The General Assembly passed the 2021-2022 state budget yesterday and we expect that Governor Wolf will sign it.  Please find an overview of key education-related pieces below.

This budget is not what we had hoped for in a year when the state legislature had a $3 billion surplus in state funding. But the modest new investments in state funding for public education will make a difference for students and ​​​​these new investments only happened because of the tireless efforts of advocates in every corner of the Commonwealth. 

And we look forward to the school funding lawsuit going to trial on September 9th because if the current Republican-controlled Pennsylvania legislature is not going to address the school funding crisis in any meaningful way, maybe the courts can.

From the PA Schools Work Statement on the 2021-2022 state budget

 “At a time of historic investment from the federal government, it appears that PA lawmakers may sit on nearly a $2.3 billion state budget surplus and $5 billion in available federal funds instead of using them for essential needs like our public schools. Like pennies from heaven, budget negotiators had an almost magical opportunity to shatter the systemic inequities plaguing PA school districts – a rare opportunity to get ahead of rapidly increasing mandated costs, which could have caused a seismic shift in the future of Pennsylvania’s economy, stemmed rising local property taxes, and increased student success; yet they passed up that opportunity.”

PA Schools Work Statement on the 2021-2022 state budget

$300 million increase in Basic Education Funding

$200 million in new funding will be run through the Basic Education Formula to all 500 districts.

A Level Up supplement will distribute $100 million through the Basic Education Funding Formula to the poorest 100 school districts in the state.  

This is a small bright spot in the budget. For the first time, school funding equity is part of the conversation in Harrisburg. The Level Up supplement is a small victory for advocates who are fighting for children in the most under resourced districts and a small but meaningful step in the right direction to help accelerate funding to the thousands of Pennsylvania students who attend schools that lack the resources needed to ensure that they can succeed.

$50 million increase in special education funding.

This is a much-needed increase.  Between 2008 and 2018, Pennsylvania increased state special education funding by $95 million, yet during that time, total special education costs to local school districts increased by $1.7 billion.   

$40 million increase in Educational Improvement Tax Credit (EITC) school vouchers

Republican lawmakers continue to prioritize large increases in funding for private/religious school tuition breaks for well off families.

After this budget is enacted, EITC vouchers will total $175 million, Opportunity Scholarship Tax Credits (OSTC) vouchers remain funded at $55 million/year for a total of $230 million in annual taxpayer-funded vouchers for unaccountable private/religious schools in the Commonwealth.  

No charter school funding reforms.

School districts will spend more than $2.8 billion on charter school tuition bills this year. And because there is no state funding dedicated to paying these costs, local taxpayers will shoulder 100% of the burden through increased property taxes. 

More than 400 school districts passed resolutions in support of charter school funding reforms this year and dozens of lawmakers—both Republicans and Democrats—cosponsored legislation to enact reforms that would have saved school districts nearly $400 million by enacting a flat rate for cyber charters and applied the special education funding formula to all charters.

Pennsylvanians want charter school funding reforms. Lawmakers in positions of power are protecting the profits that charter schools reap.  

No Nellie Bly scholarships for college students

For the second year in a row, state lawmakers rejected Governor Wolf’s Nellie Bly scholarship proposal for state system university students. Pennsylvania ranks near rock bottom for state support of higher education and our college graduates carry among the highest debt loads in the nation.

But PA lawmakers continue to demonstrate that protecting $200 million in cash prizes for wealthy horse owners is more important to them than helping college students and their families afford higher education.  

The budget contained $50 million in one-time American Rescue Plan for the Pennsylvania State System of Higher Education and $5 milion for community colleges.

One time federal funding

School districts and charter schools will receive $349,786,722 in one-time federal funding that is distributed through the Title I formula to pay for programs and services related to learning loss, summer enrichment and comprehensive afterschool programs. The budget also includes the allocations below.

