Presentation Transcript

1. Implications of 2776: New Basic Education Funding Formula For Business Managers

   Fall 2010
2. Purpose To provide school business managers and others a walk through of the new funding structure that will be implemented in September 2011.
3. Walk Away Questions As we go through this presentation, we encourage each of you to consider how this will affect your district’s: Budgeting (commencing January 2011). Communications with the community and legislators. Negotiations with bargaining groups. Decisions and conversations about resource equity.
4. 2261 – The Beginning SHB 2261 passed in 2009 Legislative Session. Established a major change in processes behind school district funding.
5. Schedule of Groups Workgroups were established to address various issues and report back to the QEC and the Legislature. Quality Education Council – Ongoing. Funding Formula Technical – Reported 12/09. Data Governance – Ongoing. Levy – Ongoing . Yet to be started: Compensation - Initial Report due 6/30/12.
6. Legislature and Governor OSPI and/or OFM Work Groups Quality Education Council (QEC) State Superintendent Governor Appointee SBE Member PESB Member AGOAC Member DEL Director Legislators (8) Professional Educator Standards Board State Board of Education
7. SHB 2776 Passed this spring and implements the new funding structure for education as proposed by the QEC and the FFTWG.
8. Key Provisions of 2776 Established the new funding structure commencing September 2011. Establishes crosswalk values from current funding levels (new structure no new dollars).
9. Prototypical School Funding Model
10. What is Prototypical School? Prototypical school is a fixed theoretical school size that is used for modeling purposes. Replaces the per 1,000 ratio paradigm currently used. As adopted in 2776, it is a scalable model. I.E. As enrollment increases or decreases from prototypical size, the staff units change proportionately.
11. 2776 – Prototype as a basis Funding formula assumptions are based upon a prototypical school and an assumed prototypical class size. Class size assumptions are different based upon grade and subject. Planning time for teachers is acknowledged in determination of class size. Future legislation is expected to direct changes to the assumed class size.
12. 2776 - Prototypical School Size In reality, school configurations vary widely and are not always consistent with the Prototype model.
13. How Enrollment is Used Funding is generated based on the student grade level rather than a school’s classification. When 6th grade is part of the middle school, the 6th grade students generate staff at the elementary funding level. When 9th grade is part of the middle school, the 9th grade students continue to generate staff at the high school funding level. Prototype allocations will be calculated based on districtwidegrade level enrollment.
14. 2776 – Prototypical Assumption of Class Size
15. Class Size to Teacher Conversion Converting the assumed class size to actual teachers is complex and is based upon standard state assumptions about: Student instructional hours per day. Teacher planning time. Instructional workload of each teacher.
16. 2776: School Level Classroom Teachers
17. Resulting Planning Time Assumed Instructional Day: Elementary School 5.6 Hours. Middle and High School 6 Hours. Assumed Planning Time: 13% for Elementary = 45 Minutes. 17% for Secondary = 60 Minutes.
18. 2776: Other Staffing in a School
19. District Level Funding
20. 2776: Districtwide Support
21. 2776: Central Administration Central Administration is 5.3% of staffing units generated as K-12 teachers, School Level Staffing, and Districtwide Support. The Central Administration percentage is NOT applied to enhancements. Examples include: Poverty, Lab Science, AP/IB, CTE, Skills Centers, or Categorical Program Staffing.
22. 2776: MSOC – Formerly Known as NERC MSOC values for Lab Science, CTE exploratory, CTE preparatory, and Skills Centers will be defined in the omnibus appropriations act.
23. MSOC Maintenance, Supplies, and Operating Costs. Transition is not cost neutral because districts have different proportions of K-3/4 to all other grades. MSOC values will be adjusted for inflation from the 2008-09 school year.
24. OtherFunding
25. The new formulas are based upon a staffing assumption for a program. The current funding structure provides $$ per student without conveying any staffing assumptions. Other Instructional Funding
26. Categorical Program Current Funding Current funding is based on dollars only. No detail about staffing or service delivery is provided. Difficult to determine what the legislature is actually funding.
27. 2776: Categorical Programs Calculated hours above are converted to staffing units for funding purposes. Assumes staff are allocated as teachers. Initially to be funded using statewide staff mix factor, but could convert to district specific staff mix in the future. Designed to be cost neutral.
28. Categorical Programs The Funding Remains Categorical Allocations: Funds must be used for those programs. Allocations only; districts can design program structure to meet student needs within governing rules and statutes.
29. Categorical Programs LAP: Poverty and Bilingual concentration factors are not continued. hold harmless provided to those districts in lieu of continuation of that formula component. Current groups headed by OSPI are developing new funding formula proposals for programs such as LAP and TBIP.
30. 2776: Special Education Special Education funding did not change.
31. Small Schools and Districts All districts should be funded using the same prototypical school models. A small school and small district allocation will be articulated with the same ratios for staff units and non-employee cost allocations as currently exists. Districts will receive the greater of the two allocations. Formula Blending – As the new funding formulas are phased in, there should be a constant check to assess the points at which regular prototype school funding provides equal or greater funding. Formula Integration – Small schools must continue to be considered in ongoing implementation discussions, such as Core 24 and local levy work group. Consider incentives or policy for small high schools to increase student participation in internet or distant learning programs.
