The Illinois State Board of Education yesterday released a report showing that many school districts had improved their financial ratings, despite receiving less state funding. But the news wasn't all good. The board's annual review of financial data showed that most districts were operating more efficiently, but board members pointed out that these efficiencies came at a cost. Almost 60 percent of districts are in deficit spending, and many have been forced to cut fine arts and other electives. State school superintendent Tony Smith says it's not fair to students.
"So the funding system -- inequitable in distribution and then inequitable in the way it takes funds away also -- is costing the kids of this state opportunities that they'll never get back. Right?"
The report was discussed by the board just after it cleared the Cahokia school district from financial watch list. Cahokia officials told the board that one way they achieved efficiencies was by cutting 140 positions and eliminating some athletic programs and most fine arts programs.
Illinois schools rely on property taxes for support, and years of reductions in state aid have hit schools in poor districts extra hard. Gov. Bruce Rauner has proposed giving districts their full measure of state aid -- $6,119 per student -- calling it a “first step” toward healing the inequities.
But Smith suggested the funding formula needs to change.
"So this idea of systemic structural reform for our school finance, it has to happen. I mean it must happen. And there are plenty of districts that say even at $6,119 for next year, I may not open. Because they've borrowed, they've exhausted their borrowing capacity, I have to pay everything back, folks are way leveraged."
He called the situation “pretty upsetting.”
