BOE plan raids some schools to aid others

By Johnny Brannon
Advertiser Education Writer

A plan that would provide more money for some public schools by slashing budgets for others won preliminary approval from a state Board of Education panel yesterday.

The "weighted student formula" calls for linking spending to students with the greatest need and would be phased in over four years beginning in 2006.

It's a fundamental change that would affect nearly every public school in the state and is sure to generate controversy as schools realize how much they would stand to gain or lose — $1 million a year or more for some.

Even as the BOE panel approved the proposal, board chairman Breene Harimoto said he was "extremely concerned" about the plan's potential impact, and that it needs additional work.

"For some schools, we really need to take a hard look," he said. "But the whole concept is how to make better use of our money, rather than ask for more."

Harimoto said it was very unlikely that any school employees would lose their jobs if the plan is adopted by the full BOE, but that it could require some to be transferred. Some jobs could also be eliminated through attrition, he said.

A weighted budgeting formula is one of the cornerstones of Act 51, the state education reform law passed last year.

The formula that emerged after a year of discussion would assign specific dollar values to schools based on the income levels of students' families, the likelihood that they speak English as a second language, grade levels, and the school size, among other factors.

"It acknowledges that some students are more difficult to educate than others," said DOE program manager Randy Moore. "What is clear is that we can't continue to operate schools in the same way."

Some win, some lose

High schools would have gained more than $4.8 million in the past school year if the formula had been in place, but combination schools — those that include more grade levels than standard — would have lost a similar amount, state school officials calculated.

Leeward O'ahu elementary schools would have gained $5.5 million, while Windward and urban Honolulu elementary schools would have lost $4.8 million.

The calculations are meant to demonstrate how much schools could expect to gain and lose once the formula takes effect, but actual amounts would depend on inflation and the total budget for schools.

The goal is to make the Department of Education and its schools more efficient without sacrificing student achievement, state schools superintendent Pat Hamamoto said.

"We know that all schools will be reviewing their academic and financial plans to ensure that they can achieve the best student outcomes," she said.

Twelve schools would gain more than $500,000 per year under the proposed formula, if the total budget for all schools were the same as that of the past year.

Four of those schools — Farrington, Leilehua, Kapolei and Waipahu high schools — would each see their funding increase by more than $1 million a year.

But 15 schools would lose more than $500,000 annually. Among those that would see the biggest reductions are Honaunau Elementary and Intermediate on the Big Island, at more than $900,000; and Waimea Canyon Elementary and Intermediate on Kaua'i, at more than $800,000.

The loss would amount to more than 55 percent of Honaunau's annual budget.

Five other schools would lose more than $700,000 each — Kaimuki High, Kaiser High, Niu Valley Middle, Waialua High and Intermediate on O'ahu, and Ho'okena Elementary and Intermediate on the Big Island. Ho'okena would lose more than 45 percent of its annual budget.

Final vote this summer

The Office of Hawaiian Affairs also raised concerns that schools with the highest percentage of Native Hawaiian students would be among those hit the hardest.

A final vote is expected in July or August. Safeguards, such as a cap on the percentage that any school's budget could be reduced in one year, may be added by then, officials said.

The current way of dividing money is outdated and unfair to some schools, and the new system would increase accountability, said Rep. Roy Takumi, chairman of the House education committee.

For example, he said, under the old system, $4,814 is allocated for each student at Kaimuki High but only $3,647 is allocated for each student at Farrington.

"Farrington is merely getting back what it should have been getting all these years," said Takumi, D-36th (Pearl City, Palisades). "It's astounding that the difference between Farrington and Kaimuki high schools is $1,200 per student."

He said the disparity is probably due in part to changing student populations. Kaimuki had many more students years ago, so its budget was relatively large. The money apparently did not decrease along with the student population, but the weighted formula would do so, he said.

"At least this way it's transparent, and there's a system to it, a logic to it," he said.

A few schools would be exempted because they have unique purposes or especially small student populations: Hawai'i Center for the Deaf and Blind, Jefferson Orthopedic School, Pohukaina School, Olomana School, Keanae School and Ni'ihau High and Elementary.

Working out details

Some lawmakers are pushing for additional money to help schools that stand to lose. The money could come from an unexpected state surplus that was recently announced, and should be considered if a special legislative session is convened, said Sen. Suzanne Chun Oakland, D-13th (Kalihi, Nu'uanu).

"At least it would make schools that would lose, whole," she said.

Preventing any school budget cuts under the weighted formula could cost $29 million per year, according to one estimate, Chun Oakland said.

"We're still in the process of discussing, do we outright grab the $29 million, or do we attach to that possibly a requirement that a matching $29 million come from the state and district (DOE) offices to go to the schools as well?" she said.

Takumi said he opposes special subsidies for schools that stand to lose, because it would defeat the purpose of having a weighted formula. House members are scheduled to meet today to consider calling for a special session to address several issues, and the Senate is to meet next week.

Reach Johnny Brannon at jbrannon@honoluluadvertiser.com or 525-8084.