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AUTHORIZATION OF APPROPRIATIONS TITLE I

Section 101 of title I authorizes the appropriation of amounts as follows: For the fiscal year 1948, $20 per pupil reported in average daily attendance during 1946.

For the fiscal year 1949, $30 per pupil reported in average daily attendance during 1947.

For the fiscal year 1950, $40 per pupil reported in average daily attendance during 1948.

For the fiscal year 1951, $50 per pupil reported in average daily attendance during 1949.

For the fiscal year 1952 and each fiscal year thereafter, $60 per pupil reported in average daily attendance during the second preceding fiscal year.

It is estimated that the appropriations so authorized would amount to approximately $400,000,000 for the fiscal year 1948; $600,000,000 for the fiscal year 1949; $800,000,000 for the fiscal year 1950; $1,000,000,000 for the fiscal year 1951; and $1,200,000,000 for the fiscal year 1952 and thereafter.

In arriving at these estimates 19,602,772 was taken as the number of pupils in average daily attendance in public elementary and public secondary schools of the continental United States for the fiscal year ending June 30, 1944, as reported to the United States Office of Education. Assuming a national income for the fiscal year 1952 of $150,000,000,000 the Federal appropriation of $1,200,000,000 for that year under the terms of the proposed act would amount to less than 1 percent of the total national income.

BASIS OF ALLOTMENT TO THE STATES (TITLE I)

Funds are to be distributed to the States in proportion to the number of pupils in average daily attendance in all public elementary and public secondary schools of the State during the second fiscal year next preceding the year for which an appropriaton is made. Thus the appropriation for the fiscal year 1948 would be distributed on the basis of State reports of the number of pupils in average daily attendance for 1946. This provides sufficient time for all States to secure and compile accurate and uniform statistics concerning the number of pupils in average daily attendance and concerning their expenditures per pupil for current expense and to report the same to the Commissioners as the basis for allotment of funds. Table I, which follows, shows allotments to States for the fiscal years 1948 and 1952. This table is necessarily based upon statistics of average daily attendance for the fiscal year 1944, the latest year for which such statistics were available from the United States Office of Education.

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The basis for the distribution of allotments to the States contained in section 102 and illustrated in table I recognizes:

(1) That the national interest in education extends to each and every pupil in attendance at public elementary and secondary schools;

(2) That the contribution of the Nation to the support of education in the States is, therefore, best related directly to the educational load that each State carries as measured by the number of pupils in average daily attendance;

(3) That the Federal Government through its fiscal policies and machinery should collect taxes from all citizens in relation to their ability to pay;

(4) That a portion of the tax moneys so collected by the Federal Government should be returned to the States for educational purposes in direct proportion to the number of pupils being educated;

(5) That the Federal funds so returned to the States should provide a uniform national floor under education, thereby contributing markedly to the equalization of educational opportunity among and within the States.

AVAILABILITY OF APPROPRIATIONS (TITLE I)

Section 103. Availability of appropriations, sets forth explicitly and completely each and every Federal condition for the receipt of funds by a State. These Federal conditions or standards are of two general types the first having to do with State acceptance of the Federal grants, safeguarding of the funds, assuring expenditure only for the national purpose intended by the Congress. Thus, to receive its allotment, a State through its legislature must (a) accept the provisions of the act, (b) provide for official custody of the funds, (c) designate or create a State educational authority to be responsible for the policies under which the funds are used, within the State, (d) provide for an audit by the State of the expenditure of Federal funds by local school jurisdictions, (e) provide for a system of reports from these local school jurisdictions to the State educational authority, (f) provide for reports from the State educational authority to the United States Commissioner of Education.

The second type of Federal condition, set forth in paragraph (b) of section 103, is in the nature of required matching from State and local revenue sources of the Federal funds allotted to the States. Thus, States must (1) continue to spend per pupil in average daily attendance for current expense from State and local resources at least as much as they had been spending in the fiscal year 1946, or $100, whichever is the lesser amount; (2) spend from all sources, namely, Federal, State, and local in 1948, and thereafter an amount per pupil in average

daily attendance not less than the specified minima until the national minimum or level floor of $100 per pupil is reached in the fiscal year 1953 and thereafter. Table II indicates how the standards respecting the availability of Federal funds would operate to establish a national floor under educational expenditures for current operating expenses in each local school administrative unit by 1953 of not less than $100 per pupil in average daily attendance.

