Lynn Lillian is the chair of Fair Funding for Our Schools, an advocacy network dedicated to insuring adequate and equitable funding for New York public schools. A lifelong supporter of public schools, she also serves on her local school board. I heard Lynn Lillian speak about the budget at a meeting of supporters of public education in the Monroe-Woodbury District and was very impressed by her understanding of the details. I asked her to write this article for readers of the blog. She graciously agreed.
She writes:
In spite of New York State’s responsibility to provide the funding necessary to educate all of New York’s students, the past few years have seen multiple assaults on funding for education in the form of the 2% Tax Cap, the GEA, and Foundation Aid. At the same time funding for public schools has been reduced, districts have been required to spend astronomical sums implementing Common Core Learning Standards and new APPR evaluations, required by Race to the Top.
Education funding in New York is maddeningly convoluted. Multiple formulas and funding mechanisms defy understanding and sometimes even logic. Education advocates joke that there are only three people in the state that actually understand the formulas that are the basis for public school funding in New York. As my grandmother used to say, it can be enough to drive a happy person right out of their mind.
However complex, funding does get to the heart of the matter. The governor is fond of saying that money doesn’t matter in education, but The National Bureau of Economic Research cites data that links increases in spending to higher graduation rates, and higher income.
Every child has a right to a fully funded public education in New York. In this context the chronic underfunding of education in our state is particularly indefensible.
Our state constitution demands and law requires that the state fund education adequately and equitably. The Campaign for Fiscal Equity (CFE) decision reaffirmed the state’s constitutional obligation to provide a sound basic education as well as the state’s responsibility to fund it.
School districts have only two discreet sources of revenue by law to fund their budgets, aid from the government, and the ability to levy taxes in our communities to make up the difference between program costs and what state aid provides. Both sources of revenue have been impacted dramatically.
In order to bring the level of funding up to what was deemed necessary to provide a sound basic education, the CFE decision also found that public schools in New York were owed billions of dollars. This money was to be paid back through the Foundation Aid formula, which was created to fund all districts equitably based on a districts’ ability to contribute, and it’s need. That debt remains unpaid.
In the wake of the recession, the state introduced two laws that further constrained education funding in New York: The Gap Elimination Adjustment (GEA), which was introduced to close a state budget gap, and the 2% Tax Cap Law.
The GEA allows the state to take back part of the money districts are owed in aid to spend somewhere else. Since 2010 the state has used the GEA shore up it’s own budget shortfalls, taking back badly needed aid from schools. The Tax Cap Law limits how much school districts can raise the tax levy. With the tax levy limit set at no greater than 2%, and costs generally rising about 3 per cent per year, the cap created an automatic deficit, functionally reducing both sources of revenue districts rely on.
When the tax cap law was being proposed, many education advocates lobbied for the law to be tied to mandate relief. Eliminating some unfunded mandates would theoretically address the loss of funds due to the tax cap. Not only has there been no significant mandate relief, but also more unfunded mandates have been imposed, and these have been costly.
For example, New York’s participation in the Federal Race to the Top grant required that the state implement the Common Core Learning Standards and a new APPR teacher evaluation system. In most districts the cost of implementing these mandates exponentially outstripped the modest and often inconsequential funds provided by the federal grant driving up per pupil cost and saddling districts with the bill.
Without the ability to levy taxes to make up the difference in the loss of funds due to the tax cap, the GEA and the failure to fully fund the Foundation Aid formula, districts have had no choice but to make cuts to programs and reductions in staff that erode the quality of public education.
The numbers are sobering. The New York State Association of Business officials report that the combined effect of the tax cap and state aid reductions have resulted in a gap of 17 billion dollars between historical and projected revenues. To protect academic programs from this loss of revenue, many districts have tapped into their reserves, leaving nothing in case of emergency or natural disaster. In addition, 30,000 teachers, administrators, and support staff have been laid off according to the Education Conference Board, a coalition of the state’s major educational organizations.
