Funding Oregon’s Future

Michael ElliottState School Fund Coordinator

Oregon Department of Education

Introduction

• History• Philosophy• Revenue• Disbursements• Formula• Supplemental Revenue

HistoryK-12 Funding 1990-2017*

*2015-2017 Estimated

1990-91

1991-92

1992-93

1993-94

1994-95

1995-96

1996-97

1997-98

1998-99

1999-00

2000-01

2001-02

2002-03

2003-04

2004-05

2005-06

2006-07

2007-08

2008-09

2009-10

2010-11

2011-12

2012-13

2013-14

2014-15

2015-16

2016-17

0

1

2

3

4

5

6

Total Funding

State Funding

Local Funding

History

1990-91

1991-92

1992-93

1993-94

1994-95

1995-96

1996-97

1997-98

1998-99

1999-00

2000-01

2001-02

2002-03

2003-04

2004-05

2005-06

2006-07

2007-08

2008-09

2009-10

2010-11

2011-12

2012-13

2013-14

2014-15

2015-16

2016-17 $-

$1,000.00

$2,000.00

$3,000.00

$4,000.00

$5,000.00

$6,000.00

$7,000.00

$8,000.00

$9,000.00

Total K-12 Formula Funding per ADMw

History

1990-91

1991-92

1992-93

1993-94

1994-95

1995-96

1996-97

1997-98

1998-99

1999-00

2000-01

2001-02

2002-03

2003-04

2004-05

2005-06

2006-07

2007-08

2008-09

2009-10

2010-11

2011-12

2012-13

2013-14

2014-15

2015-16

$-

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

$4,000

$4,500

Total K-12 Formula Funding Inflation-Adjusted Per ADMw

Philosophy

Discussion:1. Is the formula a distribution formula or a

spending formula and what is the difference?2. Is the formula based on equity or equality

and what is the difference?

Philosophy

Philosophy

Other Equities in Formula:• District Equity• District & ESD Equity

Philosophy

Formula is NOT:• Cost reimbursement• Entitlement• Guaranteed• Accountability System

Philosophy

Questions?

Revenue

Current State and Local Revenue

2015-17 Biennium

State Revenue,67.1%

Local Rev-

enue, 32.9%

13

State School Support2015-17 Funding Level (estimated millions)

2015-16Estimated

2016-17Estimated

State Revenue $3,617 $3,747

Local Revenue $1,728 $1,860

Total SSF $5,345 $5,607

State Revenue ($7.37 B)

General Fund; 95.24%

Lottery Funds, 4.71% Other Funds; 0.04%

Local Revenue

Property Tax; 94.5%

Common School Fund*; 3.7%

State Timber (Ch 530); 1.0%

Other, 0.7%

Local Revenue

Stays with the district where collected

Local Revenue

Formula

Disbursements

ProgramsSub-Grants

Programs

• Tag support at ODE - $175,000• Speech Pathology Program - $75,000• Network of Quality Teaching and Learning -

$22,500,000• Local Option Equalization Grant - $1,767,791• Skill Nursing Facility ~ $2,600,000• Long Term Care and Treatment ~ $11,500,000• Oregon School for the Deaf ~ $1,500,000• Oregon Virtual School District - $800,000

Sub-Grants

• Transportation Grant• High Cost Disability Grant• Facility Grant• Small High School Grant

Transportation GrantTransportation Grant from 2005-06 to 2015-16*

*2014-15 and 2015-16 Estimated

2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 $-

$50,000,000

$100,000,000

$150,000,000

$200,000,000

$250,000,000

Disbursements

WeightsCategory Weight Amount

Average Daily Membership (ADMr) 1.0

Special Education 1.0

Special Education above 11% Cap Variable

ESL 0.5

Poverty 0.25

Neglected/Delinquent/Foster 0.25

Pregnant and Parenting 1.0

Small High School Correction Variable

Remote Small Elementary School Correction Variable

Weights

School district has the following students:1. 1,000 ADMr2. 100 eligible for Special Education3. 200 ESL4. 100 PovertyWhat is the total weight?

WeightsDistrict has following students:1. 1,000 ADMr2. 200 IEP3. 50 ESL4. 250 Poverty5. 50 Neglected/DelinquentTotal Weights?

Weights

Assume a per student funding of $6,8001. How much does District #1 get?2. How much does District #2 get?

Extended ADMw

YEAR vs YEAR

Extended ADMw

The first year’s ADMw is 1,225 and the second year’s ADMw is 1,210, and the per student funding is $6,800. How much will the district receive?

Teacher Experience

District Average – State Average

Positive or Negative

Actual Formula

𝐸𝑥𝑡𝑒𝑛𝑑𝑒𝑑 𝐴𝐷𝑀𝑤∗ ($ 4,500+($25∗ h𝑇𝑒𝑎𝑐 𝑒𝑟 𝐸𝑥𝑝𝑒𝑟𝑖𝑒𝑛𝑐𝑒𝐷𝑖𝑓𝑓𝑒𝑟𝑒𝑛𝑐𝑒 ) )∗𝑅𝑎𝑡𝑖𝑜

TimelineMonth Action

December of prior year School District Business Managers submit estimates of the year’s attendance and local revenue

First Monday in March Official Estimate for upcoming year published

March through July Estimates are updated

July 15th First State School Fund payment made

July through January Monthly payments made with update possible

January/February/March/April Update ADM and Local Revenue data

May Last payment made

May of following year Reconciliation

Revenue Outside the Lines

Local Option TaxMeasure 5 Limit

Measures 47 & 50 Limit

Local Option Tax

Revenue Outside the Lines

Construction Excise Tax• New construction only• Funds for capital improvements• $1 for residential • $0.50 for non-residential• $25,000 cap

Reporting

• Annual independent audit• File budget and audit with ODE• Other required collections

Questions?

Michael ElliottOregon Department of Education503-947-5627Michael.s.elliott@state.or.us