HR0771 98TH GENERAL ASSEMBLY

HR0771 LRB098 18229 GRL 53360 r

HOUSE RESOLUTION

WHEREAS, The goal of the State's education funding system is to afford all school districts the opportunity to provide a comparable, quality education; and

WHEREAS, Illinois' past and present financial conditions continue to have a detrimental effect on the students attending school districts not under the Property Tax Extension Limitation Law; and

WHEREAS, The primary task of the General State Aid formula, which appropriated $4.4 billion in Fiscal Year 2014, is to provide funding for all school districts by measuring the local property wealth of a district and providing State funds on an equalized basis; and

WHEREAS, Since the General State Aid formula was updated in 1999 to include an adjustment that accounts for perceived losses in local resources due to the Property Tax Extension Limitation Law, it has diverted limited resources from the General State Aid Foundation Level grants; and

WHEREAS, In 2000, 88% of the General State Aid formula was used for Foundation Level grants to equalize school district resources across the State; Property Tax Extension Limitation Law adjustments represented just 2% of the formula calculation; and

WHEREAS, In 2013, the Foundation Level grants dropped to 53% of the formula and Property Tax Extension Limitation Law adjustments now represent 13% of the formula; and

WHEREAS, In 2000, the Property Tax Extension Limitation Law adjustments required $46 million from funds available for General State Aid; in 2013, that amount escalated to $629 million; and

WHEREAS, This represents an increase of over 1,300% in Property Tax Extension Limitation Law adjustment funding; if this trend continues, Foundation Level grants to equalize school district resources will soon represent less than half of the General State Aid formula; and

WHEREAS, General State Aid appropriations have declined over the last 3 years from $4.6 billion in Fiscal Year 2011 to $4.4 billion in Fiscal Year 2014 - a reduction of $200 million; and

WHEREAS, Fully funding General State Aid in Fiscal Year 2014 would have cost over $5 billion dollars, which represents a $600 million gap; and

WHEREAS, In the past 3 years, school districts have witnessed a proration of General State Aid funds because the General State Aid Foundation Level has not been statutorily adjusted to match the appropriation, causing teacher layoffs and termination of school programs, services, and activities; and

WHEREAS, The mathematical difference between the Property Tax Extension Limitation Law adjustment and the prorated amount of General State Aid is roughly the same; and

WHEREAS, Prorating General State Aid only widens the gap between the wealthiest districts and the poorest districts, due in large part to the Property Tax Extension Limitation Law adjustment; and

WHEREAS, An inference can be made that non-Property Tax Extension Limitation Law counties and their school districts are subsidizing Property Tax Extension Limitation Law counties and their school districts; and

WHEREAS, The General State Aid proration over the past 3 years has made it difficult for school districts to meet State mandates; therefore, be it

RESOLVED, BY THE HOUSE OF REPRESENTATIVES OF THE NINETY-EIGHTH GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, that we urge the Governor and the members of the General Assembly to cease the proration of General State Aid allocations and to fully fund the formula to benefit school districts most in need of State support through the formula by prioritizing the Foundation Level grant; and be it further

RESOLVED, That we pledge to work with all stakeholders to determine a State aid formula that equalizes funding for school districts, utilizing local and State funds, to ensure that all school districts have similar resources to educate students.