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Ohio Education Reform Plan Ties Funding to Academic Improvements

Governor Strickland's plan constitutes a virtual overhaul of the old way of funding the state's share of primary and secondary education. The old system used state funds to help local schools pay for teacher salaries, books and programs until the state appropriation ran dry. Strickland's new plan requires each district to provide a specific number of teachers, specific kinds of classes and other educational services.

The governor says these changes tying funding to specific academic improvements, will give all Ohio students the same chance at a quality education no matter where they live.

What this all means in dollars and cents is more than half of Ohio's 613 districts would receive more money under this plan. But nearly half will get no increased support and some will get less than they do now. Most of the big winners are urban and rural districts that have high poverty rates.

Akron Schools fall into the high-poverty category, and stand to get a 10 percent raise over two years, or about 13 million dollars. That won't be enough to fill the district's $36 million dollar budget hole, according to Superintendent David James. He says Akron will have to cut jobs and close schools regardless of state aid. And the cuts will have to go deeper if Ohio schools are to implement new mandates the governor is calling for - all day kindergarten and a longer school day.

Still, he likes the plan.

David James: "Today, I think our economy just requires kids to spend more time in the classroom. If we're going to move forward, and we have a unique opportunity to do that with all these resources focused on schools, we need to look at new and different ways of doing things. That is something, I know, the devil's in the details, but I certainly support."

Some wealthier schools take issue with the way the governor wants to redistribute tax dollars. South Euclid-Lyndhurst superintendent Bill Zelei says the state's funding formula misrepresents his area by putting too much emphasis on property wealth.

Bill Zelei: Does it seem unfair to our district? Yeah, Probably. I feel as though it's appropriate that the state of Ohio is pumping money into districts with high poverty rates. I think it would be appropriate also to pump money into a district like South Euclid Lyndhurst because while our residents may have a little bit more money on average than residents in the state of Ohio, at least 40 percent of my children don't."

The governor's funding decisions also seem to have some odd quirks. For instance, the wealthy suburb of Beachwood won't get an increase in state funds in the first year of the plan, but neither will struggling East Cleveland schools. And both districts…the rich one and the poor one…stand to lose 2 percent of their state money in the second year.

The governor's school plan will cost will a total of 7 billion dollars each year.
Strickland says he'll pay for the state's share of school costs with an across-the-board cut in state agency spending, fee increases and 3.4 billion in expected stimulus money from the feds…a one-time only influx of dollars.

And he says a special kind of funding called a conversion levy - if approved by voters - would allow school revenues to grow automatically if property values rise, which in theory would make it easier for districts to pay their share of the tab. It would also mean higher taxes at the local level.

Fairview Park Schools Treasurer Ryan Ghizzoni would welcome the 14 percent or $2.7 million extra dollars promised to his suburban district over two years in the new plan. But he wonders how long that will be sustained.

Ryan Ghizzoni: "My biggest concern is yes, we might get additional funding and it might cover all and more than what the new requirements are. But how long will that stay? We've seen it many times before. When someone new gets in they end the funding but you're still required to provide the services.
Ghizzoni Ghizzoni also doubts that the "conversion" levies would create any financial relief for districts in the near future, since property values are falling. And if the new levies did succeed there's another problem. Gizzoni thinks it would eventually return the primary burden of school funding to homeowners.

Governor Strickland presents his budget to the Democrat-controlled House this week, where it's expected to sail through. But in the Senate, Republicans are in charge and could pass their own version.

A recent poll shows voters like the programs Strickland's reform plan offers. But in an economy that is likely to worsen before it gets better, Strickland may have to do a much better job of proving that Ohio can afford his plan in years to come.

Kymberli Hagelberg