School Funding: Facts and Figures

A library of PowerPoint slides compiled by

the Association of Metropolitan School Districts

Kevin Sampers, Research Director

651-999-7327

ksampers@amsd.org

Research LibraryClick to:

Section 1: General Education Funding TrendsSection 2: Special EducationSection 3: ELL/LEP/Language DiversitySection 4: Child Poverty and MobilitySection 5: Referenda

Research Library

Section 1: General Education Funding Trends

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Basic Formula Allowance is Lagging Behind Inflation

Source: Minnesota House Research, "Education Funding: A History of Funding Increases and Reductions," March 2006, session documents, 2007. Inflation measure used is the implicit price deflator (“IPD”), from the Bureau of Economic Analysis. The formula gap represents the difference between the net formula allowance and the 1991-2 funding levels adjusted for inflation.

3,0

50

3,0

50

3,0

50

3,0

50

3,1

05

3,1

05

3,1

81

3,2

60

3,4

27

3,5

84

3,6

88

3,7

92

3,7

92

3,7

92

3,9

74

4,1

65

4,2

65

4,3

15

62138

221255 329

318297

235

244

250

244407

588

690

738

890

1,087

2,500

3,000

3,500

4,000

4,500

5,000

5,500

1991

-92

1992

-93

1993

-94

1994

-95

1995

-96

1996

-97

1997

-98

1998

-99

1999

-200

0

2000

-01

2001

-02

2002

-03

2003

-04

2004

-05

2005

-06

2006

-07

2007

-08

2008

-09

School Year

Formula Gap

Net Formula Allowance

Minnesota Per-Pupil Revenue Trends, FY1984-2006Adjusted for Inflation

Source: Minnesota House Research, “School District Revenue History,” July 2007; AMSD analysis.

$3

,05

0

$3

,18

1

$3

,26

0

$3

,42

7

$3

,58

4

$3

,68

8

$3

,79

2

$3

,79

2

$3

,79

2

$3

,97

4

$4

,16

5

$4

,26

5

$4

,31

5

$3

,10

5

$4,036

$4,199

$4,380

$4,664

$4,903

$5,155

$5,402

$4,148$4,238

$4,366

$4,058

$4,641

$4,532

$4,736

$3,000

$3,500

$4,000

$4,500

$5,000

$5,500

1991

-92

1992

-93

1993

-94

1994

-95

1995

-96

1996

-97

1997

-98

1998

-99

1999

-200

0

2000

-01

2001

-02

2002

-03

2003

-04

2004

-05

2005

-06

2006

-07

2007

-08

2008

-09

Net Formula Allowance

(IPD) Inflation-Adjusted 1991-92 Funding Level

(CPI) Inflation-Adjusted 1991-92 Funding Level

General Education Formula History 2008

Source: AMSD Analysis of Department of Education 2009 What If Report. AMCPU = Adjusted Marginal Cost Pupil Unit

2009 General Education Revenue per AMCPU(Without Basic Education Aid)

0

500

1,000

1,500

2,000

2,500

3,000

3,500

Greater MNDistricts < 500

AMCPU

Greater MNDistricts 500-1000

AMCPU

Greater MNDistricts 1000-2000 AMCPU

Greater MNDistricts >2000

AMCPU

Metro Districts NotMpls or St. Paul

Mpls & St. Paul

REFERENDUM

OPER CAPITAL

TRANSITION

EQUITY

TRN & EXP

TRANSP SPAR

SPARSITY

LEP TOTAL

COMPENSATORY

EXTENDED TIME

GIFTED & TALENT

ONE TIME

Source: AMSD Analysis of Department of Education 2009 What If Report. AMCPU = Adjusted Marginal Cost Pupil Unit

