In Short

Friday News Roundup: Week of June 28-July 2

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.

 <p><b>Despite Cuts, North Carolina Budget Would Save Teacher Jobs</b></p>     <p><b>Illinois</b><b> Public School</b><b> Funding Cuts</b></p>     <p><b>Massachusetts Governor Signs Trimmed Budget</b></p>     <p><b>Despite Cuts, North Carolina Budget Would Save Teacher Jobs</b><br>North Carolina legislative Democrats this week reached a deal on a <a href="http://www.newsobserver.com/2010/06/29/556499/1600-teaching-jobs-saved.html">fiscal year 2011 budget</a> that would make cuts to address an $800 million revenue shortfall and $518 million in supplemental federal Medicaid payments that the state no longer expects to receive. In total, the fiscal year 2011 budget is 3.3 percent short of what the legislature expected to spend in the two-year budget crafted last summer. But Democrats in the state Senate and House of Representatives reached a deal to use revenue from the state lottery to save teacher jobs. They say the deal would keep 1,600 teaching positions that otherwise would have had to be cut to balance the budget. <a href="http://www.newsobserver.com/2010/06/29/556499/1600-teaching-jobs-saved.html">More here…</a></p>   <p><b>Illinois Public School Funding Cuts</b><br>Illinois Governor Pat Quinn this week <a href="http://articles.chicagotribune.com/2010-07-01/news/ct-met-quinn-state-budget-education-20100701_1_school-funding-school-districts-textbook-loans">cut $241 million</a> from fiscal year 2011 funding for public schools. The cuts would be made from state aid for student busing, reading programs, and textbook loans. The state education agency’s administrative budget was also cut by 8 percent. However, Governor Quinn maintained general state aid – the main formula aid that goes directly to school districts – at fiscal year 2010 levels. Questions remain about a $1.3 million backlog in unpaid bills that the state owes to school districts from fiscal year 2010, which ended this week. <a href="http://articles.chicagotribune.com/2010-07-01/news/ct-met-quinn-state-budget-education-20100701_1_school-funding-school-districts-textbook-loans">More here…</a></p>   <p><b>Massachusetts Governor Signs Trimmed Budget</b><br>Massachusetts Governor Deval Patrick this week signed a <a href="http://www.boston.com/yourtown/budgetblues/2010/07/state_budget_slashes_school_de.html">$27.6 billion fiscal year 2011 budget</a> that included cuts across state government, including in public education, dental care for the poor, and developmental services for toddlers. Governor Patrick had hoped to use a new round of federal stimulus funding – which the U.S. Congress has not passed – to hold education funding steady. But without that money, he was forced to sign a budget that included a 4 percent, or $160 million cut to local aid. Under the budget signed by Governor Patrick, state colleges and universities will lose $100 million. In order to prevent deeper cuts, Governor Patrick pulled $100 million from the state’s rainy day fund and skipped a $95 million payment into a separate reserve account. <a href="http://www.boston.com/yourtown/budgetblues/2010/07/state_budget_slashes_school_de.html">More here…</a></p><!--break-->

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Emilie Deans
Friday News Roundup: Week of June 28-July 2