S CHOOL F UNDING P ERSPECTIVES ASA A CADEMY FOR I NCOMING S - - PowerPoint PPT Presentation

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SCHOOL FUNDING PERSPECTIVES ASA ACADEMY FOR INCOMING SUPERINTENDENTS

Amy Lujan, Executive Director Alaska Association of School Business Officials (ALASBO) December, 2018

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About ALASBO

• Our mission: to promote the highest standards in

school business practices

• 180 members
• 47th year
• ACSA & ASBO

affiliation

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About Amy Lujan

• First job in AK: Aniak City

Clerk, later City Manager

• 23+ years in school biz
• Kuspuk (REAA); North

Slope Borough; Nome

• 10 years ALASBO Exec

Director in Juneau

• MBA; Federal Reserve

Bank; Cisco Systems

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Outline

• History of K-12 education in Alaska

(funding perspective!)

• Nature of our work
• Life of a school business official
• Upcoming issues
• Working together

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History of Education in Alaska

• Territorial legislature: established compulsory

education for ages 8-16 during first session 1912

• State education board immediately after statehood
• Constitutionalajsdkfajsdlf;jasdkl;fjasdl;fjaslk;dfjasdfj

mandate

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State Constitution

Article VII, Section 1 – Public Education The legislature shall by general law establish and maintain a system of public schools open to all children of the State, and may provide for other public educational institutions. Schools and institutions so established shall be free from sectarian control. No money shall be paid from public funds for the direct benefit of any religious

• r other private educational institution.

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Additional History

• Article X – intent to organize schools under cities and

boroughs; no timeline

• 1976 – Molly Hootch settlement: schools constructed

in rural areas

• 1997-2011 – Kasuylie case: rural school construction
• 2004-11 – Moore case: corrective action for low-

performing schools; state may delegate but is primarily responsible for education

• Equal protection (Article I, Section 1)
• Public/private issues
• AK K-12 State Funding Overview: http://

www.alasbo.org/2015/07/13/other-downloads-3/

SLIDE 8 S E W A R D P E N I N S U L A A L A S K A R A N G E A L E X A N D E R A R C H I P E L A G O B R O O K S R A N G E P RI B IL O F ISL AN DS A L E U T I A N R A N G E A L A S K A P E N I N S U L A K E N A I P E N I N S U L A Ruby Gambell Savoonga Chuathbaluk Cordova Pedro Bay Slana Atqasuk White Mountain Newtok Ouzinkie Noatak K

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a Glacier View Tanacross Mentasta Lake Tok Northway E a g l e Healy Lake Venetie Arctic Village Beaver Birch Creek Central S t e v e n s V i l l a g e Circle F

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C h a l k y i t s i k FAIRBANKS Nenana N

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S p r i n g s Cantwell Anderson Bettles A l l a k a k e t Hughes Tanana Galena Kaltag Nulato Selawik Noorvik Kiana Shungnak Deering Buckland Kotzebue Point Hope Barrow Nuiqsut Anaktuvuk Pass Kaktovik L i m e V i l l a g e M c G r a t h Nikolai Takotna Telida Lake Minchumina Grayling Shageluk H

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g i g a n a k P l a t i n u m Togiak Goodnews Bay Napakiak Napaskiak O s c a r v i l l e K w e t h l u k Akiak Bethel A t m a u t l u a k Kasigluk Nunapitchuk Akiachak Talkeetna P a l m e r Sutton Trapper Creek Big Lake E l m e n d

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ANCHORAGE Girdwood H

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e T e t l i n Coldfoot Wiseman Newhalen Lottie Sparks Delta Jct. Fort Greely Dot Lake Gerstle River Pitka’s Point Pilot Station Petersburg H y d e r Alaska Gateway Aleutian Region Annette Island Bering Strait Chatham Chugach Copper River Delta/Greely Iditarod Area Kuspuk Lower Kuskokwim Lower Yukon Pribilof Islands Southeast Island Southwest Region 03. 04. 06. 07. 09. 10. 11. 14. 21. 29. 31. 32. 40. 44. 45. Cordova City Schools Craig City Schools Dillingham City Schools Galena City Schools Hoonah City Schools Hydaburg City Schools Kake City Schools Klawock City Schools Nenana City Schools Nome City Schools Pelican City Schools Saint Mary’s City Schools Unalaska City Schools Valdez City Schools Tanana Schools 12. 13. 15. 17. 19. 20. 23. 27. 34. 35. 38. 46. 47. 48. 53.

