Sch. Consol. Pg. 5

School Consolidation (Pg. 1, incl. index) (Pg. 2) (Pg. 3, incl. 2009 bills) (Pg. 4) (Pg. 5, 2010 General Assembly)

Daniels Is Poised To Resume Fight For Local Government Reform (Ind'pls Star, 7/4/09)

By Mary Beth Schneider
mary.beth.schneider@indystar.com
July 2, 2009

A day after Indiana's lawmakers passed a new two-year state budget, Gov. Mitch Daniels was already looking ahead to his next legislative goal: reforming local government, including a push to merge the state's smallest school districts.

Daniels had sought a slew of reforms -- including eliminating township government and creating a single county chief executive to replace commissioners -- earlier this year.

His ideas, however, collapsed in the legislature, dying in the Democrat-controlled House after being watered down in the Republican-controlled Senate.

With the budget now completed, Daniels said he'll try again in the next session.

"I hope we make more forward progress next year," he said. "We'll be back with local government reform."

It wasn't clear whether Daniels would back the same proposals he pushed this year, many of which came under intense fire from legislators in both parties.

"We'll have to talk about exactly which aspects, and visit with proponents, visit with adversaries, see if we can find a way to move forward there," he said.

But Daniels signaled that one area he'll pursue is the consolidation of the administrations of small school districts. He pointed to the new budget, in which some small rural schools saw their funding cut.

"You've got districts with fewer (students) than some grade schools, that have a superintendent and a staff," Daniels said. "Many counties I visit will be carved up into three or four districts, and the total number of kids is only a couple thousand. It would be very easy for one administration to run the buses and the food service and the paperwork, and liberate all that money to hire more teachers."

House Democratic Floor Leader Russ Stilwell, D-Boonville, said dwindling revenues could spur legislators to give the reforms a second look.

"Time will tell," he said. "It might make all levels of government more interested."

But, he said, school consolidation -- even if it's only of the administration functions -- is a nonstarter.

"I am a guy from rural Southern Indiana. The last thing they want is consolidation of their schools," Stilwell said.

The two-year budget will increase overall state spending on public schools by an average of 1.1 percent in the first year and 0.3 percent in the second year. But many school districts with declining enrollments will get less money than they got this year, while some suburban districts with growing enrollments will get larger increases.

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Daniels’ Bottom Line: Rural schools suffer under new budget (Ft. Wayne Journal Gazette, 7/12/09)

“These 16 months on the road are our way of saying to Hoosiers, no matter where you live, you are not forgotten anymore.” – Mitch Daniels (July 7, 2004)

For the thousands of rural Indiana residents who saw state leaders only on broadcasts originating from Indianapolis, the Republican candidate for governor who rolled into their small towns and farms in a lumbering RV was a breath of fresh air in 2004. He talked about community and engaging all Hoosiers in an “Indiana comeback.”

But if they aren’t skeptical about their role in Gov. Mitch Daniels’ vision five years later, they should be by the time the full force of budget cuts hits their local school districts. While he touts overall increases in education spending, those increases are anything but equitable, particularly for rural schools. Suburban school districts will see increases averaging about 1.5 percent next year; rural schools will average just 0.35 percent more.

Statewide averages conceal the school losers, many of them in the small towns candidate Daniels insisted were not forgotten. Hamilton Community Schools loses 0.66 percent next year; 3.81 percent in 2011. North Adams Community Schools in Decatur loses 2 percent over the next two years. Churubusco’s Smith-Green Community Schools loses about 1 percent next year and almost 3 percent the following year.

At Hamilton, a 540-student district straddling the Steuben-DeKalb county line, Superintendent Mark Gould sent layoff notices to eight employees this spring.

Federal stimulus dollars will allow him to bring three of them back, but he pointed out that the money is a one-time fix. Gould believes the district can weather the $175,000 budget hit with cash reserves over the next two years.

Hamilton Community Schools is the biggest employer in the scenic lake community. Gould said local business owners tell him that their traffic spikes in the mornings before school starts and in the afternoon, when classes are dismissed and parents pick up students at the school, which houses grades K-12.

Gould is not an example of the bloated education bureaucracy that the governor likes to complain about. One of just four administrators, he answers the central office phone himself. The school board renewed his contract this year but held off on a multiyear extension because of uncertain funding.

Of course, Hamilton – the smallest school district in northeast Indiana and one of the 10 smallest in the state – would be a prime candidate for the district consolidation Daniels advocates. Cut the bloated bureaucracy and push more dollars to the classroom, he argues.

But small-school patrons who think their students might fare better under consolidation should look to Huntington County Community Schools, seemingly one the governor would hold up as a model – one countywide district, minimal administrative overhead, above-average ISTEP+ scores and graduation rate. Its average teacher salary is below state average, and teacher contract days total more than the state average.

So how does the new funding formula treat the rural Huntington district? It cuts funding by almost $675,000 over the next two years.

Assistant Superintendent for Business David McKee said declining enrollment is to blame for the loss. The state projects Huntington will lose 90 students next year, although he’s hopeful it will be less. Never mind that it’s not the schools, but economic forces driving families out of Huntington County or preventing young people from finding jobs and starting households there.

Indiana’s funding formula is based on a per-pupil calculation, but it rightly recognizes that fixed costs don’t fall proportionately with enrollment so that districts don’t lose full reimbursement all at once. That provision grates on the money-follows-the-child boosters, who apparently believe that students leave school districts in neat groups of 28 fifth-graders, allowing a corporation to cut a teaching job, board up a classroom and cancel a bus route. Their simplistic mantra makes for a catchy sound bite, but its application has disastrous effects on districts with declining enrollment.

It’s also self-defeating. Strip dollars from those districts, and they are forced to cut into staff and programs, driving even more families to the fast-growing suburban districts and creating a whole new set of challenges there. What better way to drive statewide school construction costs higher, for example, than to expand suburban and charter schools?

