A larger portion of LAUSD students have special needs compared to independent charters. Funding formulas disproportionately penalize district schools for serving a higher-needs population.
• Special education revenue in LAUSD is impacted by state regulation. The state funding formula (AB602) that provides equal financial support regardless of disability has the effect of penalizing LAUSD due to its higher percentages of identified students who have higher needs than students in the charter schools.
• In addition to increased proportions of students with special needs, the data indicate that the district has both a higher proportion of special education students than the charter schools (13.4% vs. 8.1%, as of December 2013) and of that proportion, has double the percentage of higher cost “Moderate to Severe” special education students than its charters (30% vs 15%).
• The state regulation allowing independent charters to join SELPAs other than LAUSD takes additional funding away from LAUSD that could otherwise be used to provide district program support. The estimated cost is $10,356,338.
• Mirroring the special education issues, the state funding formula (LCFF) that provides equal financial support regardless of EL level has the effect of penalizing schools/districts that have higher percentages of identified students who have higher needs compared to other schools/districts.
• Get the full details of how the unmitigated growth of charter schools currently results in over half a billion dollars in lost revenue and added costs. Read the independent fiscal impact report here.