Ohio's 2023 biennial budget overview and what it means for you.
One of the resources our education partners appreciate is EEP’s updates on Ohio’s biennial budget. For our newest EEP peeps, we focus our budget updates on funding around a) PK-12 education innovation, b) healthy youth development, c) learning support/non-academic barriers to school success, d) workforce development in K-12 education space, and e) any potential grant opportunities relevant for schools and our youth development partners. While most of our emphasis is on the Ohio Department of Education’s budget, we also keep an eye on several other departments that fund in these areas. Read on for the current scoop…
Governor DeWine focused much of his state of the state address and budget emphasis on education, especially continuing to phase in the state funding system initiated during the 2022-23 budget, increasing access to early childhood education and career/workforce opportunities for our high school students. He also prioritized access to youth mental health services. EEP leaves analysis of the state funding system to experts like BASA or OSBA. Our analysis highlights a few pieces of school funding related to our identified areas of focus.
This year’s biennial budget is found within House Bill 33. If you are interested in digging deeper into details, I recommend watching the Legislative Service Commission’s website. The budget has been introduced in the House of Representatives and committee meetings are just beginning.
Here are our notes:
- Career Awareness and Exploration funds (CAE). By FY25, double the CAE that go to Career Tech Planning Districts on behalf of their home schools from $5 to $10 per student.
- Student Wellness and Success funds (SWSF) are still embedded within the ‘disadvantaged pupil impact aid' (DPIA) but the bill adds a new requirement. Districts and schools must spend at least 50% of SWSF for either physical or mental health based initiatives, or a combination of both. Districts must also develop a plan for using SWSF in coordination BOTH: community mental health provider or local ADAMH board and community partner. Plans must be shared at public meeting and posted on the district website. SWSF funds from FY2020 - FY23 must be expended before June 30, 2025 or repaid to ODE.
- NEW Graduation Requirement: with some exceptions each student must provide evidence of having completed a Free Application for Federal Student Aid (FAFSA).
- NEW School Resource Officer Funding. School districts, site-based community schools, STEM schools, and chartered nonpublic schools will be eligible for funds using a base amount of about $94,500 per building. Local Education Agencies (LEAs) will be required to apply for the funds but as long as they apply, the funds will be guaranteed.
- NEW Career Technical Education Equipment Grants. $50 million each fiscal year. to assist traditional districts, JVSDs, community schools, and STEM schools with equipment purchases necessary to establish or expand career-technical education (CTE) programs. Priority will be given to CTE programs that support careers on Ohio’s Top Jobs List and establish or expand credentialing programs that qualify for the existing Innovative Workforce Incentive Program (IWIP). Start-up costs for advanced manufacturing, welding, robotics, and other in-demand programs may cost as much as $500,000. This would fund at least 100 new programs each year.
- Note: Ohio Facilities Construction Commission budget also has $200 million in FY2024 to support construction projects that establish or expand CTE programs.
- NEW Work-based Learning Incentive Program. $10 million each fiscal year to pay school districts, community schools, and STEM schools $1,000 for each student that completes at least 250 hours of work-based learning. Estimates it will fund up to 10,000 students per year.
- Student Support and Academic Enrichment Block grants. Continue competitive grants that assists districts and schools with creating or expanding programming in advanced coursework, career pathways, personalized learning, credit recovery, and academic acceleration services. $45 million in FY24 and $48 million in FY25. This is an increase over the $40 million from FY23.
- NEW Business Advisory Council incentive funds. payments of up to $50,000 in each fiscal year to each business advisory council designated as “high quality” by receiving a rating of three or four stars under ODE’s business advisory council recognition. BACs will be required to use payments to support business advisory council duties under continuing law, increase career awareness and exploration activities for students, and expand access to work-based learning opportunities
- Industry Recognized Credential Reimbursement - funding change. During the last 2 fiscal years, ODE only paid out about ½ of the $8 million available. This budget the state is allocating $5.5 million per year to better align with what has been used in the past.
- Innovative Workforce Incentive Program continuation. ODE pays each school district, community school, STEM school, and JVSD $1,250 for each qualifying credential earned by a student during the prior fiscal year. The recommended funding of $10.5 million per year will support full payment for up to 8,400 qualifying credentials annually. This recommendation is slightly lower than FY23 since the Department only paid out about $4.5 million in FY22.
- NEW College Credit Plus teacher credential grants. $7.5 million per fiscal year to support graduate coursework for high school teachers to receive credentialing to teach CCP courses in a high school setting. Priority will be given to education consortia of a public or private institution of higher education in Ohio and high schools identified as economically disadvantaged that have no or limited numbers of teachers credentialed to teach CCP courses. This will likely be a competitive grant.
We anticipate changes in many of these areas over the next few months. As the budget process continues we will share new blogs to keep you informed.
