As reported in the papers yesterday, the House and Senate conferees have reached a budget compromise with little time to spare. Budget briefings were held this afternoon to outline the details of the compromise. Overall, it has been a very successful year for public education in the biennial budget. On behalf of VSBA Executive Director, Gina Patterson and your VSBA Lobbying Team, we thank you for all of your hard work and advocacy efforts this session! Your voice has been heard and made a difference in Richmond!Below you will find a summary of the budget compromise. You can also view the budget briefing presentations from the Senate Finance Committee here and House Appropriations Committee here. Additionally, you can find the Direct Aid to Public Education Estimated Distribution sheets for FY’17 here and FY’18 here. The final vote on the budget is anticipated for Saturday morning. We will continue to update you as more information becomes available.
Lottery Per Pupil Funding
The compromise increases direct aid for public education by $892.3 million over the current biennium, including $400.5 million for Biennial Re-benchmarking. It also re-establishes the policy of distributing part of the Lottery Proceeds on a per pupil amount (PPA) basis, providing $193.8 million over the biennium. In FY’17, $36.6 million is provided, which equals $52.42 PPA. In FY’18, $157.2 million is provided, which equals $224.43 PPA. This policy gives local school divisions more local flexibility for spending options, permitting up to 50% of the new lottery PPA allocation to be used on any recurring expenses and at least 50% on non-recurring expenses such as capital, equipment, school buses, and maintenance. These funds do require maintenance of effort so revenue cannot be used to supplant local funding.
Also included in the budget compromise is $49.0 million in the first year and $85.4 million in the second year for the state’s share of a 2% salary increase, for all funded SOQ instructional and support positions, effective December 1, 2016. Participation is optional and requires a local match. Local school divisions must provide at least a 2% salary increase by December 1, 2016 to be eligible for the state funding. School divisions cannot use the phase-in of the VRS swap as part of its local match.
VRS Teacher Retirement
$56.8 million is provided in the second year, for the state’s share of funding, to advance the VRS scheduled rates to 100%. We know that advancing these rates ahead of schedule is a major concern for our school divisions and we have already been in talks with the budget conferees about potential solutions next year.
Cost of Competing Adjustment for Support Positions
Provides $17.0 million in the first year and $17.4 million the second year to fund the COCA rate of 10.6%.
Other policy and spending changes include:
- $5.0 million over the biennium for additional support toward increasing Career and Technical credentialing and equipment
- $2.0 million for equipment & $500,000 for tests & materials costs of earning industry certifications each year.
- $4.6 million over the biennium for the Virginia Early Childhood Foundation.
- $3.0 million for a new pilot program to provide grants to incentivize additional public-private partnerships in preschool services.
- $1.6 million would be used to develop and operate a new scholarship grant program at community colleges to increase skills of the early education workforce.
- $2.9 million over the biennium to increase the Preschool Initiative per pupil amount from $6,000 to $6,125.
- $2.1 million for new competitive grants in the second year for school divisions that develop and implement a performance-based teacher compensation system.
- $1.6 million GF for Virtual Virginia to expand the full-time pilot initiative from 90 to 200 students and a new Virtual Virginia Math Outreach Algebra I pilot program.
- $3.1 million over the biennium for supplemental education programs:
- Communities In Schools (CIS): $450,000 each year
- High School Innovation grants: $250,000 each year
- Jobs for Virginia Graduates (JVG): $200,000 each year
- Summer and CTE Governor’s Schools: $200,000 each year
- Great Aspirations Scholarship Program (GRASP): $187,500 each year
- Project Discovery: $187,500 the second year
- Roanoke Valley CTE Center Governor School: $100,000 the first year
- Virginia Student Training and Refurbishment (VA STAR): $50,000 each year
- Southside Regional Technology Consortium: $50,000 each year
- $1.0 million over the biennium for computer science training for teachers.
- $1.0 million over the biennium for the Breakfast-After-the-Bell.
- Includes clarifying language to ensure that the funding will be focused specifically on elementary schools with at least 45% of students eligible for free or reduced lunch and the traditional breakfast program.
- $5.0 million for a one-time development cost for expanding the Computer Adaptive Testing (CAT) to grades 3-5 for math and grades 3-8 for reading.
- $900,000 each year for eMediaVA to handle the digital content development and on-line portal access for Virtual Virginia contract with WHRO.
- $414,000 over the biennium and one position to administer statewide dyslexia training to teachers seeking an initial licensure or a renewal.
- $500,000 the first year for a new pilot to assess student academic growth in schools.
- $275,000 the second year to provide start-up funding for the implementation costs of the new Virginia Virtual School.
- Budget language directs DOE to transfer the statewide average of SOQ, sales tax, and any appropriate special education funding from a resident school division to Virginia Virtual School for each enrolled student beginning with the 2018-2019 school year.
Language-only amendmentsIn addition to funding and policy changes, there were several language-only amendments in the budget compromise. Those language amendments:
- Mandate the Board of Education to withhold a portion of the At-Risk Add-on funding from a school division that has been determined by the Board to have failed to meet its obligations for progress in implementing corrective action plans.
- Direct the Department of Education to:
- Establish a workgroup to review the transition from the use of computer labs in schools to the use of technology devices such as tablets and similar laptop devices in classrooms.
- Complete a statewide review of the use of technology in the classroom, all digital content, and on-line based curriculum to determine best practices and benefits.
- Convene an interagency workgroup to assess the barriers to serving students with disabilities in the schools & report to the Commission on Youth prior to the 2017 Session.
- Review the equity issue regarding the length of program day and distribution methodology used to determine the Governor’s School tuition payments & report to Chairmen of House Appropriations and Senate Finance Committees prior to the 2017 Session.
- Work in collaboration with the Virginia Community College System, to ensure that the same policies regarding the cost for dual enrollment courses held at a community college, are consistently applied to public school students and home-schooled students alike.
- Develop and provide a teacher exit questionnaire model to school divisions