Compendium of Budget Information for the 2011 General Session

Public Education
Appropriations Subcommittee

Function

Article 10, Section 3 of the Utah Constitution states 'The general control and supervision of the public education system shall be vested in a State Board of Education.' Further, the Constitution reads the "State Board of Education shall appoint a State Superintendent of Public Instruction who shall be the executive officer of the board.' The Board and its appointed Superintendent administer the various operating programs and divisions supporting Utah's public education system.

The State Board adopted "Promises to Keep" as its mission and vision in guiding and overseeing Utah's education system. Specifically, the mission of public education is to "keep its constitutional promise by: ensuring literacy and numeracy for all Utah children; providing high quality instruction for all Utah children; establishing curriculum with high standards and relavance for all Utah children; and, requiring effective assessment to inform high quality instruction and accountability." (Utah State Board of Education "Promises to Keep - The Vision and Mission of Utah Public Education," August 7, 2009)

The Board consists of 15 elected members. The State Board of Regents which governs the State's higher education system appoints two Regents to participate as non-voting members of the State Board of Education. Accordingly, two members of the State Board of Education participate as non-voting members of the State Board of Regents. In addition to these members, representatives of the Coalition of Minorities Advisory Committee, Utah College of Applied Technology, State Charter School Board, and the Utah School Board's Association act as advisories to the Board. The operating budget for the State Board of Education may be found in the State Office of Education line item. The program is titled "State Board of Education - Administration".

Funding Detail

The Utah State Constitution created the Uniform School Fund (USF) to support the State's education system. Personal income tax provides the majority of USF revenue. Historically, over 85 percent of USF revenue comes from the Personal Income Tax. The remaining USF revenue sources include the Corporate Franchise Tax and Corporate Income Tax.

The Education Fund was established during the 2006 General Session of the Legislature. House Bill 294 stated that the 'Education Fund shall receive all revenues from taxes on intangible property or from a tax on income and shall be designated for public and higher education' (H.B. 294, 2006 General Session). The Education Fund and the General Fund are the two major revenue funds supporting state expenditures.

State funds supporting the public education system come primarily from the Education Fund with the Uniform School Fund (USF) contributing to the Basic School Program in the Minimum School Program. The USF is a special revenue fund that 'accounts for all revenues that are required by law to be expended for the public school programs of the state' (UCA 51-5-4).

Historically, the Education Fund and Uniform School Fund have contributed approximately 70 percent of the total revenue that supports the state appropriated public education budget. The other major revenue sources include the Local Property Tax, which contributes approximately 17 percent of the total revenue and Federal Funds contribute about 10 percent. Other minor revenue sources contribute the remaining three percent to the budget. School districts and charter schools have additional revenues available to them outside the state appropriated budget. For school districts, these additional revenue sources are generated through levying local property taxes.

Three main expenditure categories comprise Utah's public education system. The largest expenditure program in the State budget is the Minimum School Program (MSP). The MSP has total expenditures nearing $3.4 billion and supports the State's school districts and charter schools. In addition to the MSP, which supports school district operations, the Legislature provides funding for the School Building Program. The School Building Program helps support school building construction or renovation in the districts. Finally, the Public Education Agencies represent state-wide programs that support the education and development of students.