• 02. Denali Borough
• 05. Municipality of Anchorage
• 08. Bristol Bay Borough
• 16. Fairbanks North Star Borough
• 18. Haines Borough
• 22. City & Borough of Juneau
• 24. Kenai Peninsula Borough
• 25. Ketchikan Gateway Borough
• 28. Kodiak Island Borough
• 30. Lake & Peninsula Borough
• 33. Matanuska Susitna Borough
• 36. North Slope Borough
• 37. Northwest Arctic Borough

including

City School Districts Borough School Districts Regional Educational Attendance Areas

Revised June 2013

City School District Locations Borough School District Locations REAA District Headquarters REAA or Borough School Locations Closed School Locations

Scale in Miles Map projection: Albers Equal Area Map scale: 1:4,350,000 50 100

1

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Alaska Gateway Aleutian Region Annette Island Bering Strait Chatham Chugach Copper River Delta/Greely Iditarod Area Kuspuk Lower Kuskokwim Lower Yukon Pribilof Islands Southeast Island Southwest Region Yukon Flats Yukon-Koyukuk Yupiit (Akiachak, Akiak, Tuluksak) Kashunamiut (Chevak) 03. 04. 06. 07. 09. 10. 11. 14. 21. 29. 31. 32. 40. 44. 45. 51. 52. 54. 55. Cordova City Schools Craig City Schools Dillingham City Schools Galena City Schools Hoonah City Schools Hydaburg City Schools Kake City Schools Klawock City Schools Nenana City Schools Nome City Schools Pelican City Schools Saint Mary’s City Schools Unalaska City Schools Valdez City Schools Tanana Schools 12. 13. 15. 17. 19. 20. 23. 27. 34. 35. 38. 46. 47. 48. 53.

• 02. Denali Borough
• 05. Municipality of Anchorage
• 08. Bristol Bay Borough
• 16. Fairbanks North Star Borough
• 18. Haines Borough
• 22. City & Borough of Juneau
• 24. Kenai Peninsula Borough
• 25. Ketchikan Gateway Borough
• 28. Kodiak Island Borough
• 30. Lake & Peninsula Borough
• 33. Matanuska Susitna Borough
• 36. North Slope Borough
• 37. Northwest Arctic Borough
• 39. Petersburg Borough
• 42. City & Borough of Sitka
• 43. Municipality of Skagway
• 49. City & Borough of Wrangell
• 50. City & Borough of Yakutat
• 56. Aleutians East Borough

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• 129,705 students (2016)
• District sizes: 12 – 47,756
• School sizes: 12 – 2,140
• Diverse student bodies
• Options & choices:
• Homeschooling
• Charter schools
• Alternative programs
• Correspondence
• Reduced dropout rate
• Generally strong support
• f K-12

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Nature of our Work

• ASBO: similarities & differences across the nation
• Diversity & balance of funding systems
• Work cycle: budgeting, funding programs, fiscal

year, payroll

• Grants admin-heavy
• Personnel heavy

District Revenue

State Local Federal Other

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Personnel Heavy

• 75-90% of expenditures are wages and benefits
• Benefits rates continue to rise
• National job market
• Limitations of

negotiated ;fjasdlfjasljaksdfjnegotiated agreements

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Effect of Cuts

• Funding growth slower

than cost growth = cut

• Little frivolous spending;

cuts impact students

• Dept of Ed: 23 positions

lost (26% reduction) from FY15 to FY17

• FY17 Walker vetoes:

$12.7m K-12; 25% debt reimbursement

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Focus

• n

Students

Little ability to raise funds Education administrators at the nexis of K-12 stakeholders Must educate to standards

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Life of a School Business Official

• Very hard-working, public-minded individuals
• Wear many hats, no matter the district size!
• Policy manual
• State reviews
• Constant

juggling of deadlines

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Wearing Many Hats…

• Anything with $$ comes across SBO’s desk
• Unrelenting workload
• Many “must-do” deadlines – payroll, funding
• Need to rely on colleagues

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ALASBO

• MISSION: To promote the highest

standards in school business practices.

