Connecticut

Funding priorities for p-12 and higher education

As Democrat Ned Lamont assumed office as Connecticut's 89^th Governor in January 2019, the state faced multi-billion-dollar budget deficits over the 2019-2021 budget biennium. In his address to the Connecticut General Assembly in February, Lamont cited the "fixed costs, like pensions and debt service, and generous social programs that are growing at a faster rate than our overall revenue" as major contributing factors to the state's structural budget deficits.¹ Despite these financial challenges, the Governor made K-12 public education and community college priorities in his new administration which was reflected in his proposed spending plan. The Connecticut General Assembly passed the biennial budget on June 6, 2019, and was signed into law by the Governor on June 26 totaling $43 billion, an overall increase of 2% from the previous biennium.² Funds for K-12 education amounted to $3,018,224,700 for FY2019-2020 and $3,069,764302 for FY2020-2021. Higher education funding remained stagnant with a total of $1.035 billion. Included in the $43 billion spending plan, K-12 public education would garner a majority of the budgeted increase. His budget proposal included an unprecedented public-private partnership with the Dalio Philanthropies to target disconnected and disengaged youth in schools, increased state aid to school districts through the Education Cost Sharing grant, established a plan for debt-free community college, increased funding for charter schools and a provided a $250,000 grant to target minority teacher recruitment.³

Ray Dalio, founder of the world's largest hedge fund, granted $100 million to the state of Connecticut from the Dalio Philanthropies for the purpose of supporting initiatives aimed at disconnected youth and economic development.⁴ The funds will also serve to increase employment opportunities through mentorship programs with community-based entrepreneurs in order to provide an employment pipeline for graduates in cutting-edge fields. The grant will be matched by $100 million from the state of Connecticut and an additional $100 million to be raised from a yet to be determined source for a total of $300 million administered through a public-private partnership.

Changes to funding formula for p-12

While Connecticut ranks third nationwide in terms of per pupil expenditures, considerable variation exists between districts in school spending. Equitable distribution of the ECS, the state's major financing mechanism to equalize spending across school districts, has been a perennial problem in Connecticut since the inception of the ECS formula in 1988. The biennial budget appropriated $2.054 billion for 2019 and $2.09 for FY2020. After years of underfunding by the state legislature, a law passed in 2017 and put into effect in FY 2019, began a 10-year phase in plan of approximately $37.6 million per year which would bring the ECS up to full funding by 2028.⁵

Pressing state issues affecting p-12 and/or higher education funding

The Connecticut Office of Higher Education reported that appropriations for public colleges and universities in Connecticut declined nearly 50% over a 10-year period from 2008 to 2018.⁶

Higher education leaders noted that the level of appropriations in 2020 has remained at 2008 levels.⁷ Funds appropriated for higher education in the state budget totaled $504,430,168; essentially flat funded from the previous year.

Governor Lamont continued the plan to streamline the state university college system begun by his predecessor Malloy which consolidated all of Connecticut's public institutions of higher education into one system known as the Connecticut State Colleges and University System or CSCU.⁸

As part of the biennial budget, the state legislature also established a program for debt-free community college as a means to address college affordability. $8.1 million dollars would be appropriated to allow first time college students the ability earn 72 college credits without incurring debt. The program will be funded by an online lottery.

Forces diverting funds from traditional public schools

Charter and regional vocational technical schools received more funding than in previous years. After years of funding disparities between traditional public schools ad charter schools...