2009 General Education Revenue per AMCPU(Without Basic Education Aid and Referendum Revenue)

0

500

1,000

1,500

2,000

2,500

Greater MNDistricts < 500

AMCPU

Greater MNDistricts 500-1000

AMCPU

Greater MNDistricts 1000-2000 AMCPU

Greater MNDistricts >2000

AMCPU

Metro Districts NotMpls or St. Paul

Mpls & St. Paul

OPER CAPITAL

TRANSITION

EQUITY

TRN & EXP

TRANSP SPAR

SPARSITY

LEP TOTAL

COMPENSATORY

EXTENDED TIME

GIFTED & TALENT

ONE TIME

FY 2009 General Ed Funding for AMSD Districts Per AMCPU: Aid and Levy

(Ranked Among Minnesota’s 343 School Districts)

Source: Minnesota Department of Education, WhatIf 2009, AMSD analysis.

Num District Aid / AMPCU Aid Rank Levy / AMPCU Levy Rank

Total Rev / AMPCU Total Rank

271 BLOOMINGTON 5,534$ 292 1,313$ 28 6,848$ 138286 BROOKLYN CENTER 6,737$ 61 448$ 219 7,185$ 95191 BURNSVILLE 5,736$ 244 1,804$ 11 7,540$ 57112 CHASKA 5,426$ 318 1,284$ 30 6,711$ 165272 EDEN PRAIRIE 5,465$ 312 1,531$ 17 6,997$ 117273 EDINA 5,206$ 338 1,787$ 13 6,993$ 118728 ELK RIVER 5,509$ 301 802$ 103 6,312$ 264

14 FRIDLEY 6,067$ 162 1,100$ 49 7,168$ 98270 HOPKINS 5,571$ 282 1,841$ 9 7,412$ 66199 INVER GROVE 5,397$ 324 1,133$ 46 6,529$ 208832 MAHTOMEDI 5,288$ 333 1,201$ 40 6,489$ 2211.2 MINNEAPOLIS 7,143$ 33 1,222$ 37 8,365$ 18

276 MINNETONKA 5,358$ 330 2,029$ 5 7,387$ 70621 MOUNDS VIEW 5,611$ 275 1,790$ 12 7,401$ 68622 NORTH ST. PAUL-M 5,746$ 239 1,192$ 41 6,938$ 124278 ORONO 5,215$ 337 1,500$ 20 6,715$ 164280 RICHFIELD 6,239$ 127 1,378$ 26 7,618$ 52281 ROBBINSDALE 5,695$ 252 1,119$ 47 6,814$ 142196 ROSEMOUNT-APPLE 5,389$ 326 1,263$ 32 6,651$ 181623 ROSEVILLE 5,590$ 278 1,806$ 10 7,396$ 69720 SHAKOPEE 5,624$ 271 836$ 95 6,460$ 227

6 SOUTH ST. PAUL 5,891$ 205 1,001$ 61 6,893$ 12716 SPRING LAKE PARK 5,569$ 285 1,098$ 50 6,667$ 177

282 ST. ANTHONY-NEW 5,718$ 247 1,147$ 44 6,865$ 136283 ST. LOUIS PARK 5,647$ 265 1,884$ 6 7,532$ 59625 ST. PAUL 7,178$ 31 954$ 67 8,132$ 27284 WAYZATA 5,411$ 320 1,711$ 14 7,122$ 102197 WEST ST. PAUL 5,553$ 289 1,446$ 21 6,999$ 116

Minnesota Per-Pupil Revenue Trends, FY1984-2006Adjusted for Inflation

Source: Minnesota House Research, “School District Revenue History,” July 2007; AMSD analysis.

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

$8,000

$9,000

$10,000

$11,000

$12,00019

8419

8519

8619

8719

8819

8919

9019

9119

9219

9319

9419

9519

9619

9719

9819

9920

0020

0120

0220

0320

0420

0520

06

Total Revenue

Without Building Debt Serviceand Special Education

Inflation Adjusted

Since State “Takeover” in 2002, Local Share of Total Revenue Has Increased

Source: Minnesota House Research, January 2007.

