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School Board News Bulletin
June, 2004

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Plant closing likely to cost schools millions

IASB expands staff to provide AYP help under federal NCLB

NEWS HEADLINES

WORKSHOPS & MEETINGS

'A+ Illinois' forums to explore funding, student achievement

Food, fun & fitness expo coming October 23-24

Registration begins for NSBA's T+L2 Conference

NEWS FROM IASB

Spam blockers interrupt Online Update delivery

Journal continues its obesity issue coverage

Final SPRS packet mailed out

DEVELOPMENTS IN SCHOOL LAW

Know your policy manual

FEDERAL UPDATE

U.S. Supreme Court keeps 'God' in Pledge—for now

Deadline looming for 'Highly Qualified Teachers'

RESEARCH REPORTS

Poll finds voters intend to make education a top priority

Student cheating on tests and homework prevalent

Plant closing likely to cost schools millions
Damage is 'one problem with having school revenue so reliant on property taxes'

When a California-owned utility announced on May 28 it will shut down its Morris, Illinois, power plant this year the move was typical of the external economic decisions that can quickly drain millions of tax dollars away from local governments, especially school districts.

Both Morris Community High School Dist. 101 and Morris Elementary Dist. 54 stand to lose millions in revenue as the Equalized Assessed Valuation (EAV) of the plant plummets when it is shut down. What is worse, both districts were already on the state's financial warning list when it was released this spring.

The gas-fired plant, known as Collins Generating Station - owned by California Edison - is scheduled to begin shutting down in January 2005. Although the threat of such a move had existed for a couple of months, the news was "still a surprise," said Steve Fannin, superintendent of the Morris Community High School Dist. 101, and it was a surprise that "cuts the legs out from under us."

"Next year, we'll lose about 35 percent of the taxes we get from the plant," said Fannin, in reference to the results of a reduction in EAV of the Collins station, based on a reappraisal. "That already is a $1.3 million decrease for next year.

"Ultimately if the EAV runs its course down to zero percent for FY '06, we are not going to be able to recover from it. The flip side of that is we will have to continue our austerity program. We've been cutting back for four years, and now we will have to look at RIFs [reductions in force], and making cuts in educational programming. We will see another $2.5 million loss in funds over the next two years; eventually that's a $3.8 million loss in tax dollars used to fund an $8 million austerity budget. It's pretty devastating."

Fannin said the revenue loss could force the district to again sell working cash fund bonds, a form of long-term borrowing the district has steered away from for the past several years. "There is also the possibility of issuing alternate funding bonds, an increase in revenue or increase in the tax rate," he stated. "Those are not popular ideas, but the solution is not a 50-percent reduction in everything. We can't do that," he said.

"There really is nothing much you can do, other than passing a referendum and instituting a lot of careful management of your resources, to get back in a steady state," said Ron Everett, the executive director of the Illinois Association of School Business Officials.

Last year the high school district got nearly half its local property tax revenue from the Collins station. The Morris grade school system also will lose out on huge chunks of revenue from the plant's closing. Local school district revenue this year from Collins will total $4.86 million for Morris Elementary Dist. 54, and $2.48 million for Morris High School Dist. 101.

Morris Elementary Dist. 54 appears to be more financially troubled than the high school district. Dist. 54 has an education fund tax rate of 92 cents per one hundred dollars of assessed valuation, which ranks among the lowest in the state. Revenue generated in the education fund is well below what is deemed necessary to educate the number of students who attend the district's schools. As a result, for the past 14 years the district has issued working cash bonds to meet annual expenses.

Meanwhile, the district is in the process of repaying $25.6 million in building bonds approved by district voters for the construction of a new elementary school. The bonds will be fully paid off during the 2018-19 school year.

Although sudden closings of major revenue-producing concerns can happen in any school district at almost any time, few districts have had to weather such catastrophic circumstances as the Morris school districts now face. One that has done so, however, is Zion Elementary Dist. 6.

For years Zion was home to a CommonWealth Edison nuclear power plant, until it closed in 1997. How did the district cope? After the company made the decision to permanently close the Zion plant in 1998 the affected taxing bodies worked with CommonWealth Edison to draft an Equalized Assessed Valuation (EAV) ramp-down agreement.

