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Staff Recommendations

These staff recommendations are for consideration in the issuance of the initial Education Funding Advisory Board report to the General Assembly due in January 2001.

Recommendations 1) and 2) address those issues the Education Funding Advisory Board must address in its January 2001 report.

1)  105 ILCS 5/18-8.05(B)  The General State Aid foundation level for FY2002 should be $4,580.  This recommendation was arrived at by increasing the FY2001 foundation level, $4,425, by the most recent estimate of the 2001 Consumer Price Index (3.5%).

2)  105 ILCS 5/18-8.05(H)  It is recommended that the minimum threshold for access to the poverty grant be lowered and the dollar amounts be dropped in favor of percentages of the foundation level.  Under this recommendation the poverty formula for FY2002 would be:  

If  DCR < .15 then Grant = 0

If   .15 <= DCR < .20 then Grant = .11 x Foundation Level x Low Income Count

If   .20 <= DCR < .35 then Grant = .20 x Foundation Level x Low Income Count

If   .35 <= DCR < .50 then Grant = .29 x Foundation Level x  Low Income Count

If   .50 <= DCR < .60 then Grant = .38 x Foundation Level x  Low Income Count

If    DCR >= .60 then Grant = .47 x Foundation Level x  Low Income Count

            Where DCR = Low Income Count / Average Daily Attendance

3)  105 ILCS 5/18-8.05(J)  The General State Aid Hold Harmless should be phased out in a five-year period beginning in FY2004.  The Hold Harmless proration should be 80%, 60%, 40%, 20%, and 0% beginning in FY2004.

4)  105 ILCS 235/15  The continuing appropriation for General State Aid and Hold Harmless should be continued through FY2004.

Recommendations 5) and 6) address those issues staff believe would help to mitigate some of the funding problems currently being experienced.

5)  105 ILCS 5/18-8.05(C)  The pupil count in the formula, currently the prior year average daily attendance (ADA), should be changed to the greater of the prior year ADA or the most recent three-year average ADA.  The ADA used to calculate the poverty grant percentage should remain the prior year ADA.

6)  105 ILCS 5/18-8.05(C)  Beginning in FY 2004, a weighting factor for students in grades PreK – 3 and 9 – 12 should be added, beginning with a 2% weighting and increasing for four additional years at 2% per year for total PreK – 3 and 9 – 12 weightings of 1.10.