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Chapter 2 History of School Finance

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Title: Chapter 2- History of School Finance Author: Leslie S. Kaplan Last modified by: JKEEVER Created Date: 3/16/2003 8:18:29 PM Document presentation format – PowerPoint PPT presentation

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Title: Chapter 2 History of School Finance


1
Chapter 2 History of School Finance
2
  • Our founding fathers profoundly believed that
    their new democracys health depended on its
    peoples virtues as right, honorable, ethical
    individuals as well as knowledgeable citizens.

3
Founding Fathers BelievedPublic Education
Essential
  • Rousseau noted in 1758 that public educationis
    one of the fundamental rules of popular or
    legitimate government.
  • Jean Jacques Rousseau, A Discourse of Political
    Economy, 1758, translation and introduction by
    G.D.H. Cole in The Social Contract and
    Discourses, London J.M. Dent Sons, 1973), p.
    149.
  • An educated general populace required for its
    democratic republics survival

4
  • The first American school finance laws date back
    to the Massachusetts Act of 1642, which required
    parents and masters to attend to the educational
    duties of the colonys sons and servants.

5
  • The General Court (the colonial legislature)
    empowered certain chosen men of each town to
    ascertain, from time to time, if the parents and
    masters were attending to their educational
    duties if the children were being trained in
    learning and labor and other employmentsprofitabl
    e to the Commonwealth .

6
Early U.S. Value in Education
  • The child is to be educated, not to advance his
    personal interest, but because the state will
    suffer if he is not educated.

7
Profitable to the state
  • Profitable meant that sons and male servants
    learned to read and understand religious
    principles while they received training in
    learning and labor. Women stayed home and
    learned household tasks and embroidery an
    obvious Title IX violation
  • today.
  • Ellwood Cubberley, The History of Education
    (Boston Houghton Mifflin, 1920), p. 34

8
Ye Olde Deluder Satan Laws
  • Within five years of the first school finance
    law, however, it failed
  • The law presumed that those who could read
    understand the Bible couldnt be tempted to
    follow Satans wiles.

9
Different Sized Settlements Had Varying
Requirements for Providing Public Schooling
  • For 50 or more households -
  • Appoint a reading and writing teacher
  • Pay what deemed appropriate
  • For settlements of 100 or more households
  • Community taxed property owners to provide a
    grammar school

10
Towns not meeting this educational requirement
faced a financial penalty.
11
Who Paid for Schools?
  • Founding fathers believed that the wealthy should
    pay for educations public and religious
    functions.
  • Local government taxed property because people in
    those days considered land to be a valid measure
    of wealth.

12
The Law of 1647 Represented a Distinct Step
Forward
  • Not only did the law order towns to establish a
    school system elementary for all towns
    children, and secondary for youths in the larger
    towns but
  • For the first time among English-speaking people,
    there was an assertion of the right of the State
    to require communities to establish and maintain
    schools. Failure to do so resulted in penalty.

13
The Laws of 1642 1647
  • Represent the foundations upon which our
    American state public-school systems have been
    built.
  • They also established the States right to tax
    for the provision of education.
  •  

14
Massachusetts Precedent
  • Establishing property taxes as the basis for
    funding public schools quickly caught on in other
    New England colonies. It remains a tradition to
    this day.

15
Compromise to Appease States Rights Advocates
Federalists
  • Since the first 10 Amendments do not mention
    education, it became a state function.

16
Who is Responsible for Public Schools?
  • This compromise, however, has far-reaching legal
    and financial effects today.
  • States rights continues to be a discomforting
    national issue with keen influence on educational
    policy and practices.

17
Taxing Property Evolved Somewhat Differently in
Various Regions
  • The middle and southern colonies, for example,
    subsidized very basic public schools (small
    facilities, limited curriculum, few students
    attending)
  • Mostly churches parents financed further
    education.

18
Education Prosperity
  • States must invest as heavily in education as
    their capacity allows if they want future
    economic prosperity for all its citizens.

