Financing Child Care in the United States - Ewing Marion Kauffman ...

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ALLOCATING PUBLIC REVENUES EDUCATION In 1990–91 the funding method was changed to the Foundation School Program (regular education aid) with each district claiming reimbursement for its prekindergarten program based on the average daily attendance of children enrolled in prekindergarten. Prekindergarten pupils count as one–half of a pupil in kindergarten. Since Foundation School Program funding per pupil fluctuates from year to year, the reimbursement per prekindergarten pupil also varies. POPULATION SERVED The prekindergarten program is designed to serve children with an “educational disadvantage”, which may be limited ability to communicate in English, low family income or homelessness. In 1991, the state Board of Education permitted districts to serve 3–year–olds who met these criteria. The board also ruled that if all eligible children in a district were served, the district could extend its prekindergarten program to other children, both 3– and 4–year–olds. The number of 3–year–olds served during the school year 1998–99 was 13,411, and 125,018 4–year–olds were served. Essential Elements for Policymakers (available on–line at www.earlychildhoodfinance.org), and a 1999 report from the Children's Defense Fund, Seeds of Success: State Prekindergarten Initiatives 1998–99. CONTACT Cami Jones, Director Kindergarten and Prekindergarten Texas Education Agency 1701 North Congress Avenue, Room 6125 Austin, TX 78701 Phone (512) 463 9581 Fax (512) 463 8057 E–mail cjones@tmail.tea.state.tx.us STRATEGIC CONSIDERATIONS • In theory, the change from a direct prekindergarten allocation to including prekindergarten in regular education reimbursement aid allows the program to grow at the rate local districts are able to provide funds, rather than being limited by a specific annual state budget allocation. • Placing prekindergarten funding within the regular aid formula may provide relatively permanent funding. On the other hand, it may also place a program at the risk of losing a distinctive preschool curriculum. • When the funding stream changed from a categorical allocation to being included within regular education aid, Texas elected to remove many of the preschool requirements, such as class size and curriculum. • The preschool program has grown to such a degree that many districts have run out of space and are considering subcontracting. OTHER SITES WITH SIMILAR STRATEGIES Many states require certain school districts to provide a preschool program to target their prekindergarten programs to low–income children. Other states provide publicly funded prekindergarten classes for 4–year–olds without eligibility criteria other than age. See the chart on page 81, State Investments in Prekindergarten Programs. For more information on state–funded prekindergarten programs, see a 1998 Families and Work Institute report, Prekindergarten Programs Funded by the States: 89
UNIVERSAL PREKINDERGARTEN PROGRAM (NEW YORK STATE) DESCRIPTION New York State’s Universal PreKindergarten program (U–PreK) provides state funding to local school districts. Quality preschool programs are developed, which support family needs and use the available early childhood resources in a community. The goal of this program is universal opportunity for all 4–year–olds in the state to participate in voluntary preschool education programs. WHEN ESTABLISHED In 1997, the legislature established a new universal prekindergarten program for 4–year–olds, as part of an overall education improvement bill that included a variety of provisions, such as financial incentives to school districts to reduce class sizes in the early grades and to offer full–day kindergarten. The new preschool programs began in the 1998–99 school year and will be phased in over five years. 1 ANNUAL AMOUNT In the first operational year of the U–PreK program (FY1998–99), $67 million was appropriated. For FY1999–00, the amount appropriated was $100 million, which translated into $89 million actually committed for expenditure. The FY2000-01 appropriation is $225 million. The annual appropriation would be expected to rise to $500 million by 2003. The statute sets the minimum and maximum per child state contributions at $2,000 and $4,000. The legislature has increased the minimum to $2,700 each year to date. SERVICES FUNDED U–PreK is a quality preschool program that must be delivered in ways that support the needs of children and of parents who may be working or attending school. The legislation authorizing U–PreK requires that family needs be taken into consideration in planning programs. To ensure that all preschool resources in a community are used, the legislation requires that districts “collaborate with eligible community agencies.” The statute requires that districts contract at least 10 percent (and allows them to contract up to 100 percent) of their U–PreK funding to eligible community agencies, which include Head Start, child care centers, nursery schools, private schools and preschool special education providers. In the first year of the program, more than 35 percent of funding was used for collaborative U–PreK programs provided by eligible agencies. By 1999–00, the proportion of funding for collaborative U–PreK programs rose to 51 percent. U–PreK programs must offer preschool education for a minimum of 2.5 hours per day for 180 days per year. Programs must implement curricula appropriate for the ages and developmental stages of the children and must provide activities for parent participation, including: parent–staff conferences, weekly communication and parent meetings. Class size is generally 16 children with a teacher and an assistant, and by regulation