The result has been increased class sizes and fewer services to support kids. Worse still, 51% of New York’s school districts are still receiving aid under the 2008 level. Districts challenged by issues of poverty find themselves without the basics: books for libraries, and textbooks for teachers, strained by large class size and understaffed programs. Even districts that have managed to hold on to some resources find their students shut out of seats at highly selective colleges and universities as their academic and extracurricular programs have been whittled away.
The fallout of the past 6 years is a system in distress. Underfunding of our schools, in all of its forms, has meant opportunities lost for students, opportunities this generation of students won’t get back. The state has failed to deliver on both adequacy and equity. Without the funding necessary to provide a sound basic education, the conversation is not about the haves and the have-nots in public education, but about the have -nothings and the have- not- enough’s. Neither is acceptable.
All of our students deserve and are owed rich curriculum and necessary supplies; books for starters.
All students deserve and are owed the resources and experiences that will allow them to compete for seats at highly selective colleges and universities, and prepare them for meaningful rewarding work.
Going into this year’s budget cycle New York State owed its public schools Nearly 5 billion dollars in Foundation Aid and 1 billion dollars in GEA funds. With a 4.2 billion dollar surplus this year, and budget surpluses projected through 2018, one would think that it would be time for the state to deliver on the constitutional promise of a sound basic education and begin to pay back it’s debt to public schools by fully funding the Foundation Aid formula and eliminate GEA reductions.
Like farmers in the dust bowl feeling a drop of rain, educators imagined that these surpluses offered the opportunity to begin to repair the damage done by chronic underfunding and shift the conversation from how to hang on to how to best support and educate our students. The Governor’s first volley in the budget process put an end to that idea. It was an unprecedented push to tie state aid increases to education policies that demonized teachers, emphasized even more standardized testing, not less, and undermined public schools by promoting charters and blaming schools that are grossly underfunded. In essence, holding aid our students desperately need hostage to politics. The arrogance of his proposals ignited a groundswell of opposition.
That opposition helped secure the 1.4 billion allocated for education in the recently adopted budget, certainly a better outcome than the governor’s proposed increase of 1.1 billion. While hailed as the largest state aid increase in years, it still leaves in place most of the billions of dollars owed to New York’s public schools in the form of GEA reduction and Foundation Aid. A disproportionate amount of what is owed is in the form of Foundation Aid, which affects the highest need districts in the state, exacerbating the lack of equity in school funding. Further, the Education Conference Board estimates that it will take 1.2 billion dollars to maintain current programs. When these factors are taken into account 1.4 billion represents a modest increase in school aid.
The governor’s initiatives were only strengthened in this budget, saddling districts with additional unfunded mandates and loss of local control. For example, my home district received a 3.4% increase in aid. The aid is welcome, but doesn’t go far enough, particularly when the strings attached are taken into account. To get the full funding due to us, districts have to comply with a new teacher evaluation plan (APPR). The plan as reported represents additional costs to districts in the form of outside evaluators, professional development for evaluators within districts, and costs associated with covering classrooms in the case teachers act as evaluators.
Districts receive their aid on a monthly basis and if they are not able to negotiate and approve the states’ APPR plan by the November 15th deadline, payment of the aid increase will stop. The budget bill also includes a requirement that teachers complete 100 hours of professional development over a five -year period. Again, districts pay for that, begging the question: how many costs do districts have to cover before an increase is not an increase?
Language in the bill relating to “failing” schools outlines the right of the state to convert these schools into charters, representing yet another drain on district resources. For every student who attends a charter, money is siphoned from the home district to that charter. These initiatives have another cost; the time educators spend complying with these unfunded mandates translates to loss of time that could be spent developing and implementing rich instruction – Which in turn results in opportunities lost for our students.
Over the next few weeks we will hear numerous claims, often contradictory, about what this budget means for students. It’s all a shell game. The complexity of the funding mechanisms at work allow for seemingly conflicting declarations about where we are. What is most dramatically illustrated by this year’s budget cycle is that educators and the students they serve have been driven into a corner arms aloft: trying to deflect blows from the state in the form of unsupported directives, funding reductions and inequities, and accusations of failure all meant to distract from the real issue: the state has capitulated it’s constitutional responsibility to fund it’s schools.