Likewise, cutting support for rural schools inevitably compromises the quality of education available. Why would business owners who could locate anywhere want to set up shop in a district with schools that are struggling financially? They wouldn’t – further reducing the opportunity for rural and small community districts to grow and thrive.

Huntington’s McKee isn’t one to complain that his district needs money for students who move out. He would just like to see the school corporation receive the full per-pupil reimbursement it’s entitled to. The district already has a higher school tax rate because the total assessed value of property is lower than the state average, so the assistant superintendent concedes that a referendum to raise an additional levy for general fund support is not likely to pass.

That leaves communities like Huntington at the state’s mercy and speaks to the heart of the school funding debate and, in turn, larger philosophical questions. What future do rural schools have in Indiana? Can they ever be “efficient” enough to match suburban districts? Without schools, what will happen to rural Indiana?

At Hamilton Community Schools, Superintendent Gould is worried about the future of districts like his own. “If this keeps up for the next three years, the public needs to get involved and say what it wants,” he said. “It seems to be the agenda of the governor to do away with small districts.”

That’s not what Daniels seemed to promise when he told rural Indiana residents in 2004 that they were no longer forgotten, but he added a post-script.

“We have a small-town bias in our administration,” the governor told participants at a rural affairs conference in November 2007. “We are doing what we can to foster what can be a revival of rural Indiana. However, this is not sentimental. It is not an affair of the heart. We love rural Indiana – the people and the values. But no, folks, this is business.”

Daniels Attacks Schools (Brett Boggs, The Rochester Sentinel, 8/21/09)

By Brett R. Boggs
Superintendent, Tippecanoe Valley School Corp.

(The following was originally published by The Rochester Sentinel on Monday, August 10, 2009. Superintendent Boggs submitted "Public Education: The Cornerstone Of Our Democracy" as a title for the article.)

Public education in Indiana is under attack, directed from the office of Gov. Mitch Daniels. During a July news conference, after the General Assembly finalized the 2010 budget, Gov. Daniels expressed his negativity toward public education in stating, "If this is an end to public education as we know it, I say thank goodness."

Gov. Daniels recently criticized Indiana's public schools by stating, "We do not have one good school system in the state." The truth is, Indiana's public schools nationally rank in the top half of the states in almost all measured areas and continue to show improvement statewide. Indiana's graduation rate from the Class of 2007 to the Class of 2008 went up from 76.4 percent to 77.8 percent while dropout rates went down from 11.9 percent to 10.3 percent. The average daily attendance rate in Indiana's public schools has never been higher. Indiana's SAT scores continue to approach the national average, despite the fact 62 percent of Indiana's students take the SAT compared to 45 percent nationwide. The number of students graduating with academic honors or a Core 40 diploma is the highest in state history. During the past 10 years, the percentage of Indiana high school graduates pursuing a college education has risen by over 12 percent while the number of students on free and reduced assistance has grown from 28 percent to 42 percent. The number of limited English proficient students in Indiana's public schools has increased from 10,616 students in 1997 to 45,885 students in 2007. The number of students receiving special education services has also increased from 14.7 percent to 16.7 percent during the same 10-year period.

Quality education for all is the key to success for 21st century America. Public schools are the only schools legally required to accept and serve all children, no matter their race, religion, educational attainment, social class, family income, or special needs. Public schools enroll all students and provide services designed to meet the special needs of a wide variety of abilities. Public schools must provide services for children with disabilities, children who do not speak English or whose proficiency in English is limited, and children who are educationally disadvantaged. Support services offered by Indiana's public schools include school meals, after-school programs, counseling, and free transportation to and from school.

Indiana's public schools are where children learn to live in an increasingly diverse society. Children learn to tolerate, interact with, and hopefully enjoy, people who are different than themselves. Attitudes children form during their school experiences constructively serve them in the world they will shape as adults.

The United States has led the world for more than 100 years because of the character of its people and what they know. During that time, the vast majority of its citizenry has been educated in our nation's public schools. Indiana's public schools provide a successful place for all children to learn. Public education provides the foundation of our economy and the very foundation of our society.

Indiana's public schools operate under high standards and public accountability. Statewide standards for academic subjects, teacher qualifications, and other requirements provide students with a safe and effective learning environment.

The status quo is never good enough. The Tippecanoe Valley School Corp. continues to maintain a strong focus on improvement by implementing a wide range of initiatives, from technology integration to innovative teaching practices, to ensure every student receives the best education possible. Today's public schools are better than ever and will continue to be responsive to individual student needs while adapting to a rapidly changing society in which students use technology and information as workers, consumers, and citizens.

Universal education for all citizens, better known as public education, is the cornerstone of our democracy. Today's public schools, the product of more than a century of reform and revision, are one of America's oldest and most dynamic institutions. Public education must continue to play a key role in achieving and reflecting our American ideals.

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New CEEP Report On Potential Of School District Consolidation In Indiana Determines Evidence For A Mandate Still Lacking (Indiana University, 10/5/10)
(This News Release was originally published September 30, 2010 by Indiana University. Bold type and highlighting have been added by the Webmaster.)

BLOOMINGTON, Ind. -- A new education policy brief from the Center for Evaluation & Education Policy (CEEP) at Indiana University concludes that, despite some legislative interest in mandating school consolidation, the results wouldn't benefit students and would have minimal impact, if any, on state spending on public education. Revisiting School District Consolidation Issues is the latest policy brief from CEEP.

"Some of the proponents for consolidation argue that the smallest districts are inefficient, that there's too much overhead to operate those small districts, and that they're spending too much on administration," said Terry Spradlin, associate director of education policy at CEEP and a co-author of the report. "This data suggests otherwise."

