On February 6, 2024, Pennsylvania Governor Josh Shapiro delivered his 2024-2025 Budget Address. Acknowledging the Commonwealth’s current, unconstitutional school funding system, Governor Shapiro proposes an increased budget and new programs to guarantee every student receives the thorough and efficient education they are entitled to.
A Need For Change
On February 7, 2023, a Pennsylvania judge found the Commonwealth’s school funding system to be unconstitutional, in William Penn SD et al. v. Pa. Dept. of Education et al. Governor Shapiro asserts that Pennsylvania must enact a constitutional, comprehensive solution to this issue, because “real opportunity begins in our classrooms.”
Last year, the General Assembly took strides to address funding concerns by making the largest single-year increase in education funding in Pennsylvania history. This increase included universal free breakfast for 1.7 million students, $100 million towards mental health resources, and $175 million towards school building repairs.
2023 Basic Education Funding Commission
The 2023 Basic Education Funding Commission (BEFC) was established by the Pennsylvania General Assembly, following the Commonwealth Court’s decision in William Penn, et al. The BEFC was charged with reviewing the distribution of state funding for basic education to Pennsylvania’s 500 school districts and providing a report of its findings to the General Assembly.
Over the past year, the BEFC has conducted thirteen (13) public hearings to gather testimony from experts on the operation of the current formula, as well as educators and administrators on the impact of education funding in classrooms, schools, and communities. The goal of these practices was to assist in developing a plan to ensure that public education is adequately and equitably funded in the Commonwealth.
On January 11, 2024, the BEFC published its final report and made the following recommendations to Governor Shapiro, the General Assembly, and the State Board of Education:
1. Reduce the volatility in the basic education funding (BEF) formula by using three-year averages in certain data elements, lessening the concentrated poverty “cliff,” and resetting the base at the 2023/24 distribution level, including at least a $200 million increase through this updated BEF formula each year;
2. Calculate adequacy targets for each school district;
3. Reconstitute the next BEFC in 2029 per Act 51 of 2014;
4. Invest in school facilities;
5. Examine charter school funding;
6. Invest in our education workforce;
7. Invest in student supports; and
8. Consider other important education issues outside the direct scope of this BEFC.
2024-2025 Budget
In light of the BEFC’s recommendations, Governor Shapiro presented his proposed 2024-2025 Budget on February 6, 2024. The proposed budget invests $1.1 billion in new funding for Pennsylvania schools and ensures that no school receives less funding than they did last year. The budget is expected to provide the following:
• Approximately $900 million to support students via the new adequacy formula, which ensures that every school has the appropriate level of resources needed to serve their students;
• Approximately $50 million towards special education funding; and
• Approximately $40 million towards Pre-Kindergarten programs.
The budget may also allocate funding to continue the Commonwealth’s free breakfast program during the school year, as well as the summer food service program.
Charter Schools
Subsequent to the BEFC’s suggestion that charter school funding be examined, Governor Shapiro discussed outdated charter school laws, claiming that the General Assembly must “update antiquated state laws that cost our school districts too much money.” He further stated that there is bipartisan consensus for reforming Pennsylvania’s charter school laws.
Governor Shapiro proposes that the General Assembly develop a uniform rate of $8,000/student that accurately reflects the cost of charter school attendance per student, so that all students attending the same charter school, receiving the same education, cost the same dollar amount. This would return $262 million back to public schools.
Bottom Line For Schools
Pennsylvania schools should note that Governor Shapiro’s proposed budget is not final. While his address marks the first step in completing the Commonwealth’s annual budget, Pennsylvania lawmakers still must work toward the passage of the final 2024-2025 budget.
The decision in William Penn SD et al., is not the last word on Fair Funding, it is the first. Continual and aggressive advocacy is needed to seal the Fair Funding deal.
