budget basics

School funding will be a key issue this year. Here’s a reminder of how it works in Indiana.

This story has been corrected to reflect what dollars make up the state’s contribution to schools.

The drafting of Indiana’s next state budget is already underway, a centerpiece of this year’s session given that education funding is more than half the state’s budget.

Proposals are in from Gov. Eric Holcomb and state Superintendent Jennifer McCormick — both suggesting a 3 percent, $280 million increase in basic state aid to schools. But House and Senate lawmakers, the key players in the process, have yet to detail their own plans. The House is expected to make its amendment to the budget, House Bill 1001, in the coming weeks.

Ultimately, lawmakers are responsible for creating and tweaking the formula that determines school funding (a complex process you can brush up on with our school funding explainer).

The biggest question is whether lawmakers will stick with Holcomb and McCormick’s conservative funding asks or boost money to education. It’s not yet clear which strategy will win out, especially when the state has already cautioned that it’s working with less revenue than previously expected.

It’s possible we have a scenario like what happened in 2015: Then-Gov. Mike Pence also proposed a 3 percent increase for schools — a $200 million bump. But later, legislative leaders came back with more money for schools, totaling more than $460 million in additional funding when all was said and done.

So how does the state decide how much money schools get?

The money comes primarily from state sales and income tax dollars that are funneled into the state’s general fund. After lawmakers settle on a final amount, it’s run through a formula to divvy it up among schools, based partially on enrollment and partially on whether schools enroll certain groups of students, such as those with special needs or those from low-income families.

Because of an adjustment all districts now receive the same basic state aid amount. Extra money for the various student groups is added through what is called a “complexity index.”

Currently, that amount is based on how many children receive welfare services or are in foster care, rather than the number of children who qualify for the federal free lunch program as it was in prior years. That could see debate this year, as some educators and policymakers have complained that the change has meant schools that need the funding the most have gotten less than before.

For more on the history and inner-workings of Indiana school funding, check out our basics post: The basics of school funding in Indiana: Difficulty defining fairness.

names are in

Ten apply for vacant seat on the Memphis school board, but six live outside of seat’s district

PHOTO: Kayleigh Skinner
Former Shelby County Board of Education Chairwoman Teresa Jones confers with then Superintendent Dorsey Hopson during a 2015 school board meeting. Jones' seat is now up for an interim appointment.

Ten people have put their name in to become the next board member of Tennessee’s largest school district.

The appointee will fill the seat Teresa Jones vacated following her recent appointment as a municipal court judge, and would serve until the term expires in August 2020, not October as previously reported.

The interim member will join the school board at a crucial time, amid the search for a new superintendent to replace Dorsey Hopson, who left the district in December. Currently, Joris Ray is serving as interim superintendent.

Jones’ district 2 serves neighborhoods including North Memphis, Binghampton, and Berclair. Six applicants live outside of the district and Shelby County Commissioner Michael Whaley said this would likely prevent them from an appointment, but the commission is seeking clarity from the state and election commission.

Whaley also said the interim appointment was extended to August 2020 because Tennessee law doesn’t specify that special elections are necessary for the school board, so the interim will finish out Jones’ term.

The county commission is scheduled to name a successor on Monday Feb. 25, a day before the school board’s meeting that month. The commission is slated to interview candidates Wednesday at 10 a.m., but Whaley said more names could be added by commissioners prior to the vote on Monday We’ve linked to their full applications below.

Applicants are:

Althea Greene

  • She is a retired teacher from Memphis City Schools and childcare supervisor with Shelby County Schools. She is currently Pastor of Real Life Ministries.

Arvelia Chambers

  • She is a senior certified pharmacy technician with Walgreens. She said she’s a “passionate aunt” of three children in Shelby County Schools.
  • Her listed address is slightly north of District 2.

Aubrey Howard

  • He works as the executive director of governmental and legislative affairs in the Shelby County Trustee’s Office. He formerly worked for the City of Memphis, and said in his application that he previously ran for school board and lost.

Charles McKinney

  • He is the Neville Frierson Bryan Chair of Africana Studies and associate professor of history at Rhodes College. He is on the board of Crosstown High Charter School, and is the father of two Shelby County Schools students.

David Brown

  • He is the executive director of digital ministry at Brown Missionary Baptist Church and graduated from  Craigmont High School.
  • His listed address is slightly east of District 2.

Erskine Gillespie

  • Gillespie previously ran for City Council district 7 but lost. He is an account manager at the Lifeblood Mid-South Regional Blood Bank. He said in his application that he was one of the first students to enter the optional schools program in the Memphis district.

Kenneth Whalum, Jr.

  • He is a pastor at The New Olivet Worship Center and previously served as a school board member for the former Memphis City Schools; he was first elected in 2006. He has vocally opposed the process behind the 2013 merger of the city school system with legacy Shelby County Schools.
  • Whalum ran against school board member Kevin Woods in 2012 and lost.
  • His listed address is near the University of Memphis, not in District 2.