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%19

94-5

1995

-6

1996

-7

1997

-8

1998

-9

1999

-200

0

2000

-01

2001

-02

2002

-03

2003

-04

2004

-05

2005

-06

2006

-07

2007

-08

2008

-09

Local

State

Minnesota’s Rank in Education Spending Relative to $1,000 of Personal Income Has Plunged Since 1992

Source: U.S Census Bureau: Public Education Finances Reports, fiscal years 1992-2005. 2005 is the most recent available.

0

10

20

30

40

50

1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06

Total Spending

Total Instruction

General Admin

School Admin

Minnesota’s Spending Per $1,000 of Personal Income Has Plunged Since 1992

Source: U.S Census Bureau: Public Education Finances Reports, fiscal years 1992-2005. 2005 is the most recent available.

$0.0

$5.0

$10.0

$15.0

$20.0

$25.0

$30.0

$35.019

92

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

Fiscal Year

Spen

ding

Per

$1,00

0 Per

sona

l In

com

e

TotalInstruction

Salaries Only

Benefits Only

GeneralAdministration

SchoolAdministration

Minnesota Property Tax Rank Now Close to Average

0

5

10

15

20

25

30

35

40

45

1995 1998 2000 2002 2004 2005 2006

Ran

k A

mon

g 50

Sta

tes

Homestead $150KCommercial $1 MillionIndustrial $1 MillionApartments $600K

Source: Minnesota Taxpayers Association, “50-State Property Tax Comparison Study, Payable Year 2006,” viii.

Example of How Declining Enrollment Affects a Metro School District: Revenue Change Due to

Enrollment Decline

2005-06 2006-07 2007-08

Projection

Enrollment Est. 10,734 10,466 10,256 General Ed. Rev. 73,049,74473,823,339 75,197,234

% Change 1.0% 1.9%Simulation

Enrollment 10,734 10,73410,734 General Ed. Rev.73,049,744

75,166,698 78,219,810 % Change2.8% 4.0%

Revenue Change -1,343,359-3,022,576

Example of How Declining Enrollment Affects a Metro School District: Expenditure Reductions due

to Enrollment Decline

2005-06 2006-07

Enrollment Est. 10,734 10,466

Change -268

Student/Teacher Ratio 25:1

Staff Reduction 10.7

Beginning Teacher Compensation $45,000

Cost Savings (10.5 x $45,000) $481,500

Revenue Loss $1,343,359

Net Loss $858,359

Truth in Funding: The 2008 Legislature

Total Funding Increase from Prior Year

Source: Minnesota House Research; AMSD analysis.

3.14%

1.14%

-0.41% -0.14%

2.38%

0.62%

0.21%0.66%

0.77%

0.68%

-1.37%

0.00%

-3.00%

-2.00%

-1.00%

0.00%

1.00%

2.00%

3.00%

4.00%

5.00%

6.00%

7.00%

FY 200

8

FY 200

9

FY 201

0

FY 201

1

One time Funding

Special Education

General Education

6.29%

2.44%

-1.57%

0.52%

Research Library

Section 2: Special Education

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Special Education Cross Subsidy was Reduced, but, is Still Significant and Growing

Source: Dr. Tom Melcher, “2007 Education Act, Finance Provisions,” address to MASBO legislative conference, June 7, 2007. The cross subsidy represents the funding districts devote to meeting state

and federal special education mandates, using general education (core program) dollars.

$300

$350

$400

$450

$500

$550

2005 2006 2007 2008 2009

Fiscal Year

$ M

illio

ns

Special Education Enrollments Are Increasing

Source: MDE Fall Enrollment Reports, K-12, 1997-8 through 2006-7 school years.

