Illinois Education Funding Board Releases Costing-Out Report

On August 7, a state-appointed commission in Illinois released a costing-out report that recommended a base level of funding for education in the state that would enable students to meet state standards. The Illinois Education Funding Advisory Board, created by the Illinois General Assembly and appointed by the governor, was charged with recommending changes to the general state aid formula and a new foundation level amount of per-pupil spending.

The report, conducted by a nationally-known education finance consulting firm, concluded that per-pupil spending in the most fiscally effective districts averages more than the current foundation amount of funding guaranteed by the state. The existing foundation level, used in an aid formula that takes district wealth variations into account, has traditionally been set through political debate rather than on actual costs. The Illinois study used the "successful schools" model, a data-driven approach that derives a base cost figure from the actual spending of school districts judged to be successful in meeting state standards.

The study also factored in the greater costs associated with at-risk students in determining the recommended base amount for each district type. The study concluded that minimal base funding amounts averaged about $4,600 in successful elementary school districts and $7,000 or more in high school districts. These recommended figures exclude costs associated with capital spending, transportation, food services, adult education, or special education programs.

Based on the study, the advisory board will work over the next year to develop and recommend a new foundation level of spending and an aid formula that fairly distributes resources to Illinois school districts. In Maryland, similar costing-out studies sponsored by a state-appointed commission and a non-profit advocacy group were released in June. Both Maryland studies also called for increased per-pupil funding levels to meet state education standards.

Prepared July 2001