may not exceed 20 children (with three adults); qualified staff members are required. In public schools, teachers of U–PreK classes must have certification in elementary education or elementary with the early childhood annotation, or bilingual elementary or early childhood education. Teachers in U–PreK programs offered in agencies other than public schools must meet the staff qualifications requirements of those agencies and be supervised by a certified teacher. Beginning in the 2001–02 school year, teachers in other agencies must meet the same requirements as those in public schools. HOW FUNDS DISTRIBUTED Local school districts are eligible to receive an annual allocation for U–PreK according to a formula based on needs–related factors such as relative property wealth and income and on the number of eligible children. In the 1998–99 school year, 130 districts (out of about 750 districts statewide) were eligible. In 1999–00, 125 additional districts became eligible, and 99 were participating. In 2000–01, a total of 491 school districts will be eligible. To receive their allotted funds, districts must submit a plan to the State Education Department for approval. The U–PreK program plan must reflect the following minimum program components noted in the law and elaborated in regulation: child–centered curriculum that is age and developmentally appropriate, focus on developing language, cognitive and social skills, continuity with instruction in the early elementary grades, emphasis on developing children’s independence and self–assurance, co–location and integration of children with special needs, provision of social services according to child and family needs, qualified staff, a strong parent partnership and involvement in the planning process and implementation, and professional development. Districts are notified during the year prior to being eligible for funding. In the year prior to a district being eligible to receive funding, the superintendent must appoint a Prekindergarten Policy Advisory Board to recommend to the Board of Education whether and how the district will implement U–PreK. If the advisory board recommends implementation and the Board of Education accepts the recommendation, the advisory board is responsible for developing the prekindergarten program plan to submit to the school board for its approval. By law, advisory boards must include: at least one member of the Board of Education, district teachers, parents of children in district schools, community leaders, child care and early FOOTNOTE 1 SInce 1966, New York has funded a prekindergarten program for economically disadvantaged 3– and 4– year–olds. Called the “Experimental PreK Program,” it can be operated only by the public school districts. State appropriations for this program over the past several years have been level at $50 million per year. Districts are required to pay at least 11 percent of the cost of these programs. 90
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FINANCING CHILD CARE IN THE UNITED
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FINANCING CHILD CARE IN THE UNITED
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ABOUT THE GRANTEE PHILADELPHIA CITI
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:02 ALLOCATING PUBLIC REVENUES 54 O
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HOW TO USE THIS CATALOG This catalo
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This revised, expanded edition of F
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DIFFERENT EXPECTATIONS The expectat
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03 LONG-TERM THINKING Successful st
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LEVERAGING Matching and leveraging
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TAXES Income taxes are the major so
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EMPLOYER INCOME TAXES Twenty-five s
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LOCAL PROPERTY TAXES CHILDREN’S S
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GENERATING PUBLIC REVENUE LOCAL PRO
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GENERATING PUBLIC REVENUE SALES AND
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TAX CREDITS, DEDUCTIONS AND EXEMPTI
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GENERATING PUBLIC REVENUE TAX CREDI
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When businesses in the private sect
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PUBLIC-PRIVATE PARTNERSHIPS EMPLOYE
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PUBLIC-PRIVATE PARTNERSHIPS EMPLOYE
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PUBLIC-PRIVATE PARTNERSHIPS COMMUNI
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CAPITAL INVESTMENT PARTNERSHIPS CHI
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PUBLIC-PRIVATE PARTNERSHIPS CAPITAL
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LOOKING TO THE FUTURE TAX POLICY Th
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LOOKING TO THE FUTURE THE HOME MORT
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LOOKING TO THE FUTURE HIGHER EDUCAT
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APPENDIX 174
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WHAT YOU OWN Property taxes on real
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INDEX 178
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Child Care Scholarship Fund of the
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lotteries and gaming, 14 Neighborho
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Area, Kansas and Missouri), 133—1
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income tax provisions for child car
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