Colt’s Blog

As Oregon struggles to fund public services like education, public safety, and health & human services many questions arise. On this page I will do my best to provide answers to school finance questions, especially as they relate to Bethel School District.

Get your question answered by asking me:

• Email me at cgill@bethel.k12.or.us;
• Call me at 541-689-3280; or
  
• Come and see me at 4640 Barger Drive in Eugene. It is best to call; during the day I’m much more likely to be in a school or at a meeting than in my office.

New questions are generally added on to the bottom of this page, scroll down to see the latest FAQs. Answers are updated often. You can see a “Last Updated” note under each question title.

Why is education so expensive?

Last update: 12-29-11

Bethel currently receives about $5,800 per student/per year from the state of Oregon. Even with cut days that is about $35 a day. So, for $35 our students receive quality education that sets them up to graduate with an Oregon Diploma. But, beyond a great education our students receive child care; music lessons; exercise; and if they need it: transportation to and from school, breakfast, lunch, after school snacks, counseling, specialized instruction, nursing assistance, medication administration, tutoring, and much more.

If a parent was to pay a babysitter minimum wage for 6 hours of child care, they would pay more than $50. Education at $35 a day may not be as expensive as we think.

Doesn’t the state spend more on education every year?

Last update: 12-29-11

Yes, at least until the recent economic downturn. According to the Oregon Legislative Fiscal Office,  since the 2003-05 biennium Oregon spending on education has increased by about 15%.

• Overall spending increased by 33%
• Public Safety spending increased by 53%
• Human Services spending increased by 64%

Education has not been keeping up with growth in other sectors of public service in Oregon.

How has the economic downturn impacted education so far?

Last update: 4-7-12

In Bethel we have faced $19.8 million in budget shortfalls over the last four years. This has been accomplished through:

• Concessions in employee wages and benefits (including cutting school days for our students and staff);
• Cutting personnel and purchasing; and
• Using reserves and one-time money (such as Federal Stimulus Dollars to keep local citizens employed).

Across the state we have seen most districts reduce the number of school days and increase class size. Prior to the downturn Oregon had the second shortest school year of any state in the country. Oregon also has the distinction of having some of the largest class sizes in the nation. Oregon’s intentions are good, it has some of the most rigorous standards for student academic achievement in the country.

According to the Confederation of Oregon School Administrators (COSA), over the last three years we have seen:

• 15.9% teacher job loss and 17.5% administrator job loss in Oregon.
• Class size increases of:
  • 19.6% at elementary;
  • 19.0% at middle school;
  • 28.6% at high school.

How much funding will schools receive to operate next year?

Last update: 4-7-12

The 2011 Oregon Legislature promised an additional $56 million in state funding to schools for the 2012-13 school year. This promise is contingent on state revenues being sufficient when the Legislature meets in February of 2012.

The December economic forecast for Oregon was down $107 million from the September forecast and $306 million from the close-of-session forecast in June of 2011. For more on the December Economic Forecast, check this blog post.

Current estimates show that Bethel will receive $42,439, 857 to operate next year. That is about $4 million less than our current operating costs.

How do lottery dollars help schools?

Last Update: 12-29-10

Most of the funds that pay for the operation of public schools in Oregon come from state income tax. The state also distributes a smaller amount of funding from Oregon Lottery revenue.

Lottery funds distribution  for the 2009-11 biennium are as follows:

• Public Education (61%) – Lottery dollars are distributed into four areas within education: the Education Stability Fund (a rainy day fund that is not directly allocated to K-12 schools), the State School Fund, colleges and universities, and bonds. Lottery funds allocated to public education are administered by the Department of Education and Oregon University Systems.
• Economic Development (23%) – Lottery funds allocated for business development and job creation are administered through the Oregon Business Development Department. Programs funded through this department include assistance for each of Oregon’s major industries such as: manufacturing, high-tech, agriculture, fisheries, medical research and development, tourism, and small businesses.
• State Parks & Natural Resources – Lottery funds allocated to state parks and natural resources are administered through the Parks & Natural Resources Fund and divided equally between state parks (7.5%) and watershed enhancement/salmon restoration (7.5%).
• Problem Gambling Treatment (1%) – Lottery funds allocated for problem gambling treatment are administered by the Oregon Department of Human Services and are distributed to programs throughout the state.

How much are PERS costs increasing in Bethel next year?

Last Update: 12-29-11

PERS costs increased by $1.5 million dollars in Bethel for the current school year. The costs will remain the same for the 2012-13 school year. PERS costs are expected to go up dramatically for the 2013-14 school year.

Is there a legal limit to the number of days a school can cut in one year?

Last Update: 12-29-11

In Oregon there are a required number of hours schools must provide. There is no requirement for a certain number of school days. That is why several districts in Oregon can legally operate with a four-day school week.

At this time a school district may fall short of that minimum hours requirement for two consecutive years before any action is taken. Beyond that provision a waiver may be sought. Ultimately, according to ORS 327.103 (3) the Superintendent of Public Instruction may withhold portions of State School Fund moneys otherwise allocated to the school district for operating expenses until such deficiencies are corrected unless the withholding would create an undue hardship, as determined pursuant to rules of the State Board of Education.

The method for reporting compliance for minimum hours has been suspended for the 2011-12 school year.

Did Bethel buy some houses?

Last Update: 12-29-11

Yes. The Board purchased three homes adjacent to Willamette High School in 2011. These purchases are part of the Board’s long-term strategy to ensure the district has property reserves for future needs. As it has always done, the Board plans 10-30 years out for potential school district needs. The purchase is designed to ensure there is space to expand at WHS in case of growing enrollment.

• No funds that can pay for staff were used to purchase the properties. The funds used were from the Construction Excise Tax. Spending from this source is limited, by law, to property maintenance, enhancement and acquisition.
• The Board determined this was the right time for the district to purchase the properties because the costs were very low. Each of the homes was in the foreclosure process at the time they were purchased by the district.
• These properties are a safe investment; if it is determined that the properties are not needed at a future date they can be sold. Under that scenario the district would likely realize investment revenue from the sale.
• One of the properties will be used as a home for our Bethel Community Transition Network (BCTN) Program. This is a program currently operating out of a portable classroom at Danebo Elementary. It serves Bethel’s developmentally delayed high school students as they transition into adult living. The home will provide much better access to community services, a more realistic home environment, and excellent access to important services at Willamette.
• The other two homes will be made available to low-income families through a partnership with St. Vincent DePaul and the City of Eugene. The program provides low-rent housing to returning veterans with families so they can reestablish themselves in the community. The district gains revenue from additional services, the community serves a deserving family in need, and the immediate neighborhood will benefit through improvements as the homes are brought up to code by the program (not district funds).