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1999 Final Legislative Actions

Alabama

The Legislature passed a budget for 1999-2000 that increases education funding 5.4 percent to more than $4.1 billion. The budget allocates nearly $2.8 billion to elementary and secondary schools (an increase of 6.6 percent) and more than $1 billion to higher education (6 percent more). The budget removes $51.8 million in one-time funding provided in 1998-99 to shore up the state’s health insurance system.

For 1999-2000, elementary and secondary schools will operate with nearly $2.7 billion from the finance formula (an increase of 5.4 percent). Most of this allocation ($2.5 billion, up 4.3 percent) supports basic school operations, including two additional days for professional development, programs for at-risk students ($31.7 million, 3.3 percent more) and student transportation ($180.1 million, up 23.4 percent). No funds were designated for salary increases.

Funding for programs administered by the state Department of Education will increase nearly 90 percent to $71.5 million. The budget includes an 18.6 percent increase in funding for assistance to low-performing schools (total of $6.4 million). Each teacher who seeks national certification will receive $2,000 toward program costs ($100,000 total, no increase). Each teacher who earns certification will receive an annual bonus of $5,000 (currently $1,500); the budget includes $135,000 for this purpose.

New initiatives include violence prevention ($400,000), teacher training in the use of the Internet and computers ($1.6 million), and assistance to students who fail the state’s graduation examination ($4 million). The budget provides $11.2 million to hire an additional 200 teachers of kindergarten through third grade and $5.2 million to provide one registered nurse in each school district. Initial state funding of $6 million is also available for teacher training in reading as part of the Alabama Reading Initiative, which enters its third year.

Universities will receive $811.9 million for 1999-2000 (an increase of 6.1 percent), while funding for two-year colleges will increase 5.6 percent to $210.6 million. No funds were designated for pay raises, and institutional boards will determine tuition increases.

Several pieces of legislation will take effect only if voters this fall pass a constitutional amendment to create a state lottery. Legislation prohibits lottery proceeds from supplanting current funding and directs these funds to support a merit-based scholarship program, prekindergarten programs and educational technology. Legislation also would create the Office of School Readiness; an office to administer the merit-based scholarship program; an information technology office; and a corporation to administer the lottery.

Other legislation gives school budget committees authority in spending classroom instructional-support funds for purposes such as library purchases, professional development and technology. Budget committees previously were limited to decisions concerning materials and supplies. A national criminal-background check now will be conducted on all applicants for teacher certification and all those seeking jobs that involve unsupervised access to children in public and private schools. Previously, a state background check was required for certification. The law also requires applicants for jobs at public colleges and universities to undergo national background checks.

The Children First Trust Fund, created in 1998, will receive revenues from the national settlement of the tobacco lawsuit and from other sources. The fund supports the work of several state agencies that provide services for children. The state Board of Education gets 22 percent of the fund and can use that money for alternative schools, school safety efforts or other services that it provides for children. Annual deposits to the fund will reach $70 million by 2001-02.

Arkansas

The General Assembly adopted a state budget for the 1999-2001 biennium that provides a maximum of $3.3 billion in the first year of the biennium (an increase of 8.6 percent) and $3.5 billion in the second year (up 6.9 percent). Funding for education will increase 7.2 percent to more than $2.1 billion in 1999-2000 and another 6.1 percent to nearly $2.3 billion in 2000-01. The Education Enhancement Trust Fund will provide schools and colleges with $209.9 million in the first year of the biennium and $221.8 million in the second year — increases of 9 percent and 5.7 percent, respectively. The trust is funded by the increase and expansion of sales taxes approved in 1991.

In 1999-2000, elementary and secondary schools will receive a maximum of $1.5 billion through the finance formula, an increase of 4 percent. Funding in 2000-01 will increase another 6.2 percent to nearly $1.6 billion. In addition, schools will receive $155.1 million in 1999-2000 (up 8.9 percent) and $163.7 million in 2000-01 (5.6 percent more) from the Education Enhancement Trust Fund. Support for Better Chance Grants, which fund innovative early-childhood programs for at-risk children, will total $14.9 million, an increase of $5 million. Local districts will determine salary increases for teachers.

The Smart Start initiative, which focuses on improving students’ reading and math achievement in kindergarten through fourth grade, will operate with $8.6 million in each year. This amount consists of $3 million in new funding and $5.6 million in funds reallocated or transferred from other programs. An allocation of $3.5 million in each year of the biennium will continue the development of the state testing program; current funding is $2.5 million.

Funding is provided for several new initiatives. The budget provides $4 million in 1999-2000 and $6 million in 2000-01 for awards to school districts with high test scores or evidence of improvement. Schools with low academic achievement will receive assistance from the $1 million allotted in each year of the biennium. The budget also provides $13 million in each year of the biennium to help schools that have high numbers of low-income students in kindergarten through fourth grade.

Funding for colleges and universities will increase 8.5 percent to a maximum of $517.7 million in 1999-2000 and another 6.2 percent to as much as $550 million in 2000-01. Funding for four-year institutions will increase 7.7 percent to $403.5 million in the first year of the biennium and another 5.7 percent to $426.3 million in the second year. The allocation for two-year colleges will reach $86.9 million in 1999-2000 and $92.8 million in 2000-01 — increases of 10 percent and 6.8 percent, respectively. In 1999-2000, technical colleges will operate with $24.4 million, an increase of 9.4 percent. Funding will increase another 7.8 percent to $26.4 million in 2000-01. Institutions will determine faculty pay raises and tuition increases.

The General Assembly passed a series of bills addressing K-12 accountability issues. The Arkansas Comprehensive Testing, Assessment and Accountability Act targets grade-level proficiency in core academic subjects and calls for immediate intervention and remediation for students who are not performing at grade level. The state Department of Education will develop and implement tests for the elementary and middle grades and end-of-course tests for high school. Teachers and counselors will develop an academic improvement plan for any student who does not demonstrate proficiency on the state assessment.

Schools and districts that fail to meet acceptable levels of performance will develop and implement improvement plans, and the state Department of Education will review these plans. Because this legislation focuses on immediate remediation, the General Assembly repealed a previous mandate that all low-performing students in kindergarten through third grade attend summer school. The department also must publish and distribute to parents an annual school-level performance report by mid-September 2000.

The legislature created After School Enrichment grants for low-performing school districts. These grants will support locally designed programs that target at-risk students in middle school and high school.

Effective in fall 2006, teachers no longer will be assigned to teach grade levels or subjects for which they are not licensed. Long-term substitutes — those teaching the same class for more than 30 consecutive days — will be required to hold bachelor’s degrees or licenses to teach in the state. Other legislation creates advisory committees made up of parents and students to consider whether local school boards should require school uniforms.

Legislation created a new classification of charter school: open-enrollment charters. An open-enrollment charter school will be able to accept students from districts other than the one in which it is located. Public or private nonreligious colleges or universities, government entities and nonreligious organizations are eligible to petition the state Board of Education for an open-enrollment charter. The school will receive an amount equal to state and local revenue per student and may receive other state and federal funds as provided by law. The budget includes $2.5 million in 2000-01 to support open-enrollment charters.

Legislation affecting higher education requires annual reviews of faculty performance to include information on collaborative involvement with public schools. To increase coordination among the state Board of Education, the Arkansas Higher Education Coordinating Board and the state Board of Workforce Education and Career Opportunities, the three boards will meet at least annually. In addition, the coordinating board will work with colleges and universities to provide seventh-graders and their parents (previously eighth-graders) with information packets on postsecondary opportunities in the state.

A task force will report to the legislature by March 2000 on nonbaccalaureate postsecondary education — that is, courses of study that lead to certificates or less than three-year degrees. Legislation also calls for a new interagency commission to address statewide policy issues regarding the coordination of distance learning services and cooperation in their delivery. Another bill raises the family income limit for Academic Challenge Scholarships to $70,000, nearly twice the current limit. To qualify for an award, a student must meet academic requirements as well as the income limit.

Delaware

The 1999-2000 state budget of $2 billion in general funds will increase spending by 6.5 percent. Education budgets will increase 5 percent to $850 million. The General Assembly allocated $30.5 million that can be used for property-tax relief; local school boards will hold public hearings and then vote whether to reduce local property taxes or maintain the tax rates and use the added funding for educational programs.