The policy brief examines consolidation feasibility studies funded by the Indiana Department of Education, analyzes results from the Indiana Statewide Testing for Educational Progress-Plus (ISTEP-Plus) standardized assessment by school district size, and considers other measures such as Advanced Placement performance and whether corporations achieve the Adequate Yearly Progress (AYP) federal benchmark, as well as school corporation expenditures.

While the Indiana General Assembly hasn't passed a school district reorganization bill since 1959, discussion of consolidation began again with a provision in the 2005 state budget bill calling for studying school corporation central office consolidation. Subsequent legislation to mandate consolidation has failed in sessions since, including two Senate bills in 2009. Nationally, an increasing number of states have introduced or passed bills to spur study into consolidating schools. Maine passed a mandatory consolidation law in 2007, but controversy and a failed voter referendum to repeal the mandate have resulted since then.

The data show little difference in student achievement between larger and smaller districts. Noting that small districts may lack diversity and be required to report scores for fewer student subgroups under AYP, Spradlin said virtually all the small districts meet the federally-approved accountability requirements. The analysis showed statistically insignificant differences in ISTEP achievement between the districts, but offered one other counter to potential consolidation plans.

"The one grouping of school districts that had a statistically lower outcome on ISTEP is those districts greater than 20,000 students," Spradlin said.

"That would make the case for deconsolidation," he said, meaning that perhaps the larger districts would benefit from dividing into smaller ones. Another compelling finding was that small districts do as well, if not better proportionately, in driving dollars to the classroom for instruction compared to all other expenditures. One area where smaller schools did lag behind is in Advanced Placement testing.

"When we looked at all of these measures, again a compelling case could not be made for wholesale or mandated consolidation in the state of Indiana," Spradlin added.

The brief notes that many school corporations have begun to seek out money savings by sharing services. The brief recommends collaborative opportunities should be explored in negotiating joint purchasing agreements on matters like school bus fleets and health insurance, collaborating on distance and virtual learning, and teaming on grant proposals and professional development opportunities for teachers.

"Some districts are even sharing a superintendent," Spradlin said. "There does seem to be some potential in those areas to realize greater savings on a statewide basis with all 292 districts rather than just focus on districts that represent 3 percent of our student population," Spradlin said.

Further recommendations include tracking expenditures by line item to help researchers understand how schools might operate more efficiently and how expenditures may be linked to student achievement. To expand the curriculum of smaller schools, the brief recommends consideration of virtual learning opportunities and other options like joint summer school programs, open enrollment and half-day or flexible scheduling. Future consolidation discussion, the report recommends, should include a deconsolidation consideration.

Finally, the researchers state a balance between costs, achievement, and social and political considerations must be maintained by policymakers and education leaders to maximize public education's utility.

CEEP, one of the country's leading non-partisan education policy and program evaluation centers, promotes and supports rigorous evaluation and research primarily, but not exclusively, for educational, human services and nonprofit organizations. Center projects address state, national and international education questions. CEEP is part of the IU School of Education. To learn more about CEEP, go to http://ceep.indiana.edu.

Proposed State Budget Includes Mechanism To Force Smallest School Districts To Consolidate (retitled, Evansville Courier & Press, 4/20/11)
(This article was originally titled, "Reworked Budget Clears Indiana Senate Committee," by the Evansville Courier & Press.)

...(The Senate Appropriations Committee approved a State budget that) includes a mechanism that aims to force Indiana’s smallest schools to merge with others, while sparing medium-sized schools from some of the pain of a new education funding formula that would send more dollars to growing, usually suburban schools and less to places where enrollment is declining, usually in urban and rural areas. That mechanism would send $100 per child to every school district with more than 500 students, up to a total of $100,000 per district. It was a “deliberate” effort to nudge the 15 or so smallest school districts, which won’t qualify for $100 per student, toward consolidation, Kenley said... (more)

Gov. Daniels: School Systems Of Caston's Size Have Too Much Administrative Overhead (WROI, 5/28/11)

On Friday, May 13, 2011 Rochester radio station (www.wroifm.com) News Director, Baron von Imhoof, interviewed Indiana Governor Mitch Daniels. Much of the interview dealt with Daniels perspective on the recently concluded 2011 legislative session as regards education reform. Following is part of the conversation:

Imhoof: "...at the last legislative breakfast we had here in Rochester it was brought up by a couple of the superintendents at some of the schools around here that this latest budget cut some small school grants and other grants and the superintendents, these are their words, not mine, are calling it a back-door way to force consolidation of the smaller schools. Number one, is that true and number two is that necessarily a bad thing?"

Daniels: "No, it's not true...for a long-time we have very much favored the smaller schools and shrinking school districts. Some were rural, some were the big urban districts. They've been getting way more money per student than areas that were stable or growing. They're still going to get more money per student, but, the gap has been narrowed in a much simpler formula that the legislature passed. Some of these districts have been cushioned for a long time. They have very high administrative costs and we’ve got superintendents in places in this state, Baron, that have a bureaucracy over six or eight hundred kids, I mean we have elementary schools bigger than that…we have too much administration…We ought to have fewer administrations and the whole point to me has always been let's have smaller schools and classrooms by having less overhead. It's been very slow to come, but, when the spigot is turned back a little bit, yes, those people are beginning to look at common-sense things they should have looked at earlier. It doesn't have to be total consolidation, but...”

(Daniels also commented about vouchers and full day kindergarten. An audio of the education-related part of the interview is here (05:41). A Rochester Sentinel report of the "legislative breakfast" referred to above is here. A list of Indiana school systems with less than 1,000 students is here. - Webmaster)

Parke (County) School Districts Look At Reorganization (i.e. Consolidation): Turkey Run And Rockville Boards Have Agreed To Study Issue (Terre Haute Tribune-Star, 7/28/11)

TERRE HAUTE — While voters will have the final say, Turkey Run and Rockville school districts are “exploring the possibility” of reorganizing into one school district, said Tom Rohr, Turkey Run superintendent.