32. What comes next? Looking Forward
33. SHB 2776 – A Work in Process 2776 provides a basis for a new funding structure. It does not present an immediate and complete package of change. Several areas are stubbed out for future decisions and implementations.
34. How Are New Resources Phased-in Under SHB 2776?
35. Salary Assumptions Have Not Changed - Assumed that staff in prototypical school categories would be grouped as certificated instructional staff, certificated administrative staff, and classified staff for salary purposes. Future changes are dependent upon future legislation. The compensation workgroup is addressing the structure of compensation. Initial report due June 30, 2012.
36. Enrollment Exception Prototype allocations will be calculated based on district-wide enrollment except for high poverty schools. Enrollment and free and reduced price lunch percentages shall be calculated at the school level. SHB 2776: The omnibus appropriations act will define an average class size for schools where more than 50% of students are eligible for free or reduced priced meals. Class size reductions in high poverty schools have not yet been established.
37. 2776 Build Out Legislation targets ending value for K-3 class size and MSOC. Establishes a poverty enhancement for schools with FRPL > 50%; however, it does not implement.
38. 2776: CTE and Skills Centers CTE and Skills Center pupil FTE are included in classified staffing calculations under school level staffing and districtwide support.
39. Transition of Formula: Hold Harmless SHB 2776 states that the Legislature intends that funding shall not be decreased below current levels. Per-pupil basic education funding. Funding streams are discretely held harmless. At the school district level.
40. For Allocation Purposes Only SHB 2776 states the distribution formula shall be for allocation purposes only. Nothing requires school districts to maintain a particular classroom teacher to student ratio or other staff to student ratio. Exception: Funds allocated to categorical programs (Learning Assistance, Special Education, etc.), continue to be restricted for use in programs. Districts/Schools determine their own structure for delivery of those services.
41. Accountability Once implemented, the new funding model will require of OSPI/Districts the following comparisons: Actual district staffing practices to the funded staff units by school and district level. Actual district expenditures to funded levels (MSOC)? These comparisons can be used to inform future policy and legislative decisions for funding level changes. These comparisons shall be available on a public website.
42. Open Technical Issues
43. OSPI - Implementation Timeline Tools & Training A projection model is now available on OSPI’s website for districts and others to project the new funding model at the school and district level. OSPI will continue training throughout the state on the structure and implications of the new funding model. Specific system training to be delivered as systems are brought on line.
44. OSPI - Implementation Timeline Systems Three key systems affected: Apportionment, School District Revenues Projection (F-203), and Staff Reporting. The initial F-203 system must be available to districts early spring 2011. The apportionment system must be fully revised, tested, and operational by September 2011.
45. Questions and Answers .
46. Web-Based Information: Models, Tools, & Reports
47. Prototypical Model Walk Through A live walk through of beta models to: Gain a working understanding of the new funding model. Perform funding projections for their districts/schools using the new funding algorithm. Meet the requirements under ESHB 2261 to post school building expenditure information. These models will be available on the School Apportionment website under a SHB 2776 link on left margin.
48. Staffing Unit Comparison Required under SHB 2776 section 12. OSPI must provide comparison such that, “…citizens are able to compare the state assumptions to district allocation decisions for each local school building.” Actual hiring patterns from S-275 to the prototypical model.
49. New 1191 Report Prototype The changes imposed by 2776 require a thoroughly restructured 1191 report for BEA. The 1191 report prototype contains the following: 1191. 1191 ED. 1191 EE, 1191 EM, 1191 EH. 1191 MSOC. 1191 SC. 1191 CTE.
50. 1191 Report Summarizes account 3100 revenues for BEA, while focusing on four main areas: Guaranteed School-Generated Entitlement. Guaranteed District-Generated Entitlement. Summary and Benefits. Guaranteed Entitlement .
51. 1191 ED Reflects student enrollment and calculated staff units at the district level, while focusing on three main areas: Student enrollment details. District staffing data. Formulated staffing units.
52. 1191 EE, 1191 EM, 1191 EH Calculates the staff units for each of the prototypical schools elementary (K-6), middle (7-8), and high (9-12). Elementary focuses on school-generated staff units. Middle and High focus on both school- generated and CTE staff units.
53. 1191 MSOC MSOC entitlement in account 3100 is based on the seven new categories at the district level in two different areas: Basic education entitlement based on the MSOC basic education rate. Categorical entitlement based on the potentially different MSOC rates for each program.
54. 1191 SC Focuses on Skills Center school level revenues broken down into the following categories: Certificated Instructional Staff. Certificated Administrative Staff. Staff Units Insurance, Payroll Taxes, and Benefits. Skills Center MSOC.
55. 1191 CTE Focuses on school-generated entitlement for Grades 7-8 CTE and 9-12 CTE. Both levels break down revenue from the following categories: Certificated Instructional Staff. Certificated Administrative Staff. Staff Units Insurance, Payroll Taxes, and Benefits. CTE MSOC.
56. Remaining Questions and Answers .