Friday News Roundup: Week of February 22-26

At Ed Money Watch, we discuss and analyze major issues affecting education funding. In our Friday News Roundup, we try to highlight interesting stories that might otherwise get overlooked. These stories emphasize how federal and state policy changes can affect local schools and districts.

<img src="/downloads/Roundup_7.JPG" alt="" align="right"><p><b>California Community Colleges Lose Students to Budget Cuts </b></p>    <p><b>Illinois Schools Struggle with State Payment Backlog, Uncertainty for Next Year </b></p>    <p><b>Idaho</b><b> Lawmakers Approve Rainy Day Fund for Higher Education</b></p>    <p><b>South   Carolina</b><b> Budget Committee Approves Measure to Furlough Workers, Along with Other Cuts</b></p><br />    <p><b>California Community Colleges Lose Students to Budget Cuts </b><br>Enrollment is declining at <a href="http://www.mercurynews.com/bay-area-news/ci_14462865">California’s community colleges</a> as they struggle to make ends meet after several rounds of budget cuts. Students pursuing enrollment are finding that, because budget cuts have led to fewer course offerings, none of the courses they need are available. In other cases, all sessions and waiting lists for classes are full. State higher education officials estimate that the community college system will lose 21,000 students in the current 2009-10 school year due to the limited course offerings, down from 2.89 million students in the 2008-09 school year. Prior to the budget cuts – totaling 8 percent in fiscal year 2009 – enrollment at California’s open-access community colleges rose by about 5 percent almost every year for the last ten years. <a href="http://www.mercurynews.com/bay-area-news/ci_14462865">More here…</a></p>    <p><b>Illinois Schools Struggle with State Payment Backlog, Uncertainty for Next Year </b><br>Since October, Illinois school districts have been struggling to deal with <a href="http://www.myfoxillinois.com/dpp/news/illinois/02252010_state_superintendent_says_schools-face_funding_cliff">late payments from the state</a>. The state is facing a deep budget crisis, which could reach $12.2 billion, and has a large backlog of education-related payments that goes back to October. The State Superintendent of Education says there is almost $700 million in outstanding vouchers from the state to local school districts. At the same time, school districts are trying to plan for the 2010-11 school year without knowing how much money they can expect in state aid. Layoffs are likely because federal stimulus funds will no longer be available, but the extent of the funding cliff won’t be clear until the state budget is finalized. Because school districts are required to notify teachers and other staff of their status 60 days before the end of the current school year, school districts will have to make staffing decisions without knowing what the coming year’s budget will be. <a href="http://www.myfoxillinois.com/dpp/news/illinois/02252010_state_superintendent_says_schools-face_funding_cliff">More here…</a></p>    <p><b>Idaho</b><b> Lawmakers Approve Rainy Day Fund for Higher Education</b><br>The Idaho State House of Representatives voted unanimously this week to create a <a href="http://www.businessweek.com/ap/financialnews/D9E39EM80.htm">rainy day fund devoted specifically to higher education</a>. The state has a similar fund for K-12 public education that saved Idaho schools from deep cuts during the economic crisis. However, the K-12 education rainy day fund is now nearly exhausted, as Idaho lawmakers have been using it to prevent budget cuts. Because higher education did not have such an account until now, community colleges and state colleges and universities have borne the brunt of deep cuts to the state budget. The measure that was approved in the State House would transfer $114,000 into the higher education account this year. It will now head to the State Senate for approval. <a href="http://www.businessweek.com/ap/financialnews/D9E39EM80.htm">More here…</a></p>    <p><b>South   Carolina</b><b> Budget Committee Approves Measure to Furlough Workers, Along with Other Cuts</b><br>A plan approved by the South Carolina House of Representatives Ways and Means Committee this week would <a href="http://www.thestate.com/2010/02/22/1169828/budget-plan-would-furlough-state.html">furlough state workers</a>, including teachers, for five days in the current 2010 fiscal year. The measure, which would have to be approved by the full State House of Representatives and the State Senate, would also close the state’s Teachers and Employees Retention Incentive (TERI) program to new participants on July 1<sup>st</sup>, 2010. The program is designed to retain experienced teachers and other employees while they collect retirement benefits. Other cuts to education would include ending a $7,500 annual bonus for National Board Certified teachers, new limits on the $275 reimbursement for teachers for classroom supplies, cutting medical and fringe benefits for part-time employees, and suspending testing, textbook purchases, and printed report cards. <a href="http://www.thestate.com/2010/02/22/1169828/budget-plan-would-furlough-state.html">More here…</a></p>    <p><b>Briefly Noted</b></p>  <ul type="disc"><li>Tuition      at North Dakota 4-year colleges will <a href="http://www.bismarcktribune.com/news/state-and-regional/article_a0457a5a-1cc5-11df-aa0e-001cc4c002e0.html">rise      3.5 percent</a> in the 2010-11 school year.</li></ul><!--break-->