“Both school boards have agreed to pursue the reorganization issue,” he said.

A six-member Rockville-Turkey Run reorganization committee will conduct a work session at 6:30 p.m. Monday in the Rockville Community Schools central administration office, 602 Howard Ave., Rockville. Members are developing a reorganization plan.

The committee recently was chosen and selected Roy Wrightsman as chairman. “They’re just now starting their work,” Rohr said. Other members are Alan Ader, Larry Gambaiani, Marilyn Rode, Jean Ann Craycraft and Greg Harbison.

Voters in each district would ultimately have to approve a reorganization plan by a majority vote in a general election, but not before November 2012.

If the proposal passed, the two districts would become one, with one superintendent, one administrative business office and one seven-member school board.

The reorganized school district would have a new name.

Rohr said the reorganization proposal is a follow-up to a consolidation study done a few years ago involving three Parke County school districts. Southwest Parke School Corp. is not participating in the current reorganization effort.

Rohr said that major driving factors are enrollment declines and reduced state funding.

Over the past decade, Turkey Run, which now has around 520 students, has seen its enrollment drop 31 percent. At Rockville, enrollment has dropped about 21 percent over the past decade. Last year, it had 766 students.

At the high school level, some class sizes are so small it’s difficult to offer the classes students need, he said.

Another major reason for reorganization is financial, Rohr said. “The state has really put the squeeze on small school districts,” Rohr said. “With the last funding formula, the legislature eliminated the small schools grant which for us [in Turkey Run] is $300,000.”

The district’s overall budget is about $4 million.

Reorganization “hopefully will improve overall efficiency of the [newly-created] corporation,” Rohr said.

Randall Kerkhoff, Rockville schools superintendent, said the new state funding formula “is financially starving smaller districts so they have to do something.”

The most important consideration is maintaining a high level of education and providing the services students need to be successful, he said.

The two districts already work cooperatively in some curricular areas, such as speech classes and driver’s education. Last year, students at both high schools took speech classes at the Ivy Tech learning center located in Rockville; those students earned high school and college credit.

Kerkhoff said he’s hearing comments both in favor and against reorganization. “It still is a community decision,” he said.

Reorganization will mean fewer positions and one less superintendent. The new board will decide on the superintendent — it could be Rohr, Kerkhoff or someone else. Kerkhoff said he is concerned, “but my biggest concern is what we do for kids.”

Rohr, who previously retired before becoming Turkey Run superintendent, said he is not concerned about whether he would serve as the superintendent of the new district. He said he has been “pushing” for reorganization.

Rohr said the two districts are following a new reorganization law, which is essentially the same as consolidation. The major difference is that under the new law, the reorganized district would not assume old debt. Taxpayers in each current school corporation would continue paying any debt obligation incurred by the existing corporation before reorganization.

There are many steps that must occur before a new, reorganized school district becomes reality:

• Both boards must pass a resolution saying they want to reorganize, which they have done.

• Each board chooses members to serve on a reorganization committee, which has been done.

• The committee develops a reorganization plan, which is then submitted to each school board.

• Each school board must adopt an identical plan and agree to any modifications.

• The plan, if passed, then goes to voters at the next general election, which would not occur before November 2012.

If voters approved the plan in November 2012, the newly organized school district would begin in January 2013 and new board members would take office. The board would select a superintendent.

Rohr said he has not heard any opposition to the reorganization proposal. “In years past, there has been all kinds of opposition expressed, but so far, people seem to be pretty supportive of it,” he said.

If reorganization occurs, any decision related to school facilities would be made by the newly-selected school board.

Wrightsman, who chairs the reorganization committee, said he hopes citizens in the two school districts support the reorganization plan. “I think a lot of people understand this is something that really, probably needs to happen,” he said.

With the new funding formula, it’s becoming very difficult for small school districts to keep funding levels high enough to support educational programs for students, Wrightsman said.

By initiating reorganization locally, “We can determine how it happens,” Wrightsman said. “It could get to the point where the state starts to tell you how you will do it.”

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Declining Enrollment, Funding Leave New Harmony School District's Future In Doubt (Evansville Courier & Press, 10/14/11)

Originally published 12:01 p.m., October 12, 2011
Updated 08:02 p.m., October 12, 2011

State funding cuts and the continued erosion of already small enrollment figures have thrown the future of New Harmony’s school district into question.

Superintendent Fran Thoele said the district — which operates grades K-12 under one roof and has current total enrollment of 137 students — has been working with a consultant on various options.

They include a referendum to raise property taxes, merging the school district with others in Posey County, pursuing charter school status or seeking private funding for the school.

The alternatives will be discussed at public forums on Oct. 27 and Nov. 3 in Murphy Auditorium. Both will start at 7 p.m.

Thoele said the School Board will choose a direction for New Harmony sometime after those meetings.

New Harmony School Town and Township is one of the smallest of Indiana’s 292 school districts. Even as enrollment fell in recent years to a point where only a few students were in each class, New Harmony officials vigorously opposed any notion of a merger with Posey County’s other two districts — North Posey and Mount Vernon.

New Harmony forged cooperative agreements with other school systems in the region, including the Evansville Vanderburgh School Corp., while vowing to remain an independently-run school district.

Now, though, Thoele said economic realities are forcing New Harmony to weigh all options to keep the school open, even if it means becoming part of another district.

School district officials say there has been public sentiment for retaining elementary grades in New Harmony if middle and high school classes are eliminated.

Some residents also have suggested that tweaking the school’s curriculum might help it attract more students.

Whatever decision the school board makes, officials say the district’s current path can’t be sustained.

