School Revenue…Where does the money come from?
My kids will sometimes come and ask me for money. It never ceases to amaze me, how quickly I turn into my father. I'm quick to reply, "Do you think I am made out of money?" or, "Money doesn't grow on trees." As kids, we often see our parents as a source of wealth with unlimited resources. That couldn't be farther from the truth. As an adult and parent, I know first-hand how untrue that childhood belief really is. When we don't see how the money is earned or where it comes from as children, we assume that there is an endless supply of it. Namely, because we always seem to have what we need. It's funny, but sometimes thoughts we had as a child creep into our adult views on matters of money. As a Superintendent, I often get asked why programs that we had in previous years are no longer offered. When I reply, “Because of a lack of funding,” people are truly shocked and dumbfounded. What do you mean there is no money, you're the school, you have endless supplies of money? Nothing could be further from the truth. Just where does the money to operate HCS come from?
School Revenue Sources
The responsibility for K-12 education rests with the states under the Constitution. There is also a compelling national interest in the quality of the nation's public schools. Therefore, the federal government, through the legislative process, provides assistance to the states and schools in an effort to supplement, not supplant, state support. The primary source of federal K-12 support began in 1965 with the enactment of the Elementary and Secondary Education Act (ESEA).
Annual Secondary Education Expenditures per Student
ESEA authorizes grants for elementary and secondary school programs for children of low-income families; school library resources, textbooks and other instructional materials; supplemental education centers and services; strengthening state education agencies; education research; and professional development for teachers. State aid equals basic need minus a required local contribution and 90 percent of eligible federal impact aid for that fiscal year; basic need equals the sum obtained under (D) of this paragraph, multiplied by the base student allocation set out in AS 14.17.470; district adjusted ADM is calculated as follows:
Most Federal funding is distributed either directly to local districts or to schools and districts through their states. Individual schools would then use these funds for the purposes defined in the programs. Major programs include:
ESEA, Title I, Part A
IDEA, Part B, Grants to States
American Indian, Alaska Native Career/Tech Voc/Rehab Services programs and grants.
Improving Teacher Quality: $2.9 billion
21st Century Community Learning Centers
English Language Learners
Impact Aid (schools impacted by military bases and other facilities)
Local Public-School funding consists of state aid, a required local contribution, and eligible federal impact aid.
Grants such as Title IV Grants for Innovative Program Strategies.