State Budget Connections to Career Tech Aaron Rausch, Director Office of Budget and School Funding • July 2017

Education and the State Budget 7/11/2016 Education and the State Budget *Legislative Service Commission summary from H.B. 49 of the 132st General Assembly

Foundation Program Centered on needs of students Funds distributed based on district characteristics Largest part of ODE’s budget

Funding Formula Elements Traditional Districts 7/11/2016 Funding Formula Elements Traditional Districts Opportunity Grant Economically Disadvantaged Transportation Targeted Assistance Limited English Proficiency Special Education K-3 Literacy Gifted Education Career-Technical Education Capacity Aid Third Grade Reading Bonus Graduation Bonus

Foundation Formula – FY17 7/11/2016 Foundation Formula – FY17 *FY17 June #2 Payment

Funding Formula Elements JVSD 7/11/2016 Funding Formula Elements JVSD Opportunity Grant Economically Disadvantaged Transportation Targeted Assistance Limited English Proficiency Special Education K-3 Literacy Gifted Education Career-Technical Education Capacity Aid Third Grade Reading Bonus Graduation Bonus

Foundation Formula – FY17 JVSD 7/11/2016 Foundation Formula – FY17 JVSD *FY17 June Payment

Opportunity Grant Per Pupil Funding Increase Increase to $6,010 in FY2018 Increase to $6,020 in FY2019

4/20/2016 Formula Changes Transportation – Minimum state share index reduced from 50% in FY17 to 37.5% in FY18 to 25% in FY19. Increases funding for capacity aid (Funding based on value of 1 mill of property tax compared to state median).

Career Technical Education No changes in per pupil amounts from FY17. Supplemental CTE funding for five categories Lead district receives $245 for associated services for each CTE FTE

Career Technical Education Category Career Fields Amount 1 Agricultural & environmental systems, construction technologies, engineering & science technologies, finance, health science, information technology, manufacturing technologies $5,192 2 Business & administration, hospitality & tourism, human services, law & public safety, transportation systems, arts &communications $4,921

Career Technical Education Category Career Fields Amount 3 Career based intervention $1,795 4 Education & training, marketing, workforce development academics, public administration, career development $1,525 5 Family and consumer sciences (which includes students enrolled in GRADs) $1,308

Transitional Aid Guarantee 100% of FY17 State Aid 7/4/2018 Transitional Aid Guarantee 100% of FY17 State Aid Districts with more than a 5% decline in Total ADM between FY14-16 are subject to an adjusted guarantee no less than 95% Example: District with 7.5% ADM loss guaranteed funding 97.5% of FY17 State Aid

7/4/2018 Gain Cap Funding increases are limited to 3% in each fiscal year, unless a district has experienced increasing enrollment. Maximum growth of 5.5% in FY18 and 6% in FY19. Example: District with 4.1% ADM growth can see up to 4.1% increases in funding each year.

7/4/2018 Career Tech Funding Career Technical Education Funding continues outside of both the cap and the guarantee. A secondary guarantee established for career tech funding at traditional districts. Guarantee = FY17 career-tech funding.

What factors influence if a specific district will see increased or decreased aid?

What factors influence district aid? Student Population and Demographics Property Valuation Income Historical Funding – Caps and Guarantees

Tangible Personal Property Reimbursement Phase-Out SB 208 phases out reimbursement based on 5/8th mill in FY18/FY19 TPP Supplement Ends FY18 - $207.3M FY19 - $165.2M

Total School Funding $8.08 billion $76.8 million increase 1.0% 1.1% FY18 FY19

7/11/2016 Questions?

education.ohio.gov