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Column 2 of table II shows by States the expenditures for current expenses per pupil in average daily attendance for the fiscal year 1944.2 These expenditures range from an average of $42.25 per pupil in Mississippi to $185.12 per pupil in New York. It may be fairly assumed that the expenditures of these various States as shown in column 2 represent about what the citizens through the years have found it practicable to do in support of education in their respective States by employing State and local revenue sources.

Column 3 of table II shows how in the fiscal year 1953 and thereafter a national uniform floor under educational expenditures of $100 per pupil in average daily attendance would be achieved.

Beginning with the fiscal year 1952, Federal grants-in-aid (column 4) would total $60 per pupil in average daily attendance. Each State would be required as a condition for the receipt of the Federal grants to expend from State and local revenue sources at least $40 per pupil (column 5) thus assuring the national floor of $100 per pupil.

Column 6 shows the additional amounts, i. e., in addition to the required minimum of $100 per pupil in average daily attendance, from all sources, which States would at their own option need to provide from State and local revenue sources if they should desire to equal their expenditures per pupil in average daily attendance for the fiscal year 1944.2

Undoubtedly most of the States will wish to provide a richer educational program than that represented by an expenditure per pupil in average daily attendance of $100. The States which were expending more than $100 per pupil in 1946, such as New York, New Jersey, California, and others, would have the choice from the beginning of the operation of the act in 1948 of using all or part of their share of the Federal grants either (1) as an offset for State and local taxes for the support of elementary and secondary schools or (2) to improve still further their systems of education. Other States, such as Mississippi, Arkansas, Alabama, Georgia, and others (see table II), which were expending less than $100 per pupil in 1946 would each year have to continue to spend from State and local revenue sources at least as much as they had been spending in 1946 until such time as the combined expenditure from Federal, State, and local sources reached or exceeded $100 per pupil.

TABLE III

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1950..

1951

1952.

1953.

1954.

1955

$20 per pupil in average
daily attendance during
1946.

$30 per pupil in average
daily attendance during
1947.

$40 per pupil in average
daily attendance during

1948.

$50 per pupil in average
daily attendance during
1949.

$60 per pupil in average
daily attendance during
1950.

$60 per pupil in average
daily attendance during
1951.

$60 per pupil in average
daily attendance during
1952.

$60 per pupil in average
daily attendance during
1953.

(a) Must have spent from State and local revenue sources in 1948 not less than amount per pupil in average daily attendance spent during fiscal 1946, or $100, whichever is the lesser amount.

(b) Must have spent from all revenue sources in 1948 not less than $50 per pupil in average daily attendance in each local school administrative unit.

(a) Must have spent from State and local revenue sources in 1949 not less than amount per pupil in average daily attendance spent during fiscal 1946, or $100, whichever is the lesser amount.

(b) Must have spent from all revenue sources in 1949 not less than $60 per pupil in average daily attendance in each local school administrative unít.

(a) Must have spent from State and local revenue sources in 1950 not less than amount per pupil in average daily attendance spent during fiscal 1946, or $100, whichever is the lesser amount.

(b) Must have spent from all revenue sources in 1950 not less than $70 per pupil in average daily attendance in each local school administrative unit.

(a) Must have spent from State and local revenue sources in 1951 not less than amount per pupil in average daily attendance spent during fiscal 1946, or $100, whichever is the lesser amount.

(b) Must have spent from all revenue sources in 1951 not less than $80 per pupil in average daily attendance in each local school administrative unit.

(a) Must have spent from State and local revenue sources in 1952 not less than amount per pupil in average daily attendance spent during fiscal 1946, or $100, whichever is the lesser amount.

(b) Must have spent from all revenue sources in 1952 not less than $90 per pupil in average daily attendance in each local school administrative unit.