State K-12 Special Education

93,3

62 96,3

22

98,0

89

99,7

27

100,

630

101,

923

102,

952

103,

516

103,

911

105,

336

106,

637

85,000

90,000

95,000

100,000

105,000

110,000

97-98 98-99 99-00 00-01 01-02 02-03 03-04 04-05 05-06 06-07 07-08

10.0%

10.5%

11.0%

11.5%

12.0%

12.5%

13.0%

13.5%

Special Education

% Special Education

Special Education Cross-Subsidy FY 2007 (Latest Available)(Amount shifted from District’s General fund to cover Special Education costs not covered by the

State)

Source: Minnesota Department of Education, Special Education Cross-Subsidy Report by District, February 2007. The cross subsidy represents the funding districts devote to meeting state and federal

special education mandates, using general education (core program) dollars.

District District Adjusted Net District District Adjusted Net

Number Name Cross Subsidy* Number Name Cross Subsidy*

271 Bloomington $6,243,328 $514 832 Mahtomedi 1,483,311 413

286 Brooklyn Center 885,064 440 1 Minneapolis 44,408,735 1,092

191 Burnsville 9,407,235 782 276 Minnetonka 4,573,989 508

112 Chaska 5,154,224 510 621 Mounds View 6,553,667 554

272 Eden Prairie 6,222,641 548 622 North St. Paul-Maplewood 6,276,617 456

273 Edina 4,608,124 529 278 Orono 1,424,526 472

728 Elk River 8,022,734 594 280 Richfield 2,765,795 574

14 Fridley 1,642,316 549 281 Robbinsdale 6,837,734 439

270 Hopkins 4,392,151 471 196 Rosemount-Apple Valley - Eagan 21,184,278 659

199 Inver Grove 9,407,235 782 623 Roseville 3,713,126 490

720 Shakopee 3,697,057 544

* Calculation of Adjusted Net Cross-Subsidy: 6 South St. Paul 1,537,254 403

16 Spring Lake Park 2,198,707 417

Special education expenditures 282 St. Anthony-New Brighton 489,995 244

Less: Categorical revenues 283 St. Louis Park 2,702,484 544

Less: General ed revenue attributable to special ed students 625 St. Paul 43,046,042 935

served more than 60% outside of regular classroom. 284 Wayzata 4,637,549 402

= Adjusted Net Cross-Subsidy 197 West St. Paul 3,613,703 684

AMSD Total $217,129,621

State Total $548,363,835

Per WADM Per WADM

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Section 3: English Language Learners (“ELL”) and Language Diversity

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The Number of ELL Students Statewide Has Increased Over 131% Since 1998

Source: MDE Fall Enrollment Reports, K-12, 1997-8 through 2006-7 school years.

State K-12 Limited English Proficiency

26,9

36

31,5

76

35,8

10 44,3

60

47,9

63

51,2

75

53,5

07

56,8

29

57,6

65

61,7

09

62,6

26

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

97-98 98-99 99-00 00-01 01-02 02-03 03-04 04-05 05-06 06-07 07-08

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

Limited English Proficiency

% Limited English Proficiency

ELL Students Growing as Percentage of Total Enrollment,

Particularly in Metropolitan Area

Source: Minnesota Department of Education, Fall Population data, 2006-7 school year (latest available).

AMSD Districts - Demographics13

,993

15,7

75

16,9

81

17,6

18

18,9

18

20,4

74

21,9

19

23,5

58

25,3

93

27,7

82

29,4

21

30,6

41

31,0

64

31,1

22

30,6

46

29,9

20

29,1

46

29,7

76

29,7

91

3,98

1

4,36

0

4,71

0

5,02

8

5,61

1

6,28

7

7,08

2

8,02

5

9,16

3

10,2

66

11,4

09

13,0

37

14,8

34

16,6

98

18,3

82

19,8

03

21,1

02

22,5

71

20,1

71 21,5

69

23,4

46

24,3

03 26,7

24 29,2

81 31,7

48 34,1

96 37,0

88 39,4

29 40,4

85

41,3

94 43,7

69

44,9

86

45,4

64

46,2

11

46,6

52

47,2

46

48,4

3324

,020

185,891

206,284

-

20,000

40,000

60,000

80,000

100,000

120,00088

-89

89-9

0

90-9

1

91-9

2

92-9

3

93-9

4

94-9

5

95-9

6

96-9

7

97-9

8

98-9

9

99-0

0

00-0

1

01-0

2

02-0

3

03-0

4

04-0

5

05-0

6

06-0

7

150,000

160,000

170,000

180,000

190,000

200,000

210,000Black

Hispanic

Asian Pacific Islander

American Indian

White

Number of Languages Spoken at Home by Minnesota’s Students Continues to Rise

Source: Minnesota Department of Education, analysis of MARSS data, 1996-7 to 2006-7.

