Historical Background

• Public education is a legal responsibility of each state

• The MN constitution states, “The stability of a republican form of government depending mainly upon the intelligence of the people, it is the duty of the legislature to establish a general and uniform system of public schools.”

General Education Funds come from the following:

• basic revenue• • extended time revenue• • compensatory revenue• • Limited English Proficiency revenue• • gifted and talented revenue• • training and experience revenue• • operating sparsity revenue• • transportation sparsity revenue• • operating capital revenue• • equity revenue• • alternative compensation (Q-comp) revenue• • transition revenue

School Finance Litigation

• 1970’s-80’s legislation sought to make schools more equal

• Property wealth is used as the measure. • “Fiscal neutrality” is a standard which allows all

children to have a quality education, regardless of their property wealth– Taxes based on property– MN court declares education a fundamental right, and

requires the state to pay funding to meet basic needs

Comparison of US School Spending

School Budgets

• 45.6% of every $1.00 comes from state funds• 37.1% comes from local governments• 8.3% comes from federal government (up

from 5.7% in 1990)

School Funding Sources

Federal Funding

• 65% of the USDE’s K-12 funds goes to help schools with disadvantaged & disabled students

• There are no “mandated” Federal laws. States who do not agree to the laws are not granted Federal funds

Federal Spending Under the Elementary and Secondary Education Act

Grants for Special Education

Title I spending

Terms to Know

• Title I: the largest federal K-12 program, would provide over $13 billion to local districts to improve the academic achievement of children in high-poverty schools.

• English Language Acquisition would provide $675.8 million to states to assist schools in improving the education of limited English-proficient children by teaching them English and helping them meet state academic standards.

More terms to know…

• Individuals with Disabilities Education Act (IDEA) – 1990. Assists states and local schools in educating children with disabilities. Provides over $11 billion to states and local schools to assist their efforts.

• Elementary and Secondary Education Act (ESEA) –1965. Provides funds for K-12 programs, including those for low-income families, library resources, instructional material, and professional development for teachers.

Resources

• http://www2.ed.gov/about/overview/fed/10facts/index.html

• www.house.leg.state.mn.us/hrd/pubs/mnschfin.pdf