The weekend is fast approaching, but it doesn’t look like charter advocates and legislators will be getting much rest. Further debate on Senate Bill 17-061 has been postponed until Monday, giving both sides some additional time to continue working the levers of influence.
For those who haven’t been watching the Colorado Capitol closely this year, SB 061 would address the problem on inequitable local funding for public charter school students by requiring school districts to share mill levy override revenue, or extra voter-approved property taxes for education, with charters. Many of you probably remember that we saw similar legislation last year (in the form of SB 16-188), and that I was strongly supportive of that legislation. Ross Izard, my favorite policy nerd, also supported the bill.
Here’s a quick refresher on the issue at hand:
Public charter schools get the same amount of funding as traditional public schools under Colorado’s school finance formula (minus some chargebacks for district overhead). But money that flows to schools under the School Finance Act is only part of the education funding equation. In 2014-15, the last year for which we have complete revenue data, the School Finance Formula calculated about $5.9 billion for education. But the actual amount of revenue that flowed into the system from all sources was roughly $10.5 billion. That means more than 40 percent of the money that rolled into Colorado education came from outside the formula. That, my friends, is a lot of money.
Buried somewhere in that mountainous stack of cash is money derived from local mill levy overrides, or MLOs. Don’t worry, you don’t have to walk around saying “MLO” like a nerd. You can just say “property tax increase.” Basically, a school district asks folks to pay more in taxes to run certain programs, buy new stuff, or do something else entirely. Roughly two-thirds of Colorado school districts have some type of MLO on the books in 2016-17, all of which combined add up to about $937 million. That’s about $100 million more than the big, scary negative factor. And, in fact, 62 districts have raised enough in extra local tax money (see page 8) to totally pay off their share of the negative factor and then have quite a bit left over. Just sayin’.
Here’s the trick, though: School districts don’t have to share the extra money they get from these property tax increases with charter schools. And while some districts have chosen to share—Boulder Valley, Denver Public Schools, Douglas County, Eagle County, Falcon 49, Jefferson County, Moffat 2, Roaring Fork, 27J (Brighton), St. Vrain, Weld County, and Widefield—many others don’t. As a result, a 2014 study found that charter schools in Colorado receive, on average, about $2,000 less per student than traditional public schools. That works out to about 80 cents on the dollar.
All of these kids are public school kids. But some of them are being dramatically underfunded. Does that seem right to you? Continue Reading »