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Colorado tries for world class schools through school finance reform
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by Paula Noonan
Paula Noonan, Colorado Capitol Watch
Colorado is running a full court press to compete for the Obama administration’s Race to the Top money for education reform. Lt. Governor Barbara O’Brien says that Colorado is “well positioned” for a win.
At the same time, the Colorado legislature, through its interim School Finance Committee, is trying to figure out a long term funding strategy for public schools. The current school finance formula focuses on equity and adequacy. The state provides extra money to low property tax districts to “equalize” funding with high property tax districts. http://www.state.co.us/gov_dir/leg_dir/lcsstaff/2009/comsched/09SchoolFinanceSched.html
The question remains: is any of the funding adequate to achieve a “world class” public education system?
Race to Top gives short term grants
Race to the Top money will provide short term grants for teacher professional development, teacher pay, assessment, standards, and struggling schools. http://www.colorado.gov/cs/Satellite/LeftLtGov/LLG/1240228831801
State uses “categoricals” for special needs funds
State funding struggles with long term issues, such as “categorical grants” for special ed, vocational ed, gifted and talented programs, transportation, expelled and at-risk students, and English Language proficiency. The current School Finance bill, SB09-256, provides $230million+ in categorical funding for 2009-2010. http://www.coloradocapitolwatch.com/search/bill_detail.php?bnn=SB09-256&ca=1&yy=2009&cu=1
The interim School Finance Committee wants to know whether funding through “categoricals” meets the learning needs of kids.
Colorado just gets by “on the cheap”
According to Senator Chris Romer (D-Denver), Colorado gets by “on the cheap” for education funding because of its large middle to upper middle class population. Middle class kids are more likely to be “prepared for school” and have lots of learning resources at home. This advantage helps kids learn, despite Colorado’s bottom of the nation funding for public schools. It allows the state to rank “average” in school performance across the nation.
But this demographic hurts poor kids who don’t have that middle class learning edge.
Poor kids struggle, unprepared for school
Right now, more than 65,000 Colorado kids under five live in extreme poverty, according to the Colorado Children’s Campaign. This number is growing faster than the national average. Eventually these kids, and many other poor kids, end up in the state’s drop out statistics.
Many public school districts use free and reduced lunch as a “proxy” or predictor for at-risk kids. Alex Medler, Ph.D., of the Children’s Campaign acknowledges that poverty is the largest umbrella indicator for at-risk kids. But more precise indicators exist that should affect school funding and education reform.
One or more F’s in 9th grade leads to 90% drop out rate
If any 9th grade student has one or more F’s on a semester report card, there’s a 9 in 10 chance the child will drop out. Similarly, if a high school kid has twenty or more absences in a quarter, the child is 60%+ more likely to drop out. Fifty percent of dropouts have had at least one suspension in four years.
The School Finance Committee, concerned about drop out levels and struggling or underperforming schools, is looking at a student-centered funding system as a possible replacement for the current method.
Student-centered funding offers flexibility
Student-centered funding “drives funds to schools, with additional weights for school-based decisions.” (See CEPA paper on Student Based Funding) http://www.state.co.us/gov_dir/leg_dir/lcsstaff/2009/comsched/09SchoolFinanceSched.html
A goal of student-centered funding is to give local schools more flexibility in dealing with their diverse student populations. The system can also more closely connect budgeting with standards and assessment, providing more accountability.
Of course, any school finance change begs the question of reform if it ends up that not enough money is in the system to begin with.

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