• VISION: Educating stakeholders in the

effective use of resources for the benefit

• f Alaska’s children.
• VALUES:

– Ethical standards – Sharing knowledge and expertise – Advancing the interests of all members – Accurate, objective, consistent information – Collegiality – Efficiency – Collaboration

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Foundation Formula

20-day student count Ten calculations State Aid Entitlement

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Example: Nome Public Schools Column

• I. Basic Need Calculation

Projected ADM 704.00 M Determining School Size Adjustment

[Use Table from page 4] ADM

Nome Elementary School = 375

326.10+(.97*(375-250)) = 447.35

Nome/Beltz Jr. & Senior High = 245

218.10+(1.08*(245-150)) = 320.70

Anvil City Science Academy = 60

1.18 * 60 = 70.80

Nome Youth Facility =

14 14 = 39.60 FY16 School Size adjusted ADM 878.45 Hold Harmless Provision: less FY15 School Size adjusted ADM - 900.42 District’s decrease in School Size adjustment over prior year less than 5%, did not activate hold harmless. School Size Adjusted ADM 878.45 O Apply District Cost Factor x 1.450 P 1,273.75 Q Apply Special Needs Factor x 1.20 1,528.50 R Apply the Career Technical Education Factor x 1.015 1,551.43 S Add Intensive Service Counts + 65.00 U (5 x 13) = 65.00 1,616.43 V Add Correspondence Counts + 9.00 W (10 * .90) = 9.00 District Adjusted ADM 1,625.43 X Multiply by $5,880 base allocation x $5,880.00 Basic Need: $ 9,557,528 B

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• II. Nome’s State Aid

Basic Need $9,557,528 B Required Local Contribution (976,121) C Eligible Impact Aid + (27,811) F State Aid $8,553,596 G

• III. Quality Schools Grant

District adjusted ADM x $16 1,625.43 X x $16.00 $26,007 H

• IV. Components of State Aid

State Aid $8,553,596 G Quality Schools Grant + 26,007 H Total State Aid Entitlement $8,579,603 I

• BSA now $5,930

– Funding increases by $81,271.50 – 704 students x $50 = $35,200

• Impact Aid deduction unique
• Formula is a delicate balance
• Timing of foundation funding process

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Other Topics

• State debt reimbursement & CIP

funding

• Federal timber revenue loss
• Need for district fund balance
• Limitations of funding to the cap

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UPCOMING ISSUES

Very much aligned with cities & boroughs!

Category 1

• Debt reimbursement
• Health insurance cost
• Worker’s comp reform
• Support of state retirement

system(s)

• Local infrastructure
• Basic education funding
• Long-term multi-revenue fiscal

plan

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UPCOMING ISSUES

Category 2

• Career & Technical Education

(CTE)

• Arts education
• English as a 2nd Language (ESL)
• Early childhood education
• Mental health programs

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TO BE DISCUSSED?

• Schools in Small Communities

– Proposed changes to minimum school size

• Foundation re-write

– A huge job! – Always winners and losers – Area cost differential a smaller piece

• ESSA & federal funding

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Working Together on Big Problems

• School district is a big part of each

community, and/or a part of your local government

• Regular joint work sessions between school

district and local government

• Cross training & resource sharing
• Growing opportunity for shared services:

among districts; within communities

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THANK YOU! QUESTIONS?

AMY LUJAN, EXECUTIVE DIRECTOR ALASBO

ALASBO@GCI.NET

907-723-7415

WWW.ALASBO.ORG As of January 1, 2019: Melody Douglas, Executive Director alasbo@gci.net 907-398-6819