MEMPSA Legislative Update…

The Governor’s Executive Proposed Budget provides increases in the school aid foundation allowance and several categorical grants yet at the same time strips away some of the 2015 surplus in the school aid fund to help to cover the state’s general fund shortfall. Please note that this is just the beginning of the budget process to include hearings in both the House and Senate. This will be a process likely finished in June with an important Safe Roads election held in May.

The Governor’s budget also has a strong commitment to children in poverty, early literacy, workforce development, and meeting obligations regarding unfunded MPSERS liabilities.

The $13.9 billion FY ’16 School Aid Budget increases include:

• $108 million ($75) per student foundation allowance, raising the Minimum to $7,326 and the Basic grant to $8,174 per student.

• $960 million increase for MPSERS payments to cover the Accrued Liability in MPSERS.

• $409 million (an increase of $100 million) for “at risk” funding to address early literacy and college-career readiness;

• $250 million in Great Start Preschool Programs;

• $75 million (an increase of $71 million) to support distressed districts;

• $48 million in state/federal funds to support interventions to improve early literacy; 3d Grade Reading Initiative

• $30 million ($20 per pupil) for districts who implement “best practices”;

• $25 million in technology infrastructure grants; and

• $15 million to implement teacher and administrator evaluations.