowable expenditures from the operations fund to include all skilled trades, school maintenance vehicles, and contracted services related to buildings and grounds. Eliminates the requirement to publish the entire capital projects plan and school bus replacement plan. Removes the approval of the plans and appropriations by the department of local government finance. Eliminates various dedicated funds and moves the purpose for each of these funds to the education fund or operations fund. Creates the school corporation referendum controlled project tax levy fund to pay for projects approved by a voter referendum. Makes corresponding changes. Extends (through 2019) the ability in current law for a school corporation to allocate circuit breaker credits proportionately (without taking protected taxes into account) under certain circumstances. Provides that a school corporation that has an ADM of more than 15,000 may not issue bonds after August 15, 2020, unless the school corporation has for its preceding budget year prepared an annual financial report using the modified accrual basis of accounting in accordance with generally accepted accounting principles. Provides that a county that has a population of more than 100,000 and a municipality that has a population of more than 75,000 may not issue bonds after June 30, 2020, unless the county or municipality has for its preceding budget year prepared an annual financial report using the modified accrual basis of accounting in accordance with generally accepted accounting principles. Allows the state examiner to waive these requirements if the state examiner determines that a waiver is in the best interest of the school corporation, county, or municipality. Replaces the provisions in current law (which would be phased in during 2017-2020) concerning annual financial report requirements that must be met before a school corporation, county, or municipality may issue bonds. Provides that effective July 1, 2017, a school corporation may not issue any bonds unless it has filed its annual financial report with the department of education. Provides that effective July 1, 2017, a county or municipality may not issue any bonds unless it has filed its annual financial report with the state examiner for the preceding fiscal year. It's the list of school districts that will receive less funding next year if the budget proposed by the House of Representatives.*
If your district is on this list, you have good reasons to attend the rally to improve K-12 public school funding this Tuesday, April 18 at the Statehouse at 3:30 p.m. (If your is one of the fortunate districts NOT losing funding, you should still attend, because what happens to some of us, hurts all of us!) 124 School Districts will LOSE money in FY2018 under the House budget* Ranging from $1,161 (MSD of Pike Township) to $7.7 million (Indianapolis Public Schools) Ranging from a loss of less than 1% up to 6.2% Argos Community Schools Attica Consolidated Sch Corp Baugo Community Schools Bloomfield School District Brown County School Corporation Brownstown Cnt Com Sch Corp C A Beard Memorial School Corp Carroll Consolidated Sch Corp Caston School Corporation Clarksville Com School Corp Clay Community Schools Clinton Central School Corp Cloverdale Community Schools Community Schools of Frankfort Concord Community Schools Covington Community Sch Corp Crawford Co Com School Corp Crothersville Community Schools Culver Community Schools Corp Decatur County Com Schools DeKalb Co Eastern Com Sch Dist Delphi Community School Corp East Washington School Corp Eastern Greene Schools Edinburgh Community Sch Corp Elkhart Community Schools Elwood Community School Corp Eminence Community School Corp Fayette County School Corp Fort Wayne Community Schools Franklin County Com Sch Corp Fremont Community Schools Frontier School Corporation Gary Community School Corp Goshen Community Schools Greater Clark County Schools Greencastle Community Sch Corp Greensburg Community Schools Hamilton Community Schools Huntington Co Com Sch Corp Indianapolis Public Schools Jay School Corp Jennings County Schools John Glenn School Corporation Kokomo School Corporation Lake Ridge Schools Lake Station Community Schools Lakeland School Corporation Lebanon Community School Corp Loogootee Community Sch Corp M S D Martinsville Schools M S D of New Durham Township M S D Pike Township M S D Steuben County M S D Wabash County Schools M S D Warren Township Madison Consolidated Schools Madison-Grant United Sch Corp Manchester Community Schools Medora Community School Corp Merrillville Community School Mill Creek Community Sch Corp Mitchell Community Schools Muncie Community Schools New Castle Community Sch Corp North Daviess Com Schools North Judson-San Pierre Sch Corp North Lawrence Com Schools North Miami Community Schools North Montgomery Com Sch Corp North Putnam Community Schools North White School Corp Northeast Dubois Co Sch Corp Northeast School Corp Orleans Community Schools Paoli Community School Corp Peru Community Schools Pike County School Corp Plymouth Community School Corp Porter Township School Corp Prairie Heights Com Sch Corp Randolph