michael wiltfong oregon department of education office of finance and administration school finance...
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![Page 1: Michael Wiltfong Oregon Department of Education Office of Finance and Administration School Finance and Pupil Transportation, Director](https://reader035.vdocuments.mx/reader035/viewer/2022062308/56649d6e5503460f94a4ed2a/html5/thumbnails/1.jpg)
Michael Wiltfong Oregon Department of Education Office of Finance and AdministrationSchool Finance and Pupil Transportation, Director
![Page 2: Michael Wiltfong Oregon Department of Education Office of Finance and Administration School Finance and Pupil Transportation, Director](https://reader035.vdocuments.mx/reader035/viewer/2022062308/56649d6e5503460f94a4ed2a/html5/thumbnails/2.jpg)
In 2003, the Legislature passed Senate Bill 550 which created the High Cost Disability Grant. This measure transferred $12 million per year from the State School Fund to pay for approved special education costs exceeding a threshold of $25,000 per high cost student.
The first year’s rate for 2003-04 was .71¢ per dollar.
![Page 3: Michael Wiltfong Oregon Department of Education Office of Finance and Administration School Finance and Pupil Transportation, Director](https://reader035.vdocuments.mx/reader035/viewer/2022062308/56649d6e5503460f94a4ed2a/html5/thumbnails/3.jpg)
In 2005, House Bill 2450C raised the annual threshold to $30,000 per high cost student, which reduced the number of eligible claims and resulted in an increase in the rate.
This change raised the payment rate to .78¢ per dollar for the 2005-06 school year, up from the .60¢ per dollar paid in the 2004-05 school year.
![Page 4: Michael Wiltfong Oregon Department of Education Office of Finance and Administration School Finance and Pupil Transportation, Director](https://reader035.vdocuments.mx/reader035/viewer/2022062308/56649d6e5503460f94a4ed2a/html5/thumbnails/4.jpg)
In 2007, the Legislature revised ORS 327.008(8) and increased the amount in the fund to $18 million per year, which again resulted in an increase in the rate per dollar. The $30,000 threshold remained the same.
This change raised the payment rate to .76¢ per dollar for the 2007-08 school year, up from the .60¢ per dollar paid in the 2006-07 school year.
![Page 5: Michael Wiltfong Oregon Department of Education Office of Finance and Administration School Finance and Pupil Transportation, Director](https://reader035.vdocuments.mx/reader035/viewer/2022062308/56649d6e5503460f94a4ed2a/html5/thumbnails/5.jpg)
Since 2007, there hasn’t been any changes for the High Cost Disability
Grant…
![Page 6: Michael Wiltfong Oregon Department of Education Office of Finance and Administration School Finance and Pupil Transportation, Director](https://reader035.vdocuments.mx/reader035/viewer/2022062308/56649d6e5503460f94a4ed2a/html5/thumbnails/6.jpg)
In the 2003-04 school year, there were 1,898 eligible students with $16,998,166 in total allowable claims above the $25,000 threshold. This resulted in a prorate of $0.71 per dollar.
Nine years later, in the 2012-13 school year, there were 2,774 eligible high cost students and the total in allowable claims above the $30,000 threshold was $44,550,768.
This is a 46% increase in eligible students and a 162% increase in allowable dollars.
The prorated payment in 2012-13 was .40¢ per dollar.
![Page 7: Michael Wiltfong Oregon Department of Education Office of Finance and Administration School Finance and Pupil Transportation, Director](https://reader035.vdocuments.mx/reader035/viewer/2022062308/56649d6e5503460f94a4ed2a/html5/thumbnails/7.jpg)
School year Claims
Thresho
ld Claim Amount
Allowed Grant Award Rate
2003_04 1,898 $ 25,000 $ 16,998,166 $ 12,000,000 $ 0.71
2004_05 2,183 $ 25,000 $ 20,054,272 $ 12,000,000 $ 0.60
2005_06 1,339 $ 30,000 $ 15,388,920 $ 12,000,000 $ 0.78
2006_07 1,739 $ 30,000 $ 19,894,981 $ 12,000,000 $ 0.60
2007_08 2,127 $ 30,000 $ 23,686,156 $ 18,000,000 $ 0.76
2008_09 2,365 $ 30,000 $ 28,697,349 $ 18,000,000 $ 0.63
2009_10 2,509 $ 30,000 $ 35,887,006 $ 18,000,000 $ 0.50
2010_11 2,569 $ 30,000 $ 35,795,306 $ 18,000,000 $ 0.50
2011_12 2,701 $ 30,000 $ 42,805,920 $ 18,000,000 $ 0.42
2012_13 2,774 $ 30,000 $ 44,550,768 $ 18,000,000 $ 0.40
2013_14* 2,804 $ 30,000 $ 42,454,423 $ 18,000,000 $ 0.42
* Estimate at this time
![Page 8: Michael Wiltfong Oregon Department of Education Office of Finance and Administration School Finance and Pupil Transportation, Director](https://reader035.vdocuments.mx/reader035/viewer/2022062308/56649d6e5503460f94a4ed2a/html5/thumbnails/8.jpg)
In the 2012-13 school year, there were 29 high cost students with costs above $100,000.
In that same year, there were 761 high cost students with costs of $50,000 or more, which is $48.41 million in total costs. 761 students is a little over 27% of the HCD population.
Of the $48.41 million in high costs for those 761 students, school districts received approximately $10.23 million from the HCD grant. This left a donut hole of about $28.93 million, or about $38,000 per student after you account for general and special education revenues from the State School Fund.
![Page 9: Michael Wiltfong Oregon Department of Education Office of Finance and Administration School Finance and Pupil Transportation, Director](https://reader035.vdocuments.mx/reader035/viewer/2022062308/56649d6e5503460f94a4ed2a/html5/thumbnails/9.jpg)
Subcommittee Recommendation:
The recommendation from the High Cost Disability Grant Subcommittee is to raise the reimbursement rate to 80% without further diluting State School Fund disbursements.