Thanks, Lynn, for the report, & to Diane for posting.
Unfortunately, this is most likely going on in every other state, as well (perhaps the exception would be Vermont). It’s the ALEC agenda, on course for the 40+ years since its inception, buying state legislators, enacting laws whereby states (& cities) steal/misappropriate taxpayer monies, pouring billions of dollars into the coffers of private corporations. It certainly is the case in ILL-Annoy. That having been said, a crackpot bill–that I’d call a real “fooler” (a wolf in sheep’s clothing)–has come up, shiny new & renumbered (didn’t make it through the 2014 session)–SB 1 (ironically, same # as our hopefully declared unconstitutional pension cutting bill)–first SB of 2015 session (that’s how badly they want to get it passed). This bill purports to “equalize” the monetary gap between the more affluent districts & the lower income ones through redistribution of monies–you know, say, taking $6.5, $10 million (these are actual, quoted figures, & the latter school district has a sizable low-income pop.) out of a community’s elementary & high school districts’ budgets &
“giving” a lower-income district something like $24 million (one district has already been told that it would receive that much). Of course, this is meant to be an “Aww–let’s help those poor school districts!” moment when, in reality, this is yet another “shock & awe” moment (as so aptly named by Naomi Klein–read that book!). This movement is spearheaded by a group named “Advance Illinois,” Executive Director being one Robin Steans, member of a wealthy Lake Forest (one of those districts, that, yes, will have their money snatched–but that’s okay, because the Steans could afford to send their kids to private schools, anyway) financial, bank-owning, politically connected family
which, in fact, has given nice sums of money to…state legislators*, including one of their own–Sen. Heather Steans. Now, Sen. Steans is a staunch supporter of charter schools–in fact, she either founded or sits on a committee of the Illinois Charter School Commission–the group that can override a local school district’s decision to deny a charter school application in their community (&, the 3/26 Chicago Tribune reported, “a judge this week ruled that a state commission was wrong in giving the {charter} approval to operate for five more years…creation {in 1999} was approved by the state over the opposition of its feeder districts…Prairie Crossing Charter School siphoned off about $3.1 million of District 50’s $3.5 million in state funding…In a district where 30% of students are from low-income families, that money is crucial…yet, only 1.8 % of Prairie Crossing {Charter School} students fit that category..the charter school ‘has long significantly failed to enroll low-income & other at-risk students in its program,’ according to a district news release.”).
So–the bottom line &, I believe, the real purpose: what has been done to the Chicago Public Schools–cash-starving them to ruin them & to open “better” charter schools (which then, of course, get their money, while failing to admit many–if any–at-risk students)–let’s cash-starve the more affluent school districts! Then, administrators will be forced to make hurtful cuts in programs, etc., &–lo & behold!–these public schools–as in the CPS model–will worsen. The field is now wide open to introduce those wonderful charter schools to suburbs whose schools–once great–no longer look so good. Illinois Diane readers, please spread the word. SB 1 must be defeated, so please call/e-mail/contact in person your senators & reps. NOW. *(Note: one legislator, in particular, voted for it in 2014, despite publicly repeated and published statements of opposition from both his constituent school districts. I’m sorry, but I thought that legislators were elected to…represent their constituents?!)
And THIS is the way to get charter schools into suburbs & rural areas whereas they would NEVER have been an option before. Coming soon…to a suburb, state, city, town near you!
LikeLike
BTW–I’m bad at links (try http:/www.chicagotribune.com/prairie-crossing-charter-school’s-future-uncertain-0326-2015-story.html ) but if you’re in IL & interested in this Chicago Tribune story, go to the library–3/26/15– “Prairie Crossing Charter School’s Future Uncertain-Judge: Panel wrong to extend agreement,” by Genevieve Bookwalter, Section 1, Page 7. C.T. online asks for subscriptions, anyway.
LikeLike
This is not exactly pertinent to this blog but just received this info and am posting it here as it seems to be to be pertinent to what is going on in education.
Example of “Value-Added” formula
The following post appeared on the Band Director’s page on Facebook last night. The teacher in question has given permission to share:
Robin Stephens
10 hrs
Rant!!!
