This legislation updates the way Idaho funds its public schools by transitioning to a student-based funding model. While intended to create a more equitable distribution of resources, this model poses significant risks and challenges, particularly for small and rural schools that rely on stable funding regardless of fluctuating enrollment.
Issues with the Per-Student Funding Model
Instability for Small and Rural Schools: Schools with declining enrollment may face severe budget cuts, making it difficult to maintain staff, programs, and essential services.
Negative Impact on Fixed Costs: Schools have fixed expenses, such as building maintenance and administrative salaries, which do not decrease proportionally with student enrollment.
Potential for Widening Inequities: Wealthier districts may attract more students and funding, while underprivileged districts with declining enrollment could suffer from resource shortages.
Students with High Needs: Fails to address the wide variance of cost to educate students with significant learning needs.
Fiscal Impact The legislation allocates $14.2 million in general funds to support small and rural schools, but this may not be sufficient to address the disparities created by the per-student funding model.
Alternatives
Maintain a model that ensures baseline funding for all schools, regardless of enrollment fluctuations.
Implementing weighted funding formulas to provide additional resources to schools with higher needs.
Increasing state investment in rural education to counteract the financial volatility caused by shifting student populations.