Following two years of work on education issues, the state's Task Force on School Finance presented its final report to the General Assembly last month, only to have it pronounced "dead on arrival" by some.

Composed of lawmakers, education officals and civic leaders, the 36-member task force studied school funding in hopes of recommending more equitable ways of collecting and distributing education money, focusing particularly on reducing the gap that exists among districts' per pupil spending. Its recommendation: to increase education spending nearly $1.8 billion over five years and offer $348 million in property tax relief — a high priority for many lawmakers.

The plan calls for money to be distributed based on the cost of providing pupils with an adequate education, which is figured at $3,898 per student. According to the State Board of Education, four out of five Illinois students attend schools that spend less than that amount per student; average spending per pupil now is $2,600. Each of the state's 942 districts would be expected to reach the goal of $3,898 per student through a combination of local property taxes and state support.

Districts that now have relatively low property taxes would be urged to increase their rates, with state aid diminishing accordingly. Those with high rates would decrease their taxes, with the state making up the lost money until rising property values push local tax revenues back up. Districts with education fund tax rates above certain levels — 1.75 percent for elementary, 1.15 percent for high school and 2.90 percent for unit districts (which oversee elementary and high schools) — would be required to roll back their rates to these levels.

The problem is figuring out how to pay for the plan, which carries an estimated annual price tag of nearly $650 million. Task force co-chairman Sen. Art Berman (D-9, Chicago) said he would be willing to support a tax hike to pay for the plan but believes that wouldn't be necessary if all of the state's revenue growth were devoted solely to education. Gov. Jim Edgar isn't so sure. "I don't see $600 million growth in our revenue base in the near future, particularly to go to one item," Edgar said. "I've also made it very clear for the rest of this term I don't envision supporting a general tax increase."

Under the task force's plan, all but 12 of the state's school districts stand to gain money from the proposed school funding formula changes. Those remaining 12 would not lose any money. About 230 of the state's districts, mostly in rural downstate areas, would have to raise local property taxes a total of $48 million to qualify for state money. The 332 districts that now have high local taxes would share $348 million in property tax relief; about two-thirds of these high-tax districts are in the Chicago area.

The task force took aim at increasing schools' efficiency by recommending the state pay 70 percent of the cost of a new facility if district reorganization results in the creation of a high school with enrollment of more than 500 students and the elimination of a high school with enrollment of fewer than 500 students.

The Illinois Manufacturers' Association (IMA) submitted to the task force an alternative approach to improving the state's educational system. It stressed that bureaucracy should be reduced and management improved before more money is distributed to schools.

The business group last year adamantly opposed the proposed constitutional amendment to the state Constitution that would have required state government to undertake "preponderant financial responsibility for financing the system of public education." Voters rejected the amendment in November.

"Unfortunately, more money alone will not produce the educational system desired by the business and citizens communities," said IMA president Gregory W. Baise. In its 13-point plan, the IMA suggested increasing class sizes and moving toward year-round schooling in Illinois as a way to save money.

In addition, performance-based outcomes should be required for all 16-year-olds, according to the IMA, and all Illinois schools — Chicago's in particular — should fully implement reforms begun in 1988, such as site-based management and allowing local school councils and the school principal to have full responsibility and authority to carry out their responsibilities.

Like many others. House Speaker Michael J. Madigan (D-22, Chicago) seemed less than bowled over by the task force's proposal. "There may be something that comes out of here — I hope so. But there have been exhaustive efforts like this in the past," he said. "We made numerous strides in the middle of the 1980s; everybody and their brother was studying education. I had a task force, the governor had a task force. Now it's recommended we go back and undo some of what we had done. That's just the nature of the legislative process." �

24/February 1993/Illinois Issues