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for your support of H.R. 69. The public schools need sustained financial support until such time as a new comprehensive legislative program for general support to education can be enacted. Simply cutting off all existing federal categorical aids solves nothing and certainly not the problem of budget. The damage done to projected programs through June 30 of 1974 would be disastrous. There is a national responsibility that once federal aid programs in education have started they should not be suddenly cut without at least one year's advanced notice to allow local systems to readjust those programs. H.R. 69 would grant continuance until a new federal revenue sharing basis for education can be thoroughly developed in time for the 1974-75 school and fiscal years.

Bloomington public schools received $122,000 of Impact P.L. 874 aid in 1972 for 860 students whose parents work on federal property. Our district spent $900,000 educating those youngsters. Businesses support public education through taxation. Federal government property does not pay its share of support in this respect.

Your prestige and sense of responsibility to serving all of America's children through good schools and programs are the marks of statemanship. Hopefully Minnesota's Congressional Representatives join you in your support.

Sincerely,

ROBERT F. VINATIERI, Director of Special Programs.

Hon. CARL D. PERKINS,

BETHEL PARK SCHOOL DISTRICT, Bethel Park, Pa., February 22, 1973.

Chairman, Committee on Education and Labor,
Washington, D.C.

HONORABLE CONGRESSMAN PERKINS: On February 20, 1973, one of my assistants, Mr. Thomas E. Gray, who is in charge of the Impacted Aid Program in our school district, and I sat in on the hearing you conducted on House Bill 69.

We were very favorable impressed with the way you and your committee conducted the hearing and commend you highly for your efforts on behalf of education for our young people.

Bethel Park is a bedroom community suburb of the city of Pittsburgh and is considered as a favorable place to live. It is within easy commuting distances from a number of Federal installations and therefore have many government employees residing in the community.

The Bethel Park School District has been receiving aid for "B" category children for five years. This aid, while amounting to less than 1% of our annual budgets, has kept our real estate tax lower by approximately one mill each year. The attached sheets of information project accurately the statistics of Impacted Aid to this district and show that even with category "B" aid, the costs for educating these students is much higher than the aid received.

I urge your continued efforts on behalf of education and especially for Federal aid where it provides benefits directly to children. We support you and are always ready and willing to assist in any way possible.

Very truly yours,

Enclosures.

EUGENE S. SPENCE, Superintendent.

EVIDENCE OFFERED IN SUPPORT OF FEDERAL AID TO IMPACTED SCHOOL AS PROVIDED UNDER PUBLIC LAW #874

In the Statistical Addendum attached, pertinent data has been extracted from the financial statements of the School District. The five-year history (1968-69 through 1972-73) is included. From these statistics, the following conclusions are obvious:

1. The number of pupils from Federal-Employed Families increased from 4.9% of total enrollment to 5.3% of total enrollment.

2. Local effort in terms of real estate revenue derived from the homes of Federal-Employed pupils increased 173% (from $56,448 to $97,637).

3. The cost of educating these pupils (computed by extending the number of pupils times total expenditure per pupil) has increased 165% (from $334,340 to $552,449). Note how this compares with revenue received under number two above.

4. The amount of Federal Aid has increased by 156% (from $55,080 to $86,000). Federal Aid has not kept pace with local effort. Federal Aid has not kept pace with rising costs of educating these pupils.

5. The 478 pupils of this classification for 1972-73 school year, if housed on the basis of 30 pupils per room, represent 16 rooms of housing plus capital equipment. This is equivalent to one additional school building which costs the district from $250,000 to $300,000 each year in Building Authority Rental. Staffing would require 20, or more, persons at a cost of approximately $175,000 a year for a total of $475,000.

6. These 478 pupils, of which some 72% (325) are transported, represent six bus trips requiring the services of 2 buses at a cost of $8,400.

We have attempted to present the basic cost element which illustrates (rather than totalize) costs of educating pupils from Federally-Employed Families. We believe these demonstrate conclusively that this classificaton of pupils does represent a substantial financial burden upon the local district. We believe that these costs, in an expanding school district such as Bethel Park, are a much heavier burden than in a static school district.

STATISTICAL ADDENDUM-PUPILS OF FEDERAL-EMPLOYED FAMILIES (EXPENDITURES)

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Chairman, Committee on Education and Labor,
Washington, D.C.

DEAR CHAIRMAN PERKINS: As you may be aware, the Oregon State Legislature is presently considering a tax bill which will relieve the local property owners of the major share of educational expenses in our state. As a result, some small school districts will suffer from this bill because of its per pupil expenditure limitation. As an example, our school district now spends around $1,230.00 per pupil for education. Under the new tax bill, this expenditure will be limited in future years to $1,200.00 per pupil. With all sources of revenue to the school district remaining equal, this school district could continue to operate. However, in the absence of Public Law 874 funds for our children who reside on Federal lands, our per pupil costs would increase to such an extent that we would have to consider consolidation (the nearest adjacent school district is more than 20 miles distant).

