Manar unveils new school funding plan
Tuesday, Apr 5, 2016 - Posted by Rich Miller
* Sen. Andy Manar had a press conference this afternoon to discuss his new legislation…
A new school funding formula could land in the Illinois Senate as soon as Tuesday, and while it would shift money from the wealthier districts to the poorer ones, unlike in several ill-fated earlier proposals, the cuts would be phased in over four years, Senate President John Cullerton said Monday. […]
The cash-strapped Chicago schools could come out with an additional $300 million — about $200 million for pension costs plus an additional $100 million in state aid, Cullerton said. That’s even if special block grants to Chicago Public Schools go away, he said. Right now, CPS is projected to lose about $78 million next year.
Cullerton had few details about the actual formula. He said the Illinois State Board of Education would have to run numbers for each school district to see whether they would gain or lose state money allocated for poor children. None would lose money the first year, but that would cost the state an extra $400 million, Cullerton said. Further losses would phase out over three more years.
So, essentially, CPS would get $100 million of that $400 million, then an additional $200 million for pension costs, bringing it more in line with other school districts in the state. Total first year cost: $600 million. Pretty steep pricetag without any new revenues.
That $400 million number could actually be less, or even more. We don’t know because the Senate Dems are complaining that the State Board of Education isn’t running any numbers (the governor’s included) by school district.
* And the Senate Republicans continue to refer to this idea as a city bailout…
- RNUG - Tuesday, Apr 5, 16 @ 2:04 pm:
When you include the pension money, it increases school funding, something Rauner SAYS he wants.
Maybe the GOP haven’t gotten the memo yet with their voting instructions?
- Hit or Miss - Tuesday, Apr 5, 16 @ 2:12 pm:
===None would lose money the first year, but that would cost the state an extra $400 million, Cullerton said.===
Illinois 1) has billions of dollars of unfunded pension debt, 2) billions of dollars of unpaid bills, and 3) is running a deficit for the current year. Where will the “extra $400 million” come from? If there is an “extra $400 million” available would it not be better for the state to pay what it currently owes and not make promises to spend money that it does not have?
- Ahoy! - Tuesday, Apr 5, 16 @ 2:13 pm:
Heck, if we’re just spending money without a way to pay for it, let’s throw in a couple more million. If we’re going to pretend to fix our problems, let’s really pretend let’s at least dream big!
- winners and losers - Tuesday, Apr 5, 16 @ 2:17 pm:
Until we see Manar’s amendment we do not know what it will do. Until now Manar has taken money away from special education to fund his increase in General State Aid.
Now he wants $600 million in new money, $300 million of that for Chicago, and $300 million in hold harmless for all other school districts (but hold harmless for ONLY one year).
But this is NOT just about money. Taking away dedicated and specific money for special education by eliminating the State laws requiring just that (such as the $9,000 in State funding for each special education teacher) in favor of a special education formula block grant will have all the problems of the CURRENT Chicago special ed block grant.
Now in Chicago, CPS can fire 1/2 of its special ed teachers and still receive exactly the same amount of money in its special ed block grant.
- Chicago taxpayer - Tuesday, Apr 5, 16 @ 2:18 pm:
Good for Manar, and smart. Chicago and suburban and downstate districts with large numbers of low-income children are in the same boat–all are getting hosed by the current formula. Decatur, Aurora, East Moline, Peoria etc. Chicago lost $100 million last year and is line to lose the same amount this year. By tying them together, he can build a coalition.
As far as the GOP’s “Chicago bailout” mantra, how is it a bailout? If you give Chicago the same treatment as the rest of the state, and they get in trouble, then it’s a bailout. But when you give Chicago 70 percent of what the rest of the state gets, its called discrimination.
- walker - Tuesday, Apr 5, 16 @ 2:25 pm:
Devil will be in the details.
The GOPers are a little stuck here. It could help downstate districts and harm the wealthier suburban ones. The Republican power bases. Better to focus on being anti-Chicago for now.
- JS Mill - Tuesday, Apr 5, 16 @ 2:40 pm:
=Good for Manar, and smart. Chicago and suburban and downstate districts with large numbers of low-income children are in the same boat–all are getting hosed by the current formula. Decatur, Aurora, East Moline, Peoria etc. Chicago lost $100 million last year and is line to lose the same amount this year. By tying them together, he can build a coalition.=
You need to further your “research” a bit. They may be losing more per cap because of their higher reliance on state aide but they are getting much more state aid than others. Some “poor” districts, even with the reduced state aide, are doing well financially with annual budget surpluses. That has to change as well and non of Manar’s plan ever addressed it, I doubt this one will.