19
Regional Evolution of Schools School Financing
  • 1. Good school
  • conditions
  • 2. Mixed conditions
  • 3. Pauper
  • parochial schools
  • 4. No action group

20
Schools Evolution Differed in Various Geographic
Regions
  • New England became the first English-speaking
    area that required children learn how to read
  • Although religious in inspiration and scope
    (students would be able to interpret the Bible
    for themselves and save their immortal souls),
    knowing how to read and comprehend also allowed
    individuals to think for themselves and act
    without offense or injury to others

21
Good School Conditions
  • Citizens generally valued education and saw its
    value for the entire populace
  • Provided public financial support to educate
    large number of students
  • Maine
  • Vermont
  • New Hampshire
  • Massachusetts
  • Connecticut
  • New York
  • Ohio

White Male
22
Mixed Conditions Schools
  • People held conflicting ideas about what
    education should be and what it should provide
    for children.
  • Showed wide variance in their willingness to
    fund local schools and in resulting education
    quality.
  • Indiana
  • Illinois

23
Pauper Parochial School
  • Believed that high-quality schooling was for the
    elite
  • Privileged sent their children to
    church-sponsored (parochial) schools
  • Community leaders believed that the poor
    (paupers) deserved a minimal level of education
  • Pennsylvania
  • New Jersey
  • Delaware
  • Maryland
  • Virginia
  • Georgia
  • South Carolina
  • Louisiana

24
No Action Group
  • Philosophically, these colonists believed
    that government should play little role in
    citizens or community affairs. Individuals held
    responsibility for their own actions and
    well-being, including providing for their
    childrens education.
  • These regions took little or no actions
    establishing public education in their early
    statehood.
  • Rhode Island, Kentucky, Tennessee, North
    Carolina, Mississippi, and Alabama.

25
Not All States Fit These Categories
  • A number of states reflect an amalgam of people
    and ideas, not fitting one distinct pattern.

26
The BEST Schooling Model
  • The Good School Conditions
  • model offered its eligible children
  • the best learning
  • opportunities.

27
Federal History of School Funding
  • Even though the Constitution made education a
    state responsibility, the federal government did
    not abandon involvement with public schools or
    leave their financing solely to the states
  • On the contrary, the federal government heavily
    promoted and financed education from before the
    Constitution was ratified

28
Federal Financial Involvement in Education
  • In 1778 Congress eagerly sought ways to
    generate revenue for the new country and to pay
    its war debts. One method involved selling claim
    to western territories.

29
Ordinance of 1785
  • New Congressional townships in the western
    territories should be six miles square (or
    thirty-six square miles)
  • The six miles square would be surveyed and
    divided into thirty-six lots, each of one square
    mile
  • Towns could set aside the proceeds from lot
    number 16 to finance their public schools

30
Early School Financing
  • Northwest Ordinance of 1787
  • Authorized land grants to establish education
  • Magnificent rhetoric but little guidance about
    how to carry
  • it out
  • Ordinance of 1787
  • Conveyed approximately five million acres to land
    speculators

31
The Ordinance Included

Religion, morality, and knowledge being
necessary to good government and the happiness of
mankind, schools and the means of education shall
be forever encouraged.
32
New States Required to Provide Education
  • The Northwest Ordinance also established the
    requisite conditions for territories to become
    states and included a provision that each state
    have an education provision within its basic
    laws.

33
Clarifying the Sixteenth Sections Township
Intent
  • Required monies from this sections sales be
    spent for public schools
  • Started with Ohio
  • Federal state roles clarified

34
4th Wave of Federal Policy
  • States would receive a 5 portion of the sale
    of public lands states agreed that federal
    lands within states would be exempt from state
    taxes
  • These revenues added to monies available to
    establish public schools

35
Andrew Jacksons Presidency
  • There was a move to decentralize the federal
    government
  • In 1836, the Surplus Revenue Deposit Act gave 28
    million of federal funds to the states
  • Much of this windfall was spent for public
    schools

36
Another Major Federal Financing of U.S. Education
  • In 1802, Congress enacted legislation
    establishing the U.S. Military Academy
  • In 1845, established the Naval Academy
  • In 1876, founded the Coast Guard Academy
  • In 1936, founded The Merchant Marine Academy
  • In 1954, started the U. S. Air Force Academy

37
1862, Congress Established the Morrill Act
  • Authorized the states to use public land grants
    to establish and maintain agricultural and
    mechanical colleges
  • Assured the countrys economic security by
    producing knowledgeable managers and planners for
    the nations growth
  • In 1890, Congress passed the second Morrill Act
    providing funds to support instruction in the
    colleges that the first Morrill Act established

38
U.S. Department of Education
  • Established in 1867
  • This brought the function of education to a
    leadership position in the federal government
  • Later, the Department was downgraded to the
    Office of Education. It continued as part of the
    Department of Health, Education, and Welfare
    until reestablished as a Department in 1980

39
The 1917 Smith-Hughes Act
  • During World War I, the government faced large
    numbers of returning soldiers who needed specific
    workplace skills
  • This Act gave states grants to support vocational
    education

40
States Administer Federal Monies
  • The national government directed the states role
    in administering this program according to
    federal standards and funds a model followed in
    future federal education grants.

