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AEP Online |
Blaschke on Federal FundingIn USED's Final Title I Allocations, Some States Are Winners, Some Receive CutsTitle I funding presents a very mixed picture, this coming school year: Of the 13,000 districts that will receive these monies, slightly more than 7,000 will receive more, while almost 6,000 will receive less. Almost 350 districts will lose all Title I funding. Firms that are prioritizing states--and districts within states--need to be aware of these changes. Decreases occurred for a couple of reasons: 1999 census data sets were used for the first time; and the “hold harmless/protection” provision for concentration funds ended this year for almost 1,000 districts, which means they will receive no concentration funds. Virtually all of the increases in Title I funding hailed from the “targeted” and “incentive” components of the Title I formula, which in turn will affect when these districts will actually receive the extra funds. Some additional changes in the final district allocations were necessary because of USED's mistakes in its preliminary allocations, in May, for 14 states. Budget cuts will perhaps be most dramatic in those 1,000 districts that are no longer protected under a “hold harmless” provision, because they have fewer poverty students enrolled in Title I. Last year only 330 districts lost their concentration grants, but in the coming year more than 1,000 will. As noted in "Title I Report " (Small Axe Communications, June 2003 issue), one Delaware district lost six foster children, which brought the district below the eligibility threshold for concentration funds--costing the district almost $250,000. Local education agencies that will lose concentration grants and experience significant overall budget cuts include many in Michigan (90 LEAs), Missouri (59), New Jersey (74), Ohio (43), and Tennessee (54). On the other hand, many of the same districts are receiving increases under the “targeted” and “incentive” grant components. In Michigan, for instance, about 350 LEAs will receive additional funding under these components, as will approximately 500 LEAs in New York state. Most districts that are no longer eligible for concentration funds will reduce the Title I per-pupil allocation, while continuing to serve existing Title I schools. On the other hand, districts receiving increases in “targeted” and “incentive” funds are likely to have more schools receive Title I funds for the first time, and/or to increase Title I per-pupil allocations. But even with these gains, which will come to many large urban districts that have relatively large numbers of failing schools, Title I allocations to some schools could shrink--as the districts earmark funding in the Title I central office reserve to cover contingency costs related to transportation and supplemental education services. It's likely that increases in “targeted” and “incentive” grants (listed in the TURNKEY TechMIS May Special Reports) won't be released to the state, and in turn to the district, until October through December. In some states--Texas, for instance--some districts have been told that their final allocations will not be made until January through March of 2004.
Questions, ideas, or in need of more information? Please contact Dave Gladney at 856-241-7772 or dgladney@AEPweb.org. |
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