The problems of net population outflow and a lagging economy continue to plague Upstate New York Rural Schools and Rural Communities. These conditions are most noticeable in High Need Rural School Districts which are most severely affected by these changing demographic trends. The New York State Education Department has identified High Need Rural School Districts as:
- Having more than 36% of students participating in the free lunch program.
- Having the lowest average expenditure per pupil ($ 12,975).
- Having the lowest mean Combined Wealth Ratio (.48 or less).
- Receiving the largest percentage of their funds in the form of State Aid for Education (66.8% or more). (1)
In the past four years (2004-08), the number of High Need Rural Districts has grown from 144 to 158. The number of children attending these high need schools continues to decline at the rate of 1.5% per year. This condition is likely to persist with the net outflow of 20% of adults in the 20 to 34 age category, and with the ongoing problem of a lagging economy. As noted in a 2004 study of the Upstate New York Economy prepared by the Brookings Institution:
- Personal Income growth lags the country by 11%.
- Poverty rates are approaching the national average of 12.4%.
- Concentrated poverty is on the rise in Upstate New York.
This is the environment in which the Rural Schools of New York State must operate, and it is the context that shaped the legislative positions as outlined below.
Foundation Formula – The Rural Schools Association supported the adoption of a wealth adjusted Foundation Formula. At the same time, the Association believes that corrections need to be made to realize a true “wealth adjusted formula”.
*Eliminate the .65 floor that is built into the Income Wealth Index (IPI). Most small and rural school districts have a wealth index well below .65; thus the IPI penalizes the High Need Rural Districts. In short, it does not acknowledge the true level of need.
*High Tax Aid – The adoption of High Tax Aid has the net effect of restoring the “shares” approach to the distribution of school aid. This formula needs to be reviewed in terms of fundamental fairness. The deteriorating condition of Upstate New York has resulted in higher levels of poverty in rural communities and a greater disparity between poor and affluent school districts. RSA supports a true wealth adjusted formula based on the ability to pay.
*Formula Adjustments – The RSA recognizes that the current economic climate may necessitate limits on the amount of state aid for public education. School aid, whether a large or a small increase or a reduction, must recognize changes in district circumstances so that low-wealth districts that are highly dependent on state aid receive greater increases or smaller reductions than districts that have greater ability to pay.
Property Tax Cap – The Rural Schools of New York State have grave concerns with the recommendation of a 4% cap on school property tax as proposed by the New York State Commission on Property Tax Relief. In many High Need Rural School Districts a 1% increase in the school property tax generates $20,000 or less in additional revenue. A property tax cap would place severe constraints on Rural School Districts to meet the obligation of providing a Sound Basic Education for all children. The RSA also recognizes the need for tax relief; and supports the “circuit – breaker” concept when it becomes fiscally possible to do so.
Regional Partnerships – Many small and rural districts are at a “tipping point” due to declining population and declining wealth. Smaller tax bases and smaller student populations do not allow these districts to offer the depth and breadth of programming required to educate young people entering the world of the 21st century. There is growing recognition of the need for regional partnerships and a stronger collaborative effort. The Governor and Legislature need to take steps to assist and promote regionalization. RSA would recommend the following:
* Strengthen BOCES – the most effective and efficient structure to address the regional needs.
- Remove barriers that impede the “best and brightest” leaders from pursuing the position
of District Superintendent.
- Increase the ceiling on aidable salaries – frozen at $30,000 since 1990.
- Expand EXCEL aid to include BOCES
* School District Organization
- Expand guidelines to permit a Regional High School as a reorganization option eligible for
reorganization aid.
- Flexible Weekly Schedule – Conduct a comprehensive study to determine the educational
and social impact of longer school days and a shorter school week.
* Intermunicipal Collaboration
- Promote intermunicipal collaboration through a program of incentives to encourage school
district – municipal partnerships.
Rural Education Advisory Committee (REAC) – Assure continuation funding for REAC. Through a system of mini-grants, REAC has promoted innovative practices and regional partnerships which are central in addressing upstate rural issues. Funding is also used to support research projects to enable rural districts to explore new pathways in addressing issues related to declining enrollment and resources.
Center for Rural Schools at Cornell University – Continue to support The Center which was established with the support of the bi partisan Legislative Commission on Rural Resources. The Center provides support and assistance to the Rural Schools of New York State by tapping into the rich resource base of Cornell.
Mandate Relief – This continues to be a high priority for small and rural schools. While savings may be marginal, time spent on reporting requirements could be better used providing leadership to programs and services that directly impact children. RSA would like to suggest the following:
* Reduction and/or elimination of the more than 150 reporting requirements.
* While modifications have been made to Wickes, there is a need to go further. The $1,000,000
threshold should apply statewide.
* Many small and rural districts have difficulty finding certified teachers. Re-examine the laws that
prohibit rehiring teachers until they reach age 65. Consider greater flexibility to “career changers"
in their efforts to pursue teacher certification.
* Current requirements pertaining to the Administrative Budget places an undue burden on small
and rural school districts. Exclude health insurance, employee retirement, and energy costs from
the budget cap.
* No new mandates even if they are fully funded. Most small and rural districts do not have the
resources to respond to these new requirements.
The testing and reporting requirements of No Child Left Behind (NCLB) have placed additional costs on local districts. Relief from unnecessary, costly mandates can help offset new expenses created by NCLB.
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(1) Data from the 2005 school year as reported in 2006 Chapter 655 Report

