[Emphases added. DF]

To: House Republican Members
FROM: Jo Ann Davidson
DATE: July 18, 1997


As we continue to move forward with our school funding reform package, we thought it was important to share with you the accountability provisions that have been discussed with the Senate and are areas of general consensus to be included in Sub. Senate Bill 55 (academic accountability) and Sub. House Bill 412 (fiscal accountability). At the time this is being sent to you, other accountability issues are still be considered for the substitute bills, but we wanted you to have the most current information.

Academic Accountability
Substitute Senate Bill 55

Academic Performance Standards and Reporting

The proposal calls for the development of academic performance standards that all districts would be required to meet. District performance would be evaluated with results provided in the form of regular report cards available to the public. An improvement plan will be required for those districts with academic deficiencies, and an intervention plan will be developed for those districts who are consistently not meeting these academic standards.

Fourth-Grade Reading Guarantee

Recognizing that children must "learn to read" to later "read to learn," every child must be required to pass the reading portion of the fourth-grade proficiency test to advance to the fifth grade. Intervention programs will be provided for those students having reading problems as early as grades one through three.

Raising the Bar on High School Proficiency Test

Under the proposal, the students will be required to pass a 10th grade level test to graduate from high school. This plan essentially raises the bar by replacing the existing 9th grade proficiency test (which measures eighth-grade competency) with a 10th grade test (which measures 10th-grade competency). This requirement would be phased in and would first apply to the graduating class of 2005.

Making the Proficiency Tests Available to the Public

This proposal also addresses concerns that parents can not review the proficiency test being administered to their children. The Department of Education will be required to make the proficiency tests, offered the previous year, available to the public.

Improving School Discipline

The development of alternative school programs to address discipline problems is an important part of this proposal. The alternative school programs would provide special curriculum and services for students having problems in the public school system.

Working with Higher Education to Improve Education

This proposal calls on the Department of Education to work with the higher education community to address the phase-out of remedial classes, the training of more math and science teachers, and expansion of the Post-Secondary Enrollment Option Program.

Social Promotion

Promotion of a student to the next grade level if he or she is consistently truant or has failed two subject areas would be prohibited under this plan. Policies on promotion, retention and truancy would be required.

Site-Based Management Councils

School districts with more than 5,000 students will be required to implement a site-based management council of teachers, parents and the school building principal in at least one of their school buildings. The councils will play a significant role in building management and budget decisions.

Fiscal Accountability
Substitute House Bill 412

Office of Educational Accountability and Productivity

The plan calls for the creation of an Office of Educational Accountability and Productivity, under the direction of the Office of Budget and Management, to provide oversight to school districts in the collection and analysis of education performance and finance data.

Budget Reserve Fund

Similar to the state's "rainy day" fund, this fund would be composed of 5 percent of the districts' annual general revenues, and would be phased in. For example, schools would be required to set aside 1 percent each year in which revenues grow by 3 percent. Expenditures from this fund would require approval by 2/3 of the school board and could only be used for those emergency purposes as defined by the State Auditor and the Superintendent of Schools.

Five-Year Budget Plans

This would require school districts to prepare and submit five-year budget plans to ensure that district budgets are balanced.

Fiscal Oversight

Under the plan, school district authority to borrow money for operating purposes would be eliminated except under special circumstances. A procedure would be established, based on existing fiscal watch/emergency statutes, to ensure that each district maintains a balanced budget. In the event of an operating deficit, schools would be required to develop a plan to bring their budgets into balance.

Capital and Maintenance Fund

Each district would be required to contribute to and maintain a capital and maintenance fund.

Textbooks and Instructional Materials Fund

School districts would be required to establish and maintain a fund for instructional textbooks, software, materials, supplies and equipment.

Alternative Superintendent Certification

In an effort to recruit superintendents with strong business backgrounds, this provision would allow for alternative methods of certification, for expanding the field to include additional qualified candidates.

Certificate of funds

The language included in the budget concerning the certification of funds would be modified to ensure it is workable.

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