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Frank JohnsonCurrent expenditures are the operating expenditures for the day-to-day operations of school and school districts. They include salaries and benefits paid to teachers and staff as well as supplies and purchased services. Excluded from current expenditures are some items included in total expenditures: capital outlays for school construction, equipment, debt services, and expenditures for programs outside of public elementary and secondary education (such as community service programs and adult education). By limiting expenditures to current operating expenditures, analysts can make better comparisons between money spent on public education across states. For example, other programs may or may not be included in the public education programs in some states, and capital costs vary based on population factors.
In FY 90, inflation-adjusted current expenditures for public elementary and secondary education were $264.2 billion in the United States (table 6.a). By FY 02, they had risen to $368.5 billion, an increase of $104.3 billion, or 40 percent (table 6.b). Nevada experienced the largest increase (117 percent). Current expenditures increased the least amount in Wyoming (7 percent). In the District of Columbia, current expenditures increased by 2 percent, but the District of Columbia is a single urban school district and not comparable to other states.
From FY 90 through FY 96, current expenditures experienced an annual percent increase of roughly 1 to 2 percent (figure 3-3). Between FY 96 and FY 97, they increased by almost 3 percent; from FY 97 through FY 02, they experienced a 4 percent increase each year. Among the 50 states and the District of Columbia, all but 9 experienced at least one decline in current expenditures from the previous year from FY 90 through FY 02. These states were Arizona, Idaho, Indiana, Iowa, Nevada, New Hampshire, Utah, Washington, and Wisconsin (table 6.b).
As illustrated in figure 3-4, current expenditures per pupil in the United States increased from $6,516 in FY 90 to $7,734 in FY 02 (table 6.c). In FY 90, current expenditures per pupil ranged from a low of $3,617 in Utah to a high of $10,634 in Alaska. Current expenditures per pupil were $11,047 in the District of Columbia. By FY 02, current expenditures per pupil remained lowest in Utah at $4,900 but were highest in New Jersey at $11,793. They were $12,102 in the District of Columbia. During the 13-year span, Utah consistently had the lowest current expenditures per pupil each year while New Jersey had the highest, except for FY 90 when Alaska had the highest.21
In FY 02 current expenditures per pupil in the United States were 19 percent higher than in FY 90, or a $1,218 increase (table 6.d). Current expenditures per pupil increased the most in Idaho (47 percent). Alaska and Florida were the only states to experience a decline in current expenditures per pupil (10 percent and 4 percent, respectively). The median percent change between FY 90 and FY 02 was 23 percent (derived from table 6.d).
From FY 90 through FY 97, the annual percent change in current expenditures per pupil ranged from a 1 percent decline to a 1 percent increase (figure 3-5). From FY 97 through FY 99, current expenditures per pupil increased by about 3 percent annually; from FY 99 through FY 01, they increased approximately 4 percent each year; and between FY 01 and FY 02, they increased almost 2 percent. Every state and the District of Columbia experienced at least one decrease in current expenditures per pupil during the 13-year period.
In FY 90, current expenditures accounted for 88 percent of total expenditures for public elementary and secondary education (table 6.e). By FY 02, current expenditures had decreased to 85 percent of total expenditures.
Massachusetts and Rhode Island had the largest percentage of current expenditures in FY 90, both at approximately 96 percent of total expenditures. Nevada had the lowest percentage, at about 76 percent. In FY 02, Rhode Island had the largest percentage of current expenditures at just over 95 percent. Again, Nevada had the lowest percentage, at 74 percent.
An analysis of the components of current expenditures is presented in the next chapter.
