Education Funding

Once ‘Sacred,’ School Aid Falls Prey to Budget Cuts, NCSL Report Finds

By Mary Ann Zehr — May 07, 2003 2 min read
  • Save to favorites
  • Print

As states plan for the new fiscal year that begins July 1 for 46 of them, many states remain poised to cut K-12 education funding in order to come up with workable budgets, a report by the National Conference of State Legislatures says.

The report, “State Budget Update: April 2003,” can be purchased for $25, plus the cost of shipping and handling, from the National Conference of State Legislatures by calling (303) 364-1621.

Nearly all states have struggled with deficits in their general funds for three years in a row, and many have tried to fill the gaps by cutting back on programs or raising taxes. But some legislatures have continued to underestimate the extent to which their revenues are declining, according to the Denver-based NCSL.

In “State Budget Update: April 2003,” released last month, the group notes that with two months remaining before the end of most states’ 2003 fiscal year, states face a total of $21.5 billion in budget shortfalls—the difference between anticipated spending and projected revenues. The report doesn’t provide a total amount for all states’ general-fund budgets, nor an average budget gap nationwide.

Such shortfalls are greatly complicating efforts to plan budgets for 2004. The report says that at least 21 states are considering proposals that would adversely affect precollegiate spending.

“These fiscal problems are so severe that even K-12 education, a program that has been held sacred and protected, is being affected,” said Corina Eckl, a co-author of the NCSL report.

Alaska, California, and Oregon are the states with the bleakest outlooks, according to the report’s indicators. At the end of April, Alaska had a budget shortfall of nearly $500 million, or 25 percent of its general-fund budget.

California had a gap of $8.2 billion, or 11 percent of its budget, and Oregon was short $1.1 billion, or 19 percent of its budget.

For other states, the shortfalls made up smaller proportions of the general-fund budgets, which in general account for about three-fourths of all state spending, according to Ms. Eckl.

Limited Options

States are looking at a variety of ways to trim spending on education in the upcoming fiscal year.

Alaska, for instance, may reduce funding for student transportation and early kindergarten, among other areas. Oregon is anticipating a salary freeze and is looking at changing its pension system. Kansas is proposing cutting the amount of state aid per pupil by $27—from $3,890 to $3,863 per student.

Ms. Eckl said that proposals are increasingly affecting core aspects of schooling.

“The early cuts that K-12 education experienced were along the lines of programming for at-risk youth, language programs, and after-school programs,” she said. “It seems now that we are shifting to cutting per-pupil funding and halting increases in teachers’ salaries.”

As a sign of the times, she noted that while her organization typically publishes a report on state budgets twice a year, it has begun producing the reports every two months because members are so interested in what’s happening in other states, given the dreary economic climate.

“We’re exhausted,” Ms. Eckl said. “We need the economy to turn around.”

Events

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
Assessment Webinar
Reflections on Evidence-Based Grading Practices: What We Learned for Next Year
Get real insights on evidence-based grading from K-12 leaders.
Content provided by Otus
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
Creating Resilient Schools with a Trauma-Responsive MTSS
Join us to learn how school leaders are building a trauma-responsive MTSS to support students & improve school outcomes.
School & District Management Live Online Discussion A Seat at the Table: We Can’t Engage Students If They Aren’t Here: Strategies to Address the Absenteeism Conundrum
Absenteeism rates are growing fast. Join Peter DeWitt and experts to learn how to re-engage students & families.

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

Education Funding Schools Could Lose Millions in Federal Dollars After McMahon Changes Rules
The federal government has rescinded deadline extensions for a majority of states to spend remaining pandemic aid.
7 min read
Photo of calendar with pushpins on dates.
iStock
Education Funding States Get Antsy as Education Department Layoffs Delay Millions for Schools
Reimbursements for federal education aid are weeks late, according to state chiefs.
7 min read
Illustration of a clock and it's shadow is an hourglass with the symbol of money in the sand.
DigitalVision Vectors
Education Funding What the Latest Federal Funding Law Means for Schools
The new federal spending resolution leaves the door open for continued disruption to federal education funding.
6 min read
Broken and repaired: 3D symbol of a Dollar.
Education Week and Getty
Education Funding Trump Admin. Ordered to Temporarily Restore Teacher-Prep Grants in 8 States
A federal judge chided the Trump administration for offering what amounted to "no explanation at all" for terminating the grants.
4 min read
California Attorney General Rob Bonta speaks at a press conference to announce a lawsuit against the Trump administration over budget cuts to teaching training funds, at the Ronald Reagan Federal Building on Thursday, March 6, 2025, in Los Angeles.
California Attorney General Rob Bonta announces a lawsuit against the Trump administration over the cancellation of teacher-training grants on March 6, 2025, in Los Angeles. A judge on March 10 ordered the temporary reinstatement of the funds in California and seven other states.
Juliana Yamada/Los Angeles Times via TNS