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Fund-Raising May Hurt Schools In the Long Run, Report Warns

Entrepreneurial efforts by schools to raise money can damage public support for schools and create funding inequities, a recent report concludes.

Schools in recent years have turned to commercial advertising, corporate sponsorships, and special fees to boost their discretionary income, the report from the Denver-based National Conference of State Legislatures notes. But such schemes may dissuade taxpayers from supporting bond issues and tax levies that pay the bulk of school operating expenses, the report warns.

The extra revenue a district collects may also upset state goals for financing districts equitably, it says.

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