Dive Brief:
- Miscalculated revenue projections related to oil and coal revenues now mean that some states, like Ohio and Alaska, are being forced to debate alternative funding options for schools in order to avoid budget crises.
- Some possible solutions include funding formula revisions or changes to state constitutions.
- Coal-dependent states like West Virginia and Wyoming have seen an industry collapse, turning in some districts to teacher layoffs, school closures, and consolidation for sparsely-populated districts.
Dive Insight:
States especially affected by the coal and oil bust are Alaska, Louisiana, New Mexico, North Dakota, Oklahoma, Texas, West Virginia, and Wyoming. New Mexico and North Dakota are both considering changes to their state constitutions, Education Week reports, so that they can dip into the reserves they're currently banned from using.
Other states and big districts facing equally severe budget crunches, such as Los Angeles Unified School District, might want to pay attention to the solutions eventually found by these fossil fuel-dependent states — they might be able to modify their alternatives to suit their own fiscal needs.