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Recent Editions
Education Slice
National
A new study by ASBO International and The School Superintendents Association (AASA) warns that rapidly rising healthcare costs are placing growing pressure on U.S. public school district budgets, threatening spending on educational programs, staffing, and facilities. The survey of more than 750 public school district leaders across 42 states found that escalating health insurance premiums are limiting districts' ability to hire and retain teachers, fund classroom resources, improve school buildings, and maintain employee benefits. Report co-author Elleka Yost cautioned that, if not resolved, the problem will escalate into a "crisis," a warning echoed by Lisa Marceau, founder and president of Boston-based advisory firm Alpha Millennial Health and author of “Breaking the System: How Digital Innovators Shape the Future of Healthcare," who said: “We are at the tipping point of a cost trend that has been occurring for decades." David DeSchryver, senior vice president and co-director of research at Whiteboard Advisors, said healthcare costs are only one part of a much broader fiscal challenge. He noted that districts are simultaneously facing higher operating expenses, transportation costs, salary increases, and growing special education and clinical service needs, while revenues remain flat or decline, leaving school systems under increasing financial pressure.
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Education Slice
California
California is set to undergo a significant change in its education governance, with a new law allowing the governor to appoint an education commissioner to oversee the state's education department. This shift, initiated by Gov. Gavin Newsom, will diminish the powers of the elected superintendent, who will now serve as a nonpartisan member of the state board of education. Newsom stated that this move aims to “improve school support and accountability.” The change reflects a broader trend, as California joins 19 other states where governors appoint top education officials. Critics, including David Goldberg, president of the California Teachers Association, argue that this shift undermines democratic processes, stating: “When people have a right to vote on some things, you can't willy-nilly take that right away.” The new commissioner will be responsible for managing a budget of nearly $150bn for over 6m students and will need to propose recommendations for the future role of the elected superintendent by October 2027.
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Education Slice
Texas
Early data from Texas' $1 billion Freedom Education Accounts (TEFA) program suggests the state's new school voucher initiative has primarily benefited families already enrolled in private schools, while providing limited support for lower-income, rural, and many special education students. Of nearly 275,000 applications, only about one-quarter came from students enrolled in public schools, with experts noting that the $10,474 standard award often falls short of covering private school tuition and related expenses. Although students with disabilities are eligible for up to $30,000, fewer than 30 received the maximum award, and many families may still struggle to find private schools able to meet their children's needs. Researchers also warned that lower-income and rural families were less likely to apply, reflecting the limited availability of private schools in many communities. Education policy experts cautioned that even modest declines in public school enrollment could reduce state funding for public districts, placing additional financial pressure on schools, particularly in rural and lower-income areas.
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Education Slice
Florida
As schools in Orange County prepare to welcome students, teachers remain without a contract for the new school year. The teachers union and district leaders are currently at an impasse, seeking assistance from a special magistrate. The district recently increased its pay raise offer from 1% to an average of 2.5%, but significant disagreements persist regarding healthcare costs. Tracie Michalski, a teacher with 27 years of experience, expressed her concerns, stating: “27 years of teaching, and I won’t be able to have insurance.” The district's proposed healthcare premiums could rise dramatically, impacting employees' ability to cover their families. District spokesperson Scott Howat emphasized the need for these changes to address a $145m shortfall in the trust fund that covers medical expenses. The hearing before the special magistrate is set to continue today.
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