Lesson 2: Legal Issues in School Finance

Lesson 2: Legal Issues in School Finance

The term “public school systems,” as used for this report, includes two types of government entities with responsibility for providing education services: (1) school districts that are administratively and fiscally independent of any other government and are counted as separate governments; and (2) public school systems that lack sufficient autonomy to be counted as separate governments and are classified as a dependent agency of some other government – a county, municipal, township, or state government.
Most public school systems included in this report operate to provide regular, special, and/or vocational programs for children in prekindergarten through 12th grade. Some systems, known as “nonoperating” districts, only exist to collect tax revenue, which they then transfer to other school systems that actually provide the education services. This report also includes “education service agencies.” These agencies typically provide regional special education services, vocational education programs, or financial services for member districts. They are classified as joint educational service agencies of the participating districts and are not counted as separate governments

 

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