“Recently, the school district has felt the impact of the economic downturn; and, coupled with a decline in enrollment, will rapidly be in an unstable financial situation,” according to the school district’s website.

“While the school district has a rainy-day fund to support declining funding during the 2011-12 school year, those savings will be expended at the end of 2012,” the online message continues. “It is imperative for the school district to study all options available in this strategic planning study and to do it expeditiously.”

Indiana Rural School Systems Could Be Forced To Consolidate By Virtue Of Death By A Million Cuts (retitled, StateImpact Indiana, 10/27/11)
(This article, by Ben Skirvin, was originally titled, "Rural Schools Could Be Forced To Consolidate," and first published October 25, 2011by StateImpact Indiana. Bold type and highlighting have been added by the Webmaster.)

School officials at many of Indiana’s smallest districts are having a hard time balancing their checkbooks. There is mounting evidence that this is part of a concerted effort by Governor Mitch Daniels and the General Assembly to force consolidation onto districts with fewer than two thousand students. For the few attempting a referendum, it’s a battle for survival.

About a half hour north of Indianapolis at a Sheridan Community Schools PTO meeting, board member Todd Roberts says he has a simple request for voters in his area– give the district $665,000.

He says it’s a fair request. The state cut about one million dollars from the district’s budget over the last two years. After laying off ten teachers and even closing an elementary school, frankly, the district is a little desperate.

“A lot of people have accused this school board of scare tactics.” says Roberts. “Of oh, you’re trying to scare people into doing this. I couldn’t agree or disagree more. From the stand point of we wouldn’t be doing our job if we didn’t lay out all the possibilities.”

He says Sheridan has two options – voters can pass a referendum or the district needs to consolidate.

John Krause (Click here for a complete transcript of our conversation with Krauss) headed a research team behind a report Governor Mitch Daniels commissioned in 2007 entitled “Streamlining Local Government.” Among other findings, was a suggestion to eliminate all school districts with fewer than two thousand students. The basic idea was to eliminate administrators, but keep the school buildings.

“There are quite are few that are very large, then there’s some that are very, very small. But both of them have the same administrative structure as the other,” says Krause. “For example, superintendent and assistant superintendent.”

Let’s take a trip across the state to Eastern Greene Schools. Located among cornfields at a crossroads about 15 miles from Bloomfield.

Ty Mungle has been in charge of the district for about three years. During that time, his schools which serve about 14 hundred students have faced large cutbacks from the state. Mungle’s fired teachers to make up for the shortfall.

“Obviously a large percentage of our budgets ends up in salary and benefits,” says Mungle. “And unfortunately, that’s where we have to end up. Is looking at personnel.”

According to education policy analyst David Dressler, Mungle doesn’t have many other options. 16 percent of people living in his district are at or below the poverty line, so it’s unlikely they’d support a referendum.

“Taxpayers often take the attitude, “says Dressler. “You mean I can vote no on taxes? Why would I do otherwise?”

Dressler says without a referendum, there will continue to be less money to pay more and more expensive costs. Meaning if Mungle doesn’t pass a referendum, then he has little choice other than to keep firing teachers every year. It’s the classic death by a million cuts.

And, in the mean time, with fewer teachers each year, there’ll be fewer classes. After all, no P.E. teacher, no gym class. No foreign language teacher, no French class. Lose too many teachers and eventually, the school disappears.

As a companion to this piece, we’re conducting a survey. Click here to vote in our interactive poll and feel free to leave comments. We want to hear your thoughts. Would you support a referendum in your area?

Why Governor Daniels Thinks Small School Districts Should Consolidate (StateImpact Indiana, 10/27/11)
(This article, by Ben Skirvin, was first published October 26, 2011by StateImpact Indiana. Bold type and highlighting have been added by the Webmaster.)

About 20 percent of school districts in the state are rapidly facing a choice: either pass a referendum or consolidate with a neighboring school district. In 2007, Governor Mitch Daniels commissioned a study titled “Streamlining Local Government” (also known as the Kernan-Shepard Report). Among other findings, was a simple suggestion– eliminate all school districts with fewer than 2,000 students.

Based on this report, Daniels backed a package of legislation which would have forced consolidation on a number of Indiana’s small school districts.

1. Small Schools Are Inefficient

According to the study, schools account for 54 percent of all the property taxes collected in Indiana. That revenue is spread among the state’s 293 districts. The survey concluded consolidating school districts below a certain level of enrollment would streamline the cost of education by eliminating administrative staff needed to run multiple corporations. According to the report, Indiana is above average when it comes to the percentage of administrative and support staff per teacher. This includes positions like cafeteria worker, bus driver, and janitor.

The bill that would have forced consolidation died in the General Assembly. David Dressler, with education policy think tank Center for Excellence in Leadership in Learning, says the governor may still be pursuing this agenda through budget cuts and changes to Indiana’s property tax code.

“It is a structural problem for school corporations and for that matter for municipalities and other governmental units," said Dressler. “These caps will continue to cut into revenues and revenues will continue to cause them to be able to offer less in terms of programming.”

While the Kernan-Shepard report calls for a structured transition to consolidated school corporations, Dressler says the route pursued by the governor’s office is more like death by a million cuts.

2. Small Schools Cannot Provide A Comprehensive Education

Small school corporations are unable to provide the diversity of programing available at larger districts. Administrators at many of the state’s smallest school districts admit this is true.

The “Streamlining Local Government” report goes past this, saying many small schools are unable to meet the state’s minimum graduation requirements.

The Rural Schools and Community Trust has taken issue with this claim. According to a report published on the group’s website, consolidation negatively affects students outside of a school’s home community and is almost always destructive to towns which lose school buildings through the process.

The group points to a number of alternative approaches which allow districts to maintain autonomy while working together with neighboring corporations. These include co-opertive administrations where districts share superintendents, administrators, and even teachers across school boundaries. Another alternative is the creation of a county wide agency charged with coordinating curriculums so that district’s can better share services.