The budget provides elementary and secondary schools with $666.7 million, an increase of 6.5 percent. In addition, $92 million is available for school construction projects. School districts will receive $507.1 million for operations, 3.3 percent more than in 1998-99. Teacher pay raises will average 3 percent. The General Assembly increased funding for student discipline by 56 percent, for a total of $14 million. The new funds will be used for alternative schools, school-based intervention grants and the K-3 Early Intervention/Family Crisis Therapist Program. The budget also includes $500,000 (an increase of 42.9 percent) for competitive grants to schools that develop student mentoring programs involving parents and volunteers. 

The budget allocates $3.3 million (an increase of 31.8 percent) for the state testing program that supports accountability legislation passed in 1998. The additional funds will be used to develop tests for the end of summer school and to implement assessments for disabled students and those whose native language is not English.

A total of $6.5 million (up 10.9 percent) will support alternative certification, professional development, curriculum development and mentoring for teachers. These funds also will defray costs for teachers who seek national certification. The budget allocates $50,000 to recruit teachers and $20,000 to pay for criminal background checks on substitute teachers.

The budget for the Delaware Center for Educational Technology will increase 79 percent to nearly $1.1 million. The center, created in 1995, uses educational technology to help students meet state academic standards. The funding increase will allow the center to provide more assistance to local school districts, give more educators access to the state technology network, and maintain wiring and electronics.

Legislators debated the issue of teacher accountability but did not pass legislation. Pending the outcome of a special session to address teacher accountability, $10.8 million will be allocated for teacher pay raises. These funds, intended to revamp the state teacher-salary schedule, would increase teacher pay by an average of 2.5 percent, plus another 10 percent increase for starting teachers. These pay raises would be in addition to the pay raises (averaging 3 percent) that the budget provides. 

Legislation gives teachers the authority to remove disruptive students from their classrooms. A student may be returned to the classroom if the principal can show good cause in a written explanation. 

Higher education funding will increase 6.6 percent to $192.3 million. The University of Delaware will operate with $103.7 million, an increase of 5.7 percent. Delaware State University will receive $33.6 million, 9.1 percent more than last year, and the budget for Delaware Technical and Community College will increase 7 percent to $53.5 million. Faculty pay will increase an average of 3 percent. Tuition for in-state undergraduates will increase 3.2 percent at the University of Delaware, 6.1 percent at Delaware State and 4.5 percent at Delaware Technical and Community College. Each institution also will receive $8.5 million for construction projects.

The Delaware Student Testing Program Scholarships, created in the Education Accountability Act of 1998, recognize high school students who demonstrate superior performance on state assessments. The budget includes $600,000 to provide 600 students with $1,000 scholarships for college. Of these awards, 150 will go to the students whose scores are highest overall and another 150 will go to the highest scorers among students who participated in the federal school-lunch program in grades eight through 10. The Department of Education will develop rules to implement the program.

Florida

The general-fund budget for 1999-2000 will increase 4.6 percent to $18.8 billion. Education budgets will receive $10.3 billion in general funds, 6.5 percent more than in the current year, plus $604.7 million from the lottery. The lottery will support preschool programs ($103.8 million), merit-based Bright Futures scholarships ($130 million) and school recognition awards ($15 million). Lottery funds also will provide $151.5 million to elementary and secondary schools and $97.2 million each to the community college and university systems.

General funds for elementary and secondary schools will increase 2.7 percent to nearly $7 billion. Schools will receive $5.6 billion through the main funding formula — a decrease of 3.8 percent — but total funds for class-size reductions will increase to $578 million (up from $100 million). The budget also designates $100 million for expanding facilities to accommodate the additional classrooms needed to reduce class sizes. Collective bargaining will determine teacher pay raises.

The budget includes $12 million for school-choice grants, which provide alternatives for students who attend failing schools; the current-year allocation for these grants is $5 million. A total of $40 million will be distributed among schools that choose to extend the school year from the current 180 days to 210 days.

A $10 million allocation will be used to create professional-development academies to ensure a statewide system of training for teachers. Another $10 million for professional-development activities will be divided among school districts.

Community colleges will operate with $454.7 million, an increase of 10.1 percent. Formula funds to the colleges will increase 7.1 percent to $394 million. Tuition is expected to increase about 5 percent.

The budget provides the State University System with $1.7 billion, 12.5 percent more than in the current year. The Legislature raised tuition for in-state undergraduates by 5 percent; universities can raise tuition by another 5 percent and use the proceeds for institutional priorities. Collective bargaining will determine faculty pay raises both at community colleges and at universities.

K-12 accountability legislation expands the statewide testing program and requires that these scores and other performance data be used in rating schools’ performance from A to F. Students in critically low-performing schools can attend another public school rated at C or better or use opportunity scholarships of $4,000 to go to a private school. The bill requires performance-based pay for teachers and administrators and prohibits the social promotion of students. Students who are not promoted to the next grade will receive intensive assistance, and districts must consider an alternative placement for any student retained for two or more years.

The state Board of Education will intervene in a district if any of its schools fails to make adequate progress for two years in a four-year period. For any school that receives a rating of D or F, teams of educators, parents, business representatives and community activists will recommend an intervention plan to the local board, Department of Education and state Board of Education. If a school receives an A rating or improves by at least two grade categories and meets the criteria for the state’s recognition program, it may be exempt from state regulations. The budget includes $15 million (up from $5 million) for the recognition program that rewards high-performing and improving schools.

The new Florida Partnership for School Readiness adopts and coordinates policies and standards for all readiness programs. By July 2000, the partnership will adopt a statewide system for measuring school readiness as well as performance standards and performance measures for readiness programs. Local coalitions approved by the partnership can receive incentive grants of $25,000 to $50,000 for initiatives to improve readiness. The 1999-2000 budget sets aside $330,000 for incentive grants, development of an assessment and staff for the partnership. It also includes $15 million (up 53.8 percent) for intensive reading programs in kindergarten through third grade for students who need extra help or are not adequately prepared to attend school.

Amendments to the charter-school law require members of charter-school governing boards to undergo the same fingerprinting and criminal background checks required for school employees. The law also was amended to allow municipalities and other public entities to operate charter schools. The length of charters (initially three years) may be extended to 15 years for these public entities and for schools that demonstrate exemplary academic performance and fiscal management. Charters operated by nonprofit organizations may be extended to 10 years.

The Department of Education will convene a panel regularly to review issues, practices and policies dealing with charter schools and to recommend improvements in their operation and oversight. Charter schools no longer will have to wait two years to be eligible for construction and renovation funds. The bill also creates a pilot program for as many as six charter-school districts; these districts will be held to performance-based contracts and, in exchange, will be exempt from most state laws and rules.

The budget also includes $2 million for a baccalaureate-degree access program. The program will encourage community colleges to invite representatives from four-year colleges onto their campuses to offer baccalaureate programs that meet local needs. A new college-savings program will be operated by the board that oversees the state’s Prepaid Tuition Program.

Georgia

The Legislature amended the current-year budget and adopted a budget for 1999-2000. The 1998-99 state budget will increase 4.3 percent to nearly $13.1 billion. Adjustments to the K-12 education budget include a 2.2 percent increase of $86.6 million to the school finance formula and $61 million for school construction.

For higher education, current-year funding to institutions increased 4.5 percent to nearly $1.4 billion. This includes $42.5 million in one-time funds for the Georgia Research Alliance, a university/private research consortium. These added funds are for endowed chairs, research, equipment and construction.

The state budget for 1999-2000 will reach nearly $13.3 billion, 6.1 percent more than the budget originally adopted for 1998-99 and 1.7 percent above the amended current-year budget. This amount includes $543 million from the lottery for education spending. The Legislature increased the homestead exemption for property taxes from $2,000 to $4,000.

Elementary and secondary schools will receive $5 billion in general funds, 6.6 percent more than the original 1998-99 budget. Most of this amount ($4.1 billion) will be distributed through the funding formula, which will increase by 6.1 percent. This amount includes funds to raise the state minimum-salary schedule for teachers by 4 percent, but the actual average raise likely will be less than 4 percent unless local districts give raises
on salaries paid above the minimum schedule.

