Kansas Liberty: 08 December 2008
KU research says student achievement unaffected by flood of state revenues
Study shows 'little evidence' education funding improves test scores
In 2005, the state Supreme Court ruled that the education of Kansas schoolchildren was in peril because the Kansas Legislature had not spent enough on the state's schools. Despite the fact that by every recognized measure, Kansas schools already were near or at the top in most state rankings, the court imposed spending increases that are now helping push the state into a deep budget crisis.
The court's only evidence was a discredited school audit that had been dismissed by the Legislature, which had commissioned it, as impractical and dangerously expensive. The audit's figures had been compiled by asking school administrators how much money they would like to receive to achieve a range of outcomes. Critics condemned the audit - and the court's imposition of a funding increase based on it - saying in most cases there was no provable relationship between funding and achievement.
Now, according to a new study released Tuesday by the University of Kansas, it turns out the critics may have been right.
Research conducted for the University of Kansas Business School’s Center for Applied Economics by Dr. Florence Neymotin, a Kansas State University assistant professor of economics, shows the massive increase of school funding in Kansas between the years 1997 and 2006 so far has had "little evidence of improving student outcomes as measured by test scores."
The findings do not come as a surprise to Neymotin, who has studied school finance and achievement relationships on both a state and national level before.
“I think this particular study is in keeping with a lot of literature in the area in that funding change doesn’t necessarily impact achievement,” Neymotin told Kansas Liberty.
The CEA study, "The Relationship between School Funding and Student Achievement in Kansas Public Schools," examined the relationship between funding and performance by using a statistical method which analyzed data from the Kansas Board of Education and the National Center for Education Statistics to examine specific characteristics of school districts during times of funding infusions.
The method allowed researchers to examine schools as if school funding and student achievement were the only defining differences within the school district.
Neymotin said the method, known as "ordinary least squares regression," is a standard method used by economists. In the current study this method is used to complete a point-in-time analysis as well to look at changes occurring over time.
“This allows us to see what the relationship is when moving from point 'A' to point 'B' in time, instead of other methods that look at what a relationship is at point 'A' in time,” she said.
Neymotin said she hopes her research is used as tool for legislators and educators to consider how funding should be allocated to schools.
“I think there is a tendency for us to fund education in the hopes that it will increase student achievement on a one-for-one basis, as in people thinking that if we put 10 percent more funding into schools we will get 10 percent better achievements,” she said. “But I think you rarely see that happen and this is just one more study which confirms that.”
But Sue Gamble, an outgoing Kansas State Board of Education member, disputed Neymotin's findings. Gamble said that she thought when dollars were allocated in the correct manner they should make a difference with student achievement.
“Research shows you cannot make a relationship between achievement and funds if you are just throwing a bunch of money around, but that’s not what we have done in Kansas,” Gamble told Kansas Liberty.
“What we did as a board was to focus in on what we felt made a difference with student achievement and that’s professional development, school leadership, providing educators assistance in the classroom and providing students with additional time to learn," Gamble said. "The Legislature has increased funding and focused money specifically to at-risk kids and has allowed districts to use funding in very focused ways.”
Gamble said that the possible decrease in school funding, that Kansas districts may face due to the government’s large deficit, would probably not cause an immediate, visible impact on students. “It usually takes about three years for a change in something to be reflected in testing,” she said.
Gamble echoed the arguments made by supporters of the court-ordered funding increase in 2005.
“If this is a long term pull-back from school funding then we are not going to have adequately prepared citizenry to participate in our democracy, and our kids are literally our future, so if we don’t help them now they are not going to be able to take the reigns of this global, complex society we have today,” she said.
Rep. Deena Horst, R-Salina, and co-chair of the education committee, said she believed school funding could help improve student outcomes to a degree but that the people involved with providing education should be granted even more credit for creating student achievement.
“I don’t necessarily think that an increase in school funding means an increase in student achievement,” Horst told Kansas Liberty. “You can’t just throw money at an issue and expect it to change. When we target one thing as the driver for positive things that are happening, we really leave out all the other possibilities. I go back to the fact that it's individuals that make differences in people's lives and not money.”
Horst said regardless of the role funding plays in student achievement, Kansas schools may have to adjust to having less funding in the near future.
“We are going to have to recruit people in the community to come forth and help schools until we can find our way back economically,” she said. “Districts need to start looking now at what the possibilities are and start talking about it, and I think we can keep from having achievement losses because of loss of money.”
The KU study is the first to analyze the recent amendments to the School District Finance and Quality Performance Act.
Though funding seemed to have little effect on most outcomes, Neymotin's research did find a slight improvement in graduation rates, which she thought might be attributable to increased funding.
“During the years 1997-2006," the study said, " there was an increase in total revenues per student in schools of approximately $7,500 per student in 1997 to $8,700 per student in 2006. This time period also displayed a steady increase in the high school graduation rate starting from a graduation rate of approximately 89.7 percent in 1998 to one of approximately 91.7 percent in 2005.”