In short, this district, for one, is very much dependent on Public Law 874 revenue. Should any cutbacks in this law become a reality, we would have to consider several drastic alternatives. I urge your committee to carefully examine all implications of a cutback in Public Law 874 before taking action.

Sincerely,

HOMER KEARNS, Ph. D.,
Superintendent.

COLUMBUS PUBLIC SCHOOLS,

Columbus, Ohio, February 21, 1973.

Hon. CARL D. PERKINS,
House of Representatives,
Washington, D.C.

DEAR CONGRESSMAN PERKINS: The Columbus Public Schools face serious financial difficulties. The problems of operating urban schools in America are well known to you. The Columbus schools face continually rising costs to maintain present programs. And what we do now is insufficient to meet grave needs.

We urge you to lend every effort to continue aid under Public Law 874. There is a strong rationale for these funds and the needs are urgent.

Sincerely,

JOHN ELLIS, Superintendent of Schools.

ORLEANS COMMUNITY SCHOOLS,
Orleans, Ind., February 21, 1973.

Hon. CARL D. PERKINS,

House of Representatives,
Washington, D.C.

DEAR MR. PERKINS: I would appreciate your consideration of the following information regarding our school district as you act upon H.R. 69.

This school year, 1972-73, we anticipate an income of $9,240 from Public Law 874, B2 students, and $16,065 from Title I ESEA. If these funds are discontinued, it would approximate 25¢ tax wise in our budget. Since the Indiana General Assembly's proposed tax package, if passed, will freeze our present tax levy, you can see what this would mean to our school district.

In spite of this, I would favor Nixon's proposal if revenue sharing funds are sent directly to the individual school districts in the amount which would compensate for this lost revenue, and not channeled through State Departments with a first chance to use what they desire. Your consideration is appreciated. Sincerely,

JOHN M. LANTIS,
Superintendent.

Hon. CARL D. PERKINS,

NORTH CHICAGO COMMUNITY HIGH SCHOOL,
BOARD OF EDUCATION, DISTRICT NO. 123,
North Chicago, Ill., February 16, 1973.

Chairman, House Education and Labor Committee, House of Representatives, Washington, D.C.

DEAR REPRESENTATIVE PERKINS: This communication is written in support of full appropriations for impacted aid now under consideration in Congress as a result of presidential vetoes prior to the election.

The North Chicago High School budget for the current school year, including income through Federal reimbursement for 288 3B civilian students, amounts to $112,150.00. Even with this figure, the projected budget deficit on June 30, 1973 will be $92,766.00.

The financial future of the districts is already discouraging and the elimination of the 3B2 category as a Federal government responsibility will be disastrous. The local taxes because of the fairly low assessed valuation of the school district and the per pupil state aid are not sufficient to carry additional costs resulting from Federal impact.

At the present rate of income from all sources, and spending, at our current rate ($150,000.00 reduction this past year), this district can probably operate through the 1974-75 school year but will then be dangerously close to the legal limit of its borrowing ability. It would then be a matter of just how long the new taxes would enable the school to run into the 1975-76 school year before the doors would be closed.

This day of reckoning could be delayed if this Board of Education decided to close its doors to all students other than those coming from the local community. The assessed valuation behind each student would be raised considerably as a result and this, together with reduced demands for new space and facilities, the district could support its program without the uncertainty that comes each year when it is required to wait to see what "amount" will be allowed us by Congress after they get through appropriating money for military and foreign aid.

The current enrollment of the school is 1,392 students which includes: 3A pupils ---

3B2 (3B civilian) pupils---.

3B1 (3B military) pupils..

Total Federal impact aid pupils...

418

25

288

731

This district's 3B entitlement based upon 50 percent of the per capita cost entitlement of 3A students would be $206,522.19. Since we never receive full entitlement for these students, and in some years not even for 3A's, this works a hardship.

The Great Lakes Naval Station and the Veteran's Administration Hospital represent $200,000,000.00 of assessed valuation. This is approximately three times the assessed valuation of the rest of the school district. An industry located in our community, even though it attracts workers, also goes on our tax roles and helps support the local government and schools through taxes.

Studies of impact aid authorized by Congress in the past have concluded that impact aid can be justified and it is probably the best method yet conceived for distribution of Federal dollars for education. The fact that members of Congress have an opportunity to view Public Law 874 and Public Law 815 in the Washington, D.C. area results in an unfair evaluation of the program. We think we can make a strong case for our position and are asking your support of 3B civilian students who attend our school.