41
1918, Congress Passed the Vocational
Rehabilitation Act
  • Providing funds to rehabilitate World War I
    veterans.

42
1919, Congressional Act to Provide for Further
Educational Facilities
  • Authorized the federal government to sell
    surplus machine tools to schools for 15 percent
    of their original purchase price enabling
    schools
  • to have the equipment
  • needed to give students
  • real world training.

43
1920, Smith-Bankhead Act
  • Authorized grants for the states to provide
    vocational rehabilitation programs.

44
1935, Agricultural Adjustment Act
  • Congress and the Executive Branch desperately
    sought the quick-fix to save the crashing economy
    and relieve citizens economic despair.
  • Set up the School Lunch Act providing food
    to schools so it could feed its students (because
    their families might not).

45
1941, Amendment to the Lanham Act of 1940
  • Providing federal aid for the construction,
    maintenance, and operation of schools located in
    federally impacted areas
  • (where U.S. military families lived and worked
    on government-owned land and facilities and paid
    no state or local property taxes).

46
1943, Vocational Rehabilitation Act
  • Public Law 78-16
  • Provided assistance to disabled veterans
    returning home from WW II

47
1944, The G.I. Bill
  • Servicemens Readjustment Act
  • Provided education benefits to military returnees
    as they reentered civilian life
  • By providing
  • an attractive education alternative to
    employment, the GI Bill delayed many of the
    returning veterans from flooding the labor market
    and stalling economic recovery.

48
G.I. Bill
  • Offered a living stipend while veterans attended
    school, effectively transitioning the potential
    labor glut into a student cohort earning their
    living while learning new work knowledge and
    skills
  • Enabled an educational investment in our
    countrys infrastructure by enhancing the
    workforces job skills

49
G.I. Bill, cont.
  • Effectively supplied a massive education
    infusion to citizens, raising the education bar,
    and expanding learning horizons, career, and
    lifestyle opportunities for these returnees and
    for future generations.

50
Federal Property and Administrative Services Act
  • Initially, schools and colleges felt a bit
    overwhelmed with the newfound demand for their
    services, placing a drain on resources.
  • The Act allowed the national government to
    donate surplus federal property to educational
    institutions.

51
After WWII
  • America believed herself to be the most
    powerful nation in military and economic strength.

52
Following Sputnik in 1957, however, the nation
faced a wrenching reality check.
53
National Defense Education Act
  • The NDEA provided economic assistance to
    states and individual school systems to beef up
    science and math instruction, foreign languages,
    and other crucial subjects.

54
NDEA Also Supplied States with Resources
Including
  • Statistical reporting
  • Guidance counseling
  • Testing
  • Vocational technical programs
  • Higher education student loans fellowships
  • Foreign language study training
  • New teaching media

55
Education of Mentally Retarded Children Act
  • Train teachers to work successfully with
    disabled students.
  • Prior to this time, only a few states
    distributed funds to localities to supplement
    educational programs for handicapped students.
    Most families with disabled children had to find
    their own help.

56
1975 Education for All Handicapped Children Act
  • Public Law 101-46
  • Intended the federal government to pay 40 of the
    funding necessary for special education services
  • States localities to pay the rest
  • Today, the federal government pays 17 of special
    education costs instead of the 40 promised in
    national legislation

57
1965 Elementary and Secondary Education Act
  • Categorical Aid Programs Title I
  • Provided supplemental school program grants for
    children of low-income families
  • Intended to help economically disadvantaged
    students succeed (catch up with middle class and
    affluent peers) in the regular school program
  • Provided additional educations resources to
    improve their basic and advanced skills to
    achieve grade-level proficiency
  • Included extra or school-wide activities
    encouraging heavy parent involvement

58
Government Distributes These Funds in 2 Ways
  • Basic Grants
  • Flow through the State Education Agency (SEA) to
    localities based on a formula involving the
    school districts number of eligible students and
    the average state per-pupil expenditure.
  • Concentration Grants
  • Available only to restricted populations and
    represent a smaller percentage of the overall
    funding.
  • Particularly useful to school systems with high
    percentages of disadvantaged students.