- Holly Smith
Resources:
- Read the CEA study
- The University of Kansas Center for Applied Economics
- The School District Finance and Quality Performance Act: http://kansasliberty.com/resources/issues-of-interest/education/k-12-education-finance
Rewriting history with a heavy dose of ignorance
Wow... that's one twisted interpretation. While the Augenblick report was far from stellar research by any stretch, it was, as you note the report that had been commissioned by the legislature. It was pursued on recommendation from a Governor's Task Force (which also included legislators). Further, the charge of the report was specifically linked to the constitutional language which had also been referenced in the Task Force recommendation. And while the report had been shelved by the legislature, they never criticized it openly until after the case went against them in the lower court. It had not been discredited by legislators when the case went to trial and it was not discredited by any of the experts at trial.
Most of the evidence cited by Judge Bullock as basis for determining the constitutionality of the school finance system was unrelated to the Augenblick study. It was evidence related to disparities in funding across districts, which harmed certain populations and were associated with large persistent disparities in educational outcomes. The Augenblick study was cited primarily as an option for achieving constitutionality - a guideline - the legislature's own guideline - one possible guideline for achieving constitutionality. It was the only one on the table. Would you have preferred the Judge to make up his own? Seems logical and fair to use the legislature's own target.
Further, when the legislature was granted a do-over in 2006 by the Supreme Court, they commissioned two additional studies overseen by the Division of Post Audit. From these studies they got roughly the same answer they had gotten previously, and once again chose to ignore the findings.
Eventually, the court let them off the hook after a modest (and still inequitable) infusion of some additional funding, dismissing the case while leaving open the question of whether the system is actually constitutional.
For a thorough review see:
http://www.ipsr.ku.edu/publicat/kpr/kprV27N2/kprv27n2.pdf


What massive infusion?
Data on unified K-12 school districts from the Fiscal Survey of Local Governments - Public Elementary and Secondary Education Finances suggest otherwise - In fact, Kansas fell further and further behind national averages during that very period. And, any court ordered funding that went into the system, did so after the period investigated.
year Nation Kansas Gap
1990 $ 4,422 $ 4,105 $ 316
1991 $ 4,683 $ 4,252 $ 431
1992 $ 4,779 $ 4,536 $ 243
1993 $ 5,072 $ 4,944 $ 128
1994 $ 5,242 $ 5,157 $ 84
1995 $ 5,415 $ 5,261 $ 154
1996 $ 5,568 $ 5,436 $ 132
1997 $ 5,751 $ 5,550 $ 201
1998 $ 6,020 $ 5,786 $ 234
1999 $ 6,336 $ 5,946 $ 390
2000 $ 6,722 $ 6,243 $ 479
2001 $ 7,191 $ 6,547 $ 644
2002 $ 7,525 $ 7,048 $ 477
2003 $ 7,854 $ 7,291 $ 563
2004 $ 8,123 $ 7,519 $ 604
2005 $ 8,530 $ 7,706 $ 825
Okay… so let’s take a second look. Here’s Kansas versus the nation after adjusting simultaneously for regional differences in labor costs and for inflation in labor costs, using the National Center for Education Statistics, Comparable Wage Index. Now… Kansas is higher than the national average, because Kansas is a very low cost state. But, notice that Kansas current spending has been pretty much flat over the period after controlling for changes in competitive wages.
year National Kansas
1998 $ 6,558 $ 7,251
1999 $ 6,579 $ 7,102
2000 $ 6,609 $ 7,041
2001 $ 6,801 $ 7,078
2002 $ 6,748 $ 7,238
2003 $ 6,858 $ 7,277
2004 $ 6,851 $ 7,290
2005 $ 6,987 $ 7,328
So why does this matter? Let me connect the dots here. If there was no massive infusion of cash into Kansas schools, one could not possibly measure an effect of such an infusion on educational outcomes. There must be a shock to the system to measure the effects of that shock on the system. Pretty simple. Further, even if funding had crept incrementally upward across all districts while outcomes simultaneously crept incrementally upward, one could not distill statistically a relationship between the two - Certainly not over a period from 2004 to 2006, only a few years later. Interestingly in this case what we have are outcomes drifting upward with resources staying constant (with respect to competitive wage growth) or negative with respect to education spending growth nationally.
One earlier, more rigorous, peer reviewed study in the Economics of Education Review, addressing the infusion of funding to Kansas schools during the 1992 reforms, found via fixed effects (change over time) regression:
“Using panel models that, if biased, are likely biased downward, I have a conservative estimate of the impact of a 20% increase in spending on the probability of going on to postsecondary education. The regression results show that such a spending increase raises that probability by approximately 5%.”
Deke, J. (2003). A Study of the impact of public school spending on postsecondary educational attainment using statewide school district financing in Kansas. Economics of Education Review, Volume 22, Number 3, June 2003 , pp. 275-284(10).
Other studies on Massachusetts, Kentucky and Vermont have produced similar findings following major structural changes to aid formulas. I’ll gladly share the citations for those interested.