The agreement, finalized in December 2000, cut the EAV of the Zion nuclear plant from $171,000,000 to $10,000,000 in a little over six years. The agreement resulted in a loss of 60 percent of the school district's EAV, negatively impacting the tax revenue for all district funds. The Zion district has since moved to improve its financial health in various ways, including a community-supported 60-cent education fund tax rate increase approved in March 2002.

Similar circumstances are being faced right now in Galesburg, as well, where Maytag Appliances announced it was closing its manufacturing plant last year. The plant will close in September, with a total of 1,600 jobs being moved out of Galesburg to Mexico and South Korea.

Producing an annual product valued at $320 million in 2002, the Maytag plant was the primary industry in a nine-county region. The tax impact of the Maytag shutdown has been estimated at $14.8 million for state and local governments, with schools being the big losers at the local level. The schools may lose several hundred thousand dollars in yearly tax revenue in Galesburg Dist. 205.

But school job losses and tax impacts aren't all there is to worry about. "For schools, a plant closing creates a whole series of problems," according to Jeffrey E. Mirel, a University of Michigan professor who wrote a history of the Detroit schools. "You can no longer tax the value of the plant, workers leave town, home values drop and stores close."

The Morris plant closing announcement should not affect the assessment used to calculate tax revenues from Collins for next year, said Supervisor of Assessments David Henderson. He would not, however, predict how much or how soon tax revenues will decline.

The level of tax revenue local governments expect to receive from Collins this year is down dramatically after a 35 percent reduction in its assessed value. Local school boards already planned to begin discussing cuts in services and increases in fees to cover the revenue the districts will lose this year because of the lower assessed value on Collins station.

In its first meeting after the Collins closing announcement, the Morris Community High School Dist. 101 Board of Education on June 14 looked at a whole range of potential responses to the pending financial crisis. Board members talked about everything from eliminating driver's education to cutting back staff, but the board chose not to act until school leaders could meet with local focus groups, school booster organizations, education committees and other community groups to get a sense of the community's wishes.

Experts say any school district faced with a similar situation must take careful stock of the community's wishes before proceeding. There are no simple answers in such difficult circumstances.

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IASB expands staff to provide AYP help under federal NCLB

IASB recently hired two full-time and two part-time consultants for its Targeting Achievement through Governance program, which aims to help schools make Adequate Yearly Progress (AYP) under the federal No Child Left Behind law.

Debra Larson and Bob Shanks will be based in the Springfield office; Barbara Toney and Desamonia "Dusty" Patrick, will work out of the Lombard office. Larson and Toney will work full time; Shanks and Patrick are part time.

The four will work closely with field service, school board development and policy staff to implement the Targeting Achievement through Governance program, which is being offered through a 2½-year grant from ISBE.

The new program is available to assist school boards in districts identified by ISBE as not making AYP under the requirements of the federal No Child Left Behind Act (NCLB) and state law.

It is hoped that Targeting Achievement through Governance will help these boards assess their governance role, and learn how to discuss and develop policies that will help their district support student learning. The program will also provide training and information around School and District Improvement Plans, which are required by federal and state law. Such training and assistance will be provided at a series of regional and/or in-district workshops.

Grant funding will allow IASB to provide services, including board training, to eligible districts at no cost. Participating boards, however, may be responsible for costs of travel, lodging and meals for board members or other district participants.

The monetary value of the services available through the program is more than $9,000 per school board. Board members are asked to begin by committing 16 months of work, or about 30 hours, above what boards would spend with usual activities.

Targeting Achievement through Governance will focus on having good governance principals at the board level and the role of school boards as policymakers. Participating boards also will learn a process, called Targeting Student Learning, by which they can work through policy issues that will help their district stay focused on student learning.

"Targeting Student Learning helps boards shift their thinking about the way they do business in order to focus more on student achievement," said Cathy Talbert, associate executive director for IASB. "This is new work for many boards. It does not replace existing policy update services or policy committees.

