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Recent Editions
Education Slice
National
U.S. school districts are facing escalating healthcare expenses that are placing increasing pressure on budgets, staffing, and employee benefits, as medical inflation, rising prescription drug costs, and expensive treatments strain already limited resources. At the Association of School Business Officials International conference earlier this month, representatives from Ohio’s Big Walnut school district highlighted the financial impact of high-cost medical claims, with ten of its 336 insured employees generating claims exceeding $50,000 each this fiscal year. Meanwhile, Illinois’ West Aurora district spent $26m on medical expenses in 2026, more than 10% of its $215m operating budget, with costs projected to rise by another $5m next year. Districts are exploring alternative insurance plans, Health Savings Accounts, virtual healthcare, and prescription drug initiatives to control spending without undermining employee recruitment and retention. West Aurora estimates that changes to its GLP-1 drug coverage could save $750,000 to $1m annually. However, declining student enrollment, state-level funding constraints, and the growing availability of costly new treatments are expected to intensify financial pressures.
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Education Slice
California
The U.S. Department of Education has launched investigations into the Palo Alto Unified, San Francisco Unified, and North Monterey County Unified school districts over allegations that ethnic studies courses required students to disclose sensitive personal information without parental consent. The investigations focus on classroom activities such as the “Wheel of Power/Privilege” and “Mapping My Identities,” which the department claims prompted students to reveal details about their sexual orientation, gender identity, health, race, and family finances. Federal officials are examining potential violations of the Protection of Pupil Rights Amendment, which safeguards students against certain intrusive surveys and establishes parental notification and consent requirements. The investigations form part of the Trump administration’s broader scrutiny of California education policies, with potential consequences including federal enforcement action and loss of funding if violations are established.
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Education Slice
Texas
Democratic governors face an end-of-year decision on joining the federal Education Freedom Tax Credit, which offers dollar-for-dollar tax credits on donations of up to $1,700 to fund student scholarships. With 31 states participating, including just two Democratic-led states, the program could reach $26bn by 2030. Supporters highlight funding opportunities for public and private school students, while opponents warn of inequitable distribution, limited accountability and potential damage to public education. New York Gov. Kathy Hochul defended participation, stating: "I'm not going to leave money on the table when it could help our kids." Meanwhile, Oregon Gov. Tina Kotek has rejected the initiative, citing concerns about federal education policy. Teachers' unions remain strongly opposed, while school choice advocates anticipate more Democratic governors joining after the November elections.
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Education Slice
Florida
Democratic governors face an end-of-year decision on joining the federal Education Freedom Tax Credit, which offers dollar-for-dollar tax credits on donations of up to $1,700 to fund student scholarships. With 31 states participating, including just two Democratic-led states, the program could reach $26bn by 2030. Supporters highlight funding opportunities for public and private school students, while opponents warn of inequitable distribution, limited accountability and potential damage to public education. New York Gov. Kathy Hochul defended participation, stating: "I'm not going to leave money on the table when it could help our kids." Meanwhile, Oregon Gov. Tina Kotek has rejected the initiative, citing concerns about federal education policy. Teachers' unions remain strongly opposed, while school choice advocates anticipate more Democratic governors joining after the November elections.
Full Issue