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Administration and Finance

FY19 Chapter 70 Aid and Net School Spending Requirements

July 26, 2018

On July 26, 2018, Governor Baker signed the FY19 state budget that authorizes $4,907,573,321 in Chapter 70 education aid to Massachusetts school districts. This budget increases aid by $161 million or 3.4 percent over FY18. Every operating district receives at least $30 in additional aid per student, and 133 operating districts receive increases so that they can keep pace with increases in their foundation budgets.

Here are some of the key points about the proposal:

  • The aggregate wealth model used in the formula since FY07 continues to be in effect. For municipalities with required contributions above their targets, the equity component of the formula is reduced by 100% of the gap.
  • 133 operating districts receive foundation aid to ensure that they do not fall below their foundation budgets.
  • Foundation budgets are increased by an inflation factor of 2.64 percent.
  • Statewide foundation enrollment increased by 108 students or 0.01 percent; 10 districts saw their foundation enrollment increase by over 5 percent.
  • Economically disadvantaged enrollment continues to be used in lieu of free and reduced price lunch data, which is no longer available for all districts as a result of districts' participation in the USDA's Community Eligibility Program.
  • In response to the Foundation Budget Review Commission's (FBRC) report, the benefits and fixed charges rate was raised by 14% toward the total recommended increase.
  • Also in response to the FBRC report, English language learner (ELL) rates were converted to an increment for each grade level category and these increments were increased to close the gap between prior rates and the new ELL targets by 65 percent.
  • This year the state is also providing $11,850,000 out of a total $12,500,000 appropriation in transition aid for 11 districts significantly impacted by the change from free and reduced price lunch counts to the economically disadvantaged measure. The remaining $650,000 is being reserved to provide transition relief to significantly impacted charter schools. Transition aid counts toward the FY19 net school spending requirements for these 11 districts, see the files posted below, but will not be included in their FY20 base aid. It is important to note that these amounts are not included in the Chapter 70 allocation appearing in Section 3 and do not appear on the cherry sheets. According to the appropriation language these funds will be paid on or before September 1, 2018

The Department of Elementary and Secondary Education has prepared the following materials to assist local officials in understanding the state aid calculations and local contribution requirements in this year's Chapter 70 program:

Questions about the Chapter 70 program should be directed to:

Rob O'Donnell
781-338-6512

Rob Hanna
781-338-6525

Last Updated: September 19, 2018

 
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