DeWine’s budget eliminates $103 million from Ohio school districts, as charter and voucher prices skyrocket. See if your district is cut

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DeWine's budget eliminates $103 million from Ohio school districts, as charter and voucher prices skyrocket. See if your district is cut

COLUMBUS, Ohio —  According to projections by the legislature’s nonpartisan research agency, Gov. Mike DeWine’s proposed budget would cut $100 million from traditional public schools over the next two years while increasing costs for privately operated charter schools and voucher programs by $500 million.

According to new numbers and analysis from the Legislative Service Commission, Gov. Mike DeWine’s proposed budget could reduce traditional public school funding by $103.4 million over the next two years.

School districts are expected to receive $8.1 billion in school foundation aid from the state this fiscal year, which ends June 30. School foundation aid accounts for all state funding except for preschool and transportation for disabled students.

Charter schools, which receive public funds but are privately operated, could receive an additional $221.8 million over the biennium, according to new data and analysis. This fiscal year, charter schools are expected to receive $1.27 billion.

Private schools that participate in voucher programs and receive state funding to help pay for students’ tuition could receive an additional $265.4 million this biennium. This year, private schools are expected to receive nearly $1 billion in vouchers.

The Legislative Service Commission, the General Assembly’s nonpartisan staff, broke down DeWine’s figures by school district to show the increases and decreases. Overall, they show a net decrease for school districts.

State Rep. Bride Rose Sweeney, a Westlake Democrat and ranking member of the House Finance Committee, provided copies of the figures to Cleveland.com/The Plain Dealer.

According to Howard Fleeter, an economist who specialises in public finance, the entire increase in private school vouchers is due to the agency’s forecast of increased voucher applications.

Fleeter examined LSC’s data for the Ohio Education Policy Institute, which studies tax policy for school districts and statewide educational organisations.

Starting last school year, the state expanded eligibility for its largest private school voucher program to include all families in the state on a sliding scale. Higher-income families are eligible for smaller vouchers, while lower-income families can receive more.

The maximum voucher amount is $6,167 for grades K-8 and $8,407 for grades 9–12.

This resulted in state spending on vouchers increasing from $595 million in the 2023-2024 school year to nearly $1 billion last school year.

The expansion is the latest step in Republican state leaders’ decade-and-a-half-long effort to increase funding for private school vouchers.

Critics argue that increased spending is harming public school funds because there isn’t an unlimited amount of money for every type of school. A coalition of more than 100 school districts is suing the state over voucher funding.

Sweeney expressed concern that many districts may lose money while charters and private schools may gain more.

“Failing to fully fund public schools while increasing funding for less-accountable education alternatives disregards the needs of the vast majority of Ohio students who are served by public schools and is unfair to Ohio homeowners who will be asked to pay for the state’s failure to account for inflation,” according to her.

“The state has the resources to fully fund all educational options without underfunding public schools. If the legislature fails to fully fund public schools, Ohioans will face higher property taxes, fewer opportunities for students, and long-term damage to the state’s economy.”

Dan Tierney, DeWine’s spokesman, defended the budget proposal despite the fact that many districts face cuts.

Tierney stated that district losses will occur as a result of student loss or increased property values. However, when the legislature began to restructure the school funding formula four years ago as part of the Fair School Funding Plan, traditional public education advocates agreed to keep local property valuations in place.

“This budget takes the strategy of funding students over buildings or specific districts or empty desks,” according to him. “Part of what you’re seeing here is the movement of students and investing where the students are choosing to obtain the education.”

Search below to see how much money your school district is expected to gain or lose in school foundation aid if lawmakers pass DeWine’s budget proposal.

County
District
Enrolled FY25
Estimated Foundation Aid FY25
Estimated Foundation Aid FY26
Estimated Foundation Aid FY27
$ Change FY25-FY26
$ Change FY26-FY27
% Change FY25-FY26
% Change FY26-FY27
Adams Manchester Local SD 692 $8,462,351 $9,663,813 $10,856,543 $1,201,462 $1,192,730 14.20% 12.30%
Adams Ohio Valley Local SD 3,217 $32,158,347 $32,474,613 $32,636,352 $316,265 $161,739 1.00% 0.50%
Allen Allen East Local SD 980 $7,855,282 $7,998,383 $8,083,691 $143,101 $85,308 1.80% 1.10%
Allen Bath Local SD 1,574 $8,149,670 $8,352,996 $8,581,239 $203,327 $228,242 2.50% 2.70%
Allen Bluffton Ex Vill SD 1,137 $6,893,020 $7,026,655 $7,166,279 $133,635 $139,624 1.90% 2.00%
Allen Delphos City SD 845 $3,414,003 $3,243,303 $3,118,306 ($170,700) ($124,997) -5.00% -3.90%
Allen Elida Local SD 1,979 $9,563,641 $9,424,007 $9,015,033 ($139,634) ($408,974) -1.50% -4.30%
Allen Lima City SD 3,151 $37,942,783 $38,001,441 $38,179,301 $58,658 $177,860 0.20% 0.50%
Allen Perry Local SD 676 $5,816,895 $6,420,299 $6,995,426 $603,404 $575,127 10.40% 9.00%
Allen Shawnee Local SD 2,182 $5,975,281 $5,568,064 $5,455,362 ($407,217) ($112,702) -6.80% -2.00%

If the legislature approves DeWine’s K-12 funding proposal, 343 of Ohio’s 609 school districts will lose foundation aid in the fiscal year beginning July 1, while 266 districts will receive foundation funding.

In the following fiscal year, 360 districts would lose foundation aid, while 249 would gain.

According to Fleeter’s analysis, suburban school districts would bear the brunt of the cuts. Suburban districts would lose an average of 2.8% of their foundation aid next year, and 2.7% the following year.

School districts classified as “wealthy suburban” would lose 3.1% next year while gaining 0.5% the following year. However, if DeWine’s plan is implemented, this will result in a net cut over the biennium.

A school district can lose foundation aid in one of five ways, according to the complex formula used to calculate state foundation aid amounts:

-Fewer students are enrolled, as families move out of the district or attend private, charter, and home schools.

-An increase in school district property values due to county reappraisals, or an increase in the incomes of school district residents. An increase in these factors has the countervailing effect of districts losing state funding.

Historically, the state used local valuations to calculate the percentage of state funds for which it was responsible.

The Fair School Funding Plan, a new reworking of the school funding formula, takes into account local incomes because many Ohio communities have closed industrial plants that keep county valuations high.

-Outdated “inputs” or costs used in the formula, such as salary data, staffing ratios, benefits, and insurance costs. The formula’s input costs were last updated in the fiscal year beginning July 1, 2021, and do not reflect recent inflation.

In recent years, all counties have revalued their property. According to Fleeter, property values have increased by one-third or more in some areas.

Fleeter believes that increased property valuations, higher district resident salaries, and outdated formula inputs are the primary causes of districts’ financial losses.

DeWine’s two-year budget plan, unveiled on February 3, proposes continuing to phase in the final two years of the six-year Fair School Funding Plan phase in.

The bipartisan plan aimed to increase public school district funding by $2 billion from the $6.9 billion allocated in 2018.

DeWine, on the other hand, proposed reducing the guarantee, which is money given to school districts to help them stabilise their funding when state aid drops unexpectedly.

The budget is now being debated in the Ohio House. House Speaker Matt Huffman has publicly expressed concerns about continuing to fund the Fair School Funding Plan, claiming it is unsustainable.

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