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Sixty-five Percent of Education Dollars to be Spent in the Classroom

Monday, January 9, 2006  Contact: Office of Communications 404-651-7774

Sixty-five Percent of Education Dollars to be Spent in the Classroom

Legislation for Hope Chest Constitutional Amendment Filed in the State Senate

ATLANTA – To further improve student achievement across the state of Georgia, Governor Sonny Perdue today announced legislation requiring 65 percent of all education dollars be spent directly in the classroom.  The Governor's legislation, SB390, was filed today in the State Senate by Senator Ronnie Chance (District 16).  Co-sponsors for the bill include Senator Joe Carter (District 13), a former Tift County School Board member, Senator Dan Moody (District 56), chairman of the Education and Youth Committee, Senator Cecil Staton (District 18) and Senator Renee Unterman (District 45).

“When school districts spend 65 percent or more of their education budget in the classroom, students learn more and perform better,” said Governor Sonny Perdue.  “ Georgia students deserve the chance to reach their fullest potential.  Spending education dollars in the classroom where they best belong will help provide our students with the opportunity to excel in the school and in life.”

The Governor's legislation requires local districts receiving state funds to spend at least 65 percent of their total school budget on classroom expenditures as defined by the National Center for Education Statistics (NCES).  School systems may apply for a waiver from this rule if they demonstrate to the State Board of Education that their use of taxpayer money is leading to higher achievement for their students.

According to NCES, the top ten percent of states in terms of academic performance spend at least 65 percent of educating funding in the classroom.  DOE estimates that approximately 64 percent of Georgia 's school districts (116 out of 180) fail to meet this criterion.  Based on 2003 records, Georgia 's average classroom spending is approximately 63.3 percent.  School systems below 65 percent will be expected to increase two percent per year beginning in 2008 until the 65 percent requirement is met.

HOPE Chest Amendment to Protect Lottery Funds

In June, Governor Perdue announced a proposal for a constitutional amendment limiting the use of lottery revenues to costs associated with the HOPE scholarship and Pre-K programs.  The legislation, SR655, was filed today in the State Senate by Senator Joe Carter (District 13).  Co-sponsors for the bill include Senator Ronnie Chance (District 16), Senator Bill Hamrick (District 30), Senator Seth Harp (District 29), chairman of the Higher Education Committee, and Senator Brian Kemp (District 46).

“Money for Hope and Pre-K should not be frivolously spent on projects that have nothing to do with college scholarships or early learning,” said Governor Sonny Perdue.  “Lottery revenues should go straight to these two outstanding programs.  Under this amendment, lottery funds will only be spent on HOPE and Pre-K.”

Since taking office, Governor Perdue has put an end to the raiding of lottery funds for projects that should be appropriated from other sources, if at all.  Between the 1994 and 2003 fiscal years, over $1.8 billion in lottery revenue was spent on budget items outside of HOPE and Pre-K programs. 

Associated Document(s):

pdf file History_of_Lottery_Expenditures.pdf
Attachment: A bar graph and budget spreadsheet outlining lottery expenditures from 1994 to 2006.