The Future for Rural Schools Mary Kusler Assistant Director, Government Relations American Association of School Administrators June 30, 2007 Rewriting the Rural Education Achievement Program

2 Rural Education Achievement Program (REAP) Part one, the Small and Rural Schools Achievement Program, is targeted to provide additional funding and flexibility to small rural school districts. Part two, the Rural and Low-income Schools program, provides additional funding for poor rural school districts.

3 Who is Eligible for the Small & Rural Schools Achievement Program? Eligible districts have an ADA of 600 or fewer or the county in which the district resides has fewer than 10 people per square mile. AND Defined as rural by the US Department of Education. Rural for USED means having a local code of 7 or 8.

4 Who is Eligible for the Rural and Low-Income School Program? Eligible districts have a census poverty count of 20% or more. AND Have US Department of Education Locale code of 6, 7 or 8. Locale code 6 translates to a small town.

5 What is a Johnson Locale Code? Currently…. This Census coding system is based on both the proximity to metropolitan areas and on population size and density. Codes are assigned based on the addresses of the individual schools and are assigned at the school level. Ranges from 1 (urban) to 8 (rural) Imperfect measure for rural schools.

6 What are the New Locale Codes? Based on a school’s proximity to an urbanized area. Broken down into city, suburban, town and rural If 50% of the district is within one locale code, that is how the district is coded. If no single locale code accounts for 50% of the students, then the category with the greatest % of students determines the locale.

7 New Locale Codes 31 - Town, Fringe: –Territory inside an urban cluster that is less than or equal to 10 miles from an urbanized area Town, Distant: –Territory inside an urban cluster that is more than 10 miles and less than or equal to 35 miles from an urbanized area Town, Remote: –Territory inside an urban cluster that is more than 35 miles from an urbanized area Rural, Fringe: –Census-defined rural territory that is less than or equal to 5 miles from an urbanized area, as well as rural territory that is less than or equal to 2.5 miles from an urban cluster Rural, Distant: –Census-defined rural territory that is more than 5 miles but less than or equal to 25 miles from an urbanized area, as well as rural territory that is more than 2.5 miles but less than or equal to 10 miles from an urban cluster Rural, Remote: –Census-defined rural territory that is more than 25 miles from an urbanized area and is also more than 10 miles from an urban cluster.

8 States Participating in Rural Education Achievement Program

9 How Does Subpart One Work? Can co-mingle funds from Titles II (Teacher & Technology), IV (Safe & Drug Free) and V (Innovative Block Grant) Can spend them in Titles I, II, III (Bilingual and Emergency Immigrant), IV (added 21 st Century Grant) or V.

10 How does the formula work? Provides a supplemental grant with a min. of $20,000 to max. of $60,000. Formula $20,000 for first 50 students plus $100 for each additional student up to $60,000. Subtract allocations in Titles II (Teacher & Technology), IV (Safe & Drug Free) and V (Innovative Block Grant)

11 A Formula Example Mar Lee School District, MI –ADA 289 students $20,000 (50) + $23,900 (239) = $43,900 Title II, Part A (Teacher): $13,715 Title II, Part D (Ed Tech): $385 Title IV (S&DF): $1,196 Title V (In Blk Gnt): $64 –Total federal formula funds: $15,360 $43,900 - $15,360 = $28,540 new funds !

12 The formula problem – FY 2003 Sheridan County School District #3, WY –ADA 103 students $20,000 (50) + $5,300 (53) = $25,300 Title II, Part A (Teacher): $12,723 Title II, Part D (Ed Tech): $1,480 Title IV (S&DF): $1,862 Title V (In Blk Gnt): $3,105 –Total federal formula funds: $19,170 $25,300 - $19,170 = $6,130 grant

13 The formula problem – FY 2005 Sheridan County School District #3, WY –A–ADA 100 students $20,000 (50) + $5,300 (50) = $25,000 Title II, Part A (Teacher): $128,144 Title II, Part D (Ed Tech): $11,349 Title IV (S&DF): $1,862 Title V (In Blk Gnt): $6,700 –T–Total federal formula funds: $148,055 $25,000 - $148,055 = -$123,055 over max. grant

14 With Money, Comes Accountability After receiving the SRSA for 3 years, districts are expected to meet adequate yearly progress (AYP.) If the district does not meet AYP, they will still receive REAP funding but it must be used for school improvement purposes. DoE will not give $$ to districts who consistently do not meet AYP. Applicable to upcoming funding year.

15 Rural & Low-income School Program Program was developed by states that have county-wide districts that include rural areas, but also benefits larger rural districts. Program is administered and dollars flow through the state. State distributes the funding to the eligible districts.

16 State choices for distribution On a competitive basis According to a formula based on the number of students According to a formula that more highly targets the dollars to needy districts –Pre-approved by US Dept. of Ed

17 Uses for new funding… Teacher recruitment/ retention Teacher professional development Educational technology (software too!) Parental involvement activities Safe and Drug Free Schools Title I, Part A Bilingual and Emergency Immigrant (Title III)

18 Funding for REAP REAP is currently funded at $168.9 million. It has been level funded for several years. As title formula dollars are going down, the need for REAP dollars increases. We need to push for more funding.

19 Reauthorization of REAP Some changes need to be made to improve REAP in the coming reauthorization. Specifically, a number of districts are no longer receiving a financial benefit from the program despite qualifying. –Allow districts to choose which program to apply under. –Raise the sliding scale from $20,000 - $60,000 to $25,000 - $70,000. For the Rural & Low-income program, use free and reduced lunch instead of census. Update Locale codes.

20 REAP for the 2007 – 2008 School Year Eligibility spreadsheets are up on the US Department of Education website: ndex.html ndex.html –If you have received REAP in the past and are eligible again this year you do not have to reapply. Rural and Low-income program will continue to work through the state. We need to push for increased funding for REAP!

21 Be sure to share your ideas… American Association of School Administrators Mary Kusler Asst. Director of Government Relations American Association of School Administrators 801 N. Quincy Street, Suite 700 Arlington, VA (703)