3. There Is An Optimal Size For Schools

The report claims that school districts between two thousand and six thousand students represent the ideal balance between efficiency and educational achievement– allowing the district to maintain small class sizes, while still having the resources to offer a variety of programming. This claim is based on assessment data from the Indiana Department of Education.

Dressler says this may be misleading as many districts of the size mentioned in the report are in suburban areas or in midsize cities. These communities have been much quicker than smaller school districts in passing funding referendums to make up for any budget shortfalls. Dressler says this has created a structural system of haves and have nots, since budget cuts always have a smaller affect on communities with a robust and diverse property base.

“The more assessed valuation in the school corporation the lower the rate of increase that a referendum has to have in order to generate a significant amount of funding.”

Similar research from Indiana University’s School of Public and Environmental Affairs shows rural communities are among the least likely in the state to pursue a referendum.

North Posey Willing To Consider Merger With New Harmony School (Evansville Courier & Press, 11/16/11)

(This article, by John Martin, was first published November 14, 2011by the Evansville Courier & Press. Bold type and highlighting have been added by the Webmaster.)

POSEY COUNTY, Ind. — As New Harmony Town and Township School confronts questions about its future, officials with Posey County's other two public school systems have looked on with interest.

A consultant hired by the New Harmony School Board, Phyllis Amick of Scottsburg, Ind., has recommended that the school close. Official enrollment in the school district, which operates grades K-12 in one building, has dwindled to 137.

Amick researched various alternatives for New Harmony, including a tax referendum and possible mergers with the North Posey or Mount Vernon school districts.

Metropolitan School District of North Posey Superintendent Todd Camp and North Posey School Board President Joseph Neidig said that Amick, when compiling her report, requested a variety of information from their district, as well as from the Metropolitan School District of Mount Vernon.

Amick's report notes that under a merger, New Harmony school would be governed by another district, but the school would still exist. Both school districts in question would have to agree to terms of a merger.

All three Posey County school districts have faced declines in enrollment and state funding.

Asked after North Posey's School Board meeting Monday about New Harmony's situation, Camp and Neidig said they aren't sure if a merger between the districts would be feasible, but they said they would welcome a conversation about the possibility, if New Harmony's board showed interest.

"We want to do what's right by our students and community, and I mean all our communities (in Posey County)," Neidig said.

Referring to New Harmony, Camp said, "We want to treat them as we would want to be treated if we were in their situation. If they say they want to consolidate with North Posey, we'd go to work. We'd explore and take a serious look at it."

Camp noted that discussion about school district mergers in Posey County goes back decades.

New Harmony's school board could make a decision about the district's future as early as Dec. 8.

Neidig, who along with Camp attended two public hearings hosted by New Harmony's School Board, praised the board's diligence. "They have done an excellent job trying to get all the facts and information on the table."

New Harmony School Board Votes For Consolidation (Evansville Courier & Press, 12/10/11) - NEW HARMONY, Ind. — An anguished New Harmony School Board voted unanimously Thursday evening to consolidate with another district, a likely first step toward closing the town's school after the current academic year.

The school has been plagued by falling enrollment and corresponding losses of state funding. New Harmony operates grades K-12 in the same building, and officials said Monday that if the school remains open, there might be as few as two students at some grade levels next year.

New Harmony's School Board members, Superintendent Fran Thoele and school advocates have spent the past few months researching alternatives to consolidation such as a referendum on higher property taxes, charter school status and more.

Board member Jason Wilson said that even if voters approved a tax increase, it would not solve the dilemmas of falling enrollment (currently 137) and town population.

Wilson also noted that revenue from the tax increase would not be available for the 2012-13 school year, necessitating further cuts at a school already functioning with a bare-bones budget.

New Harmony officials discussed the charter school option and alternative curriculum models with the University of Southern Indiana, Ball State University and many others.

"All these models suffered from a fundamental weakness in the funding," Wilson said. "The funding was not there."

Wilson praised Thoele's efforts on the school's behalf and said the superintendent met face-to-face with State Superintendent for Public Instruction Tony Bennett "almost to the point of pleading for a solution." He said the school district spent more than $7,000 on a marketing campaign aimed at getting more students.

Although the plight of New Harmony's school did not receive much public attention until recently, Wilson said the board has been looking at various alternatives for "three or four years. For many people, this is a new topic. Not for us."

The board conducted two public hearings about the school's financial situation, surveyed residents and had numerous community conversations. Board member Curt Schmitt said he and others spent sleepless nights "trying to think of anything we have missed."

Schmitt said the board sought to be "as thorough, methodical, expansive and open as we could in studying the problem and trying to find an answer to it."

In asking for a motion to pursue consolidation with another district, Board President Jim Scarafia said he was doing so "with much pain and great anxiety." Some students and teachers attending the board meeting, conducted in the school media center, wept as the motion passed 5-0.

As the meeting was under way, the New Harmony varsity girls basketball team played a game in the gymnasium down the hallway.

Scarafia and other New Harmony officials stressed that they believe their decision was in the best interest of New Harmony students, who will have more educational opportunities and a more stable financial climate awaiting them in their new school district.

The process of consolidation, meanwhile, could be a complicated one. Officials said there is no recent precedent for school district consolidation in the state, and the school boards of both New Harmony and its consolidation partner would have to reach an agreement. New Harmony has a principal and about 20 full- and part-time teachers.

North White Board President "...Wants To Consolidate The Four Districts In White County Into One Megadistrict" (retitled, StateImpact, 12/31/11)
(This article, by Ben Skirvin, was first published Friday, Deceember 30, 2011by StateImpact under the title, "Why Won't Anyone Consolidate With Us? The Story Of One Lonely Indiana School District." Bold type and highlighting have been added by the Webmaster.)