6568 68

7073

76 76 77

85

9497

50

55

60

65

70

75

80

85

90

95

100

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

Lan

guag

es S

poke

n

ELL Funding Outpaced By ELL Enrollment

Source: Minnesota Department of Education, WhatIf Interactive School Funding Model, 1999-2007; Fall Population Counts, 1998-9 to 2006-7.

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

1999 2000 2001 2002 2003 2004 2005 2006 2007

Fiscal Year

LEP

Enr

ollm

ent

0

10,000,000

20,000,000

30,000,000

40,000,000

50,000,000

60,000,000

LEP

Fund

ing

ELL Enrollments

ELL Funding

Research Library

Section 4: Poverty and Mobility

Return to Index Page

Between 1998 and 2007, the Number of Students Receiving Free and Reduced-Price Lunch Increased by 17.5%

Source: MDE Fall Enrollment Reports, K-12, 1997-8 through 2006-7 school years.

State K-12 Free & Reduced Lunch

163,

147

160,

547

156,

407

154,

665

161,

124

168,

181

176,

133

184,

201

190,

900

194,

656

199,

186

59,1

37

62,8

05

63,6

33

63,5

40

62,8

89

62,0

41

60,4

64

61,4

37

60,9

20

62,5

37

62,8

70

-

50,000

100,000

150,000

200,000

250,000

300,000

97-98 98-99 99-00 00-01 01-02 02-03 03-04 04-05 05-06 06-07 07-08

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

Reduced Lunch

Free Lunch

% Free & Reduced Lunch

Number of Schools Statewide With Specified Levels of Mobility, 2006-7

Source: Minnesota Department of Education. Students are counted as mobile if they are counted in MDE categories 1-3 (summer transfers in, mid-year transfers in, mid-year in-district transfers). Charter schools not included.

227

596

384

166

109

276

0

100

200

300

400

500

600

700

0-5% 5-10% 10-15% 15-20% 20-30% 30%+

AMSD Schools Experiencing Continued Increases in Mobile Students as a Proportion of Enrollment

Source: Minnesota Department of Education, Mobility Reports by District.

7.26

%

10.3

0% 12.0

0%

12.5

0%

12.8

0%

16.0

0%

13.8

7% 14.6

7%

17.9

7%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

18.0%

1997-98 1998-99 1999-2000

2000-01 2001-02 2002-03 2003-04 2004-05 2005-6

Research Library

Section 5: Referenda

Return to Index Page

Note: The dip in 2003 was caused by a conversion of $415 in referendum authority to $415 in the basic formula. Sources: 1) Crowe, Greg “A History of the School Operating Levy Referendum,” Money Matters, December 2002. Fiscal Analysis Department, Minnesota House of Representatives. 2) Minnesota Department of Education, department of Program Finance.

The Percent of Districts with Operating Referendum has Grown SignificantlyPercent of Districts with Levies

90.0%

78.1%

89.2%

65.0%

68.1%

47.1%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Operating Referenda Passage Rates Ebb and Flow

Source: Minnesota Department of Education, department of program finance.

0

50

100

150

200

250

2000 2001 2002 2003 2004 2005 2006 2007

Election Year

Dis

tric

ts

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

Pas

sage

Rat

e

Districts HoldingReferenda

Districts Passing atLeast OneReferendum

School Funding: Facts and Figures

A library of PowerPoint slides compiled by

the Association of Metropolitan School Districts

More Resources Available Online at www.amsd.org

Return to Index Page