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HEHS-94-190R 1 (1994-06-07)

handle is hein.gao/gaobackow0001 and id is 1 raw text is: 



             United States
GAO          General Accounting Office
             Washington, D.C. 20548

             Health, Education and Human Services Division


             B-257503

             June 7, 1994

             The Honorable Thad Cochran
             United States Senate

             The Honorable Jeff Bingaman
             United States Senate

             The Senate is considering a new formula for distributing
             federal assistance for the educationally disadvantaged
             under title I of the Elementary and Secondary Education Act
             amendments of 1994. The new formula, described in Senate
             bill S. 1513, would distribute federal aid for the
             educationally disadvantaged on the basis of four factors.
             In response to your request, this letter provides our views
             of these four factors in light of the program's objective
             to target funds to children with the greatest need.

             Under S. 1513, funds would be allocated under one formula,
             which contains four factors:

                   The first is a weighted measure of poor children that
                   serves as a proxy for the number of educationally
                   disadvantaged children. The weighting scheme provides
                   a higher per child allocation to school districts in
                   counties with high poverty rates and high numbers of
                   children in poverty.

                   The second is a state average per pupil expenditure
                   factor, a measure of total state and local spending on
                   education per pupil, that serves as a proxy for state
                   costs of providing chapter 1 services.1 Under current
                   law, this factor cannot exceed 120 percent or fall
                   below 80 percent of the U.S. average. Under S. 1513,
                   this factor would range between 115 and 85 percent of
                   the average per pupil expenditure in the United
                   States.

                   The third is an effort bonus based on state per pupil
                   spending expressed as a percentage of state income,
                   which is a proxy for the level of effort the state



              'Under S. 1513, chapter 1 is redesignated as title I.


GAO/HEHS-94-190R Title I Formula in S. 1513

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