Funding will decrease for in-school suspension and for extra instruction for struggling students. In-school suspension programs will operate with $23.9 million, a reduction of 20.6 percent, because certified teachers no longer will be required. Funds for special instructional assistance will decline 4.1 percent to $98.9 million, and priority for these services will be given to the neediest students.

Increased funding will go to low-wealth districts (a total of $245.9 million, up 20.4 percent), counselors for fourth- and fifth-graders ($13.5 million total, 10.8 percent more) and Pay for Performance rewards for schools that meet or exceed goals ($8 million total, 14.3 percent more). Large increases are available for alternative education (total of $24.3 million, up 87.9 percent), the Reading First program ($13.9 million total, an increase of nearly 50 percent) and after-school programs focusing on reading (total of $14.4 million, up 38.6 percent).

Most of the $266.3 million in lottery funds allocated to the Department of Education will support prekindergarten programs ($224.8 million total, an increase of 3.2 percent). Post Secondary Options, a program that allows high school students to take college courses, will receive $4.5 million, up from the $1.8 million originally allocated for 1998-99. Classroom computers will be purchased with $31.7 million in lottery funds.

Colleges and universities will operate with $1.6 billion in general funds, 5.2 percent more than the original current-year budget. Faculty will receive pay raises averaging 4 percent. Tuition for in-state undergraduates will increase 4.5 percent. Lottery funds of $26 million will go toward equipment, technology and construction.

The $1.4 billion for instructional programs (an increase of 5.1 percent) includes $46.9 million (up 62 percent) for the special fund initiative that supports systemwide priorities. These priorities include the electronic library, economic development programs, instructional technology, and efforts to link teachers with technology and students with university services. This increased funding includes $3 million for an effort to strengthen teacher preparation, $2 million for expansion of engineering programs, $1.5 million for distance learning, $2.5 million for endowed chairs, and $11.6 million for an effort to make Georgia more competitive in the electronics industry.

Technical and adult education institutions will operate with $257 million in general funds, an increase of 4.2 percent. Faculty will receive pay raises averaging 4 percent. Most of the $19.6 million in lottery funds will pay for equipment at the technical institutions.

Lottery funding for Georgia’s HOPE Scholarships will increase 6.5 percent to $224.8 million. HOPE provides tuition, required fees and a book allowance to students who graduate from high school with a B average and who maintain a B average in a public college or university in Georgia. Awards also are provided to students attending independent colleges or planning to be teachers; to teachers seeking advanced degrees; and to GED recipients.

The Legislature passed several bills relating to student discipline and conduct. Laws require local boards to implement character education programs and adopt codes of conduct for students, and schools are required to develop safety plans. Teachers will be authorized to remove chronically disruptive students from their classes. If the teacher refuses to readmit the student, a three-member committee will determine whether the student should be returned to the class (if the original placement is the best or only alternative) or referred to the principal for appropriate placement and discipline. If a teacher removes two students in one year who subsequently are returned to the class by the placement-review committee, he or she will participate in professional development to improve classroom management skills or other skills in identifying and working with students with academic or behavioral needs.

The new Governor’s Education Reform Study Commission will review the public education system. It will provide a preliminary report to the governor and Legislature by December 1999, and a final report is due by April 15, 2000. The commission will review the original study commission’s reports that led to the Quality Basic Education Act in 1985 as well as any subsequent changes to that law. It will explore students’ transitions from public high schools to public postsecondary institutions and transfers among colleges and universities; strategies for districts and schools to plan and carry out educational improvements; rewards for schools and systems that improve student achievement; and ways to improve underachieving schools.

The state Board of Education is authorized to create seven-member educational “care teams” to evaluate low-performing schools at the request of local school boards. Care teams will recommend ways for schools to improve. No funds were budgeted for this effort.

Kentucky

In 1998, the General Assembly passed a general-fund budget that provides $6.5 billion for state operations in 1999-2000, 5 percent more than in 1998-99. Higher education institutions will receive $1 billion, an increase of 7.3 percent. Individual colleges will determine salary increases. Tuition for in-state undergraduates will increase 3.8 percent at community colleges, 5.2 percent at master’s institutions and 10.4 percent at doctoral universities.

Legislation passed in 1997 restructured higher education and set up six investment and incentive trust funds to advance the goals of postsecondary education. The budget includes $87 million to support the trusts in 1999-2000 (up from $40 million in the current year).

Strategic Investment and Incentive Trust Funds
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Trust Fund 1989-99 1999-2000

Research Challenge blank.gif (1384 bytes)$ 6 million blank.gif (1384 bytes)$ 6 million
Regional University Excellence 6 million 6 million
Technology Initiative 8 million 12.3 million
Physical Facilities none 31.6 million
Workforce Development 6 million 6 million
Student Financial Aid and Advancements 14 million 25 million

Funding for elementary and secondary schools will increase 4.1 percent to $2.7 billion. The legislature guaranteed teachers cost-of-living raises of 2.3 percent in 1999-2000. The budget includes $6 million (an increase of 3.4 percent) to compensate highly skilled educators who assist schools with declining student performance. Funding for rewards to high-achieving or improving schools will remain at $10 million.

Legislation passed in 1998 created a center at a public university to study school safety and to support pilot projects that reduce school violence. The budget includes $10 million (up from $5 million) to continue this effort. Other initiatives with increased funding include preschool programs ($45 million, up 12.5 percent), professional development ($15.8 million, up 9 percent) and family support programs ($80.6 million, 7.8 percent more).

Louisiana

The Legislature passed a $6 billion general-fund budget that provides nearly the same level of spending in 1999-2000 as in the previous year. Education budgets, which increased about 5.7 percent, fared well compared with the overall state budget. 

Elementary and secondary schools will receive $2.4 billion; of that amount, $2.26 billion (an increase of 3.5 percent) will be distributed through the finance formula. Included in this formula funding is $99.2 million from the lottery. No funds were earmarked for teacher pay raises. The budget allocates $150,000 to study the finance formula and teacher pay; a special session is likely to be held before the regular session in 2000.

The budget supports the continued development and implementation of the accountability system for students and schools. General funds for the testing program will increase 62.5 percent to $6.5 million. Fourth- and eighth-graders who do not meet performance requirements on the state test will attend remedial classes during the summer. These summer programs will be funded with $6.8 million (up from $2 million). The budget also provides $1.6 million for distinguished educators to assist low-performing schools.

The budget includes $20 million to continue a reading and math initiative for kindergartners through third-graders. The program, which began in 1997-98, focuses on prevention and intervention so that all students will perform at grade level. The budget allocates $14 million in tobacco-settlement revenues for classroom-based technology. Districts will receive $15 per student.

Colleges and universities will operate with $838.5 million, which includes the transfer of the state’s technical schools from the Department of Education (funded at $67.3 million in 1998-99). When this transfer is taken into consideration, ongoing operating funds for higher education will increase about 4.3 percent.

The budget includes $16 million for faculty pay raises. This amount is sufficient for raises averaging 3 percent, but institutional boards set actual increases. Tuition for in-state undergraduates will remain the same. The budget includes $19.5 million for purchases of library and scientific equipment, $16.5 million in additional funds for institutional operations, $10 million for endowed chairs and professorships, and $11.2 million for economic-development initiatives in higher education.

Much of the discussion during the session centered on leave benefits for teachers. The current minimum of 10 sick-leave days per year remains unchanged, but legislation put limits on the extended-leave provisions that allowed employees to continue receiving their salary, minus the cost of a substitute teacher (when one is used). Once regular sick leave is used, teachers and other qualified employees now will be limited to 90 days of extended leave in a six-year period. During that time they will receive 65 percent of full pay. The law requires a doctor’s certification that the extended leave is medically necessary. The money that districts save as a result of these changes 
will go toward raising teacher pay.

Changes to sabbatical policies replace rest-and-recuperation leave with medical leave. For every three years of service, teachers will be eligible for one semester of medical leave, during which they will receive 65 percent of their full pay. They also must use any sick leave that they have accrued in excess of 25 days, and a doctor must certify the need for this leave.

