The Illinois State Board of Education (ISBE) has approved a nearly $11.4 billion budget request for the upcoming fiscal year, marking a 4.6% increase over the current budget. This increase includes:
$350 million for Evidence-Based Funding, as required by the 2017 law to prioritize funding for the neediest school districts.
$142 million for mandatory categorical aid, which covers costs such as transportation and special education.
$75 million for early childhood education.
Despite the state’s projected revenue shortfall of $3.2 billion, ISBE remains committed to funding education, acknowledging the fiscal challenges while prioritizing investments that directly impact student learning. Public education funding is a significant part of the state’s budget, constituting about 20% of General Revenue Fund spending. However, state funding only makes up 26% of total school funding, with local sources (mainly property taxes) contributing 65%.
The Evidence-Based Funding formula aims to address funding disparities across districts, particularly for those that are historically underfunded. This system directs additional funding to districts in greatest need, based on factors such as student enrollment, income levels, and non-English-speaking students. Since its implementation, the funding for the most needy districts (Tier 1) has increased substantially, though many districts still fall short of their adequacy targets.
To meet the goal of providing adequate education funding, the state would need an additional $2.6 billion, with the shortfall projected to further challenge the state’s fiscal outlook. Governor JB Pritzker is expected to propose solutions to this budget gap in his upcoming budget address.
Despite these challenges, State Superintendent Tony Sanders expressed confidence that the Governor and the legislature will continue to prioritize public education funding, even amid fiscal constraints.
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