State of NM has gone to a new ‘Teacher Evaluation’ system. Our attendance is included in this. On my most recent state eval, out of 40 points, I got exactly ‘0’… ZERO!!! Seems that when I had to take two weeks off because of lung cancer surgery, I lost ALL my points. The loss of those points took my from being rated ‘Highly Effective’ or ‘Minimally Effective’. Consequently, the state PED turned down my request for a Level III Teacher Licensure. Difference between Level II and Level III is about $5000 a year. Oh, I am just finishing my 24th year in teaching.
Tell me again why I’m doing this…………….
Think about that.
They docked for CANCER SURGERY. FMLA be damned. And since it has gone to the state, there are NO APPEALS. They’ve done this for other surgical leave, MATERNITY LEAVE, and for every other reason under the sun. This is their “value-added” model. The teacher in question has already been advised to get a lawyer and go to the media.
This is not an isolated case in New Mexico. Jump for more:
LikeLike
Gordon – this doesn’t seem legal to me. This policy must be breaking some laws. Where is the ACLU on this matter.
At the very least, Maternity Leave is guaranteed. Punishing someone from taking advantage of their rights seems to defeat the purpose of the requirement.
And it’s your sick time to use as needed. Perhaps the new policy is to keep teachers working until they die from neglecting g their health – one less pension to pay out.
So sorry.
Ellen #FellowHumanBeing
LikeLike
After making all teachers in New York report when they move within 30 days and register for permanent certificate holders, who never had to do that because permanent in the 1990s actually meant permanent, and yes those teachers needed masters’ degrees, we will now move to the New Mexico system, where people will be docked pay and certification for illness. ALEC at work under so many guises. Remind me again why America hates teachers so much. Remind me why the ALEC vision is pure and worth pursuing. But voters love politicians and corporations. Until, belatedly, it hurts their kids. We are on a road to somewhere as a nation, and it reeks of a certain European country in the 1930’s. Don’t believe me? Read some history. Or a few fiction novels that document it.
LikeLike
Please call her number to complain: http://perdidostreetschool.blogspot.com/2015/04/carmen-arroyo-teachers-must-sacrifice.html?m=1
LikeLike
One key fact that is missing from this long post:
As of last year, New York spends more per student than any other state, currently $19,552 per student.
See washingtonpost.com/news/post-nation/wp/2014/05/23/heres-how-much-each-state-spends-on-public-school-students/
At what point will New York’s professional complainers ever say that the schools are finally spending enough? $30,000 per student? $50,000?
LikeLike
Hers how averages work. If you have your head in the freezer and your feet in a hot oven do you feel just fine? Quit being a simpleton. NY’s average expenditure is driven very high by localities that actually have a tax base and use it at a reasonable rate–the result of that is kids in privileged areas are lavished with programs, support and technology. The balance of the state serves the most challenging population with well below average expenditures. Lets go right back to Kindergarten and look at two entering classrooms. In a wealthy community kids arrive for school that first day in September well fed and well prepared through private Pre-K. They enter classrooms supported by $6,000 more per pupil ($120,000 per classroom) more that will help them succeed. Contrast that to the first day of school in a deprived urban setting where a larger group of needy students enter a classroom. They are hungry, ill prepared and have never attended a museum or been on a vacation that broadened their understanding. Over the next thirteen year their classrooms will have $6,000 less support, technology, materials. Then Governor Cuomo declares their schools “failures.” and acts like he has a solution to the problem. Newspapers all over the state write about how disparate the results are across the state–but no one takes their analysis down to the classroom level and concludes that we have screwed up priorities when we fund the schools of the wealthy/privileged at $6,000 more per kid. Shame on you. You are an ill informed bigot!
LikeLike
WT –
I work in the city (Buffalo) but my kids go to school in the suburbs. The differences between the two are heart wrenching. My kids had all sorts of services that the city didn’t provide – a full time librarian, a fully staffed computer lab with lessons on how to use the computer, a social worker to help kids having problems at home (such as divorce), a full time nurse, tons of evening programs and enrichment activities, small class sizes, one on one help in reading instruction, etc. My son had his own personal aide to help him stay focused on the teacher, so he didn’t have to be in a special education class. There is a reason that this school district consistently tops the charts as the best in Western New York.