Legislation refines 1997 legislation that created merit-based TOPS scholarships. In addition to the student’s ACT score, his or her grade-point average in core academic courses will be a basis for eligibility beginning in 2002-03. (The overall GPA for all courses currently is considered for eligibility.) The budget provides $81.3 million for the scholarships in 1999-2000, up from $65.6 million in the 1998-99 budget.

Several bills addressed accountability for schools and students. Students who fail to meet performance requirements on state tests for promotion to fifth and ninth grades must attend a remedial program during the summer. A student may be exempt if his or her parents sign a form to accept responsibility for providing the remediation. Also, the state Department of Education must establish a program to identify and assign distinguished educators to assist low-performing schools. The program will begin operation in 2000-01.

Charter-school laws were amended to require charter-school proposals to show that the educational programs will improve students’ achievement levels. Local school boards will have to make vacant school facilities available for lease or purchase at fair market value. If local boards deny nonprofit organizations’ proposals to convert existing schools into charter schools, the organizations now can appeal to the state Board of Elementary and Secondary Education.

Each local school board is required to adopt a code of conduct for students and a policy regarding Internet access by students and school employees. The budget includes $785,000 for pilot programs establishing truancy service centers in two districts through 2002. These centers will provide an interagency approach to addressing problems that cause truancy.

Funds from the settlement of the tobacco lawsuit will be used for the Millennium Trust Fund to support health programs, TOPS scholarships and educational excellence. In 2000-01, 45 percent of the settlement will be distributed equally among the trust’s three purposes. The percentage going to the trust will increase to 60 percent in 2001-02 and to 75 percent in 2002-03 and thereafter. Another 10 percent of the settlement will go to public schools in each of the first three years.

Much of the remaining settlement will be deposited in the Louisiana Fund for children’s programs, health care for tobacco-related illnesses and health research that will benefit state residents. Implementation of this plan is contingent upon voters’ passing a constitutional amendment this fall. The state expects to receive between $160 million and $180 million per year for the next 25 years as a result of the settlement.

Maryland

The General Assembly’s $8.9 billion general-fund budget (up 4.7 percent) will provide $2.6 billion to elementary and secondary schools — 2.7 percent more than is now available. This amount includes $2.2 billion (an increase of 4.2 percent) for the operation of schools. The budget removes $394.9 million (a decrease of 5 percent) for employee benefits because of reductions in the required employer contributions to the retirement system.

Schools will receive $1.7 billion through the main funding formula (an increase of 3.2 percent) and $119.9 million (17.9 percent more) through the compensatory aid formula, which distributes funds to districts based on the number of low-income students. The budget allocates $158.1 million, 4.5 percent more than in the current year, to districts for special education. Funds for school construction total $255 million. Local districts will determine teacher pay raises through collective bargaining.

Funding for the fourth year in a five-year plan to link schools to online computer resources will increase 45.8 percent to $7.8 million. The budget also includes $50 million for the third year in a five-year, $230 million finance and accountability plan for the city of Baltimore. A total of $7 million (up from $3.2 million) will support the continued development of the testing program for high school, which will include end-of-course tests in English, math, science and social studies.

Funding for teacher development, mentoring and certification grants will increase 11.6 percent to $20.5 million. Of this amount, $5.6 million will be used to provide training in teaching at-risk students to teachers in districts where at least 25 percent of the students qualify for the federal free or reduced-price meals program. Baltimore County will receive $7.9 million for mentoring programs; Prince George’s County will receive $4.5 million for mentoring and certification programs. The budget includes $2 million for the city of Baltimore to develop programs to increase the number of certified teachers in its school system.

Funding for community colleges will increase 8.9 percent to nearly $141 million. This amount includes an increase of 11.5 percent for the operation of community college programs and a decrease of 8 percent in employer contributions to the retirement system. Baltimore City Community College, which is funded separately from the state’s other two-year colleges, will receive $22.9 million, a 15.9 percent increase.

Four-year colleges and universities will operate with $774.1 million, 10.2 percent more than in the current year. The University System of Maryland will receive $719.8 million, an increase of 10.5 percent. Tuition for in-state undergraduates will increase 4 percent. Faculty will receive cost-of-living increases of $1,275; average pay raises — including cost-of-living increases, adjustments based on length of employment and raises provided by institutions — are expected to be about 5 percent.

State assistance to independent colleges and universities will increase 10.3 percent to $36.6 million. The budget includes $5.1 million to fund the merit-based Maryland Science and Technology Scholarship Program, created in 1998. An additional $1.5 million is available for student grants to encourage the state’s best students to become teachers in the public schools.

Legislation creates the Maryland Learning Success Program to reduce class sizes in first- and second-grade reading classes to 20 or fewer students. The law also is designed to reduce the number of teachers who are not fully certified. Beginning in 2002-03, a district may receive a reduced grant from the Maryland Learning Success Program if the percentage of provisionally certified teachers in the district exceeds 2 percent. Half of the state’s 24 districts exceed the 2 percent limit.

The Quality Teacher Incentive Act of 1999 is designed to improve the state’s ability to recruit and retain teachers. The law allows certified teachers to claim a tax credit for up to $1,500 of tuition paid for graduate courses. It also provides competitive grants to districts to expand mentor-teacher programs, an annual state-supported bonus of up to $2,000 (to be matched by local grants) to teachers who earn national certification, a signing bonus of $1,000 for teachers who graduate in the top 10 percent of their class, and a $2,000 stipend for teachers with advanced certification who work in low-performing schools. Another bill extends to 2004 the pilot programs that assist teachers with the cost of seeking national certification.

Legislation creates the Commission on Education Finance, Equity and Excellence to review the state’s system for funding K-12 schools. The commission will prepare an interim report by January 2000 and a final report in October 2000. Another task force will study alternative-education programs for chronically disruptive students and will report a comprehensive strategy to the governor and General Assembly by January 2000.

Recommendations from a 1998 study of the governance, coordination and funding of the University System of Maryland resulted in legislation this session. The bill addresses statewide goals and priorities for higher education; the governance structure of the University System; overlap of authority between the Maryland Higher Education Commission and the University System; flexibility in management and reporting; and funding. The commission will retain its coordinating role, while university presidents will take on more responsibility for decisions about day-to-day operations.

The law reaffirms the commission’s responsibility for the statewide plan for higher education. The commission’s role in the review and approval of institutional mission statements will change; it now will review mission statements only to ensure that they are consistent with the state plan. The University System of Maryland will change from a state agency into a public corporation and will be exempt from some state laws, such as those governing purchasing and information technology. University presidents will have more authority to implement policies that promote the institution’s mission and to approve new programs.

The Maryland Higher Education Commission will consult with college and university presidents to develop funding guidelines for institutional budget requests. The commission now will review the University System’s budget request after its approval by the Board of Regents only to ensure that it is consistent with the state plan for higher education. The law allows the commission to recommend against a budget item approved by the regents only if it is clearly inconsistent with the state plan. The budget includes $7.4 million for 1999-2000 to implement the provisions of the bill.


Mississippi

The Legislature adopted a state budget for 1999-2000 that provides $3.5 billion in general funds, an increase of 9.5 percent. Education will receive more than $2 billion in general funds, 12 percent more than in the current year. The Education Enhancement Fund will provide $394.6 million (up 25.1 percent) to education. The fund is supported by a 1-cent sales-tax increase approved in 1992 and by excess general funds.

The 1999-2000 budget for elementary and secondary schools provides $1.3 billion in general funds (up 10.5 percent) and $251.1 million from the EEF (up 21.7 percent). Formula funding to schools will increase 9.3 percent to $1.2 billion (including $72.3 million from the EEF) and will provide teachers with pay raises averaging 8 percent. General funds for equity grants to low-wealth districts will remain at $21.4 million; EEF support will increase 14.4 percent to $16 million.

