A preliminary $3.182 billion budget for Illinois elementary and high schools that does not include any new general state aid was proposed Thursday by Robert Leininger, state superintendent of education.
But his proposal for state funding of schools for 1991-92 is still 4.5 percent higher, or $137 million more, than for the current school year because of recommended increases in specific programs such as early childhood education, gifted education and student achievement testing.
The board also removed Lockport High School from a list of 18 school districts ”in financial difficulty” because its fiscal condition has improved since voters approved a property-tax increase in November 1989.
Lincoln High School and the Dixon schools also were taken off the list of districts with the most severe money problems after they, too, demonstrated their financial stability to the state board.
In 1988 and 1989, the 18 school districts were placed on the list because spending outpaced revenues for at least two consecutive years.
Voters in the Lockport High School district had rejected 14 consecutive attempts by the school board to win approval of higher property taxes. After the state placed the school on its list, the Lockport High School board submitted a fiscal plan of proposed cuts.
But Lockport voters approved a property-tax increase of 52 cents for each $100 of assessed valuation.
In making his budget proposal, Leininger withheld a recommendation for more unrestricted state aid until a legislative task force on school finance submits a plan for changing the way Illinois funds its public schools.
Local school districts receive two types of state support: general aid that can be spent without restriction and earmarked monies that must be used for specific programs.
The state school board develops budgets on the basis of its view of educational programs, not revenue prospects. Leininger said the proposed $137 million boost for specific programs is ”a conservative estimate of needs.”
But state school officials conceded they face an uphill battle in getting approval from the General Assembly for increases in earmarked programs, even without a request for more general aid.
Gordon Brown, chief of staff for the state school board, told board members that Gov. James Thompson`s administration estimated next year`s growth in state revenues would be $300 million. Schools usually receive one-fourth of any new funds.
But the estimate was made before the Nov. 6 election, Brown said. He expects no new forecast until after next month`s inauguration of Jim Edgar.
Renewal of the state income-tax surcharge will be a key. Brown said the surcharge is expected to generate $750 million, of which schools will receive $270 million for the current school year.
The biggest part of the $137 million increase for specific programs would go for early childhood education. Leininger wants $27 million, raising funding from $63 million to $90 million.
In 1991-92, a state law requires a gifted education plan in every district, but schools will not be compelled to have gifted education unless state funds are available. Leininger is proposing a 153 percent increase in state funds for classes for high-achieving youngsters, to $25 million from $9.8 million.
The 1985 Education Reform Act mandated a phased-in program of student achievement testing. More tests will be added in 1991, and school districts have complained they must administer the exams with little state money to help. Leininger is urging that funding for testing be increased to $6 million from $4 million.
