Overview of Public Funding for Education Presented to Education and - PowerPoint PPT Presentation

Overview of Public Funding for Education Presented to Education and Cultural Subcommittee House Legislative Oversight Committee December 18, 2019 December 18, 2019 1

Students December 18, 2019 2

STUDENT COUNT BY SCHOOL TYPE - FY 2018-19 20,808 5,351 28,051 44,853 1,132 721,122 Regular School Districts Special School Districts SC Charter Districts Total Private Schools Total Home School Dropouts Source: South Carolina Department of Education December 18, 2019 3

SOUTH CAROLINA ACTUAL AND PROJECTED STUDENTS BY SCHOOL TYPE 900,000 800,000 700,000 600,000 ADM Count 500,000 400,000 300,000 200,000 100,000 0 2000-2001 2001-2002 2002-2003 2003-2004 2004-2005 2005-2006 2006-2007 2007-2008 2008-2009 2009-2010 2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021 Fiscal Year Regular School Districts (ADM) Special School Districts S.C. Charter Districts Total Private Schools Total Home School Dropouts Source: South Carolina Department of Education December 18, 2019 4

FIVE YEAR CHANGE IN NUMBER OF STUDENTS BY SCHOOL TYPE FY 2014-15 to FY 2018-19 12,000 10,000 8,000 Change in Number of ADM 6,000 4,000 2,000 0 -2,000 Regular School Districts Special School Districts SC Charter Districts Total Private Schools Total Home School Dropouts Source: South Carolina Department of Education December 18, 2019 5

Sources of Public Funding Regular School Districts • General Funds EIA Lottery Property Tax Relief Local Federal Special School Districts (Dept of Corrections, DJJ, School for Deaf & Blind) • General Funds EIA Federal SC Charter School Districts • General Funds EIA Federal Private Schools • Exceptional Needs Tax Credit Home Schools • N/A December 18, 2019 6

State Department of Education • Instructional Materials • Transportation – Bus Shops • Testing December 18, 2019 7

Regular School Districts December 18, 2019 8

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December 18, 2019 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 Source: South Carolina Department of Education 0 BARNWELL 19 BAMBERG 2 FLORENCE 4 HAMPTON 2 MCCORMICK CLARENDON 1 BARNWELL 29 GREENWOOD 51 ALLENDALE FLORENCE 2 FLORENCE 5 CLARENDON 3 BAMBERG 1 GREENWOOD 52 DILLON 3 CALHOUN LEE LEXINGTON 3 HAMPTON 1 BARNWELL 45 DORCHESTER 4 SALUDA NUMBER OF STUDENTS BY DISTRICT, FY 2018-19 FAIRFIELD JASPER ANDERSON 3 ORANGEBURG 3 SPARTANBURG 4 SPARTANBURG 3 ANDERSON 4 CLARENDON 2 ABBEVILLE LAURENS 56 LEXINGTON 4 EDGEFIELD FLORENCE 3 ORANGEBURG 4 WILLIAMSBURG ANDERSON 2 MARLBORO UNION DILLON 4 MARION 10 SPARTANBURG 1 YORK 1 CHESTER COLLETON LAURENS 55 NEWBERRY ORANGEBURG 5 CHESTERFIELD SPARTANBURG 7 YORK 2 CHEROKEE GREENWOOD 50 SPARTANBURG 5 LEXINGTON 2 GEORGETOWN DARLINGTON ANDERSON 1 SPARTANBURG 2 OCONEE KERSHAW SPARTANBURG 6 ANDERSON 5 LANCASTER PICKENS FLORENCE 1 SUMTER 1 YORK 4 LEXINGTON 5 YORK 3 BEAUFORT RICHLAND 1 AIKEN DORCHESTER 2 LEXINGTON 1 RICHLAND 2 BERKELEY HORRY CHARLESTON GREENVILLE 10

TOTAL REVENUE BY SOURCE Excluding Local Bond Proceeds $10,000 $9,000 Percent of Total $8,000 Revenues $7,000 (Millions of Dollars) $6,000 State: 45.9% Act 388 of 2006, FY 08 $5,000 $4,000 Local: 45.1% $3,000 ARRA Funding, $2,000 FY 10 & FY 11 Federal: 9.0% $1,000 $0 FY 1999-00 FY 2000-01 FY 2001-02 FY 2002-03 FY 2003-04 FY 2004-05 FY 2005-06 FY 2006-07 FY 2007-08 FY 2008-09 FY 2009-10 FY 2010-11 FY 2014-15 FY 2017-18 FY 2011-12 FY 2012-13 FY 2013-14 FY 2015-16 FY 2016-17 Total Revenue Federal Revenue State Revenue Local Revenue Source: SC Dept. of Education, Statement of Revenues; Excludes revenues from local bonds. SC Revenue and Fiscal Affairs Office 188G December 18, 2019 11

REVENUE PER PUPIL Excluding Local Bond Proceeds $15,000 $14,000 $13,000 $12,000 Percent of Total $11,000 $10,000 $9,000 (Per Pupil) $8,000 Act 388 of 2006, FY 08 State: 45.9% $7,000 $6,000 $5,000 Local: 45.1% $4,000 ARRA Funding, $3,000 FY 10 & FY 11 Federal: 9.0% $2,000 $1,000 $0 FY 1999-00 FY 2000-01 FY 2001-02 FY 2002-03 FY 2003-04 FY 2004-05 FY 2005-06 FY 2006-07 FY 2007-08 FY 2008-09 FY 2009-10 FY 2010-11 FY 2014-15 FY 2017-18 FY 2011-12 FY 2012-13 FY 2013-14 FY 2015-16 FY 2016-17 Total Per Pupil Federal Per Pupil State Per Pupil Local Per Pupil Source: SC Dept. of Education, Statement of Revenues; Excludes revenues from local bonds. SC Revenue and Fiscal Affairs Office 188A December 18, 2019 12