Now Buffalo – half time librarians, no computer teachers so many of the computers in the unmanned labs are broken, no social workers, not enough guidance counselors, large class sizes, limited evening activities (buildings close an hour after instruction ends and all teachers and students have to leave), few after school programs since there are no after school buses (and parents don’t have cars), few enrichment activities (buses and admissions cost money), no attendance teachers (teachers need to call the home – if there is a working number), the list goes on. Plus, there are some difficult children in the classrooms – kids who have all sorts of emotional problems which a normal teacher is not equipped to handle.
The dynamics are so different, it is hard to compare the two.
Add to the mix a large population of special education students, refugees, nonEnglish speaking populations, children who bounce back and forth between states and/or countries (such as Puerto Rico), and all the baggage that comes from children brought up in poverty – and you have an almost insurmountable task in providing a quality education for these city kids.
Sorry to ramble on so long. Perhaps you can’t understand until you have “lived” it.
Ellen #AppalledAtTheDifferences
LikeLike
If I recall correctly, only a small handful of western New York districts spend more than Buffalo City (about $20,000). Some of the most desirable suburban districts (Amherst, Williamsville, Clarence) spend far less. The same is true in Rochester and Syracuse, where the city districts actually spend a lot more than most of the surrounding high-performing suburbs. In New Jersey, the highest funded districts are the lowest-performing, the former Abbott districts.
The experiences of upstate and New Jersey are a cautionary tale for those who would claim that funding gaps between districts that are already funded at a very high baseline compared to the national and even regional averages are responsible for gaps in outcomes. Consolidating districts and reducing the number of schools that serve the highest proportions of kids living in concentrated poverty and segregation would be a much more effective approach.
LikeLike
Tim, we need to spend far more on urban districts. Parity with suburban districts, where students are well-fed, have regular medical care, and have a secure home, is not enough. There must be a far larger investment in urban districts: not in more testing and test prep, not in more consultants, but in smaller classes, experienced teachers, early childhood education, health clinics, and after school programs.
LikeLike
Tim – in the BPS – more than 20% of the students are in special Ed and about 10% are English Language Learners. Those students need extra services which cost more money. The suburbs don’t have the same issues. (And I haven’t even mentioned the poverty issue).
LikeLike
Buffalo spends $22,193 per student per year as of 2012, so whatever its problems are, a lack of money isn’t one of them. bizjournals.com/buffalo/news/2014/10/09/spending-per-pupil-in-upstate-new-york-school.html
Maybe they’re spending money on the wrong things. For example, you point to a lack of librarians and social workers.
But in a 2014 letter, Buffalo admitted that it spends $5.4 million a year for free cosmetic surgery for teachers.
eagnews.org/wp-content/uploads/2014/12/Buffalo-cosmetic-surgery-FOIL.pdf
Whoever decided to spend money on free nose jobs for teachers wasn’t thinking about the kids, that’s for sure.
LikeLike
WT, what are the salaries for teachers in Buffalo? That benefit, which sounds so terrible, may have been in lieu of salary. How do salaries of Buffalo teachers compare to those in nearby suburbs?
LikeLike
You are absolutely right Diane. We were offered the cosmetic rider in place of a larger salary. The difference in Buffalo’s salary vs Williamsville’s salary (where my taxes go) is over $20,000 a year. Plus, it takes Buffalo Teachers 30 years (because of the three year wage freeze) to reach the top step and between fifteen and twenty for our suburban counterparts.
LikeLike
WT – the cosmetic rider was a part of the health package for all Buffalo employees at one point. The reason it still exists is that the teachers haven’t had a new contract in 11 years. The union has already agreed to eliminate this perk when a new contract is in place. If giving up an occasional free facial would help the city kids – I’d do it in a heartbeat.
