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Hilgenberg: School funding formula 'recipe for failure'
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Rep. Steve Hilgenberg D-Dodgeville
DODGEVILLE - The school funding process in Wisconsin is broken, and Rep. Steve Hilgenberg wants to fix it.

The problem, according to the Dodgeville Democrat, are spending caps on local school districts. The state Legislature enacted the revenue cap in 1993, placing an annual limit on the amount a local school district can increase the revenue it receives.

The only way a district can exceed that revenue limit is by going to referendum. As a result, many school districts have found themselves having to go to referendum in order to pay for needed maintenance projects, technology improvements, and in some cases, simply to maintain programs.

"It gives a certain number of dollars, regardless of how much it costs to educate that child," Hilgenberg said of the funding formula. "It doesn't take into account different students have different needs." Those different needs include transportation in rural districts, or the number of students needing special education.

"Basically, it's a recipe for failure," Hilgenberg said.

Hilgenberg said school funding reform will be a top issue this fall, when he is up for re-election. He is not currently on the Assembly Education Committee, but has spoken to Rep. Sondy Pope-Roberts, the committee's minority leader, about being assigned to it after the election and will push as hard as he can to get on it.

As he nears the end of his first term, he said he is "comfortable now jumping into the debate."

For now, he is working with Rep. Phil Garthwaite, D-Dickeyville, on the issue and hosted a forum with school administrators in their districts in April. As a result of their discussions, the lawmakers laid out a list of principles and goals as guidelines as they work on school funding reform.

They are:

• Provide every Wisconsin child an excellent educational opportunity.

• Establish a more equitable distribution of funding - one that takes into account disproportionately higher costs of special education, low-income, transportation, enrollment and English-language needs.

• Reduce reliance on homeowner property taxes.

• Restore more control to local elected officials and school boards.

• Ensure that the proposal is politically feasible and affordable.

The first step, he said, is to establish a realistic cost for educating students in public schools. The current system allocates money based strictly on numbers.

Changing how public schools are funded will likely involve new money for schools. One possible solution is raising revenue limits. Fifteen years ago, limits were put into place based on budget levels for each district in 1993. Some districts were operating more lean than others, he said, and using that one year as a baseline gave schools an uneven start.

But raising revenue limits ultimately puts the burden back on property owners. Hilgenberg said adding additional pressure on homeowners needs to be avoided: In 1970, homeowners paid approximately 50 percent of all property taxes collected, while in 2003 they paid almost 70 percent. What's needed is a way to shift the burden of school funding off property tax.

"The first thing is probably expand sales tax," Hilgenberg said. While he admits "to suggest raising any tax is signing death notice" for a lawmaker, he estimates nine out of ten constituents he has spoken with favor an increase in the sales tax - if that additional money will be used to fund public schools.

Hilgenberg invites anyone with feedback on the issue to contact his office at (888) 534-0051 or e-mail Rep.Hilgenberg@legis.wi.gov.