Low-Income School Districts In Michigan Get More Money, Not Less
But public education and welfare establishments keep claiming otherwise
The Detroit Public Schools Community District received $14,754 per pupil for its general fund in the 2016-2017 school year. This is the account from which regular operating expenses are paid, including teacher salaries.
That is $4,038 more per pupil than received by the Okemos Public Schools, located in an affluent part of Ingham County.
Just 19.2 percent of Okemos students were considered economically disadvantaged, compared to 85.3 percent of children in the Detroit school district.
School districts in poorer Michigan communities like Detroit get extra money from the state and federal government for students considered to be “at risk,” meaning they live in low-income households.
Despite the existence of this extra stream of money, a recent report from the Michigan League for Public Policy pins a series of public education woes on a lack of funding for Michigan school districts in low-income communities.
Such critiques ignore data from the Michigan Department of Education that consistently shows public schools in low-income communities get more state dollars than those in affluent areas. For example, Flint Community Schools received in its general fund more than double the per-pupil funding of a neighboring school district in a more prosperous city.
The seven-page report from the MLPP states that schools have insufficient resources to help poor students, which has led to an achievement gap.
“Despite the well-established connection between the conditions of poverty and educational achievement, the number of children able to receive basic income support in Michigan has fallen sharply, and Michigan has not fully funded its At-Risk School Aid program, which supports children in high-poverty schools,” the report states.
This assertion ignores the state data, which are available in online databases maintained by the Michigan Department of Education.
The state spent $309.0 million on at-risk programs in the 2011-12 fiscal year. The amount increased to $499.0 million in 2018-19. If restated in current dollars, the amount for 2011-12 would be equivalent to $345.0 million today. That means Michigan taxpayers are providing 45 percent more for at-risk school grants than they did seven years ago.
The MLPP report stated, “Current state budgets and public policies don’t adequately address the costs associated with educating children in high-poverty schools in Michigan. For example, providing the same per-pupil funding to all schools across the state would increase equality in educational financing, but would not create equity by helping children overcome the accumulated obstacles that have resulted in an achievement gap. To achieve equity, state funding must fully recognize the higher costs of educating children in high-poverty schools, as well as address the barriers children of color encounter from the time of their birth.”
The concept of distributing more money to schools in poorer communities is uncontroversial, which is demonstrated by Department of Education reports showing that school districts in poorer communities are among the most well-funded in the state.
It’s not just state money either; school districts with lower income student bodies also get millions in federal at-risk grants.
For example, 93.3 percent of the students served by Flint Community Schools were classified as economically disadvantaged in 2017-18. At nearby Grand Blanc Community Schools, 34.3 percent of the students were economically disadvantaged. The difference has financial implications.
The Flint school district received $749 per pupil in "at-risk" dollars from the state while the one in Grand Blanc received $221 per pupil in 2017-18.
According to the Michigan Department of Education, Flint schools received $20,166 per pupil in its general fund, of which $3,394 per pupil was in federal money. Grand Blanc schools received $9,405 per pupil in its general fund, of which $327 per pupil was in federal money. The financial data is from 2016-17, the most recent year the MDE released.
Flint schools received for its general fund expenses more than double the per-pupil funding of its neighboring district just 9 miles down the road.
The Michigan League for Public Policy didn’t respond to an email seeking comment.
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.
Cities and Suburbs Should Grow Together
The fastest growing areas gain residents in both cities and suburbs
There are ongoing squabbles between Detroit and the communities around it. When a business or sports team moves downtown, it’s big news, as it is when a company moves from downtown to elsewhere. But regions don’t grow by reshuffling the work locations between cities and suburbs. (And taxpayers should be skeptical when that shuffling happens with their money.) Instead, the regions that do the best grow together.
From 2010 to 2016, the Census Bureau estimates that Detroit lost 5 percent of its population. The region as a whole coasted, increasing by just 6,244 people — a 0.1 percent gain. That’s the worst record among both the 20 largest regions in the country and their central cities.
While the disparity between city and region was strong in Detroit, it wasn’t the highest in the nation.
Over the same period, Baltimore lost 3.8 percent of its population while the rest of the Baltimore region increased its population by 5.1 percent, a disparity of 8.9 percentage points.
In some areas, though, city population growth outpaced regional growth. For example, the city of Seattle increased 7.0 points more than its metropolitan statistical area.
The disparity in population growth between cities and their metropolitan statistical areas, 2010 - 2016
Seattle
7.0%
Miami
5.7%
Washington
5.5%
Boston
5.0%
Denver
4.6%
New York
4.0%
Tampa
3.3%
Minneapolis
3.0%
Atlanta
2.9%
Philadelphia
1.9%
Los Angeles
1.8%
San Diego
1.4%
San Francisco
1.3%
Chicago
0.6%
Phoenix
-0.5%
Riverside
-0.6%
Dallas
-2.4%
Detroit
-6.2%
Houston
-6.3%
Baltimore
-8.9%
Yet looking at whether cities or suburbs are growing more misses the important point: The regions that are doing the best have increasing numbers of people in both the cities and the suburbs. Denver grew by 15.2 percent over the period and the Denver region grew 11.7 percent. Houston grew by 9.8 percent and its region grew by 13.9 percent.
Detroit and its suburbs will do well together or not at all. A prospering economy will attract people from around the country and the world, and they will land either in the city or the suburbs, depending on their preferences. That dynamic ought to be more important than transferring office locations between cities and suburbs at taxpayer expense.
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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