Sources of Finance	2007 Actual	2008 Actual	2009 Actual	2010 Actual	2011 Approp
General Fund	$0	$10,900,000	$2,312,500	$2,312,500	$3,211,800
General Fund, One-time	$7,600,000	($8,500,000)	$1,090,600	($600)	$0
Uniform School Fund	$52,042,800	$59,146,800	$57,702,700	$55,432,200	$0
Uniform School Fund, One-time	$12,933,800	$2,546,000	$6,159,800	$1,059,700	$0
Education Fund	$0	$0	$0	$0	$59,311,800
Federal Funds	$340,160,200	$339,840,500	$366,796,100	$354,211,800	$345,762,700
American Recovery and Reinvestment Act	$0	$0	$3,810,000	$31,662,000	$0
Dedicated Credits Revenue	$30,304,200	$32,563,100	$33,263,900	$35,433,800	$29,911,200
Federal Mineral Lease	$912,100	$3,187,100	$3,458,700	$2,804,000	$847,900
Restricted Revenue	$0	$0	$1,206,600	$0	$0
GFR - Land Exchange Distribution Account	$0	$394,000	$277,200	$292,700	$302,400
GFR - Substance Abuse Prevention	$494,500	$495,900	$0	$490,600	$497,200
USFR - Interest and Dividends Account	$81,900	$283,300	$0	$409,200	$410,400
USFR - Professional Practices	$86,100	$1,434,800	$1,465,900	$1,460,600	$1,469,900
Transfers	$3,674,200	$5,310,800	$7,893,900	$0	$5,985,300
Transfers - Health	$0	$0	$0	$1,035,800	$0
Transfers - Interagency	$725,500	$0	$0	$5,250,000	$0
Beginning Nonlapsing	$13,712,300	$23,864,500	$17,477,300	$16,244,900	$15,510,300
Closing Nonlapsing	($23,859,300)	($24,233,100)	($16,269,500)	($13,328,400)	($15,653,300)
Lapsing Balance	($100,000)	($405,700)	($379,100)	$0	($207,700)
Total	$438,768,300	$446,828,000	$486,266,600	$494,770,800	$447,359,900

Line Items	2007 Actual	2008 Actual	2009 Actual	2010 Actual	2011 Approp
State Office of Education	$263,687,600	$267,047,300	$288,425,400	$290,298,800	$256,379,400
USOE - Initiative Programs	$0	$0	$0	$7,263,200	$10,331,200
State Charter School Board	$10,190,600	$5,353,700	$5,521,900	$5,026,300	$5,681,900
Educator Licensing	$938,800	$1,127,500	$1,116,000	$1,593,500	$1,266,100
Child Nutrition	$129,156,500	$135,609,400	$152,995,600	$152,877,500	$136,081,900
Fine Arts Outreach	$2,631,100	$3,103,600	$3,066,000	$2,703,200	$2,786,800
Education Contracts	$3,854,800	$3,854,800	$3,700,600	$3,082,900	$3,137,800
Utah Schools for the Deaf and the Blind	$26,457,400	$28,526,900	$28,692,300	$30,317,200	$29,985,400
Science Outreach	$1,339,400	$1,687,400	$1,998,100	$1,608,200	$1,709,400
USDB - Institutional Council	$512,100	$517,400	$750,700	$0	$0
Total	$438,768,300	$446,828,000	$486,266,600	$494,770,800	$447,359,900

Categories of Expenditure	2007 Actual	2008 Actual	2009 Actual	2010 Actual	2011 Approp
Personnel Services	$39,661,800	$43,306,800	$43,961,800	$44,283,700	$45,705,100
In-state Travel	$746,900	$816,800	$704,000	$722,000	$662,600
Out-of-state Travel	$386,200	$434,300	$292,100	$316,800	$288,200
Current Expense	$24,533,300	$25,758,100	$34,721,200	$33,222,600	$32,254,900
DP Current Expense	$1,173,300	$853,800	$1,189,500	$746,300	$949,500
DP Capital Outlay	$124,900	$265,100	$466,700	$900,400	$338,600
Capital Outlay	$93,100	$22,500	$93,400	$0	$1,500
Other Charges/Pass Thru	$372,048,800	$375,370,600	$404,837,900	$414,579,000	$367,159,500
Total	$438,768,300	$446,828,000	$486,266,600	$494,770,800	$447,359,900

Other Indicators	2007 Actual	2008 Actual	2009 Actual	2010 Actual	2011 Approp
Budgeted FTE	638.1	641.0	654.3	631.0	634.8
Vehicles	70	70	70	70	70

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