General Funds Education Finance Act * $1,822,608,440 Employer Contributions $788,703,177 Retiree Insurance $164,664,513 Guidance & Career Specialists $31,363,113 Reading Coaches $29,483,100 Student Health and Fitness $26,297,500 Other items December 18, 2019 13

Education Finance Act - EFA • Foundation program for district and school operations • Formula distributes state funds based on local property wealth and weighted pupil units • 70% of the statewide cost of the foundation paid by the State • 30% paid collectively by local school districts • Individual school district percentages vary based upon local property wealth (Index of Taxpaying Ability) and weighted pupil units. • Today, percentage of state support for individual school districts ranges between 24% (Beaufort) and 93% (Clarendon) December 18, 2019 14

EFA Foundation Program in Law • Includes • Excludes • Transportation • Defined Minimum Program • Capital Outlay • Base Student Cost • Pilot Programs • Weightings • Adult Education (18+ years of age) • Textbooks • Food Service • Employee Benefits December 18, 2019 15

Defined Minimum Program – Base Student Cost At District Level: At School Level: Other Items: 6,000 students in a district Minimum size of 375 students -$7 per pupil for instructional -1 superintendent -1 teacher for every 26 pupils supplies, materials, and library books -$10 per staff member for in-service -1 fiscal officer -1 principal education -1 director of planning for every 3,000 -1 assistant principal (if 500+ pupils) -Maintenance and operational costs students -1 assistant superintendent -1 secretary -Office support costs -1 program consultant for every 750 -1 attendance clerk pupils -5 secretaries -1 librarian -1 library aide (if 500+ pupils) -1 guidance counselor (if 500+ pupils) *Note: Terminology is taken from documentation produced at the time the EFA was written. December 18, 2019 16

December 18, 2019 Source: SC Revenue and Fiscal Affairs Office 189D $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 FY 1999-00 FY 2000- 01 FY 2001-02 FY 2002-03 FY 2003-04 FY 2004-05 FY 2005-06 Revised BSC Estimate FY 2006-07 EFA BASE STUDENT COST FY 2007-08 FY 2008-09 FY 2009-10 FY 2010-11 FY 2011-12 Funded BSC FY 2012-13 Difference of $548 FY 2013-14 FY 2014-15 FY 2015-16 FY 2016-17 $2,425 $2,973 FY 2017-18 $2,485 $3,033 FY 2018-19 $2,489 $3,095 FY 2019-20 (est) 17

Average Daily Membership vs Weighted Pupil Units Weightings as of FY 2019-20 Students: Students with Special Needs: Add-ons for personalized instruction: Kindergarten 1.00 Handicapped 1.74 to 2.57 Gifted and talented 0.15 Grades 1-3 1.00 Speech 1.90 Academic Assistance 0.15 Grades 4-8 1.00 Homebound 2.10 Limited English Proficiency 0.20 Grades 9-12 1.00 Career & Tech 1.29 Pupils in Poverty 0.20 Dual Credit Enrollment 0.15 December 18, 2019 18

AVERAGE DAILY MEMBERSHIP AND WEIGHTED PUPIL UNITS 81 Regular School Districts 1,050,000 Proviso 1.3 Add-on Weights 1,000,000 950,000 Additional 84,908 WPU's 900,000 850,000 800,000 750,000 700,000 650,000 600,000 FY 1999-00 FY 2000- 01 FY 2001-02 FY 2002-03 FY 2003-04 FY 2004-05 FY 2005-06 FY 2006-07 FY 2007-08 FY 2008-09 FY 2009-10 FY 2010-11 FY 2011-12 FY 2012-13 FY 2013-14 FY 2014-15 FY 2016-17 FY 2017-18 FY 2018-19 FY 2019-20 FY 2020-21 FY 2015-16 Average Daily Membership Weighted Pupil Units Source: SC Dept. of Education, 135-day student counts. Excludes Charter and Special districts. SC Revenue and Fiscal Affairs Office 189C December 18, 2019 19

Total EFA Funding – State and Local Share, FY 2018-19 Base Student Cost (BSC) x Weighted Pupil Units (WPU) = Total EFA $2,485 x 991,411 = $2,463,656,335 State Share: 70% $1,724,559,434.50 Local Share: 30% $739,096,900.50 Example - Abbeville: $2,485 x 3,979.35 = $9,888,684.75 Charleston: $2,485 x 61,570.06 = $153,001,599.10 December 18, 2019 20

Local Required Support – Index of Taxpaying Ability Local Share x Index of Taxpaying Ability = Local Required Support Example:Abbeville assessed property value (tax base) is 0.269% of the state total $2,485 x 991,411.02 x 0.3 x 0.00269 = $1,988,170.66 Example: Charleston assessed property value (tax base) is 14.25% of the state total $2,485 x 991,411.02 x 0.3 x 0.14246 = $105,291,744.45 December 18, 2019 21