Larson has worked for the past 10 years at the Illinois State Board of Education as a principal education consultant.

Toney served 16 years on the West Chicago SD 33 school board, including 14 years as board president.

Shanks retired in 2001 after serving as superintendent in Teutopolis C.U. Dist. 50.

Patrick, a former teacher, has worked for a private consulting firm for a total of 12 years, most recently as a director of employee development.

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New federal guidelines to be published in the medical journal Pediatrics in July recommend checking children for heart problems and blood vessel damage if they have high blood pressure. Hypertension is increasing among young children, along with obesity (The Associated Press, May 20) ... The U.S. Justice Department recently took Chicago school officials to court, saying the school system had missed the first submission deadlines outlined in a recent Chicago school desegregation plan. But a district spokesperson says the district actually is in compliance (Chicago Tribune, May 12) ... Forty local districts in Illinois paid thousands of dollars for fitness equipment believing they'd be reimbursed. But the not-for-profit National School Fitness Foundation has left schools in a pinch, and is undergoing a fraud investigation. Some schools around the nation plan to try to recover their money through fund-raisers or selling the public memberships that would allow local citizens to use the fitness equipment (Peoria Journal Star, May 14) ... School desegregation lawsuits have all but disappeared 50 years after the landmark Brown v. Board decision, but many recent court cases have instead charged states with under-funding public schools. "The change in strategy comes alongside a significant shift in the tenor of the courts ... state courts have become more receptive to the legal argument that money-with or without integration-is the surest path to equal opportunity" (New York Times, June 3) ... The East Peoria City Council recently lifted restrictions against local schools borrowing money or raising their tax rates in exchange for new sales tax revenue. The action made it more likely that school districts will accept the council's offer of revenue-about $800,000 per year-generated from a quarter-cent city sales tax increase. (Peoria Journal-Star, May 20) ... Beverly L. Turkal, of Robinson, resigned as vice chairperson of the state board of education on May 20, calling upon the governor to immediately fill three vacancies on the board. Turkal had served since 2001. She resigned after accepting a post as interim superintendent of Robinson C.U. Dist. 2, where she has previously served as district superintendent, teacher, principal, and director of buildings and grounds (ISBE, May 20) ... Soy products will be served with lunches at Ford Heights Dist. 169 next fall. The south suburban school district is part of a pioneering program of the University of Illinois' Center for Soy Foods to test soy-based foods in school lunches served to fourth- and fifth-graders. The aim is to cut out fat and add nutrients (Chicago Sun-Times, June 4) ... Huntley Dist. 158 board members will stick to their plan for staggered school start times in the fall to save money. As mentioned in the May Newsbulletin, the move, which includes operating 20 fewer regular bus routes, was necessitated by the defeat of a March tax referendum (Chicago Daily Herald, June 2.

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WORKSHOPS & MEETINGS

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'A+ Illinois' forums to explore funding, student achievement

With Illinois' General Assembly locked in a budget stalemate, communities across Illinois are growing increasingly concerned and agitated about the dire fiscal and academic straits of their schools. To air those concerns, a reform group will hold two upcoming community forums in June, where communities and citizens can talk about ways to improve education funding and student achievement. State legislators from each area have been invited to participate.

• Monday, June 28, from 7-9 p.m. at East Aurora High School, 500 Tomcat Lane, Aurora. Invited legislators include: Senator Chris Lauzen (R-Aurora); and Representatives Linda Chapa LaVia (D-Aurora), Joe Dunn (R- Naperville) and Randy Hultgren (R-Wheaton).
• Tuesday, June 29, from 7-8:30 p.m. at John A. Logan College, 700 Logan College Drive, Room F119, Carterville. Invited legislators include: Senators Gary Forby (D-Benton) and Dave Luechtefeld (R-Okawville); and Representatives Mike Bost (R-Murphysboro), John Bradley (D-Marion), Brandon Phelps (D-Norris City) and Dan Reitz (D-Steeleville).

For more information about these community forums, visit the A+ Illinois Web site at www.aplusillinois.org/calendar.asp.