The six-year phase-in of the Mississippi Adequate Education Program, a funding formula adopted in 1997, will continue with $61 million, an increase of 119.1 percent. Of this amount, $33.1 million will come from general funds (up 151.9 percent) and $27.9 million from the EEF (89.8 percent more). Support for teachers who seek national certification will increase to nearly $2.3 million (up from $564,000). Teachers who earn certification will receive $6,000 annual bonuses and reimbursement for the cost of seeking certification.

In 1998, the Legislature passed the Mississippi Critical Teacher Shortage Act to provide scholarships to college students who wish to teach in areas of the state where teachers are in short supply. The act also authorized financial assistance to teachers who seek to become licensed administrators, payment of up to $1,000 for moving expenses, and forgivable loans of up to $6,000 for teachers who purchase a home. The 1999-2000 budget includes $3.5 million (an increase of 16.5 percent) to support these efforts.

General and EEF funding for community and junior colleges will increase 20.5 percent to $204.7 million. Because work-force programs were transferred from the Department of Education to the State Board for Community and Junior Colleges, the board’s budget will increase by 99 percent to $16.7 million in 1999-2000. Formula funding for two-year colleges will reach $187.9 million, an increase of 16.4 percent. Of this amount, $133.3 million comes from general funds (up 10.1 percent) and $54.7 million from the EEF (35.3 percent more). Faculty pay raises will average 9.7 percent — a general increase of 8 percent plus another 1.7 percent to ensure that the average salary of faculty at two-year colleges is at the midpoint between the average salaries of K-12 teachers and of faculty at four-year colleges and universities. Tuition increases will average 4.5 percent.

The four-year college system will receive $634.5 million in general and EEF funds, 16.6 percent more than in the current year. Formula funds for four-year colleges and universities will increase 15 percent to $371.9 million. This allocation consists of $314.5 million in general funds (an increase of 12.8 percent) and $57.4 million from the EEF (an increase of 28.8 percent). Faculty pay raises will average 8 percent. Tuition for in-state undergraduates will not increase. Support for financial aid programs will increase 13.6 percent to $30.7 million.

Legislation creates the Regional Initiatives Program within the University Research Center to provide grants for projects that support the statewide economic-development plan. Also, management of two types of training programs — state-funded industrial training and postsecondary short-term training for adults — transfers from the state Department of Education to the Workforce Education Program, which is administered by the State Board for Community and Junior Colleges. This transfer involves about $9 million in programs.

The Mississippi Student Achievement Act of 1999 requires the state superintendent of education and the state Board of Education to develop a comprehensive plan to ensure accountability for student achievement. The state board by July 2000 must accredit schools and districts based on their performance. This accreditation system must include high expectations for students, high standards for all schools, annual performance standards for each school, and school and district accountability. The state Board of Education also will develop a plan to recognize and reward schools that surpass their annual performance standards.

The law also authorizes the state board to develop and administer student assessments and to establish proficiency standards for promoting students from one grade to the next. The bill clarifies the state board’s authority to make decisions normally made by local boards for districts that have lost their accreditation. The state board also is authorized to appoint a person to oversee the administration, management and operation of the district.

Legislation also creates the Mississippi School for the Arts, a residential program for high school juniors and seniors. The budget includes $11.9 million in bond funding for building and renovation projects at Whitworth College to accommodate the school. Other bills call for a task force to study comprehensive early-childhood services, allow retired teachers to serve as mentors to new teachers and permit pay for mentors (the budget includes a total of $150,000). The new Beginning Principal Support Pilot Program will assign mentors to new principals in five districts. The budget provides $150,000 in initial funding for this program.

Last year the Legislature authorized annual salary supplements of $6,000 for teachers with national certification. Legislation passed in 1999 designates the same supplement for counselors, speech/language pathologists and audiologists who earn certification from their respective national boards.

North Carolina

The General Assembly’s biennial budget for 1999-2001 will increase state general-fund spending in 1999-2000 by 5.9 percent (to $13.1 billion) and by another 3.8 percent in 2000-01 (total funding of $13.6 billion). Determining actual increases in education budgets is difficult because funds for teacher and faculty pay raises are allocated in another part of the budget and will be transferred into the elementary/secondary, college and university budgets this fall. Funding for education budgets, including pay raises, is estimated to be $7.9 billion in 1999-2000, an increase of 7.8 percent

In the first year of the biennium, elementary and secondary schools will operate with nearly $5.3 billion, an increase of 3.5 percent. Pay raises are likely to bring the increase to nearly 10 percent. Most teachers will receive salary increases ranging from 4.5 percent to 11 percent (an average of 7.5 percent). Funding in the second year will increase slightly. The budget removes $180.7 million in one-time funds in each year of the biennium. It adds $121.3 million in 1999-2000 and $207.7 million in 2000-01 to support revised estimates of enrollment.

In 1999-2000, $140 million will support incentive awards for teachers in schools that meet or exceed expected improvement goals ($127 million was available in 1998-99). Funding will continue at $14.2 million in each year of the biennium to compensate mentors for beginning teachers. 

The budget includes $31.6 million in each year of the biennium ($20 million in new funding and $11.6 million from budget reallocations) for a new initiative to improve the performance of students in kindergarten through eighth grade who score low on state end-of-grade tests. In 2000-01, $10 million will continue the implementation of a new student-information system. The initiative began with one-time funds of $2 million in 1998-99.

Community colleges will operate with $579.8 million in 1999-2000. This budget, which includes faculty pay raises averaging 2 percent, is slightly less than in the previous year. Funds allocated in another part of the budget will provide each faculty member with an additional 3 percent raise and a bonus of $125. Overall, the budget increase for two-year colleges is estimated to be 1.3 percent in 1999-2000. The budget for 2000-01 will increase another 1.9 percent. Tuition for community colleges, even with a 35 percent increase, will remain low: $750 per year, up from $556.

The budget removes $36.5 million in one-time funding each year. In each year of the biennium, it adds $18.8 million for enrollment increases, $5 million for need-based financial aid to students and $8 million for an information-management system. The budget also provides $8 million in each year of the biennium for additional staff, including at least one more financial-aid counselor at each college. A $10 million allocation in each year will increase formula funding to colleges for costs other than salaries.

The University of North Carolina is likely to receive $1.7 billion in 1999-2000 (an increase of 4.2 percent) and slightly more in 2000-01 (an increase of nearly 1 percent). These amounts include $7.1 million in each year for salary increases averaging 1 percent to reward excellent teaching. Also included are funds from elsewhere in the state budget for general raises of another 3 percent and bonuses of $125 in 1999-2000. In-state undergraduate tuition will increase 4.9 percent.

The General Assembly removed $36.1 million in one-time funds from each year of the budget and added money to support several of the university system’s priorities. In each year, the budget includes $19.5 million for enrollment increases, $3.9 million for growth in distance education enrollment, $10 million for an effort to provide all campuses with information technology and $3.5 million for tuition awards to attract outstanding graduate students. The budget also includes $10 million in each year of the biennium for a plan to focus enrollment growth at seven of the state’s universities.

Students at independent colleges and universities in the state will receive increased financial aid through two programs. The budget increases the Legislative Tuition Grants by $150 to $1,750 per year. Under the need-based State Contractual Scholarship Fund, institutions will receive $1,050 (up from $900) for each in-state undergraduate student enrolled; the institutions determine individual awards to needy students.

Several pieces of legislation address school safety and discipline. One law calls for the driver’s licenses of students under age 18 to be revoked if they are convicted of possessing alcohol or firearms on school property or of physically assaulting school personnel. Legislators added assaults on school employees or volunteers to a list of misdemeanor offenses. Another law makes it a felony for students or school employees to bring firearms to school activities or to school-sponsored extracurricular activities. Making a false bomb threat now is a felony, and the criminal penalty increases for subsequent bomb threats. The Department of Motor Vehicles must revoke the driver’s license of anyone convicted of making a false bomb threat or possessing a bomb or related devices on school property. Students who make bomb threats will be suspended for a full calendar year, and the school may hold their parents liable for negligent supervision.

Other legislation requires school improvement plans to include strategies for improving at-risk students’ performance and alternative schools to develop school safety plans. Safety plans in all schools are to address the needs of disruptive students and those at risk of academic failure. In its annual evaluation of alternative-education programs, the state Board of Education will include information on student performance. Another law requires each district to establish at least one alternative-education program and to adopt guidelines for assigning students to it. Local boards are encouraged to assign teachers to alternative schools only if they have been rated “above standard” on their formal evaluations.

