Latest School Worry: Categorical Cash

March 9, 2010

By Benjamin Yount    Illinois Statehouse News

SPRINGFIELD  –  Principals across Illinois already know they will likely have to lay off teachers this spring.  They also already know that any checks from the state are going to be late.  But now school officials in Springfield are raising questions about money for special education, transportation, and early childhood education.

Illinois State Superintendent of Schools Christopher Koch spent his Tuesday answering questions about the state’s school budget.  Or more specifically where all the money has gone.

Koch once again told lawmakers that schools across Illinois will be looking at $500 less per-student next year in general state aid.  Koch  reiterated that the 13,000 layoffs he talked about last week is the best-case scenario.  He said if lawmakers ordered cuts for the last three months of this school year, or Gov. Pat Quinn followed through with a billion-and-a half dollars in cuts to education, the number of layoffs could triple.

But the newest warning from Illinois’ school chief is that he cannot tell local schools when, or if, they’ll get money for the mandated categorical of special ed and transportation, or for early childhood education programs.

“I can’t predict if that’s going to happen or not.  Certainly that’s a cost savings for the state, but it becomes a local liability.”

Koch acknowledged the fact that uncertainty is handicapping schools across the state.  He said it’s a common complaint that he has heard many times before.

“Heard from folks from all over the state about the impact of decreases to programs.  These are often heart-wrenching stories.  We are hearing from districts right now more than we ever have…about the predicament they’re in”

State Rep. Roger Eddy, R-Hutsonville, said words of understanding are not what local officials need.

Eddy is sponsoring legislation that would allow local schools to opt out of the requirements lawmakers have added over the years, at least until the state can find some more money.

“We cannot continue to expect school districts to fund programs fully because that’s a de-facto property tax increase, or simply a blatant disregard for mandates.”

State Rep. Dan Brady, R-Bloomington, said because the state doesn’t pay its share of the cost for special education classes or transportation, many schools are in dire financial trouble.  He said late state aid payments are one thing, categorical payments are another.

“A lot of school superintendents will tell you, that’s where the money pit is for them and what drains their budget.  They’d rather see their mandated categorical funded rather than looking at what’s going on with the foundation level.”

Koch said the state has been late with foundation-level payments — also known as the per-pupil spending — but has not missed one yet.  He cannot say the same about mandated categorical, or about early childhood education block grants.

The Superintendent says many local schools saw early childhood money pulled from them after lawmakers passed a budget last summer.

Koch said because of that, many schools are hesitant about this summer.

“By the time the money gets to them, it’s already arriving very late.  ‘Is it really even feasible to hire personnel and run them’ is already a question we’re starting to ask.”

Koch said he hopes to have more answers after Quinn’s budget speech on Wednesday.  But he said he may not have final answers until lawmakers approve their spending plan, which is scheduled for May.

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