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Food, fun & fitness expo coming October 23-24

A nutrition group's Food, Fun & Fitness Expo-scheduled for October 23 and 24, from 11 a.m. - 5 p.m.-will be held at Chicago's Navy Pier in Festival Hall B. Its goal is to promote lifetime healthy eating and an active lifestyle for K-8 children with the emphasis on FUN.

The Expo will be presented by the Illinois Nutrition Education & Training Program, a nonprofit program supporting children's health and achievement. Research shows healthy children are more likely to reach their academic potential.

The Illinois NET Program provides free training and resources to child care and school staff to support health education for children. Planners say the event will address the issue of childhood obesity, the number one health problem of today's children.

Sponsors are sought for various activities and for the event itself. Call 815/895-9227 or visit www.kidseatwell.org for more information.

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Registration begins for NSBA's T+L² Conference

Ready to boost your district's technology performance? One place to start is NSBA's T+L² Conference (formerly known as the Technology & Leadership Conference), set for October 27-29 in Denver.

For more information or to register call NSBA at 800/950-6722; or register online at https://secure.nsba.org/register/t+l/techregister2004.cfm.

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NEWS FROM IASB

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Spam blockers interrupt Online Update delivery

A small percentage of people who have registered to receive the IASB Online Update are not receiving their updates.

Online Update is an email notice of new information posted to the IASB web site. It is available only by registering at www.iasb.com/elinks.cfm.

Unfortunately, some email programs use spamblockers, anti-virus software and limitations on quantity that prevent the Online Update from reaching an intended recipient. IASB reminds board members and administrators who wish to receive the Update to:

• be precisely accurate in registering your email address on the IASB web site;
• be sure to enter the update email address - onlineupdate@iasb.com - in your own addressbook so that your spamblocker will let the updates through;
• check your inbox regularly and remove old mail to avoid surpassing any limitations on volume.

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Journal continues its obesity issue coverage

Nutrition in the classroom is the focus of the July/August issue of The Illinois School Board Journal as the IASB communications' department continues its coverage of the childhood obesity issue, "Weighing Healthier Options."

In "Do nutrition policies, standards measure up?" James Russell, IASB communications director, offers some language that districts may want to consult if they want to ensure that their nutrition education policies stay consistent from "the boardroom to classroom to lunchroom to schoolyard and home." And in "If Johnny can't read, maybe he's hungry," Linda Dawson, Journal editor, looks at a well-established link between good nutrition and student achievement, as well as better behavior patterns. An accompanying article also describes a bill pending at press time in the state Senate that would expand the free breakfast program in Illinois.

These articles as well as an article by Newsbulletin editor Gary Adkins, "Nutrition education mandated by law," will be added to the "Weighing healthier options" coverage on IASB's Web site: www.iasb.com .

Scheduled coverage concludes in the September/October Journal with a look at the role physical activity plays in curbing childhood obesity.

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Final SPRS packet mailed out

IASB recently mailed out the final edition of the IASB School Public Relations Service, a quarterly packet of articles, artwork, brochures and other materials for use in school newsletters, internal publications and other printed matter. With today's widespread use of the Internet as a resource and an ever-dwindling number of requests for the service, however, IASB decided to discontinue the service in favor of other endeavors supporting community outreach.

The service began as the IASB News Service in 1980. The name was changed in 1984 to the IASB School Public Relations Service (SPRS) and costs were underwritten by subscriptions sold to schools in other states. Soon other state school board associations began mimicking the idea, and marketing similar services nationwide.

IASB's SPRS always remained free to member districts, however, and was intended to help school districts keep their various publics informed, involved, and supportive. In addition to news of value to school publics, the service carried tip sheets and other materials designed to keep subscribers abreast of effective communications strategies.

The demise of the service was observed with a letter from editor Linda Dawson, thanking long-time subscribers for their support and pledging continued commitment to helping school districts with their public relations needs. "If you need assistance with a particular article, project or problem, please do not hesitate to contact me," Dawson said.