The state Board of Education will evaluate charter schools and report to the legislature by January 2002. The report will include information on students’ academic progress and schools’ most effective practices, and it will recommend whether to continue, expand, modify or terminate the program.

The General Assembly authorized a pilot program to test modifications to the state’s accountability system. In 1999-2000, the state Board of Education will select five local school systems to participate in the program, which will begin in the 2000-01 school year. Beginning in October 2001, the board will report annually to the Joint Legislative Education Oversight Committee. 

The board of the community college system will assess the Adult High School Program’s alignment with reform efforts in public schools. The board will review course content standards, end-of-course tests, release of test results, and high school exit exams that are to be implemented by 2003.

The Board of Governors of the University of North Carolina will compare faculty salaries and other compensation at its institutions with those of peer institutions in the state, region and country. By December 1999 the board will present joint legislative committees with its recommendations for adjustments to make its salary levels competitive with peer institutions’. The Board of Governors also will study prepaid-tuition and college-savings plans and will recommend ways to make them more attractive to parents and others saving for college.

Oklahoma

The Legislature passed a budget that increases funding for state operations by 1.8 percent to $4.9 billion. Education funding will increase 1.5 percent to nearly $2.7 billion.

Elementary and secondary schools will operate with more than $1.7 billion, 1.4 percent more than in the current year. The 1999-2000 budget removes 1998-99 funds for one-time spending. It adds $37.5 million to the finance formula for enrollment growth, provides for $5,000 annual bonuses to teachers with national certification, and allocates $4.8 million for the Reading Sufficiency Act (an increase of 15.5 percent ). The Reading Sufficiency Act, passed in 1997, is designed to ensure that all children in kindergarten through third grade are evaluated and, if necessary, provided with additional assistance to reach grade level in their reading skills. No funds were designated for teacher pay raises.

Higher education will receive $772.2 million in 1999-2000 (a 1.9 percent increase). The budget removes $24 million in one-time funds included in 1998-99, transfers a rehabilitation institute from the Department of Veterans Affairs to the State Regents, and adds $35.5 million for university system priorities. No funds were earmarked for faculty pay raises. Tuition for in-state undergraduates will increase 8 percent at major research universities and 7 percent at four-year regional institutions and two-year colleges. Funding for vocational and technical education will decline 1.2 percent to $115.5 million.

Education reform legislation requires all high school graduates to complete four credits in English and three credits each in math, science and social studies beginning with the 2003-04 school year. Students who complete this curriculum with a 3.0 grade-point average and take additional hours in technology will receive a diploma of honor. The law also allows a limited number of school districts to create charter schools and allows students to attend school outside their “home district” if they have permission from the receiving district.

The bill requires the state Board of Education to develop the Academic Performance Index to measure school performance. The API will consider several factors, including students’ performance on the state testing program, dropout rates, attendance rates (both for students and school personnel), college remediation rates, Advanced Placement participation and high school graduation rates. Schools will be expected to meet minimum targets for annual growth. The state board is to report to the governor and Legislature annually on the program’s implementation. When funding is provided, an award program will be established.

Several other provisions of the bill will take effect once the state’s per-student spending reaches 90 percent of the regional average. Oklahoma Tuition Scholarships will pay tuition for low-income students who meet certain academic qualifications. All school districts will have to offer full-day kindergarten and give parents the option of half-day or full-day programs. The state Board of Education will develop criteria for the Academic Performance Award Program, which will provide schools with rewards based on the new performance-measurement system. Teachers with national certification will receive annual bonuses of $7,000 (now $5,000) for the duration of the certificate. Students who do not meet requirements for promotion in third through eighth grades will have to complete remediation programs during the summer or be retained. This policy will begin with students in third grade and will expand to include one additional grade per year until it applies to all students in third through eighth grades.

Another bill shifts the focus of the state’s testing program from national tests that draw comparisons among students (norm-referenced tests) to tests that measure the mastery of required subject matter (criterion-referenced tests). Students will take norm-referenced tests only in fourth grade (previously third and seventh grades) and criterion-referenced tests in third, fifth and eighth grades (previously fifth, eighth and 11th grades). High school students will take end-of-course tests in several classes beginning in 2000-01. The state Board of Education will develop the Oklahoma Performance Index to define student performance levels on the criterion-referenced tests. These levels will be called “advanced,” “satisfactory,” “limited knowledge” and “unsatisfactory.” This system will replace an existing policy of identifying low-performing and schools based on norm-referenced tests.

Other bills require students in teacher-education programs to study classroom-management skills, classroom safety and discipline techniques, and symptoms of substance abuse. Universities will prepare five-year strategic plans as part of the Oklahoma Program Performance Budgeting and Accountability Act. The act is intended to prioritize funding needs, reduce program duplication, and improve state efficiency and services to the public.


South Carolina

The state will operate with a general-fund budget of $5.3 billion in 1999-2000, 7.4 percent more than last year. This amount includes $385.3 million in one-time funds from surplus money and a reserve fund. The General Assembly passed a bill to allow a constitutional amendment creating a lottery if voters approve it next fall.

Funds for elementary and secondary schools will increase 11.3 percent to nearly $1.8 billion. This general-fund allocation provides more than $1.5 billion (an increase of 7.4 percent) for the operation of schools. It also includes $2.6 million for the 1997 ADEPT (Assisting, Developing and Evaluating Professional Teachers) legislation, an increase of 68.3 percent, and $34.2 million (up 74.2 percent) to reduce class sizes in first through third grades from 19 students to 18 students.

Funding increases went to alternative schools (total of $7 million, up from $1 million), student assessment ($15.2 million total, up 53.2 percent) and school technology ($16.5 million total, up from $5.2 million). New initiatives include laptop computers to help students prepare for college entrance examinations ($1 million); school safety officers for middle and high schools ($7 million); summer school required in 1998 accountability legislation for low-performing students ($10 million); and First Steps to School Readiness ($20 million), described below. 

Education Improvement Act funding (from an earmarked 1 cent of sales tax) will reach $494 million, 8.7 percent more than last year. This amount includes $18.6 million (up 31.4 percent) 
for a multiyear effort to increase graduation requirements for high school from 20 to 24 credits; $23.7 million (3.6 percent more than last year) for early childhood programs for 4-year-olds; and $119.2 million (up 7.1 percent) for academic assistance in basic skills. Funds to parenting and family-literacy efforts will increase 32 percent to $6.2 million. A new effort will provide teacher and principal specialists to work with schools in low-performing districts; initial funding is $4.4 million.

The budget includes $369,000 (up from $120,000) in support for teachers who seek national certification. This amount will pay for associated fees and bonuses for teachers who achieve certification. These annual bonuses will equal the difference between South Carolina’s average salary for teachers and the national average.

Funding for higher education will increase 8.2 percent to $846.5 million. Colleges and universities will operate with $734.8 million, an increase of 4.7 percent. The formula includes $72.1 million (up from $33.1 million) for performance funding. The budget calls for a study of performance funding to determine whether it meets legislative intent. The merit-based LIFE scholarships will continue with $26.5 million. Funding for need-based grants will increase 6.7 percent to $20.6 million and will provide average annual awards of $2,684 (up from $2,458). Institutions will determine faculty pay raises and tuition increases.

A bond bill will provide $750 million for elementary and secondary school construction over the next three to five years. It is anticipated that $250 million will be available during 1999-2000. Local districts historically have been responsible for financing building projects. Higher education institutions will receive $166 million for construction.

Legislation creates the First Steps to School Readiness initiative to improve early childhood development through county partnerships. These local partnerships will involve several agencies and will focus on increasing comprehensive services to families and their young children. To achieve its goal of enabling every child to enter school healthy and ready to learn, the initiative will promote high-quality preschool programs and will provide the protection, nutrition and health care necessary for early childhood development. 

Beginning in 2002-03, all districts must provide alternative-school programs for students in grades six through 12. These programs will serve students who need academic assistance beyond the traditional program, disruptive students and students suspended or expelled from school. They are required to enable students to return to regular classrooms, earn high school diplomas or GEDs, or pursue postsecondary education. 