Walker stated it- the devil is in the details- Manar’s plan is simply redistributing a limited pool or reduced pool of funds (yes, he says maybe $400 million more this time) but what outcome is he trying to drive here? Simply more funds to so-called poor districts?
How about a plan that is driven by measurable outcomes instead? One that is based on specific desirable educational characteristics that are data and research driven? Instead of a plan that is constantly tweaked to garner votes, basically a plan motivated by a political outcome versus a learning outcome.
Manar seems to be resume building for a run at higher office versus producing/supporting some real educational metrics. Because of that, or for that reason, his plan is focused solely on dollars not a positive student result.
- D.P.Gumby - Tuesday, Apr 5, 16 @ 2:44 pm:
Why is Ill GOP taking talking points from Mitch McConnell instead of actually saying something meaningful?
- jim - Tuesday, Apr 5, 16 @ 2:47 pm:
Is it too much to first look at and study the impact of the plan before deciding how brilliant the Dems’ strategy for putting the GOP on the defensive is?
- Cassandra - Tuesday, Apr 5, 16 @ 3:19 pm:
Which are the “wealthier” districts and how much would they lose. Until we find out, it’s all speculation. But if a lot of money is needed, the “cuts” could be significant.
Seems to me that this general approach has been proposed before and the outcry from the “wealthy” districts was sufficient to derail it. Would delaying the implementation until after the election reduce the political risk? Maybe, but if the residents of the lose-money districts have to start raising property taxes, such changes could be harder to forget.
- Harry - Tuesday, Apr 5, 16 @ 3:22 pm:
- JS Mill - Tuesday, Apr 5, 16 @ 2:40 pm:
== They may be losing more per cap because of their higher reliance on state aide but they are getting much more state aid than others.==
Not after you figure what CPS pays for Teachers’ pensions, that the State pays for everyone else.
- Ottawa Phil - Tuesday, Apr 5, 16 @ 3:23 pm:
Watch suburban Democrats on this one.
Here’s a question worth asking. When was the last time Chicago actually went to its voters and asked, via a referendum question, for additional revenue from its stakeholders for its schools? I’ll bet it’s been 50 plus years since that happened. But when you look at the Chicago’s real estate taxes, they are incredibly low. So before legislating more money to CPS from the suburbs (where referendums occur regularly) maybe Chicago ought to fend for itself first.
- Formerly Known As... - Tuesday, Apr 5, 16 @ 3:35 pm:
==the cuts would be phased in over four years==
Taking $ away from any children’s education will stir up vocal opposition in those areas. Again. Proposing to spend an extra $600 Mill in the first year alone, without any additional funding source, will stir up vocal opposition statewide.
It’s like the pension theft attempt. How many times do we have to learn the same lesson on pension reform or education reform? Stiffing pensioners and children is not good government.
- Tone - Tuesday, Apr 5, 16 @ 3:36 pm:
All pension obligations should be pushed to the school districts that created them. Municipal bankruptcy should be allowed for those districts that can’t afford the outrageous benefits. CPS included.
- Blue Bayou - Tuesday, Apr 5, 16 @ 4:03 pm:
Ottawa Phil
Link?
- RNUG - Tuesday, Apr 5, 16 @ 4:11 pm:
== All pension obligations should be pushed to the school districts that created them. ==
Technically, the State created the obligations by defining TRS and then failing to properly fund it.
However, I could get on board with pushing current normal pension expenses onto the local school district. Just recognize it will mean either a large increase in State aid to schools or a massive property tax increase.
- JS Mill - Tuesday, Apr 5, 16 @ 4:13 pm:
=Not after you figure what CPS pays for Teachers’ pensions, that the State pays for everyone else.=
Actually, they still do because of the block grant and PTELL adjustment cut that CPS get right off of the top,
In addition: CPS is the ONLY district in the state that can levy (tax) specifically for the pension, a level of local capacity that no other district in Illinois enjoys. Furthermore, Cook County residents property tax is based on an equalized value that is more than 50% less than every other county in the state. Chicago and Cook County need to access the same level of local capacity as everyone else.
- JS Mill - Tuesday, Apr 5, 16 @ 4:13 pm:
=outrageous benefits.=
Nice to have you commenting on the blog Governor Rauner.
- m - Tuesday, Apr 5, 16 @ 4:22 pm:
It’s not treating Chicago the same when you re-design a formula until your variables give Chicago more money. Somebody else could make a formula that cuts Chicago. What drives the formula and how it works are what’s important.
- Anonymous - Wednesday, Apr 6, 16 @ 9:08 am:
As Crain’s says, ‘Google maps says this bill is going nowhere’