59
Title I
  • Title I provided supplemental school program
    grants for children of low-income families
  • This program intended to help economically
    disadvantaged students succeed in the regular
    school program by improving basic and advanced
    skills and achieving grade-level proficiency
  • The program could include supplemental or
    school-wide activities encouraging heavy parent
    involvement

60
Title I, cont.
  • Most Title I funds are basic grants which flow
    through the State Education Agency (SEA) to
    localities based on a formula involving the
    school districts number of eligible students and
    the average state per-pupil expenditure
  • Concentration grants represent a smaller
    percentage of the overall funding within this
    Title

61
Title I, cont.
  • Concentration grants are designed for localities
    with a high number of eligible students more
    than 6,500 students or more than 15 of all
    students eligible for Title I funding
  • This is particularly useful to school systems
    with high percentages of disadvantaged students

62
Title I, cont.
  • Annual amount of Congressional funds allocated
    for Title I varies from year to year, depending
    on political allocation decisions
  • Requires that school divisions will not receive
    less than 85 of its previous years funding
    share
  • Title I money had less buying power in the 1990s
    although expected to support learning
    interventions for more children

63
Title II
  • Grant monies for school
  • library resources, textbooks
  • other instructional materials,
  • including audio-visual equipment
  • Called the Dwight D.
  • Eisenhower Mathematics
  • Science Education Act

64
Title II
  • Provides presidential awards
  • for outstanding teaching
  • Funds for magnet schools
  • Monies for talented and gifted programs
  • Funds for womens educational equity
  • Grants for drug abuse prevention,
  • dropout prevention,
  • bilingual education,
  • other programs.

65
Other Categorical Grants
  • Title III
  • Provided funds for supplementary education
    centers and services to public and private
    schools

66
Other Categorical Grants, cont.
  • Title IV
  • Allocated funds for regional educational research
    and training laboratories

67
Other Categorical Grants, cont.
  • Title V
  • Provided funds for strengthening state
    departments of education (otherwise known as
    State Education Agencies SEAs)

68
Funding Public Broadcasting
  • In 1967, Congress passed the Public Broadcasting
    Act
  • The Corporation for Public Broadcasting (CPB) was
    created and assumed a major role in routing
    federal monies to noncommercial radio and
    television stations

69
Funding Public Broadcasting
  • The CPB began program production groups and
    started Educational Television (ETV) networks
  • The CPB was responsible for awarding construction
    grants for educational radio and television
    facilities
  • Many of todays new teachers were raised on
    programming given its start by the CPB. Those
    programs include Sesame Street, The Electric
    Company, and others.

70
Educating Disabled Students
  • In 1968, the Handicapped Childrens Early
    Education Assistance Act, Public Law 90-576, was
    passed. This act provided for the authorization
    of preschool and early education programs for
    handicapped children

71
Educating Disabled Students, cont.
  • Seven years later, in 1975, Public Law 94-142,
    the Education for All Handicapped Children Act
    provided that all handicapped children have a
    free, appropriate public education

72
Social Changes School Funding
  • In 1970, many federal legislative changes came
    into being that had their beginning in social
    changes of the times
  • The National Commission on School Finance was
    established under the Elementary and Secondary
    Education Assistance Programs, Extension, Public
    Law 91-230

73
Social Changes School Funding, cont.
  • Office of Education Appropriation Act, Public Law
    91-380, provided emergency school assistance to
    desegregating local school districts and schools
  • The Drug Abuse Education Act of 1970, Public Law
    91-527, provided funding for the development,
    demonstration, and evaluation of materials
    dealing with the many problems of drug abuse

74
Selected Other Federal Funding
  • In 1986, the Handicapped Childrens Protection
    Act, Public Law 99-372, was passed
  • This allowed parents of handicapped students to
    collect the attorney fees in cases brought under
    the Education of the Handicapped Act

75
Selected Other Federal Funding, cont.
  • In 1993 the NAEP Assessment Authorization, Public
    Law 103-33, authorized the use of the National
    Assessment of Educational Progress, the Nations
    Report Card
  • To be used for the purpose of making
    state-by-state comparisons of student
    performance. Country-by-country comparisons had
    already been made public

76
Selected Other Federal Funding, cont.
  • In 1996, Congress felt pressure from states and
    localities regarding legislation that required
    states and localities to take certain actions
    that required money without the financial
    provisions in the acts to cover costs
  • To that end, the Contract With America Unfunded
    Mandates, Public Law 104-4, was passed in an
    attempt to curb the practice of imposing
    unfounded federal mandates on states and
    localities

77
Federal Funding Today
  • Today, the federal government funds approximately
    50 billion dollars for education purposes at the
    elementary and secondary levels

78
Federal Funding Today, cont.
  • The federal government has invested more than
  • 1 trillion in elementary secondary
    education from 1969 to 2001 an average of more
    than 27.7 billion per year.
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