During his tenure as school board president at North White School Corporation, Shannon Mattix has pushed for something strange. Usually, school officials fight to protect their district from outsiders trying to take control, but Mattix has a different idea. He wants to consolidate the four districts in White County into one megadistrict.

“One of the things that I brought up and a few other members of the community brought up was that consolidation needed to happen for the whole county.” says Mattix. He’s talking about a series of meetings dating back to 2000 during which the issue of countywide consolidation was raised.

Among the people in Maddix’s district that StateImpact spoke with, it’s a popular plan. Chris Fullerton owns a little computer shop about ten minutes west of Monticello in the heart of Reynolds Indiana. He can list some specific reasons why he thinks consolidation is a good idea.

“Get rid of the four or five school boards and superintendents we have. Put them all under one roof,” says Fullerton.

But there’s a problem. It takes two school boards, not just one, to approve consolidation and none of North White’s neighbors care much for the idea of joining forces.

Bernard Graser is retiring in about a week, but for the moment, he’s superintendent of the Frontier School Corporation in nearby Chalmers, Indiana. North White has asked his district several times if they would be interested in uniting under one banner. Graser says his district has studied the idea of consolidation but prefers to go it alone. He says the process would require so many changes that it really wouldn’t produce any financial savings.

“There’s just so many variable to go ahead and say let’s consolidate,” says Graser.

There are a lot of similarities between Graser’s district and North White School Corporation. Both are losing money. Both are losing students. Both have laid off teachers and cut programs.

But Graser’s district gets money from local wind farm operations and they’ve been able to use that to muddle through some of the rough financial times that are devastating some of their neighbors.

“They do not have that same pool of money that we have, but if we were to consolidate, we would have to share that money with them,” says Graser.

North White has approached all of the other major districts in the area and each is opposed to the idea of consolidation.

Terry Spradlin works with Indiana University’s Center for Evaluation and Education Policy. His group has spent the last five years tracking school consolidation around the state. He says this is a problem that could have been avoided, especially considering the size of the districts involved.

“The dollars involved in these small corporations as a portion of the state budget are very small, very minimal,” says Spradlin.

North White had enough of a reserve to last them for a few years, but school board president Shannon Maddix says no matter what his counterparts say, there are still major savings that could be had from consolidating. He’s not even talking about anything complicated. He’s talking about the most basic school supplies.

“We can’t even agree to buy paper,” says Mattix. “And if you tell me paper doesn’t impact a child. Last time I checked, we use a lot of it.”

Maybe one of his neighboring districts will have a change of heart and decide to merge with them. If not, Spraudlin says consolidation could happen anyway. It would just take a different form. After all, if a district keeps losing money and eventually closes its doors, then those students end up in their neighbor’s classrooms either way.

(In addition to the North White and Frontier School Corporations the other two systems are Tri-County and Twin Lakes School Corporations. - Webmaster)

Four White County School Systems Continue Collaborating, "Consolidation" Is Discussed (retitled, Monticello Herald Journal, 1/1/12)
(This article, by Katie Duffe, was first published Wednesday, December 7, 2011 by the Monticello Herald Journal under the title, "Schools Bridging The Divide, County School Boards Hold Joint Meeting To Discuss Collaboration." The meeting referred to below occurred on Monday, December 5, 2011. The study referred to below ("White County Consolidation Study") will be found here. Bold type and highlighting have been added by the Webmaster.)

REYNOLDS — Three years after their first joint meeting, members of the four White County school corporation boards believe they are still on a path toward collaboration.

Joining together Monday evening at the White County 4-H Extension Building in Reynolds, members of the four boards gathered together to discuss how far they’ve come in the past three years — and begin taking at look at what the future will bring.

“You’re doing things together, you’re sharing ideas,” said Purdue University professor Dr. Dennis Cahill, moderator for the evening. “This is a unique situation in the state of Indiana, what you’re doing here, and you should all be very proud of yourselves.”

In the fall of 2007, all four White County schools formed a White County Steering Committee and teamed up with the Wabash Valley Education Center, who helped apply for a Department of Education grant for $25,000. When the grant was approved, the funds were used to conduct a study by Purdue’s Educational Leadership initiative for small and rural schools.

Since August 2008, the White County consolidation/collaboration committee met monthly with the four local superintendents and school board representatives.

“It’s too bad that the financial side of this is what brought us together, but I’m glad we’re here,” said Frontier School Board President Barry Wesner. “Nobody likes change, but we’re at a time right now where we need to tear down those sports rivalries and come together.”

Since its inception, the group has completed several of the goals that were determined in 2008, including a common calendar for all the corporations, identifying school courses that could be offered through collaboration, and the sharing of teachers.

More recently, the schools secured funding from a Rural Utilities Service (RUS) Grant, with help from matching funds from the county, to purchase teleconferencing equipment to help use technology to share services.

Despite the positive steps taken, however, North White School Board President Shannon Mattix asserted that more changes need to be made to best serve White County students — changes, he said, that need to start at the top.

“We can continue to kick the can down the road about what’s best for our stakeholders, but we need to face the facts. Consolidation administratively is what’s best,” said Mattix, asserting that the consolidation he believes is necessary is not of the bricks and mortar variety.

“We’re not talking about the consolidation of the 1960s. We’re not wanting to kill the mascots. What I’m talking about is administratively operating under one umbrella…Superintendents: yes I’m talking about you.”

According to Tri-County Superintendent Dr. Gib Crimmins, discussion of consolidating administrative services by all four school corporations would by an empty proposition without then also looking at consolidating school boards.

“You need to talk about one school board. You can beat around this idea all you want, but if you truly believe in consolidation you’ll have to talk about one board,” said Crimmins. “Otherwise it’s a political game, in my opinion.”