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DEVELOPMENTS IN SCHOOL LAW

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By Melinda Selbee, IASB's general counsel

Know your policy manual

Actually using your district's policy manual and understanding it as a system of interconnected policies is very important. These points are well illustrated by the following story about a teacher, which is not notable because the teacher was suspended, but because of a paragraph in the story saying no rules were broken. Excerpts follow, with the disturbing paragraph in bold:

North Platte High School has suspended one of its teachers after he allowed students to watch the video of American Nicholas Berg being beheaded in Iraq ... North Platte High School Principal Dan Twarling said about 30 students saw the video, but no student was forced to watch it ... A student took the video to school on disk Friday, Twarling said, and he first became aware of the situation when a parent called to ask about the disk. Twarling said no formal rules were broken, but that he made "an administrative judgment call."

In the video, Nicholas Berg is seated on the ground and five armed men disguised by head scarves and masks are behind him. Standing in the middle, a man identified as terrorist Abu Musab al-Zarqawi decapitates Berg. It is unclear when and how Berg, a self-employed telecommunications businessman, was captured. The video has not been shown on U.S. television but is available on the Internet ... The school's statement reads: "The showing of such an act was determined to be inappropriate considering the potential psychological and emotional effects of such a graphic and horrifying image on adolescents."

Regardless of what one thinks of the teacher's conduct, the administrator's quote should make every school official - whether board member or administrator - queasy. The statement that "no formal rules were broken" was unfortunate. Parents and community members, reading the quote, might conclude the board is inept by having no rules on curriculum materials. The union or teacher may feel empowered by the quote to challenge the disciplinary action. The quote is unfortunate because, odds are, an inspection of the district's policy and procedure manuals would yield many applicable provisions.

No situation should arise in a district that is not covered in some sense by policy. We are so used to thinking topically, that when we fail to find a policy on a specific topic, we might incorrectly conclude that the policy manual provides no direction. The results of this mistake range from loss of credibility to a lawsuit challenging board action.

In addition, no single policy should be read in isolation. Seldom can one policy cover every aspect of a topic without unnecessary length, complexity, and duplication. Policies are dependent on each other and should be considered in conjunction with each other.

Board in-services and staff development programs can be used to facilitate conversations on policies and procedures. Making policies and procedures easily accessible will also facilitate their use. This can done by publishing them electronically with tools that make accessing topics easy.

The benefits to actually using your district's policy manual and understanding it as a system of interconnected policies are many. Access to and use of board policies and administrative procedures will enhance collaborative work among colleagues. It will ensure that staff work is aligned with board work. Inconsistent results and confusion can be minimized. It will enhance fairness, equity, and credibility. And, hopefully, governance by policy will result in increased community confidence and fewer lawsuits.

IASB Policy Advisory Committee members were asked to respond to the situation. This committee of school officials, policy staff, and attorneys provides guidance on IASB's sample policies and procedures. Below are some of their comments:

• I'm confident the district has some policy language somewhere about curriculum content, educational philosophy and objectives, instructional materials and their selection, etc. Here is an example of an administrator who saw no connection between the board policy manual and an inflammatory event coupled with teacher misconduct.
• It's a perfect illustration of: 1) the need to actually read policies, regulations, laws, and rules, and 2) the need to thoughtfully interpret what you have read.
• This material illustrates what we mean when we say board members must support any "reasonable interpretation" of policy. I'm sure that the district has policies that address appropriate teacher conduct, teacher professionalism, etc., but what is "appropriate" conduct? What is "professional" and what isn't? That would be the administrator's call. If the board doesn't like the superintendent's interpretation, they need to tighten up their policy language. Not having seen the policy manual in question I can't say for certain, but if the superintendent doesn't believe that any formal rules were broken my guess is that his interpretation of the rules is such that he believes the teacher hasn't broken any of them.
• This demonstrates: ... 1) you can't suspend someone without "backup" from policy and procedures, and 2) it's important to have sufficient policy and procedure language to handle issues like this that could have liability for the Board.
• This was a serious error in judgment on the teacher's part. One could argue that the video clip was not "age-appropriate," which might violate a policy on curriculum or instructional materials.