LikeLike
I don’t know what salaries are, but even with a class size of 20, that provides some $440,000 per class per year. Surely one can carve a pretty good salary for the teacher out of that, even if one thinks that the main teacher should get only 20-25% of the classroom spending and everything else should go to other people.
LikeLike
WT – you would think so, but the money isn’t being spent on the classrooms. Class sizes are about thirty students (even in kindergarten), with a total lack of textbooks and supplies. Teachers buy items for the classroom out of pocket and are lucky if they get $40 a year from petty cash. The art teachers are amazing – creating projects out of nothing. Science teachers must be creative for their lab equipment and supplies. And speaking of equipment, there just isn’t enough. Plus without a technology person in the building, broken items stay broken until the district people get there and either fix them it cart them off. There are no replacements.
On the plus side, the most of the buildings have been renovated and many of the teachers (not all) have LCD projectors and Smart Boards.
I too, would like to see a breakdown of where the money goes. Even with a top heavy downtown administration, you’d think more funds would trickle down to the kids. I suspect the large sum is due to all the extra speech, OT, PT, Special Ed, ESL, Resource Teachers, Math and ELA coaches, teacher assistants, and other staff required for the large number of students needing extra services. The student who doesn’t require the extras costs much less.
LikeLike
All I’m saying is, the answer isn’t always, “Gimme more money and all will be well.” Sometimes the system is dysfunctional, and it’s not a good idea to dump in more money. It might be a MUCH better idea to fix whatever dysfunctionality led to there being free nose jobs but no librarians, and then if you start spending the $440k per classroom with common sense, you’ll find that it’s more than enough money after all.
LikeLike
I once worked in a city school that had a clinic, including a doctor and a couple of nurses. They inoculated the kids and provided services for the students and their families. It was closed to save money. This is the type of program the inner city schools need.
Ellen
LikeLike
Thank you for providing the numbers, WT. I kept waiting and waiting (and waiting) for this piece about insufficient school spending in New York State to show how New York’s school spending is insufficient, but it never happened.
Districts in New York are generously funded compared to every country, every state, and every other district except for a handful of wealthy, self-funded, non-integrated suburbs of New York City. Not many districts spend less than $17,000 per student, and the lowest spends about $15,000; most of the lowest-spending districts are located in parts of upstate New York where the cost of living (for everything but taxes) is actually close to or even below the national average. New York districts serving high numbers of at-risk kids outspend, often significantly, suburbs in nearby Connecticut and New Jersey that are among the wealthiest and highest cost-of-living areas in the nation.
Having every district brought up to the $30,000 spent by the wealthy New York districts would require doubling the already high state income tax — an economic and political non-starter. If equity among New York districts is your goal, you should be proposing a complete overhaul of the state’s funding structure to something like Vermont’s or Arkansas’s, where the state collects all school tax dollars and distributes them according to student needs. Achieving equity is a Sisyphean task so long as the high-end districts are funding themselves — and not coincidentally serving as a politically useful greyhound lure for everyone else to chase and scream about gaps and inequity.
LikeLike
It’s like forcing your family to eat gruel at every meal, then bragging about how much money you have in the bank.
Ellen #HeyWeAreStarvingHere
LikeLike
Hello all,
One of the other things that drives up per pupil costs are unfunded mandates. Though I don’t have exact numbers for this year, at one point in my district we had received about 24k in Race to the Top funds, and had spent close to 3/4 of a million dollars on implementation of Common Core and the new APPR evaluation. There are many ways to get at per pupil costs while still meeting our responsibility to equitably fund public education.
LikeLike
FYI: while libraries are mandated in elementary schools, librarians are not. That is why many schools have reduced the hours of library service or have reassigned the librarians to do other tasks. Some have an aide to sign out books without any librarian at all. I’m sure there are even schools which don’t have a librarian at all. They feel the classroom library is good enough.
LikeLike
Unfortunately, villainzing teachers and threatening to “reform” education into what government funded agencies see fit is not the answer. Across America, we have countless dollars being poured into educational programs that they claim will “fix” our problems. This is a prime example of what happens when we treat our education system as a business rather than a public service. When we treat our end product as an object rather than a child.
LikeLike