Makeda Porter-Carr

  • She is a research administrator at St. Jude Research Hospital.
  • Her listed address is in southeast Memphis, not in District 2.

Michael Hoffmeyer Sr.

  • He is the director of the University of Memphis’ Crews Center for Entrepreneurship in which he works with college and high school students. He graduated from Craigmont High School.
  • His listed address is slightly north of District 2.

Tyree Daniels

  • He helped found Memphis College Prep charter school. He lost to Jones in a school board race in 2012. Daniels is now a part of Duncan-Williams Inc. — the firm handling public financing for the project Union Row.
  • His listed address is in east Memphis, not in District 2.

new money

House budget draft sends more money to schools, but not specifically to teacher raises

PHOTO: Laura Faith Kebede/Chalkbeat

Despite months of heated debate, Indiana House Republicans are not setting aside extra dollars for meaningful teacher raises in their version of the state’s $14.5 billion education budget plan released Monday night.

Even though lawmakers are proposing preserving a controversial merit-based bonus pool and adding small amounts for teacher training programs, their budget draft would largely leave it up to school districts to dole out raises through increased overall funding.

The budget draft proposes increasing what Indiana spends on schools overall by $461 million — or 4.3 percent — through 2021, a little more than increases in years past. The basic per-student funding that all districts get would jump from $5,352 per student this year to $5,442 per student in 2020 and $5,549 per student in 2021. House lawmakers are also adding in a one-time payment of $150 million from state reserves that would pay down a pension liability for schools. But while lawmakers and Gov. Eric Holcomb have said that pension payment would free up about $70 million in schools’ budgets each year, the state likely wouldn’t require the cost-savings be passed along to teachers.

Although increasing teacher pay is a top goal for House Republicans, lawmakers have crafted bills that hinge on districts spending less money in areas such as administration or transportation rather than adding more money to school budgets and earmarking it for teacher salaries.

Their criticism of school spending has raised the ire of superintendents and educators who say they have little left to cut after years of increasing costs and state revenue that has barely kept pace with inflation.

But budget draft, which is expected to be presented to and voted on by the House Ways and Means Committee on Tuesday, doesn’t completely omit efforts to incentivize teachers to stick around. Unlike Holcomb’s budget proposal, House lawmakers are keeping in the current appropriation of $30 million per year for teacher bonuses.

The House budget draft would also set aside $1 million over two years for a teacher residency pilot program and $5 million over two years for schools that put in place career ladder programs that allow teachers to gain skills and opportunities without leaving the classroom.

Teacher advocacy groups, such as the Indiana State Teachers Association and Teach Plus, have been supportive of residency and career ladder programs, but the organizations have also called for more action this year to get dollars to teachers. Additionally, the ideas aren’t new — similar programs have been proposed in years past.

Calls for the hundreds of millions of dollars it would take to raise teacher salaries to be more in line with surrounding states will likely go unheeded for now as the state instead prioritizes other high-profile and expensive agencies, such as the Department of Child Services and Medicaid.

But while plans for major teacher pay raises appear to be on hold, House lawmakers are looking to boost funding in other areas of education to support some of the state’s most vulnerable students.

The budget draft would increase what the state must spend on preschool programs for students with disabilities from the current $2,750 per-student to $2,875 in 2020 and $3,000 in 2021 — the first such increase in more than 25 years.

House lawmakers are also proposing the state spend more money on students learning English as a new language, at $325 per student up from $300 per student now. While all schools with English learners would receive more money per student under this plan, the new budget draft removes a provision that had previously allocated extra dollars to schools with higher concentrations of English learners.

A 2017 calculation error and an uptick in interested schools meant state lawmakers did not budget enough money for schools with larger shares of English-learners in the last budget cycle, so they ended up getting far less than what the state had promised. But even the small increases were valuable, educators told Chalkbeat.

House lawmakers also suggested slashing funding for virtual programs run by traditional public school districts. Going forward, funding for both virtual charter schools and virtual schools within school districts would come in at 90 percent of what traditional schools receive from the state — now, only virtual charter schools are at the 90 percent level. It’s a marked change for House lawmakers, who in years past have asked that virtual charter school funding be increased to 100 percent.

The virtual funding proposal comes as lawmakers are considering bills that would add regulations for the troubled schools, where few students pass state exams or graduate.

The budget draft also includes:

  • $5 million per year added to school safety grants, totaling $19 million in 2020 and $24 million in 2021
  • Doubling grants for high-performing charter schools from $500 per student to $1,000 per student, at a cost of about $32 million over two years. The money is a way for charter schools to make up for not receiving local property tax dollars like district schools, lawmakers say.
  • $4 million per year more to expand the state’s private school voucher program to increase funding for certain families above the poverty line. Under the plan, a family of four making between $46,000 and $58,000 annually could receive a voucher for 70 percent of what public schools would have received in state funding for the student. Currently, those families receive a 50 percent voucher.
  • About $33 million over two years (up from about $25 million) for the state’s Tax Credit Scholarship program.