Increased Enrollment In Detroit Schools Just Bureaucratic Reshuffling
Some schools that had been under receivership were returned last fall
For the first time in decades, the Detroit public schools district reported an increase in student enrollment.
The Michigan Department of Education recently released data on the Detroit Public Schools Community District’s enrollment as well as individual schools within it.
An analysis shows the increase is due solely to the return to the district’s control of public schools that in 2012 were detached from it and placed in a form of receivership under a bureau called the Education Achievement Authority. As of last fall, these schools were back under the control of the Detroit school district, and the students attending them are again included in the district’s enrollment figure.
Detroit’s public school district saw its overall enrollment increase from 45,720 in 2016-17 to 50,875 in 2017-18. That's an increase of 5,155 students in this school year, according to information just released by the Michigan Department of Education. The 11 schools from the EAA added 5,227 students.
Without those schools, Detroit Public Schools Community District would have seen an enrollment decline of 72 students.
When the management of those 11 schools was removed from the school district, they had a combined enrollment of 9,707 students. They returned six years later with 47 percent fewer students.
District officials said in December they estimated that the district would get 4,000 extra students from the EAA.
"For well over a decade, significant enrollment declines for Detroit Public Schools occurred while under state mandated emergency management," a district spokesperson said in an email. "In January 2017, local control was returned to Detroit through a newly elected School Board that later appointed a Superintendent to begin the process of rebuilding a new district and strategic plan. As a result, more families are considering Detroit Public Schools Community District (DPSCD) as a viable option. We believe this positive trend of improved enrollment will continue in the future."
Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.
Property Tax Revenue On a Slow Rise
Value of property increased 12 percent over past four years
The largest source of revenue for local governments is property taxes. They raised $14.0 billion for the state, schools, community colleges and local governments in 2017, a 2.42 percent increase from the previous year. Property tax revenues are approaching their 2007 peak of $14.3 billion. But with inflation, they would still be 13 percent below these peak levels.
That’s not bad considering that the tax is based on the value of property in Michigan. Assessed values dropped 31 percent from 2007 to 2013 when adjusted for inflation. This is the value of all real estate, including industrial and commercial properties. Things may have been even worse for homes. According to the Michigan Association of Realtors, the average home sold for $192,000 in 2005, but this dropped to $114,000 in 2011. Nevertheless, assessed values are on the upswing since 2013.
A property’s taxable value cannot increase faster than inflation, a policy in the state constitution. But values are reset when a home is sold. This may explain why property tax revenue has lagged the increase in property values. But according to the Michigan Association of realtors, the number of home sales has been on the rise and is within 3 percent of 2005 peaks.
Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.
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