Central School Corp Randolph Eastern School Corp Richland-Bean Blossom C S C Richmond Community Schools Rising Sun-Ohio Co Com Rush County Schools School City of East Chicago School City of Hammond Scott County School District 1 Shelby Eastern Schools Shenandoah School Corporation Shoals Community School Corp South Bend Community Sch Corp South Dearborn Com School Corp South Harrison Com Schools South Madison Com Sch Corp South Newton School Corp South Putnam Community Schools South Spencer County Sch Corp Southeast Dubois Co Sch Corp Southeast Fountain School Corp Southwest Dubois Co Sch Corp Southwest School Corp Southwestern Con Sch Shelby Co Southwestern-Jefferson Co Con Spencer-Owen Community Schools Springs Valley Com School Corp Tippecanoe Valley School Corp Tipton Community School Corp Tri-Central Community Schools Triton School Corporation Twin Lakes School Corp Union Co/Clg Corner Joint Sch Dist Union School Corporation Vigo County School Corp Warsaw Community Schools Wawasee Community School Corp West Noble School Corporation West Washington School Corp Western Wayne Schools Westview School Corporation White River Valley Sch Dist Whitko Community School Corp Indiana Can Do Better for Kids *There are many ways to compute the "winners and losers" in each budget scenario. We have chosen to focus on the impact on Fiscal Year (FY) 2018. These budget projections vary with enrollment projections. Your district's actual funds could be higher if your enrollment grows more than projected or lower if your enrollment declines more than projected. Is your school district on this list? This is the list of schools receiving less than a 1% increase next year if the House of Representatives budget is passed. (Consider that the rate of inflation is around 3%.) If your district is in this category, you too have a really good reason to make your voice heard at Tuesday's rally. 46 School Districts will receive less than a 1% increase in FY2018 under the House budget* Ranging from a $9,560 increase (Logansport Community School Corp.) to $840,138 (MSD of Wayne Township) Blackford County Schools Blue River Valley Schools Cannelton City Schools Centerville-Abington Com Schs Danville Community School Corp East Gibson School Corporation Evansville Vanderburgh Sch Corp Franklin Community School Corp Garrett-Keyser-Butler Com Greenfield-Central Com Schools Jac-Cen-Del Community Sch Corp Knox Community School Corp Lafayette School Corporation LaPorte Community School Corp Lawrenceburg Com School Corp Linton-Stockton School Corp Logansport Community Sch Corp M S D Boone Township M S D Wayne Township Marion Community Schools Nettle Creek School Corp Nineveh-Hensley-Jackson United North Adams Community Schools North Harrison Com School Corp North West Hendricks Schools Oregon-Davis School Corp Pioneer Regional School Corp Portage Township Schools Salem Community Schools Shelbyville Central Schools Sheridan Community Schools Smith-Green Community Schools South Montgomery Com Sch Corp South Ripley Com Sch Corp Southeastern School Corp Southern Wells Com Schools Sunman-Dearborn Com Sch Corp Switzerland County School Corp Tell City-Troy Twp School Corp Tri-County School Corp Valparaiso Community Schools Wa-Nee Community Schools Wes-Del Community Schools West Central School Corp Whiting School City Whitley Co Cons Schools Indiana Can Do Better for Kids *These budget projections vary with enrollment projections. Your district's actual funds could be higher if your enrollment grows more than projected or lower if your enrollment declines more than projected. Is your school district on this list? The proposed budget from the Senate is better for Indiana's public schools because it contains an additional $85 million. Sounds good, right? It is good. It's a far better budget than the House, but it's not perfect. Believe it or not, there are still school districts losing funding next year under the Senate budget. If your district is on this list, you have good reasons to attend the rally to improve K-12 public school funding this Tuesday, April 18 at the Statehouse at 3:30 p.m. 103 School Districts will LOSE money in FY2018 under the Senate budget.* Ranging from $1,096 (Richland Bean Blossom Community School Corp.) to $1.9 million (South Bend Community School Corp.) Ranging from a less than 1% loss to 5.9% (Attica Consolidated School Corp.) Argos Community Schools Attica Consolidated Sch Corp Baugo Community Schools Bloomfield School District Brown County School Corporation Brownstown Cnt Com Sch Corp C A Beard Memorial School Corp Carroll Consolidated Sch Corp Caston School Corporation Clarksville Com School Corp Clinton Central School Corp Cloverdale Community Schools Covington Community Sch Corp Crawford Co Com School Corp Crothersville Community Schools Culver Community Schools Corp Decatur County Com Schools DeKalb Co Eastern Com Sch Dist Delphi Community School Corp East Washington School Corp Eastern Greene Schools Edinburgh Community Sch Corp Elkhart Community Schools Elwood Community School Corp Eminence Community School Corp Fayette County School Corp Franklin County Com Sch Corp Fremont Community Schools Frontier