ERIC Number: ED412659
Record Type: Non-Journal
Publication Date: 1997-Oct
Reference Count: N/A
States' FY 1998 Education Budgets Increase 7.2%. State Fiscal Brief, No. 44.
Liebschutz, David S.; Schieder, Jeffrey S.; Boyd, Donald J.
This report, third in a series on education finance, examines U.S. education budgets recently passed by state legislatures and contrasts them with proposed gubernatorial budgets. The generally strong economy allowed state legislatures to increase total state FY 1998 education spending by over $2 billion (1.5 percent) from governors' own proposed budgets. Nine states increased their budgets by over 10 percent from FY 1997, and four states increased their budgets less than 3 percent. The major factors influencing education budgets were finance and tax system changes (toward greater state funding responsibility) and increasing enrollments. Court mandates in six states (Alabama, Arizona, New Jersey, Ohio, Vermont, and Wyoming) and threatened mandates in two others (Mississippi and Illinois) spurred legislators to alter their finance systems. Additionally, eight states enacted property tax changes, with New York, Texas, and Vermont the most far-reaching. Many changes involved mandated local property-tax reductions, with the state reimbursing local governments for lost revenue. With enrollment up over 1.4 percent nationally, legislatures had to accommodate the increased student population through hiring additional faculty, building new schools, and/or enhancing existing facilities. This year's state education budgets were 7.2 percent above last year's. Future budgetary influences will reflect court actions and the strength of the economy. (Contains 24 endnotes.) (MLH)
Publication Type: Collected Works - Serials; Numerical/Quantitative Data; Reports - Descriptive
Education Level: N/A
Authoring Institution: State Univ. of New York, Albany. Nelson A. Rockefeller Inst. of Government. Center for the Study of the States.