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A tale of two plans
School funding presents legislative challenges
new deh anthony hensley mug
Senate Minority Leader Anthony Hensley, D-Topeka

A school funding plan unveiled by legislative Democrats in Topeka Tuesday met with a much warmer response from local education officials than did an earlier one floated by Republican Gov. Sam Brownback. However, the dueling plans could help set the stage for a contentious legislative session.
The Democrats said they want to spend some of the state’s expected revenue surplus to restore funding to Kansas public schools that has been cut in recent years. The governor proposes shifting more of the funding from the state to the local level.
The Democratic plan proposed by Senate Minority Leader Anthony Hensley, D-Topeka, calls for increasing school funding by $45 million in the 2012-13 school year, $45 million more in 2013-14 and $90 million more in 2014-15. It also provides for an increase in the base state aid per pupil for the 2012-13 school year of $66.75 ($3,780 to $3,846.75), an additional increase of $66.75 ($3,846.75 to $3,913.50) for the 2013-14 school year, and in the year 2014-15  a further increase of $133.50 ($3,913.50 to $4,047).
 The proposal also leaves in place weighting mechanisms which offer additional state aid based on certain demographic factors, such as at-risk, English Language Learners and transportation, which are targeted by the Brownback plan. “These provide additional resources to support student learning,” said Dan Brungardt, business director for Great Bend-based Unified School District 428. 
The proposal is in stark contrast to Republican Gov. Sam Brownback’s desire to rewrite the school finance formula and place more responsibility for education funding on local boards of education which utilize property taxes to generate revenue.
The governor’s staff Dec. 14 outlined its new school finance formula, the first major revision in nearly two decades. Brownback’s proposed budget will include an additional $24 million during the current fiscal year and $21 million during fiscal 2013 to keep base state aid for public schools at the current $3,780 per pupil.
“There is a distinct contrast between the two plans,” said Sherriene Jones-Sontag, Brownback’s press secretary. “The difference is we believe that local parents working with local administrators and local school boards is the best way to make spending decisions to meet the needs of local children.”
That includes the ability of local communities to lower their local mill levee as they see fit, she said. “Under the governor’s proposal, many of our struggling rural communities could choose to lower their mil levee rate and still maintain the same level of education funding from the previous year.”
However, Democrats say their plan is a better alternative for several reasons, including the governor’s desire to  eliminate the weighting. They also argue that state spending on schools will be capped at the 2012-13 funding level and the state’s 283 school districts would be forced to raise local property taxes to keep up with rising costs. Democrats said that those increases might not improve education but only allow school districts to keep up with inflation.
Brungardt said the Democratic plan also does not eliminate state equalized funding like the governor’s proposal. “Equalized funding is very important to Unified School 428.”
In 1992, following a successful suit filed against the state by a group of mid-sized school districts, Kansas adopted a school funding reform that redistributed (equalized) funding among schools districts. “This change in funding was of benefit to both the students and the taxpayers of USD 428 in Great Bend.”
If state funding becomes unequalized again, USD 428 would again be at a disadvantage, Brungardt said. “USD 428 and similar poorer districts with low valuations per pupil will be more disadvantaged when trying to cope with increased fixed cost and increased staff cost than districts with a higher valuation or smaller enrollments.”
In 2010-11, USD 428 received $45.63 per 1 mill raised by local property taxes. Districts with smaller enrollments or higher valuation received up to $110-$115.00 per student, he said.
For example, in 1991-92, prior to the suit, USD 428’s general fund mill levy was 66.068 mills which generated $5.7 million. In that year, the state’s contribution was about $5 million which netted the district $3,199.11 per pupil.
However, the following year, after the suit, the levy was 32 mills. That brought in about $2.7 million which combined with $9.6 million in state funds, allowing $3,593.18 per student.
“There is no reason to overhaul a school finance formula that has already withstood the muster of the Kansas Supreme Court,” said House Minority Leader Paul Davis of Lawrence. “The Legislature simply needs to hold up its end of the bargain and fund the formula properly.”
An Associated Press analysis of Brownback’s plan found that while it provides “modest” state funding increases to many of the state’s rural districts, it provides no additional funding to more densely populated districts that hold 75 percent of the state’s students.
But, some of the rural districts that would receive more funding under the plan are still concerned they surpassed by districts with high property values that can generate more local revenue.
Brownback also is planning to announce a tax package that is expected to call for reductions in income taxes for businesses and individuals, part of his plan to improve the state’s economic climate. Democrats said the priority is misplaced.
“Republicans want to give our surplus revenue to corporations who already aren’t paying their fair share,” said Hensley said. “Democrats value public education, and we want the state budget to reflect that by using extra state revenue to make an investment in our children’s future.”
In addition, Democrats want to restore a program that sends revenue to cities and counties to lower property tax rates. They propose giving local governments $45 million in the coming year, also from the state’s reserves.
Legislators eliminated the revenue-sharing program with cities and counties in 2004 as they sought to balance the state budget in the wake of a recession.
It’s too early to predict an outcome, Brungardt said. “The legislative session has just begun and there will probably be lots of different proposals before the session is finished.”
The 90-day 2012 legislative session started Monday.
The Associated Press contributed to this story.