States
aim cash aid at poorer districts
Tuesday, September 28, 2004 • By LINDA
LISANTI • The Express-Times
Pennsylvania and New Jersey try to ensure children from
both wealthy and poor school districts are on equal
educational footing.
The approach is relatively simple: give more to the
poor, less to the rich.
New Jersey's 31 neediest districts are known as "Abbott"
districts, after the legal case which established them. The
state Supreme Court's ruling gives Abbott schools, such as
those in Phillipsburg, fiscal benefits other districts do
not get.
In New Jersey's 2004-05 state budget, roughly $7.7
billion is set aside for education; $1.1 billion of that is
for Abbott districts, according to state financial
documents. These districts also receive other state money
unrelated to the general aid all districts receive, said
Rich Vespucci, spokesman for the New Jersey Department of
Education.
- Parity/remedy aid is meant to ensure spending levels
per pupil in Abbott districts are the same as the most
affluent districts in the state. The money can be used at
the district's discretion, Vespucci said.
- Supplemental aid is awarded to an Abbott district for
a specific need the district says it cannot pay for through
its regular budget. An example, Vespucci said, would be a
program to reduce the number of high school dropouts.
Districts can request supplemental aid each year, but it can
be rejected, he said.
Abbott districts receive more money for new buildings,
additions and renovations than their richer counterparts.
The state pays 100 percent of eligible costs of Abbott
needs, Vespucci said, adding that $6 billion of the state's
$8.6 billion school construction program is earmarked for
Abbott districts.
In other school districts, total reimbursement from the
state generally is between 40 percent and 60 percent, he
said.
Additionally, the state pays for Abbott districts to
provide all-day, year-round preschool and kindergarten
programs.
Vespucci said the extra funding does come with strings
attached. Accounting and auditing measures are more
stringent for Abbott districts and there is more oversight
on how the funds are used than is the case with more wealthy
school districts.
Less affluent districts not yet under the Abbott
umbrella also receive more state funding. State aid is
apportioned to these schools based on their wealth and the
types of students they serve.
"The less wealthy a district is, the more state aid it
receives," Vespucci said.
While without a funding formula directly comparable to
New Jersey's Abbott system, Pennsylvania also awards more
money per student to less affluent districts than richer
districts, according to officials in the Department of
Education.
The amount of aid a district receives depends heavily on
its "aid ratio" -- a measure of wealth that takes into
account the market value and personal income of each school
district.
Aid ratios range from the lowest, which is about 0.15,
to the highest, about 0.85, said Barbara Nelson, chief of
the Division of Subsidy Data and Administration.
The higher a district's aid ratio, the more state money
it gets, Nelson said.
In Northampton County, Bangor Area School District, with
an aid ratio of 0.6039, is slated to receive roughly $6.4
million in state funding for the 2004-05 school year,
according to state financial figures.
In contrast, Saucon Valley School District, with an aid
ratio of 0.2887, will get about $2.5 million in state aid
for 2004-05.
Nelson said each district decides how to spend the
money.
Like New Jersey, Pennsylvania also offers supplements to
meet the special needs of some of its 501 school
districts.
- A poverty supplement is given to districts based on
their aid ratios, personal income and student
enrollment.
- A tax effort supplement is given to districts,
generally less wealthy ones, with high tax rates.
- Limited English proficiency funding is given to
districts in which 2 percent or more of the student
population is limited in its English proficiency.
All seven of Northampton County's school districts will
receive a tax effort supplement this year. Bethlehem and
Easton schools will receive limited English proficiency
funding.
The whole idea behind Pennsylvania's funding formula,
Nelson said, is to reduce the difference in spending between
the more affluent and less affluent districts.
She said the richer districts still often spend more per
pupil, but the state's share of that cost is less.A richer
district may spend $12,000 per pupil, but only receives $500
of that from the state. Meanwhile, a poorer district may
spend $5,000 per student with the state providing $3,000 of
that, Nelson explained.
"We do give more to poorer districts, but not enough to
help them spend $12,000 like the rich guy," she said.
Reporter Linda Lisanti can be reached at 610-258-7171 or
by e-mail at llisanti@express-times.com.
Copyright 2004
The Express-Times. Used with permission.
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