Again, I quote the President, "American opportunity begins in the classrooms of this nation. When we talk about cutting the expenses of government, either Federal, State, or local,, the one area we can't shortchange is education. Education is the area in which we must keep doing everything that is necessary to help achieve the American Dream."

There are 1,392 students in this integrated school who have already felt the reduction in the school program so necessary for success today. It is important, as many of these youngsters are most in need of a good education. The enrollment of minority students has grown from 17 percent to 47 percent over a period of seventeen years. Previous figures show the high percentage of P.L. 874 students. Their mobility resulting in change of orders within the military quite often works a hardship requiring a higher per capita cost just to keep them up with other students.

We have experienced three defeats at the polls in the past six months in our efforts to raise taxes to support a quality program. Local people point to the fact that they are subsidizing the federal government by providing needed facilities and support of the program.

At the time the original building was constructed, P.L. 815 money was made available to this district in the amount of about ten percent of the costs. This figure was established based upon the percentage of impact students enrolled. A review of the records shows that, from 1954 to the present, this percentage has grown from 22 percent to 52 percent. It is not difficult to see, then, that this community has subsidized the federal government in educating and providing the space for the education of 3A and 3B students.

To broaden our presentation somewhat, but briefly, Congressional District 13 will lose $979,991.78 in 3B students revenue while Congressional District 12 will lose $180,854.42. This will have a detrimental effect upon education in this area. We would, again, ask for your help. Please feel free to call me for further information if necessary.

Sincerely,

LESTER J. HARMAN, Superintendent.

GWINN AREA COMMUNITY SCHOOLS,

Gwinn, Mich., February 20, 1973.

Hon. CARL D. PERKINS,

Chairman, Committee on Education and Labor,
Washington, D.C.

DEAR MR. PERKINS: I regret that time did not permit the opportunity to present our case personally to your committee. However, we appreciate this opportunity to again make known the situation affecting our school community.

The Gwinn Area Community School system is located in Marquette County in the Upper Peninsula of the State of Michigan. The official enrollment for the 1972-73 school year is 3,676 full time students in the regular day school program, plus an equated full time membership of 90 adults and part time students who for the most part attend late afternoon and evening classes. The district also operates a PREP program on K. I. Sawyer Air Force Base enrolling an average of 50 students per term.

The K. I. Sawyer Air Force Base is included within the boundaries of the district and is the major source of pupils in the system.

The district contains 288 square miles, the majority consisting of state, federal and cut over forest lands. The total valuation of the district is $14,269,286 which is less than $9,900 of taxable property behind each student. Facilities in the district consist of two elementary schools located on K. I, Sawyer Air Force Base, an elementary school in Skandia and another in the village of Gwinn. Also located in Gwinn is the Middle School and the Gwinn High School. The total rated pupil capacity of all buildings is 3,298 which leaves almost 400 pupils in the unhoused category.

In order to relieve this situation, the district is temporarily using eight relocatables at the elementary schools and is on a staggered schedule at the Middle School. Extreme crowding at the High School has limited curriculum offerings, especially in the preparation of job entry skills.

Our enrollment at the time of September 29, 1972 Federal Survey was as follows:

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Our operating budget for the current year is approximately $4,000,000. Of this amount 25% is anticipated from Federal sources, 70% from state aid and 5% from local sources. To maintain this budget without the Federal government's share would require an additional tax levy of 70 mills.

While the pupils living on K. I. Sawyer Air Force Base provide the greatest impact to the district it should also be noted that even if this group were not a part of the school district we would still have a tax base of less than $10,500 per pupil. This is considerably less than the average of over $17,000 per pupil for the state. This is in part due to the fact that most of the civilian and uniform B families live in trailers or other low cost housing and add very little to the local tax base. Other than the school system and the Air Base, the district has no major industry or source of employment.

The school district operates a fleet of 19 school buses, 17 of which are assigned regular runs and two are held in reserve for spares and special runs. Of this number ten buses are required to transport the Junior and Senior High School students from K. I. Sawyer Air Force Base. The overcrowded conditions in both the Junior and Senior High Schools have necessitated a staggered schedule which also requires additional busing for shuttle runs, etc.

A recent State Supreme Court ruling in Michigan concerning its present system of funding education could have a side effect of very adversely affecting the three heavily impacted school systems within the state. Because of this it is essential that impact funds come directly to the affected district and without a related reducation in state aid. We do not object to the principle of revenue sharing but in the case of federal impact we have a situation of direct relationship between the Federal government and the local school district. There is no need or justification for the intervention of a third party.

In summary, the Gwinn Area Community Schools operate a school system which is highly impacted. 70% of the students have military affiliation and an average of 25% of our revenues come from Federal sources. It is obvious that the operation of this district is very dependent upon the continued direct Federal aid to the school district. Any attempt to decrease or divert these funds would lead to drastic curtailment of our educational program.

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