Elementary and Secondary Education in Kansas: Estimating the Costs of K-12 Education Using Two Approaches
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COST STUDY ANALYSIS Elementary and Secondary Education in Kansas: Estimating the Costs of K-12 Education Using Two Approaches A Report to the Legislative Post Audit Committee By the Legislative Division of Post Audit State of Kansas January 2006 05PA19 Legislative Post Audit Committee Legislative Division of Post Audit THE LEGISLATIVE POST Audit Committee and its audit agency, the Legislative Division of Post LEGISLATIVE POST AUDIT COMMITTEE Audit, are the audit arm of Kansas government. The programs and activities of State government Representative John Edmonds, Chair now cost about $10 billion a year. As legislators Representative Tom Burroughs and administrators try increasingly to allocate tax Representative Peggy Mast dollars effectively and make government work more Representative Bill McCreary effi ciently, they need information to evaluate the Representative Tom Sawyer work of governmental agencies. The audit work performed by Legislative Post Audit helps provide Senator Les Donovan, Vice-Chair that information. Senator Anthony Hensley Senator Nick Jordan The Legislative Post Audit Committee is a Senator Derek Schmidt bipartisan committee comprising fi ve senators and Senator Chris Steineger fi ve representatives. Of the Senate members, three are appointed by the President of the Senate and two are appointed by the Senate Minority Leader. Of the Representatives, three are appointed by the Speaker of the House and two are appointed by the Minority Leader. LEGISLATIVE DIVISION OF POST AUDIT 800 SW Jackson Suite 1200 Topeka, Kansas 66612-2212 Telephone (785) 296-3792 FAX (785) 296-4482 E-mail: [email protected] Website: http://kslegislature.org/postaudit Barbara J. Hinton, Legislative Post Auditor The Legislative Division of Post Audit supports full access to the services of State government for all citizens. Upon request, Legislative Post Audit can provide its audit reports in large print, audio, or other appropriate alternative format to accommodate persons with visual impairments. Persons with hearing or speech disabilities may reach us through the Kansas Relay Center at 1-800-766-3777. Our offi ce hours are 8:00 a.m. to 5:00 p.m., Monday through Friday. LEGISLATURE OF KANSAS LEGISLATIVE DIVISION OF POST AUDIT 800 SOUTHWEST JACKSON STREET, SUITE 1200 TOPEKA, KANSAS 66612-2212 TELEPHONE (785) 296-3792 FAX (785) 296-4482 E-MAIL: [email protected] January 9, 2006 To: Members of the Kansas Legislature This report contains the results of both the input-based and outcomes-based studies of K-12 education costs mandated by the 2005 Legislature. For those who are interested in the bottom-line fi ndings of the two cost studies, refer to the Question 1 Answer in Brief on pages 17-20, and to Section 1.7: Cost Study Results, pages 76-84. A comparison of the cost study results for individual school districts is presented in Appendix 16. Finally, in developing this report, Legislative Post Audit has amassed con- siderable data related to school districts’ education costs. We will be happy to use those data to answer additional questions you may have. We look forward to working with you during the 2006 legislative session. Barbara J. Hinton Legislative Post Auditor Table of Contents TABLE OF CONTENTS Introduction ................................................................................................................... 1 Overview .......................................................................................................................3 Question 1: What Are the Estimated Costs for K-12 Public Education in Kansas, and How Do Those Estimates Compare with Current State Funding Levels? ......................................................................17 Answer in Brief ............................................................................................................17 1.1 Input-Based Approach .....................................................................................21 1.2 Outcomes-Based Approach ..............................................................................30 1.3 Estimated Costs for Special Education ............................................................41 1.4 Estimated Costs for Vocational Education .......................................................54 1.5 Estimated Costs for Transportation ..................................................................63 1.6 Regional Cost Variations ..................................................................................70 1.7 Cost Study Results Compared with State and Local Funding Levels .............76 Question 2: Which Special Needs Students Receive Services, and What Services Are Available To them? ...........................................................85 2.1 At-Risk Programs and Services .......................................................................85 2.2 Bilingual Programs and Services .....................................................................95 2.3 Special Education Programs and Services .....................................................103 Question 3: What Does the Educational Research Show About the Correlation Between the Amount of Money Spent on K-12 Education and Educational Outcomes? ..............................107 Appendices Appendix 1: Methodologies .................................................................................115 Appendix 1.1: Detailed Cost Study Methodology for the Input-Based Approach ................................................................117 Appendix 1.2: Detailed Cost Study Methodology for the Outcomes-Based Approach .......................................................123 Appendix 1.3: Detailed Cost Study Methodology for Special Education ...............128 Appendix 1.4: Detailed Cost Study Methodology for Vocational Education ..........130 Appendix 1.6: Regional Cost Index Methodology ..................................................132 Appendix 2: Legislation Directing the Cost Studies ............................................139 Appendix 3: Cost Study Scope Statement ............................................................141 Appendix 4: Reporting Categories for School District Expenditures ..................144 COST STUDY ANALYSIS Elementary and Secondary Education in Kansas: Estimating the Costs of K-12 Education Using Two Approaches January 2006 i Table of Contents Appendix 5: School District Operating Expenditures by Function As a Percent of Total Operating Expenditures 2004-05………… ......145 Appendix 6: Additional Requirements for School Districts .................................154 Appendix 7: School Districts Selected for Prototype Data ..................................155 Appendix 8: Diversity of High School Courses Required and Minimum Number of Teachers Needed to Teach Them: An Example ........156 Appendix 9: Number of Staff in Various Positions, 2004-05 Median and Numbers By Prototype Size ........................................................157 Appendix 10: Input-Based Approach Cost Estimates for Three Class Size Models In 2004-05 Dollars .........................................................165 Appendix 11: Estimated Per-Student Expenditures for Regular Education Using the Input-Based Approach, Compared with Current Funding Formula ............................................................172 Appendix 12: Comparison of Special Education Funding Under Different State Distribution Formulas, 2004-05 School Year .....................173 Appendix 13: Comparison of Transportation Costs - LPA Estimates vs. Current Funding Formula ..............................180 Appendix 14: Salary and Regional Cost Indices for all 300 Districts ....................187 Appendix 15: Correlation and Other Studies Reviewed – Bibliographies to Answer Question Three ..................................193 Appendix 16: Summary of Cost Study Results by District ....................................195 Appendix 17: Consultant’s Report .........................................................................264 TABLE OF FIGURES Overview Figure OV-1: Summary of Weightings Used in Kansas’ School Finance Formula ................................................................3 Figure OV-2: Summary of State, Local, and Federal Funding Sources For School Districts for 2004-05 ......................................7 Figure OV-3: Total Education Revenues By Source and Per Student .....................................................................................6 Figure OV-4: Comparison of Other States’ K-12 Public Education Revenues Per Student 2002-03 ......................................................8 Figure OV-5: Change in Total Expenditures .............................................................9 Figure OV-6: Comparison of Kansas and Other States’ Current Operating Expenditures Per Student ...............................................................9 Figure OV-7: Changes in Kansas Headcount Enrollment ......................................10 Figure OV-8: Enrollment Change by Major Population Category School Years 2000-2004 .............................................................11 COST STUDY ANALYSIS Elementary and Secondary Education in Kansas: Estimating the Costs of K-12 Education Using Two Approaches ii January 2006 Table of Figures Figure OV-9: Ethnic Student Population Changes ................................................11 Figure OV-10: Kansas Reading Assessment Scores ................................................12 Figure OV-11: Kansas Math Assessment Scores .....................................................12