ERIC Number: ED226419
Record Type: Non-Journal
Publication Date: 1978-Nov
Reference Count: N/A
School Finance in Colorado: An Update. Papers in Education Finance, No. 8.
A 1977 restudy of Colorado school finance, following a 1974 study of the effects of the state's 1973 finance reforms, indicates that Colorado school finance is still unequal. Colorado's school finance program is essentially a resource equalization plan (also known as a "guaranteed tax base" or "district power equalization" plan). The major chanqes in the preceding 5 years involved improvements in property assessment practices and the setting of an authorized revenue base (ARB) for each district. Assessment of the equity of Colorado's current school finance structure is based on equality of expenditure per pupil (the amount of variation in such expenditure across school districts) and on fiscal neutrality (the extent of the relationship between a district's expenditure level and its fiscal capacity). Data from Colorado's 181 districts show the state met neither equity standard in 1977 (nor did it in 1974). Per-pupil expenditures vary greatly and are related to districts' ARBs. Further, expenditure per student and district ARB vary with district wealth and income, so the state is not fiscally neutral. The authors suggest changing both the ARB, claiming it locks in unequal expenditures among districts, and the guaranteed tax base, which they say is too high and covers too many districts. (RW)
Publication Type: Reports - Research
Education Level: N/A
Authoring Institution: Education Commission of the States, Denver, CO. Education Finance Center.
Identifiers - Location: Colorado