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Districts stand to lose millions under Ryan budget proposal

A New America Foundation analysis has calculated that under Paul Ryan’s budget proposal to cut federal spending by 20 percent, 77 percent of the 1,500-plus school districts that rely on federal funds [1] for 20 percent or more of their annual revenue could wind up losing millions, the Huffington Post reports. The districts most at risk of losing more than 10 percent of their annual revenue are smaller ones — enrolling between 100 and 2,000 students — that rely heavily on the federal government for education funding. These include districts that enroll high proportions of American Indian students or boast large numbers of low-income students. According to the report, districts that fall under the former category receive funds under Impact Aid, a federal program that provides funding to districts with high proportions of “federally impacted” students, like American Indians. Because these districts do not benefit from property tax revenue from people living on Indian reservations, the federal government compensates for the lost revenue…

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