LAWSUIT CHALLENGES FUNDING

In yet another example of the loose strings lying about on Senate Bill 380, the Cape Girardeau School District has joined approximately 30 other districts in suing the state over the new formula for distributing state aid to local schools. SB 380 rewrote that formula to redistribute tax money. What the complex changes mean for Cape Girardeau schools is the loss of $700,000 of local money to the state formula.

These funds come from railroad and utility taxes that have always gone directly to the local district. In short, even though Cape Girardeau and the other plaintiff districts are known as "hold harmless" districts, meaning they weren't supposed to lose under the rewritten formula, local schools are out big bucks.

Passage of SB 380 is Gov. Mel Carnahan's proudest boast. Another lawsuit currently pending in Cole County Circuit Court challenges SB 380 on constitutional grounds and has survived a half-hearted dismissal motion made by the state. With next year's elections looming and two lawsuits pending, both of which challenge this measure at its core, the last chapter on SB 380's sweeping changes is far from certain.