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The First Annual Education Statistical-palooza

Welcome

The NC Department of Public Instruction has released their annual "Highlights of the North Carolina Public School Budget" document.  Highlights is a compilation of public education finance statistics with a particular focus on state and federal revenue.  In this week’s CommenTerry, I selected the highlights of Highlights.

Bulletin Board

  • Attend the Civitas Institute’s Free Market Academy on Saturday, March 10 from 2:00 pm to 4:00 pm at the Fairfield Inn & Suites in Elizabeth City, NC.  This workshop is inspired by Henry Hazlitt’s classic book — described by F.A. Hayek as "a brilliant performance" — and explores several overlooked economic truths missing from today’s economic debates.  Essential for newcomers to economics, and also serves as a great refresher for those already familiar with the subject.  This discussion will better equip you to win debates on the economy and be a more persuasive advocate for economic liberty.  Cost is $5.00.  Register online at http://www.nccivitas.org/events/ or call 919-834-2099.
  • Dr. Meghan L. O’Sullivan, the Jeane Kirkpatrick Professor of the Practice of International Affairs at Harvard University’s Kennedy School, will deliver the 2012 John William Pope Lecture, "Making Sense of the New Middle East: The Dynamics and Their Implications for US Interests."  The lecture will begin at 7:30 pm on Tuesday, March 13, 2012 at Withers 232 A, NC State University. The lecture is free and open to the public.  A reception will immediately follow in Withers common area.
  • The John Locke Foundation is sponsoring a Citizen’s Constitutional Workshop on Saturday, March 17 from 9:00 am to 3:00 pm at Joslyn Hall, Carteret Community College, in Morehead City, NC.  Historian Dr. Troy Kickler and political science expert Dr. Michael Sanera will discuss "What would the Federalists and Anti-federalists say about the current political and economic crises?"  The cost is $5.00 per participant, lunch not included.  Pre-registration is strongly suggested.  For more information or to sign up for the event, visit the Events section of the John Locke Foundation website.
  • The North Carolina History Project would like educators and homeschool parents to submit lesson plans suitable for middle and high school courses in North Carolina history.  Please provide links to NC History Project encyclopedia articles and other primary and secondary source material, if possible.  Go to the NC History Project website for further information.
  • JLF’s research newsletter archive is waiting for you.

CommenTerry

Every February, the Information Analysis section of the Division of School Business at the NC Department of Public Instruction publishes "Highlights of the North Carolina Public School Budget."  According to the introduction,

Funding public education in North Carolina is a complex and integrated process. This booklet presents charts and tables which [sic] describe how state and federal funds are distributed to North Carolina’s Public Schools. It also reviews the growth in average daily membership (ADM), school personnel, and the effect of Charter Schools.

As the introduction suggests, the document focuses on educational inputs and descriptive statistics.  Test scores, graduation rates, and other outcome measures are not included.  Further, the document has limited information on the use of local funding and school capital expenditures.  Despite these limitations, "Highlights" remains a useful resource for examining trends in education spending.

For example, total state education funding, in nominal terms, appears to be on the upswing.  As in most states hit hard by the Great Recession, education funding remains lower than 2007-2009 levels.  Nevertheless, 2011-2012 funding was higher than that of the two preceding school years. 

Interestingly, between 2006 and 2009, the Democratic majorities in the NC General Assembly added over $800 million to the state public school budget but failed to maintain that level of funding between 2009 and 2011.  By the time the 2010-2011 school year arrived, the Democrats had reduced the public school budget to pre-2006 levels.  In 2011, Republican majorities increased total state education funding to $7.5 billion, which was above the 2006 total of $7.37 billion.

Of course, state funding is not distributed to all public school children equally.  State and federal agencies allocate funds based on the needs, circumstances, and grade level of each student.  For example, the state provides $5,892.90 per intellectually and academically gifted student in grades K-3.  A special needs elementary school student with limited English proficiency from a low-income family in a small, low wealth county would receive $11,401.05 in state funds.  If the same child lived in a higher income county, the state would allot $10,415.63 for his or her schooling.  Federal funding may add up to $7,094.92 per elementary student.  (See Facts and Stats below for additional examples.)

Approximately 90 percent of state education funding pays the salary and benefits of public school personnel.  For the current school year, teachers and instructional support personnel on the typical 10-month contract have a base salary range of $30,430 – $67,280.  Base salary ranges for administrators on 12-month contacts are as follows: assistant principals ($37,810 – $64,420), principals ($50,916 – $109,116), supervisors ($39,708 – $103,068), and superintendents ($56,640 – $137,388).  This does not include local salary supplements, which average nearly $3,500 per teacher, $11,338 per principal, and $6,155 per assistant principal.  It also does not include matching benefits, which add 7.65% for social security, 13.12% for retirement, and $4,931 for hospitalization to the base salary.  To put a value to the benefits package, the average teacher receives nearly $13,000 in annual social security, retirement, and hospitalization benefits from the state.

As you think about public school finance in North Carolina, I challenge you to consider whether schools and districts use taxpayer funds in productive ways.  Indeed, any discussion of education spending should focus on the issue of educational productivity, that is, "bang for the buck."

Unfortunately, elected officials continue to be unwilling to talk about productivity in meaningful ways. Public school advocacy organizations complain when they do. Others make a conscious attempt to avoid the subject of productivity altogether.  Instead, elected officials have approved funding increases for public schools with little regard to the educational and economic outcomes of such expenditures.  It is time to change the conversation.

Random Thought

Q. How was robo-sociopath Bender Bending Rodriguez elected to the Washington D.C. school board?

A. Easily.

Facts and Stats

Example of Student Funding for Grades K-3 (state & federal funds only)

$18,492.98 per limited English proficient student with special learning issues; disadvantaged student from low-income family living in a small, low-wealth county.

$17,507.56 per limited English proficient student with special learning issues; disadvantaged student from low-income family.

$8,406.88 per academically gifted student from low-income family living in a small, low-wealth county.

$5,442.72 per student in grade K-3 with no additional needs.

(Source: NC Department of Public Instruction, Highlights of the North Carolina Public School Budget 2012, p. 12)

Mailbag

I would like to invite all readers to submit announcements, as well as their personal insights, anecdotes, concerns, and observations about the state of education in North Carolina.  I will publish selected submissions in future editions of the newsletter.  Anonymity will be honored.  For additional information or to send a submission, email Terry at [email protected].

Education Acronym of the Week

ADM – Average Daily Membership

Quote of the Week

"NC ranks 11th in the Nation and 2nd in the Southeast for the highest percentage of funds from State revenue [60.1%]. The national average is 45.5%.  Most other state school systems are primarily funded by locally driven initiatives such as property taxes and local bond issues."

– NC Department of Public Instruction, "Highlights of the North Carolina Public School Budget 2012," p. 3

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