Career and Technical Centers	$43,500,000
Approved Private Schools and Rehabilitation Institutes	$15,000,000
Intermediate Units	$43,500,000
TSI and CSI Schools	$14,000,000
At-risk Youth	$19,908,593

$30 million increase for Early Childhood Education

$25 million will expand Pre-K Counts and $5 million will expand Head Start. ​

Here is the full statement from the PA Schools Work campaign about the state budget.

STATEMENT: PA Schools Work on the GOP’s Proposed 2021-22 Budget

State legislature passes up opportunity to shatter systemic inequities plaguing PA school districts

HARRISBURG (June 25 2021) — PA Schools Work, a non-partisan coalition of organizations representing the state’s urban, suburban and rural communities, issued the following statement regarding the proposed 2021-22 PA Budget:

“Every cent of funding is an essential investment for struggling school districts across the commonwealth still reeling from the impacts of educating PA students throughout the pandemic.

“In the current school year, state funding for basic education and special education was flat. School districts are being forced to cover state and federal mandated costs that will spike $1.15 billion over this school year and next according to estimates modeled by the Pennsylvania Association of School Business Officials (PASBO).

“At a time of historic investment from the federal government, it appears that PA lawmakers may sit on nearly a $2.3 billion state budget surplus and $5 billion in available federal funds instead of using them for essential needs like our public schools. Like pennies from heaven, budget negotiators had an almost magical opportunity to shatter the systemic inequities plaguing PA school districts – a rare opportunity to get ahead of rapidly increasing mandated costs, which could have caused a seismic shift in the future of Pennsylvania’s economy, stemmed rising local property taxes, and increased student success; yet they passed up that opportunity.

“The governor and legislature negotiated a state budget agreement that moderately boosts public school funding, including a $300 million increase in basic education funding, a $50 million increase in special education funding, and no increase in recurring Career and Technical Education. The budget includes a one-time $500 million allocation of federal COVID relief funds to schools, Intermediate Units, career and technical centers, and other programs for COVID-related relief.

“Lawmakers also reached agreement on a supplement that stays true to the Fair Funding Formula and targets funds allocated by the formula to 100 lowest wealth school districts in the state.  This measure will accelerate the path to adequacy and equity for the 20% of districts that are most underfunded in Pennsylvania.

“Public education funding is important to Pennsylvanians. It impacts where they choose to live, and when they can live in a good school district it increases the likelihood their child will succeed in life.  Legislators are genuinely in tune to the quality of the schools in their legislative districts, but a collective will to raise all districts and offer an excellent education to all students remains out of reach.

“This budget’s increased investment in public schools does not come close to backfilling the increase in mandated costs to school districts over the last two years, much less the needed investments to offset continued inadequacies in state funding. Despite claims to the contrary, Pennsylvania’s share in funding schools is still one of the lowest in the country and local taxpayers still shoulder the heavy and unjust burden of providing most of the funding for public schools.

“Recent census data showed that Pennsylvania dropped from 44th to 45th in the share of district revenue that comes from the state – 6th from the bottom. As far as the overall percentage of revenue coming from the state, Pennsylvania has dropped to 37.9%. Overall, the U.S. average is 47% of revenue coming from the state to local school districts. The unjust and indefensible funding gap between wealthy and poor schools is among the widest of all the states. A survey of school districts shows that 60% intend to raise local property taxes this year to cover costs – many did this week. Perpetually underfunding our public schools puts more pressure on local taxpayers and property owners to cover the costs that the state legislature continually refuses to take on.

“The reasons to invest more federal and state funds in Pennsylvania public schools are countless, and the excuses for not doing it are mystifying. In a year like this, when an abundance of resources was available to lawmakers to make significant progress towards this goal, it is difficult to imagine the justification behind the choice to walk away from this once-in-a-generation chance. PA Schools Work and our coalition of educators, administrators, school board members, advocates and parents will continue working to convince lawmakers to find a permanent solution to the state’s chronic school funding problem.”

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PA Schools Work is a non-partisan coalition of organizations from across Pennsylvania representing teachers and other educators; urban, suburban and rural communities; and parents and community members working together to advocate for PA public schools, their students and the communities they serve. For more information on PA Schools Work, visit paschoolswork.org.