A worry for some of the board members was not simply the talk of consolidation, but the use of the “c-word” itself. With lingering memories from the sweeping school consolidations lingering in the consciousness of many White County residents, Twin Lakes School Board President Larry Crabb asserted
that projecting the right message to the public is imperative to the group’s success.

“We certainly don’t want to move backwards from where we started here, but I hate the word consolidation. I don’t like that word. John Q. Public, when they hear that word, they think we are going to shut down buildings,” said Crabb, who noted that focus must be placed on ways to save money while still
allowing schools to own their identities. “We’re going to have to sell this, and we’re going to have to keep things positive.”

With Indiana State Representatives Don Lehe (R-Brookston) and Sheila Klinker (D-Lafayette) in attendance, the board members spoke of their thoughts and concerns with actions taken by the state legislature. According to Crimmins, changes in how schools are funding by the state has hit his corporation as hard as any in the county.

“Being small is not a bad thing. I think it is kind of ironic that these charter schools receiving funding are small. If we want rural Indiana to survive someone’s going to pay for it,” said Crimmins.

“Tri-County is a high spending school. That never was a problem when the state wasn’t paying for it…I don’t think schools are going to be really open in communities lowering what they’re used to having in order to come together. It’s a very complex issue. It sounds really good to talk about it, but it’s harder to
make happen.”

Looking forward, Mattix asserted that a progressive approach, though perhaps difficult, is what’s needed to save White County schools from an economic downturn.

“Are we going to manage a decline, or are we going to do something about,” questioned Mattix, adding that the time for action is now. “How many studies do we need? A lot of it is common sense, and I don’t think we need anyone to wind our watches.”

With many board members agreeing that moves like securing the RUS grant and bringing the school calendars together have been two of many positive collaborations, Tri-County Board President Don Pampel asserted that tremendous benefits await the group, despite the challenges.

“The benefit to all of this? Holy cow, the sky’s the limit. The buy-in to what has to be done will be the most difficult part I think,” said Pampel. “We can continue going on by ourselves, or we can make the choice to work together with distance learning, sharing teachers…it’s our decision whether we take it or not.”

Encouraging the group to reconvene more often then every three years, Cahill commended the boards for the steps taken to address what is, for many schools, a mounted financial crisis.

“We have been here for two hours and 10 minutes, and I’ll bet you there’s not a county in Indiana this year has done this…that listened to each other and talked to each other as you have,” said Cahill. “I’ve been a moderator at many meetings like this, and I can tell that this is not a set-up. You should feel pretty
good about yourselves.”

Turkey Run And Rockville Schools To Consolidate If...School Boards Agree And If...Referendums Approve (Terre Haute Tribune-Star, 1/22/12)
(This article, by Sue Loughlin was first published Tuesday, January 17, 2012 by the Terre Haute Tribune-Star under the title, "Reorganization Plan Heading To Both School Boards." Bold type and highlighting have been added by the Webmaster.)

TERRE HAUTE — A proposal to reorganize Turkey Run and Rockville school districts into one district now goes to the respective school boards for consideration.

A committee presented the reorganization plan Monday night at a meeting attended by school board members from both districts. About 22 citizens attended the meeting at Turkey Run Junior-Senior High School.

The committee adopted the plan, and the next step is for the two boards to adopt identical resolutions approving the plan. Each board must have two readings of the resolution and a public hearing, officials say.

If both boards approve the resolution, voters still have the final say through a referendum. Voters in each district would ultimately have to approve a reorganization plan by a majority vote in the November general election.

The major driving factors are enrollment declines and reduced state funding. Rockville’s enrollment in 1973 was 1,080 students, while this year it is 760. Turkey Run’s enrollment was 896 in 1973, while this year it is 497.

The two districts together have taken a nearly $900,000 hit in state funding cuts in just the past year, said Tom Rohr, Turkey Run superintendent.

Among those asking questions was Mark Ramsay, who lives in the Turkey Run district. He had concerns that those from the Rockville district could dominate the new reorganized school district, since it has a greater population.

The new board would have three representatives from each of the current school districts, as well as one at-large board member. “It may not be equal representation,” Ramsay said.

He also suggested, “Maybe we’re rushing into a marriage before we’ve had enough courtship.”

At one point in the discussion, Rohr said the decision should be made “based on what’s best for students in the long run.”

Now, the districts have limited curriculum offerings at the high school level, which is hurting some students as they go on to college, Rohr said.

Among those attending the meeting was Turkey Run Elementary teacher Roberta Hobbs, who said she supports reorganization.

“I think it’s a good idea because our goal is to give students the academics they need so they are prepared for college,” she said. “It’s harder to service them when we’re so small with the Advanced Placement courses and the higher level courses that they need.”

Kathy Jones, also a Turkey Run Elementary teacher, agreed with Hobbs. “It’s not maybe something we all want to have happen, but it’s something that’s necessary now to keep up with the times,” she said.

If approved by voters, the new school corporation would take effect Jan. 1, 2013. The district’s new name would be North Central Parke Community School Corp. No schools would close or merge, and they would keep the same names, mascots and school colors.

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Small School Systems With Few Towns And Rural Areas With Declining Population - What Next? (Russ Phillips, 2/1/12)

Early last month I wrote my state senator and state representative. Currently Representative Bill Friend is not my state representative, however, he will be later this year due to redistricting. As of this date I have not received a response from any of the three.

top Daniels’ Bottom Line: Rural schools suffer under new budget (Ft. Wayne Journal Gazette, 7/12/09)

1. Small Schools Are Inefficient

2. Small Schools Cannot Provide A Comprehensive Education

3. There Is An Optimal Size For Schools

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Daniels’ Bottom Line: Rural schools suffer under new budget (Ft. Wayne Journal Gazette, 7/12/09)