Innovation Ohio has released a 1 page budget briefing covering the main issues contained in the Governor's two year budget.

The Basics

Governor Kasich’s two-year budget includes additional funding through the state’s formula that funds school districts and charter schools, adding about $700 million more to the amount spent on education. However, the increase is offset by continued reduction ($236 million) in reimbursement payments to districts for lost Tangible Personal Property and Public Utility taxes, as well as increases to charter schools and transportation funding, which is wrapped into the formula funding now.

The bottom line is this: even with the modest increases, more than 55 percent of Ohio school districts will see less direct state aid than they saw in the 2010-2011 budget. Despite a record-sized budget of $72 billion, the net increase for education is only $464 million, which remains below inflationary growth levels. The increases generally happen in poorer districts with the cuts coming from wealthier districts, but there are plenty of examples of poor districts seeing cuts (Symmes Valley) and wealthy districts (Green Local in Summit County) seeing increases.

By the Numbers

  • $464 million Net increase to schools out of a record-sized budget of $72 billion (GRF) +$700 million Increase to schools, -$236 million Cut in Tangible Personal Property and Public Utility Reimbursements
  • 323 Number of districts seeing cuts in the 2015-2016 school year compared with 2014-2015
  • 290 Number of districts seeing cuts in the 2016-2017 school year compared with 2015-2016
  • $100 Annual per pupil increase for districts and charters in each year of the biennium
  • 339 Number of districts that have less direct state aid than they did 6 years ago

Significant Policy Changes

Cracks Down On Charter Sponsors, But Not Charter Schools. Some of the changes are helpful, but they nearly all focus on the sponsors of charter schools instead of the schools themselves.

Keeps The Straight A Fund. Continues the Straight A Fund at $100 million a year.

Increases Funding For Edchoice. Expands the expansion of EdChoice vouchers from last year, more than doubling the amount and moving funding to the GRF rather than lottery money.

More Than Triples The Number Of Spots For Early Childhood. Increases to 17,000 the number of students in early childhood programs. Would allow some charters to have preschool kids. Still accounts for barely 1/3 of all preschool students.

Reduces Testing To No More Than 2 Percent Of School Time And Gives Flexibility To Districts For NonReading Tests In Early Grades.

Increases Auxiliary Services And Administrative Cost Reimbursement Payments To Private Schools. Again increases the amount of public funds going to private schools.