Study Finds NCLB Will Cost $1.5 Billion in Ohio

The first detailed analysis of the costs to a state of complying with the federal "No Child Left Behind" Act (NCLB) has been completed in Ohio, and it calculated the cost at $1.5 billion. The Ohio Department of Education commissioned the study, prepared by the firm of Levin, Driscoll and Fleeter, at the behest of the Ohio General Assembly.

The study concludes that it will cost the State of Ohio a total of $1.447 billion dollars (in current 2004 dollars) to implement the provisions of NCLB fully. The actual cost estimated by the researchers is $1.491 billion, however, they estimate that the federal government will contribute $44 million in additional funds to aid in compliance with NCLB. The $1.447 billion figure represents an 11% increase in education spending in Ohio.

The largest portion of the cost, 93%, is attributed to student intervention costs, in order to bring 100% of the children up to proficiency levels. These intervention service costs include, among others, salaries of teachers and instructional assistants, transportation costs, summer school costs, extended day costs and intensive in-school academic intervention. The study assumes that 75% of Ohio's children currently perform at proficiency levels. Administrative, teacher and paraprofessional costs account for only 7% of the cost. This cost includes testing, meeting the "highly qualified" teacher and paraprofessional requirements and professional training.

Several experts who reviewed the findings commended the researchers for conducting such a thoughtful analysis in the short time allowed, 90 days. The experts raised various questions regarding the use of the money to be expended, the accuracy of the cost estimate and the unpredictability of the largest portion of the cost, i.e. student intervention services. This study is especially significant because it is the first systematic analysis of how NCLB will affect the states financially.

Prepared by January 29, 2004.