To ease teacher shortages in certain subjects and geographic areas, legislation allows retired teachers to be hired and paid on the local salary schedule while continuing to draw retirement benefits. 

Tennessee

The General Assembly passed a $6.7 billion general-fund budget for 1999-2000 that will increase spending by 4.2 percent. Several tax-reform proposals were debated, but none was passed. The governor may call a special session this fall to address tax issues.

The budget for elementary and secondary education will increase 3.2 percent to $2.5 billion. This allocation includes $2.3 billion for the Basic Education Program finance formula (3 percent more than in 1998-99). No funds were designated for teacher pay raises. The budget also includes $105 million — an increase of less than 1 percent — for the Career Ladder Program. The program was abolished in 1997, but participating teachers are allowed to continue. The 93 percent increase for accountability funding (total of $13.9 million) will support the development and field-testing of end-of-course tests in algebra, English and biology. These tests are to be implemented in 2001-02.

The 1998-99 budget included $10 million in one-time funds to support the School Safety Act of 1998, which authorized grants to school districts to implement safety initiatives. Funding for 1999-2000 is $5.2 million. To qualify for a grant, which requires a local match, districts must submit a plan that addresses at least one of the following areas: development of innovative programs to prevent violence, conflict resolution, behavior management, improved school security, peer mediation, and training for school employees.

The budget provides higher education with $990.9 million in 1999-2000 (an increase of 2.4 percent). Funding for the University of Tennessee institutions will increase slightly to $374.3 million. Universities and community colleges governed by the Board of Regents will operate with $558.2 million (2.4 percent more than in 1998-99). No funds were allocated for faculty pay raises. Increases in tuition and required fees for in-state undergraduates will range from 5 percent to 13 percent, depending upon the institution. Students at the state’s technology centers and those at two-thirds of the state’s colleges and universities will pay 5 percent more.

The budget includes $251,000 for the Academic Scholars Program, which provides scholarships to the state’s top high school graduates. The scholarship program also receives funding from interest earned by a $2.7 million endowment. Funding for Campus Centers of Excellence and Campus Centers of Emphasis will increase 2.9 percent to $19.4 million. These programs provide additional funding to academic and research programs that are excellent or potentially excellent.

Legislation authorizes the Department of Education to develop — and local districts to implement — professional-development programs that address school safety. Job applicants, rather than local districts, now will pay for the required criminal-background checks. Other legislation requires parents to provide school principals with written notification of their children’s criminal activity when the students enroll, resume attendance or change schools. The Tennessee Literacy Initiative Act of 1999 requires the Office of Education Accountability to report on the reading proficiency of the state’s elementary school students. The office also must gather information on other states’ efforts to increase reading proficiency.

The Coordinated School Health Improvement Act of 1999 requires the Department of Education to develop guidelines and standards for school health programs. Each district must appoint a coordinator to develop a health plan that integrates the following: health services; physical education; nutrition; family and community involvement; and school counseling, psychological and social services.


Texas

The Legislature passed a state budget for the 2000-01 biennium that provides an increase of 12.8 percent over the previous biennium. Total general funding for the biennium is $55.1 billion. General funds for education will increase 15.6 percent to $34.6 billion. The budget includes $1.8 billion in tax cuts, $1.3 billion of which is directed at reducing property taxes. The rest of plan consists of reductions in business taxes, the exemption of nonprescription drugs from sales taxes, and the establishment of a three-day period in August during which sales taxes will be suspended on clothing and footwear items of less than $100.

General funds for higher education will increase 11.3 percent to reach $7.8 billion for the biennium, plus $1.4 billion for employee benefits. Funding for two-year colleges will increase 10.9 percent to reach $1.6 billion. Four-year colleges and universities will operate with nearly $3.3 billion (12.8 percent more), while health-related institutions will receive nearly $1.7 billion (an increase of 5.2 percent). Institutional boards will determine faculty pay raises. Tuition for in-state undergraduates at four-year colleges and universities will increase $2 per credit-hour in each year of the biennium - increases of 5.6 percent in 1999-2000 and 5.3 percent in 2000-01.

General funds for elementary and secondary schools will increase 17.4 percent to $23.3 billion for the biennium, plus $2.2 billion for employee benefits. The budget includes $3.8 billion for enrollment growth, teacher pay raises of $3,000 in 1999-2000, and property tax relief. The budget includes $2.5 million in each year of the biennium (the same as in the current biennium) for rewards to successful schools. Of this amount, $500,000 each year will be used to recognize innovative approaches to increasing parental involvement in parent/teacher conferences.

Reading academies — “schools within schools” that focus on reading — will receive $25 million in each year of the biennium ($25 million is available in the 1998-99 fiscal year). The budget also includes $1 million in each year for the Ready to Read Program for low-income preschoolers. The new Master Reading Teacher Program, which will encourage teachers to become certified as master reading teachers and to work with other teachers and students to improve reading performance, will receive $12 million in the biennium. A master reading teacher at a high-need school will be eligible to receive a stipend of $5,000 if he or she has the primary duties of teaching reading at the school and serves as a mentor for other reading teachers. High-need schools will be identified according to student performance on reading assessments.

New efforts to help at-risk students include an after-school initiative ($12.5 million in each year of the biennium) and a student success initiative ($66 million in 2000 and $107.3 million in 2001). Grants for after-school programs will target middle school students in districts with high rates of juvenile crime. The student success initiative will fund teacher training and research-based programs for students who are unlikely to achieve the state’s third-grade reading standard. Funding for 2000 will target kindergartners; in 2001, the program will expand to include first-graders.

Legislation encourages districts to implement or expand prekindergarten and kindergarten programs. The budget includes $100 million in each year of the biennium for grants to start prekindergarten programs at schools that do not have them and to expand half-day kindergarten programs to full-day programs.

The same bill phases in the student success initiative (mentioned above) over three years by adding one grade per year. By 2002, the initiative will include kindergarten, first grade and second grade. The next phase of this initiative requires third-, fifth- and eighth-graders to meet performance standards on the state testing program in order to be promoted to the next grade. This policy will take effect with third-graders in the 2002-03 school year. This class of third-graders will have to meet the criteria as fifth-graders in 2004-05 and then as eighth-graders in 2007-08. Districts will give students three opportunities to pass the tests; those with unsatisfactory performance on the tests will receive additional instruction in small classes. The program’s implementation depends on annual certification from the commissioner of education that sufficient funds have been appropriated.

The bill creates an initiative to help ninth-graders who may not meet requirements to advance to 10th grade. District-level programs will emphasize basic skills in the required curriculum and will offer these students the opportunity to complete credits required for high school graduation. The budget includes $42.5 million in each year of the biennium for this effort.

Other laws expand and improve the state testing program and require district superintendents to notify parents if their children are being taught by inappropriately certified or uncertified teachers for more than 30 consecutive days. Districts will notify parents at least once every three weeks if a student’s performance is unsatisfactory as defined by the district. Also, school improvement plans will include information on violence prevention and intervention policies and procedures.

Legislation dealing with higher education authorizes the creation of prepaid tuition plans for graduate programs and professional-degree programs. The state’s existing program is limited to undergraduate students.

The budget includes new funding of $100 million for the biennium for several financial-aid initiatives. The TEXAS (Toward Excellence, Access and Success) Grant Program will provide need-based financial aid to students who meet certain academic requirements and seek undergraduate degrees. To be eligible, high school students must complete the “recommended” or “advanced” diploma requirements for graduation and enroll within 16 months at an eligible institution for at least three-fourths of a full course load. Students completing an associate’s degree after May 1, 2001, also will be eligible. To continue receiving the grants, students must make satisfactory academic progress, maintain a 2.5 grade-point average and enroll for at least three-fourths of a full course load. The grants will provide an amount equal to the average of the tuition and required fees at institutions statewide.

The same bill creates the Teach for Texas Grant Program for college juniors and seniors who receive TEXAS Grants and are interested in becoming teachers. The grant, which will equal twice the amount of a TEXAS Grant, requires students to teach for five years either in a critical-shortage field or in an area of the state that lacks enough teachers.