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FEDERAL UPDATE

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U.S. Supreme Court keeps 'God' in Pledge-for now

The U.S. Supreme Court ruled on June 14 to preserve the phrase "one nation, under God," in the Pledge of Allegiance, ruling that a California atheist did not have authority to challenge the oath. The ruling on procedural matters sidesteps the issue of whether the pledge is an unconstitutional mix of church and state.

IASB's law counsel stated: "Illinois school districts may feel relieved having been removed from the middle of this emotional conflict-at least for the time being. The Pledge of Allegiance may continue to be recited in every Illinois elementary and secondary school as required by state law."

The High Court ruled that the plaintiff, an atheist, had no standing to sue over use of the pledge at his daughter's school. The father is in a custody fight with the girl's mother.

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Deadline looming for 'Highly Qualified Teachers'

The No Child Left Behind Act of 2001 (NCLB) requires that all teachers in core academic subjects must be "highly qualified" in the areas of teaching assignment by the end of the 2005- 2006 school year. Thus, half of the time period originally allocated for school district compliance has elapsed.

Under the definition of the term highly qualified, Illinois teachers are considered to have met the federal NCLB requirements if they: 1) have a bachelor's degree; 2) hold full state certification; and 3) have demonstrated subject-matter competence in the area or areas they teach. But, experts say, use of the term highly qualified should not be construed as an evaluation of the professional teaching abilities of a given teacher.

Fortunately in Illinois more than 90 percent of teachers are certified in their teaching field, and a still higher proportion of English and social studies teachers are properly certified. That is according to a recent study by the National Council on Teacher Quality (see "Illinois receives top grade for teacher quality standards," in the May Newsbulletin).

Nearly all Illinois teachers have at least a bachelor's degree, according to the most recent state report on educator supply and demand, and at last count 46 percent held a master's degree or more.

But the demonstration of subject-matter competence in subjects they teach remains a hurdle for some teachers.

School administrators should encourage members of their teaching staff who have not already done so to take tests soon to meet the NCLB requirements.

Additional information about meeting requirements for teachers can be accessed at www.isbe.net/teachers.htm and at www.isbe.net/nclb/default.htm.

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RESEARCH REPORTS

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Poll finds voters intend to make education a top priority

A recent national poll released by Public Education Network (PEN) and Education Week reveals that education could become an important election issue over the next six months and that as American voters become more aware of No Child Left Behind and its provisions, opposition to the law has increased.

According to the study, "Learn. Vote. Act: The Public's Responsibility for Public Education," nearly 60 percent of all Americans say they are more likely to vote for a presidential candidate with public education as the centerpiece of his presidency. The majority of every political and demographic group want candidates to place public education front and center in their agendas.

When it comes to politicians who claim to be education candidates, only 5 percent of voters judge such candidates as being very sincere, while 41 percent say they believe such candidates are somewhat sincere.

The report notes that more people are becoming aware of the No Child Left Behind law, and that the reviews are mixed. Today, about two-thirds of voters have heard about the law, which is now entering its third year of implementation, compared to little more than half of voters last year. But opposition to the law has increased 20 percentage points - from 8 percent of voters last year to 28 percent of voters today. About one-third of voters (36 percent) favor the law and another one-third (34 percent) are still not sure how they feel about it.

"Last year the basic instinct of voters was to support No Child Left Behind, but few really understood the law," said Virginia B. Edwards, editor and publisher of Education Week. "Data from the poll shows that the more people know about the law, the less they seem to support it," she added.

Public education remains a top priority for voters. Even when ranked among concerns about the economy and joblessness, terrorism, and health care, voters ranked public education at the top of the nation's to-do list. In fact, they ranked it second only to "the economy and jobs."

For more information or to view the poll results online visit: www.publiceducation.org/portals/Learn_Vote_Act/default.asp.

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Student cheating on tests and homework prevalent

Seven in ten teens believe students at their school cheat on tests, and nearly as many believe cheating on homework assignments is widespread, too.

Meanwhile, nearly one in three students admit to cheating, according to the ABC News/Primetime poll of kids ages 12 to 17.

Source: The Associated Press, April 30, 2004.

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