(a) Must have spent from State and local revenue sources in 1953 not less than amount per pupil in average daily attendance spent during fiscal 1946, or $100, whichever is the lesser amount.

(b) Must have spent from all revenue sources in 1953 not less than $100 per pupil in average daily attendance in each local school administrative unit.

Data for 1944 are useful in table II for illustrative purposes only since that is the latest year for which data were available. The bill itself requires that figures for 1946 be used.

Table III shows in tabular form for succeeding allotments years beginning with 1948 the amount of the Federal allotments and the conditions States must meet to qualify for the receipt of the allotments. Thus, in 1948 all States would receive $20 for each pupil they reported as having been in average daily attendance during the second fiscal year preceding 1948, i. e., 1946.

For the allotment year 1949 all States would receive $30 for each pupil they reported as having been in average daily attendance during 1947.

In order to be eligible to receive the 1950 allotment, States must meet two conditions: (a) they must have spent from State and local revenue sources in 1948 an amount per pupil in average daily attendance not less than that spent during 1946, or $100, whichever is the lesser amount; and (b) they must have spent from all revenue sources in 1948 an amount not less than $50 per pupil in average daily attendance in each local administrative unit.

To illustrate, let us take the State of Mississippi. In 1948, in order to receive its Federal allotment of $20 per pupil in average daily attendance Mississippi, having accepted the provisions of the act, would merely report to the United States Office of Education the number of pupils that had been in average daily attendance during 1946 and the amount of the State's expenditure per pupil in average daily attendance during that year for current operating expenses. Assuming, for purposes of illustration, that the number of pupils in average daily attendance and the amount of Mississippi's expenditure per pupil in average daily attendance were the same as those reported for 1944, i. e., 444,898 pupils and $42.25 per pupil in average daily attendance, respectively, then Mississippi would receive in 1948 an allotment in the amount of $20 per pupil in average daily attendance, or $8,897,960.

In 1949 Mississippi, in order to receive its allotment of $30 per pupil reported as having been in average daily attendance during 1947, again would merely report to the United States Office of Education the number of pupils in average daily attendance and the amount spent per pupil in average daily attendance during 1947 from State and local revenue sources.

Beginning in 1950, in order to qualify to receive its Federal allotment of $40 per pupil reported as having been in average daily attendance during 1948, Mississippi's report to the United States Commissioner of Education would have to indicate (a) that it had spent from State and local revenue sources in 1948 an amount per pupil in average daily attendance not less than that spent during 1946, or $100, whichever is the lesser amount; and (b) that it had spent from all revenue sources, i. e. Federal, State, and local, in 1948 not less than $50 per pupil in average daily attendance in each local school administrative unit. Since Mississippi would know, when it received its first allotment of $20 per pupil in 1948, that this standard would have to be met as a condition precedent to the receipt of its 1950 allotment, it would govern itself accordingly in the distribution of the Federal allotment to local school administrative units within the State and would thus not only raise the general level of education throughout the State but would secure a marked increase in equalization of educational opportunities within and among all local school districts.

Missouri, on the other hand, since it was already spending in 1944 (and presumably in 1946 and thereafter) at least $100 per pupil in average daily attendance (see table II), would have the option from the beginning of the operation of the act of using all or part of its Federal allotment either to improve its educational program or to reduce the burden of school taxation resting upon State and local revenue sources by substituting Federal dollars for State or local dollars above the stipulated national minima, provided only that it met the stipulated national minimum expenditures in each local administrative unit.

ADMINISTRATION (TITLE II)

Administration is by the United States Commissioner of Education. Section 105 expressly prohibits any Federal control over personnel, curriculum, or program of instruction of any school or school system in any State receiving or expending Federal funds. The Commissioner has no authority under the act except to certify to the Secretary of the Treasury the amounts to be allotted to each State which has accepted provisions of the act and otherwise qualified under section 103 to receive an allotment. The Commissioner is required to make a Federal audit of State expenditures under the act but this audit extends merely to the determination of whether or not the funds have been used to equalize educational expenditures per pupil in average daily attendance at public elementary and secondary schools in each local school administrative unit up to the amounts stipulated in section 102 of the act.

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