Law & Courts

Judge’s Ruling Cites Flaws in Texas’ School Finance System

By Joetta L. Sack — December 07, 2004 3 min read
  • Save to favorites
  • Print

A state judge told Texas last week that it has until next fall to fix its school funding system—a change that would likely force the legislature to add billions of dollars to the education budget.

Travis County Chief Judge John K. Dietz had declared in September that Texas’ school aid system was unconstitutional. (“Texas Judge Rules Funds Not Enough,” Sept. 22, 2004.)

Last week, he released his much-anticipated final ruling, in which he wrote that the state’s way of paying for its schools “is financially inefficient, inadequate, and unsuitable … because the school finance system fails to recognize or cover the costs of meeting the constitutional mandate of adequacy, or the legislature’s statutory definition of a comprehensive adequate education.”

But the ruling stopped short of setting a specific level of funding to reach adequacy.

See Also

The Nov. 30 court order gives the legislature until Oct. 1 of next year to find a new system to fix persistent inequities in the education funding formula.

The state is appealing the decision. Because of the short time frame given to overhaul the system, lawyers for the state are seeking to bypass the appellate system and go directly to the state supreme court early next year.

Texas now uses a “Robin Hood” formula that requires property-wealthy districts to share a portion of their tax revenues with poor districts. But the system also caps the amount school districts can collect at $1.50 of every $100 in assessed property value.

That cap has become “a floor and a ceiling, denying districts meaningful discretion in setting their tax rates,” the judge wrote.

The ruling echoes arguments made by leaders of Texas’ largest districts when they testified before Judge Dietz in August that they were barely able to afford an adequate education for their students, and were seeing increasing burdens and costs from federal and state accountability laws.

Three separate groups of districts, many with predominantly Latino enrollments, brought the case. They argued that their lack of property wealth did not allow them to raise enough money, and that the state’s formula did not give them enough relief.

David Hinojosa, a lawyer for the Mexican American Legal Defense and Educational Fund who helped argue the case for some of the plaintiffs, said that the judge’s decision reaffirmed that the districts were doing as well as they could with the money they had, but that more money was needed.

“Overall, it is a victory for our children; certainly we still have lingering problem with access to revenue,” Mr. Hinojosa said.

‘No Easy Solutions’

The state is hoping for a speedy appeal to resolve the case, said Debbie Graves Ratcliffe, a spokeswoman for the Texas Education Agency. It’s impossible to tell which way the state high court would rule, she added.

“We’re optimistic we can get a quick appeal to the supreme court,” she said.

The state had argued that the districts had discretionary funds that they used for activities such as athletics that could be redirected toward providing basic education services.

But Judge Dietz rejected that claim. He said the state’s accountability requirements, and its constitutional mandate of adequacy in education, set the funding bar at a higher level than the current $30 billion K-12 education budget could provide—particularly considering the added challenges of educating students who are poor or still learning English.

Last week’s ruling will not affect districts’ ability to issue bonds or take on public debt before the October 2005 deadline.

Regardless of which court takes up an appeal—and when it is heard—the topic of school finance is expected to be a dominant theme when the Texas legislature reconvenes for its 140-day session beginning in January.

But whether lawmakers can find an acceptable solution is unclear. The legislature met in a 30-day special session last spring on school finance, but was unable to agree on a new formula. (“‘Robin Hood’ Still Alive After Texas Special Session,” May 26, 2004.) Though various legislative remedies have been debated, and several school finance bills have been filed before the opening session, nobody has found a “magic bullet” that will solve the state’s finance problems, Ms. Ratcliffe said.

“There are no easy solutions left on the table,” she said.

Mr. Hinojosa, the MALDEF lawyer, said he worries that many legislators are more interested in tax cuts for their constituents than in finding more money for schools. “They just want to replace the money received with one tax with another [tax cut],” he said. “Hopefully, they’ll put partisan politics aside and talk about children’s education, which is a priority.”

Related Tags:

Events

School Climate & Safety K-12 Essentials Forum Strengthen Students’ Connections to School
Join this free event to learn how schools are creating the space for students to form strong bonds with each other and trusted adults.
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Student Well-Being Webinar
Reframing Behavior: Neuroscience-Based Practices for Positive Support
Reframing Behavior helps teachers see the “why” of behavior through a neuroscience lens and provides practices that fit into a school day.
Content provided by Crisis Prevention Institute
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Mathematics Webinar
Math for All: Strategies for Inclusive Instruction and Student Success
Looking for ways to make math matter for all your students? Gain strategies that help them make the connection as well as the grade.
Content provided by NMSI

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

Law & Courts Why It Will Now Be Easier for Educators to Sue Over Job Transfers
The case asked whether transferred employees had to show a 'significant' change in job conditions to sue under Title VII. The court said no.
8 min read
Light illuminates part of the Supreme Court building at dusk on Capitol Hill in Washington, Nov. 16, 2022.
Light illuminates part of the Supreme Court building at dusk on Capitol Hill in Washington, Nov. 16, 2022. The high court on Wednesday, April 17, 2024, made it easier for workers, including educators, to sue over job transfers.
Patrick Semansky/AP
Law & Courts Oxford School Shooter's Parents Were Convicted. Holding District Liable Could Be Tougher
The conviction of parents in the Oxford, Mich., case expanded the scope of responsibility, but it remains difficult to hold schools liable.
12 min read
Four roses are placed on a fence to honor Hana St. Juliana, 14, Madisyn Baldwin, 17, Tate Myre, 16, and Justin Shilling, 17, the four teens killed in last week's shooting, outside Oxford High School in Oxford, Mich., on Tuesday, Dec. 7, 2021.
Four roses are placed on a fence outside Oxford High School in Oxford, Mich., honor Hana St. Juliana, 14, Madisyn Baldwin, 17, Tate Myre, 16, and Justin Shilling, 17, the four teens killed in the Nov. 30, 2021, shooting at the school.
Jake May/The Flint Journal via AP
Law & Courts Oklahoma Supreme Court Weighs 'Test Case' Over the Nation's First Religious Charter School
The state attorney general says the Catholic-based school is not permitted under state law, while supporters cite U.S. Supreme Court cases.
5 min read
Oklahoma Attorney General Gentner Drummond is pictured Wednesday, Feb. 1, 2023, during an interview in Oklahoma City.
Oklahoma Attorney General Gentner Drummond, pictured in February, argued April 2 before the state supreme court against the nation's first religious charter school.
Sue Ogrocki/AP
Law & Courts When Blocking Social Media Critics, School Officials Have Protections, Supreme Court Says
The court said public officials' own pages may be "state action," but only when they are exercising government authority.
6 min read
An American flag waves in front of the Supreme Court building on Capitol Hill in Washington, on Nov. 2, 2020.
An American flag waves in front of the Supreme Court building on Capitol Hill in Washington, on Nov. 2, 2020.
Patrick Semansky/AP