MARS General MeetingNashoba Valley, Feb 12, 2013

Chapter 70 And State Budget UpdateRoger Hatch, Jay Sullivan, Christine Lynch, ESE

Massachusetts Department of Elementary and Secondary Education

House 1: Key Points About Chapter 70Massachusetts Department of Elementary and Secondary Education*Aid rises $226 million (5.4%) to $4.397 billionAggregate wealth model is fully implementedBelow-effort communities requirements ramped up Out-of-district sped rates raised by $10,000Capping of regular ed pk pupils eliminated179 operating districts receive foundation aid$25 per pupil minimum aid increase

Massachusetts Department of Elementary and Secondary Education

Local Contributions

Massachusetts Department of Elementary and Secondary Education*

House 1 Chapter 70 proposal fully implements the effort-reduction targets for the first time.

241 communities with excess effort are reduced by 100% of that excess, amounting to $202 million in lower required contributions.

110 communities are below their targets and are moved closer by their municipal revenue growth factors, plusan additional 2 percent if below by 2.5 to 7.5% (n=44)an additional 3 percent if below by more than 7.5% (n=20)The additional contributions total $28 million.

Massachusetts Department of Elementary and Secondary Education

Progress Toward Target Contributions1/23/2013*

Progress Toward Target Contributions1/23/2013*

Implications for Regional Districts Will these numbers hold in Legislature?Proposed changes can create dramatic differentials in increases or decreases in assessments in some regionalsRegional districts need to go beyond rote explanations for why the numbers fall out the way they doESE WILL help!Pay attention to the regional allocation

1/23/2013*

Key Factors in School Funding Formula1/23/2013Foundation BudgetEnrollmentWage Adjustment FactorInflationLocal ContributionProperty valueIncomeMunicipal Revenue Growth FactorThese six factors work together to determine a districts chapter 70 aid.*

Example: Bourne and Upper Cape Cod1/23/2013*

Bourne: Below, Above, Now Exactly AT Target1/23/2013*

Bournes Overall Contribution Drops, but at Upper Cape It Rises1/23/2013*

Regional Allocation Explains the Increase1/23/2013*

Calculating Chapter 70 Aid1/23/2013Base aid = FY13 c70 ($4.173 billion).

Add together the base aid and the required local contribution.

If the combined amount is less than foundation budget, then foundation aid provides additional funding for districts to spend at foundation levels. (179 operating districts)

Each district received at least $25 per pupil in additional aid over FY13.

*

Urbanized centers receive largest increases per pupil

Biggest Increases in Aid Per Pupil1/23/2013

Progress Toward Target Aid Share1/23/2013*

Progress Toward Target Aid Share1/23/2013*

Academic Regional Districts FY07 and FY141/23/2013*

Vocational Regional Districts FY07 and FY141/23/2013*

Minimums Come Full Circle1/23/2013*

Chapter 70 Preliminary Fy14Minimum Contributions Per Pupil, Cape Cod Regional Vocational

foundationfoundation foundationminimumminimumleamember city or townenrollmentbudget per pupilcontributionper pupil20BARNSTABLE 1682,532,41115,0742,089,23912,43641BREWSTER 42633,10315,074522,31012,43655CHATHAM 23346,69915,074286,02712,43675DENNIS 931,401,87115,0741,156,54412,43685EASTHAM 14211,03415,074174,10312,436126HARWICH 851,281,27915,0741,057,05512,436172MASHPEE 55829,06315,074683,97712,436224ORLEANS 14211,03415,074174,10312,436242PROVINCETOWN 460,29615,07449,74412,436300TRURO 575,36915,07462,17912,436318WELLFLEET 460,29615,07449,74412,436351YARMOUTH 1472,215,86015,0741,828,08512,436

Regional Districts With Equal Contributions Per Pupil Preliminary FY14Berkshire Hills $8274Berlin Boylston 7688Concord Carlisle 8483Dennis Yarmouth 8312Dover Sherborn 7755Nauset 8013Marthas Vineyard 9152Monomoy 7853Southern Berkshire 7905Cape Cod124361/23/2013*

Chapter 70 Websitehttp://finance1.doe.mass.edu/chapter70/1/23/2013FY14 link*

Circuit BreakerMassachusetts Department of Elementary and Secondary Education*Funded at FY13 amount ($230m)Estimate reimbursements at between 65-70%Remember your mix of pupils served determines reimbursement, be aware of pupils aging out as well as new pupils served

Massachusetts Department of Elementary and Secondary Education

TransportationHomeless Transportation funded at $6.05mEstimate reimbursement between 45-50%

Regional Transportation level funded at $44.5mEstimate reimbursement between 50-55%Out of District Vocational Transportation funded at $250kEstimated reimbursement between 5-8%

Massachusetts Department of Elementary and Secondary Education*

Massachusetts Department of Elementary and Secondary Education

Contact InfoChapter 70Melissa King, 781-338-6532 mking@doe.mass.edu

Roger Hatch, 781-338-6527 rhatch@doe.mass.edu

Circuit Breaker & TransportationJay Sullivan, 781-338-6594jsullivan@doe.mass.edu

Regional Districts and CollaborativesChristine Lynch, 781-338-6520 clynch@doe.mass.edu

1/23/2013

*Massachusetts Department of Elementary and Secondary EducationMassachusetts Department of Elementary and Secondary Education*Massachusetts Department of Elementary and Secondary EducationMassachusetts Department of Elementary and Secondary Education