A new financial-aid center will distribute information about financial aid opportunities and how to apply for financial aid. School districts’ improvement plans will include strategies to provide staff and students with information about financial aid.

In an effort to combat the critical shortage of teachers, the bill also expands the teacher recruitment program to identify and recruit potential teachers among high school and undergraduate students; mid-career and retired professionals; former military personnel; and underrepresented gender and ethnic groups. The Teach for Texas alternative-certification pilot program will encourage the creation and expansion of teacher-preparation programs that recognize the knowledge and skills gained through previous experiences in work and education. The program will provide financial assistance to encourage people with bachelor’s degrees in fields other than education to become certified teachers.

Virginia

The 1998 General Assembly passed a $20 billion general-fund operating budget for the 1998-2000 biennium that included a two-year increase of 14.9 percent. In the 1999 session, the General Assembly added $930.4 million to the budget, bringing general funds to $20.9 billion, 4.7 percent more than the original budget for the biennium. The amendments include a 2 percent phased-in reduction in the sales tax on groceries; beginning in January 2000, the tax will go from 4.5 percent to 4 percent. If revenues meet expectations, the remaining three reductions will occur each April beginning in 2001.

The elementary and secondary schools portion of the biennial budget enacted last year for 1999-2000 included $3.5 billion in direct aid to schools, an increase of 4 percent over the previous year. This amount included $1.8 billion for basic aid to schools and additional teaching positions necessitated by enrollment increases (3,000 new teachers) and by efforts to reduce class sizes (2,004 new teachers, including 604 in kindergarten through third grade).

During the 1999 session, the General Assembly added $139.7 million to the $3.5 billion already approved for 1999-2000, raising the budget 3.9 percent. This figure includes increases of $192.3 million minus reductions of $52.6 million because of issues such as revised sales-tax estimates and lower enrollment estimates than those on which the budget originally was based.

Increases to the 1999-2000 budget include $137.1 million in general funds to offset lottery spending in the school finance formula that will be rededicated to high-priority local needs. Other increases include $5.1 million to restore funds for early reading intervention (bringing funding to $5.9 million, close to the 1999 level of $6.1 million) and $2.4 million to create eight Governor’s Best Practices Centers. These centers will provide local school districts with technical support in curriculum, instruction, assessment and the use of technology to meet the new educational and accreditation standards.
Also provided is $39.8 million for the state’s share of 6 percent pay raises for teachers (2.5 percent raises were included in the original budget) and $2.2 million to increase the statewide availability of GED programs. The General Assembly also put $14 million toward the replacement of the student data system.

The higher education budget adopted in 1998 for the 1998-2000 biennium provided institutions with $1.1 billion in general funds in 1999-2000, 3.2 percent more than in the previous year. This allocation included tuition assistance grants of $2,600 per year for students attending independent colleges (previously $2,000) and funds for faculty pay raises averaging 5.8 percent. Average pay raises will range by institution from 3.6 percent to 12.5 percent. As a result of these raises, the average salary at each institution will be at the 60th percentile of its peer institutions. The original budget did not include an increase in tuition for in-state undergraduates.

The General Assembly added $139 million in general funds to the budget, an increase of more than 12 percent over the original budget for 1999-2000. Most of this increase ($75.4 million) will offset revenues that institutions will lose because of a 20 percent reduction in tuition and required instructional fees for in-state undergraduate students.

The legislature also added $6.4 million to ensure year 2000 compliance, $5.2 million to offset tuition and fees shortfalls caused partly by tuition waivers, $5 million to maintain facilities, $4.1 million to increase operating support for institutions and $2 million to accommodate increased enrollment. An allocation of $3.9 million will increase tuition assistance grants for students at independent colleges from the $2,600 per year in the original budget to $2,700. An allocation of $21.8 million will support priorities at individual colleges and universities.

Legislation authorizes two or more school boards to establish a charter school as a joint venture. Other bills allow students who are at least 16 years old to satisfy attendance requirements by enrolling in GED programs or other alternative-education programs with parental permission; require local boards to ensure that each school develops a plan for crisis and emergency management; and establish a reward program for teachers who earn national certification. Nationally certified teachers will receive an initial award of $5,000 and annual awards of $2,500 for the duration of the certificate. The 1999-2000 budget includes $140,000 for these rewards.

Another bill strengthens requirements for teacher and administrator evaluations. Under the measure, each local board will evaluate its district superintendent using a set of guidelines developed by the state Board of Education. Local boards also will develop a process for the superintendent to use in evaluating the performance of principals, assistant principals, supervisors and instructional personnel. The bill requires that administrative and supervisory personnel be trained to evaluate teachers’ and administrators’ performance. It also tightens requirements for entrance to teacher education programs, for initial licensure and for licensure renewal.

West Virginia

The state’s $2.7 billion general-fund budget for 1999-2000 (up 2.7 percent) will provide elementary and secondary schools with nearly $1.4 billion, an increase of 2.5 percent. Of this amount, more than $1.3 billion will be distributed through the funding formula, an increase of 2.6 percent. Funding for exceptional students will rise 6 percent to nearly $16.8 million. Teachers will receive pay increases of $756 as the second part of a three-year effort to raise salaries by $2,250. Teachers received $756 in 1998-99.

Lottery funds of $16.3 million will continue the Computer Basic Skills program. This allocation ensures that every elementary classroom has a computer, and it funds an effort to improve the computer skills of secondary school students. Another $18 million from the lottery will go toward debt on bonds through the School Building Authority. The authority also will receive $22.7 million in general funds.

The Office of Education Performance Audits, created by 1998 legislation, will operate with more than $838,000, an increase of 1.3 percent. The office’s duties include determining the staff development needs of schools and districts, conducting on-site reviews of schools and districts, and identifying exemplary schools. The office also oversees the school accreditation system.

The $354.9 million for colleges and universities is a 5.2 percent increase. The increase includes additional support for community colleges, and an allocation equal to 3.25 percent of operating budgets is set aside for all institutions that meet the strategic-planning requirements of 1995 reform legislation. Tuition increases will average 3.5 percent. In addition, institutions in the State College System have imposed a technology fee that will average 3 percent.

The Higher Education Grant Program will provide $13.4 million in need-based financial aid to undergraduate students, an increase of 15.6 percent. Current-year funding for the grants is split between general funds and lottery proceeds. The lottery alone will fund the grants for 1999-2000. The budget also includes $3.5 million from the lottery for college and university priorities.

The Legislature authorized three new financial-aid programs. The Engineering, Science and Technology Scholarship Program will begin providing awards in 1999-2000 with an allocation of $500,000. Also, a need-based program will provide grants to adults who are part-time students; there is $1 million available for the initial year.

The new merit-based PROMISE scholarships for West Virginia residents will pay up to the cost of tuition and may include an allowance for books and supplies. High school graduates with a B average will be eligible for the award and must maintain a B average in college to keep the scholarships. The new PROMISE scholarship board will adopt rules that address issues such as award amounts and whether recipients must repay their scholarships if they work outside the state after graduation.

A new work-force-development initiative will provide grants to community and technical colleges for efforts that meet the training needs of employers statewide. The budget includes $750,000 for this initiative in 1999-2000. The Legislature also created a new community/technical college to serve the eastern part of the state.

The Legislature authorized a study of higher education to review and make recommendations relating to the missions of colleges and universities; statutes, rules and policies; policies about the allocation of resources; models for delivering graduate and undergraduate education; governance; and facility and maintenance needs. The final report is due to the Legislature by January 2000.

Legislation also establishes a bonus for classroom teachers with certification from the National Board for Professional Teaching Standards. Nationally certified teachers will be eligible for an annual bonus of $1,000 for the duration of the certificate as well as a one-time reimbursement for the cost of completing the program. No funding was included in the budget for 1999-2000.

The budget includes $300,000 for a new competitive-grant program that will provide mathematics instruction for students in kindergarten through fourth grade who are not performing at grade level. A similar program that focuses on reading, which was created last year, also will operate with $300,000.


For further information, please contact Gale Gaines, gale.gaines@sreb.org.

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