School Corporation Gary Community School Corp Goshen Community Schools Greater Clark County Schools Greencastle Community Sch Corp Greensburg Community Schools Hamilton Community Schools Huntington Co Com Sch Corp Jay School Corp Jennings County Schools John Glenn School Corporation Kokomo School Corporation Lake Station Community Schools Lakeland School Corporation Lebanon Community School Corp Loogootee Community Sch Corp M S D Martinsville Schools M S D Steuben County M S D Wabash County Schools Madison Consolidated Schools Madison-Grant United Sch Corp Manchester Community Schools Medora Community School Corp Mill Creek Community Sch Corp Mitchell Community Schools Muncie Community Schools New Castle Community Sch Corp North Daviess Com Schools North Judson-San Pierre Sch Corp North Lawrence Com Schools North Miami Community Schools North Montgomery Com Sch Corp North Putnam Community Schools Northeast Dubois Co Sch Corp Northeast School Corp Orleans Community Schools Paoli Community School Corp Peru Community Schools Pike County School Corp Plymouth Community School Corp Porter Township School Corp Prairie Heights Com Sch Corp Richland-Bean Blossom C S C Richmond Community Schools Rising Sun-Ohio Co Com Rush County Schools Scott County School District 1 Shelby Eastern Schools Shenandoah School Corporation South Bend Community Sch Corp South Dearborn Com School Corp South Madison Com Sch Corp South Newton School Corp South Putnam Community Schools South Spencer County Sch Corp Southeast Dubois Co Sch Corp Southwest Dubois Co Sch Corp Southwestern Con Sch Shelby Co Spencer-Owen Community Schools Springs Valley Com School Corp Tippecanoe Valley School Corp Tipton Community School Corp Tri-Central Community Schools Triton School Corporation Twin Lakes School Corp Union Co/Clg Corner Joint Sch Dist Union School Corporation Wa-Nee Community Schools Wawasee Community School Corp West Noble School Corporation West Washington School Corp Western Wayne Schools Westview School Corporation White River Valley Sch Dist Whitko Community School Corp Indiana Can Do Better for Kids *These budget projections vary with enrollment projections. Your district's actual funds could be higher if your enrollment grows more than projected or lower if your enrollment declines more than projected. Is your school district on this list? 42 School Districts will receive less than a 1% increase in FY2018 in the Senate budget* Ranging from a $8,914 increase (MSD of New Durham Township) to $897,280 (Vigo County School Corp.) A 1% increase is still below the rate of inflation. If your district is on this list for receiving a less than 1% increase, you have good reasons to attend the rally to improve K-12 public school funding this Tuesday, April 18 at the Statehouse at 3:30 p.m. Centerville-Abington Com Schs Clay Community Schools Concord Community Schools Danville Community School Corp East Gibson School Corporation Fort Wayne Community Schools Garrett-Keyser-Butler Com Greater Jasper Con Schs LaPorte Community School Corp Linton-Stockton School Corp M S D Boone Township M S D of New Durham Township M S D Pike Township Merrillville Community School Nettle Creek School Corp Nineveh-Hensley-Jackson United North Harrison Com School Corp North West Hendricks Schools Pioneer Regional School Corp Randolph Central School Corp Randolph Eastern School Corp School City of Hammond Shelbyville Central Schools Sheridan Community Schools Shoals Community School Corp Smith-Green Community Schools South Harrison Com Schools South Ripley Com Sch Corp Southeast Fountain School Corp Southeastern School Corp Southern Wells Com Schools Southwest School Corp Southwestern-Jefferson Co Con Sunman-Dearborn Com Sch Corp Switzerland County School Corp Tri-County School Corp Valparaiso Community Schools Vigo County School Corp Warsaw Community Schools Wes-Del Community Schools West Central School Corp Whitley Co Cons Schools Indiana Can Do Better for Kids *These budget projections vary with enrollment projections. Your district's actual funds could be higher if your enrollment grows more than projected or lower if your enrollment declines more than projected Here's how it adds up: # districts gaining 1% or more in FY 2018: House Budget: 119 Senate Budget: 145 # districts gaining less than 1% in FY 2018 House Budget: 46 Senate Budget: 42 # districts losing funding in FY 2018 House Budget: 124 Senate Budget: 102 # losing money or gaining less than 1% in FY 2018 House Budget: 170 Senate Budget: 144 % losing money or gaining less than 1% in FY 2018 House Budget: 59% Senate Budget: 50% District losing the most in FY 2018 House Budget: Indianapolis Public Schools ($7.7 million) Senate Budget: South Bend CSC ($1.9 million) District losing the greatest % in FY 2018 House Budget: 6.2% Attica Consolidated SC & West Noble SC Senate Budget: 5.9% Attica Consolidated SC Additional partners We welcome AFT Indiana, the Indiana Small and Rural Schools Coalition and the Indiana Urban Schools Coalition as partners in Tuesday's rally. All are welcome to join us! Download this printable flyer and send it to friends. |
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