School Bd. of Miami-Dade County v. King

940 So. 2d 593, 2006 WL 3071387
CourtDistrict Court of Appeal of Florida
DecidedOctober 31, 2006
Docket1D05-4521, 1D05-4524, 1D05-4526
StatusPublished
Cited by4 cases

This text of 940 So. 2d 593 (School Bd. of Miami-Dade County v. King) is published on Counsel Stack Legal Research, covering District Court of Appeal of Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
School Bd. of Miami-Dade County v. King, 940 So. 2d 593, 2006 WL 3071387 (Fla. Ct. App. 2006).

Opinion

940 So.2d 593 (2006)

The SCHOOL BOARD OF MIAMI-DADE COUNTY, the School Board of Palm Beach County, the School Board of Broward County, the School Board of Volusia County, the School Board of Monroe County, Marilyn Spiegel, Taxpayer, and the Citizens' Coalition for Public Schools, Appellants,
v.
James E. KING, Jr., in his official capacity as President of the Florida Senate, Johnnie B. Byrd, Jr., in his official capacity as Speaker of the Florida House of Representatives, Jim Horne in his official capacity as Commissioner of the Florida Department of Education, the Florida Department Of Education, the State Board of Education, the School Board of Brevard County, the School Board of Clay County, the School Board Of Duval County, the School Board of Hillsborough County, the School Board of Leon County, the School Board of Liberty County, the School Board of Polk County, and the School Board of Seminole County, Appellees.

Nos. 1D05-4521, 1D05-4524, 1D05-4526.

District Court of Appeal of Florida, First District.

October 31, 2006.

*594 Rodolfo Sorondo, Jr., Lenore C. Smith, and Jack L. McLean, Jr., of Holland & Knight LLP, Miami, Counsel for the School Board of Palm Beach County and the School Board of Broward County; Theodore R. Doran, Michael Ciocchetti, Audrie M. Harris, and Aaron R. Wolfe of Doran, Wolfe, Rost, Ansay & Kundid, Daytona Beach, Counsel for the School Board of Volusia County and the School Board of Monroe County; and Fred H. Flowers of Flowers & White, Tallahassee, Counsel for Marilyn Spiegel and the Citizens' Coalition for Public Schools.

William C. Gentry of the Law Office of W.C. Gentry, P.A., Jacksonville, Counsel for James E. King, Jr., as President of the Florida Senate; Chesterfield Smith, Jr., and Jason Vail of the Office of the Attorney General, Tallahassee, Counsel for the Department of Education and the State Board of Education; and Sylvia H. Walbolt, Daniel C. Brown, and Christine R. Davis of Carlton Fields, P.A., Tallahassee, Counsel for the Florida Senate and the Florida House of Representatives.

BARFIELD, J.

The appellant school boards unsuccessfully challenged the 2004-2005 General Appropriations Act, chapter 2004-268, Laws of Florida. Because of a change in the method used to calculate the Florida Price Level Index (FPLI), appellants received a smaller increase in their K-12 public school funding than they would have received *595 if the previous method of calculating the FPLI had been used.

The Florida Education Finance Program (FEFP) was created by the Florida Legislature in 1973 to provide a base level of educational resources for public school districts, primarily by redistributing funds from counties with a higher tax base per student to counties with a lower tax base per student. The FEFP funding formula starts with an estimate of the base "per-student" funding, then makes several adjustments, including one for special needs students and one for the cost of hiring both instructional and non-instructional school personnel. The District Cost Differential (DCD) used for the personnel cost adjustment is intended to account for the variation among the counties in the cost of wages and salaries for school personnel, which accounts for approximately 80% of the school district operating costs. The DCD calculation, which depends upon the FPLI, is set out in section 1011.62(2), Florida Statutes:

1011.62 Funds for operation of schools.—If the annual allocation from the Florida Education Finance Program to each district for operation of schools is not determined in the annual appropriations act, it shall be determined as follows:
. . .
(2) DETERMINATION OF DISTRICT COST DIFFERENTIALS.—The Commissioner of Education shall annually compute for each district the current year's district cost differential. The district cost differential shall be calculated by adding each district's price level index as published in the Florida Price Level Index for the most recent 3 years and dividing the resulting sum by 3. The result for each district shall be multiplied by 0.008 and to the resulting product shall be added 0.200; the sum thus obtained shall be the cost differential for that district for that year.

Before enactment of the above-quoted statute, the Florida Legislature had assigned the DCD multipliers to the counties in the general appropriations act for each year.

Since its creation in 1973, the FPLI has been a measurement of the retail cost of a specific "market basket" (including housing, transportation, health care, food, and other goods and services) in different places at a particular point in time, similar to the Consumer Price Index calculated by the U.S. Bureau of Labor Statistics. The "market basket" approach is an indirect measure of wage levels, and was initially used because there were no adequate databases from which to directly index Florida school district personnel wage levels. The authors of the original FPLI noted that it was experimental.

Since 1995, at the request of the Florida Legislature, the University of Florida Bureau of Economic and Business Research (Bureau) has annually reviewed the FPLI and made recommendations to improve it. Since 2000, the Bureau has been responsible for calculating the FPLI under the direction of the Department of Education (DOE) and the legislature. While the Bureau has made a series of methodological improvements to the FPLI (standardizing the items included in the market basket, selecting items so as to maximize the ability of the index to measure variation in prices, and changing the way the items are weighted), the FPLI has remained a measurement of the price of goods and services.

In specific appropriation 113 of the 2003-2004 General Appropriations Act, chapter 2003-397, Laws of Florida, the legislature directed DOE to commission a study by the Bureau to consider the accuracy and appropriateness of several aspects of the FEFP funding formula, including *596 the "current price level index methodology and the development of alternative approaches including, but not limited to, a wage index."

The Bureau's study, based on research done principally by economists James F. Dewey and David Denslow, found that the FPLI "as it stands is a very good measure of variation in the costs of goods and services across counties" but that "the current version of the FPLI suffers a serious problem when used as the basis of a personnel cost adjustment—it ignores the role of amenities." The study explained that amenities were important in determining the personnel cost adjustment because "if a location is more desirable as a place to live, `compensating differentials' will develop in housing and labor markets," i.e., housing prices will be driven up, "while in the labor market, people will be willing to work for less, since the desirability of the location itself provides compensation."

The Bureau's study stated that the "market basket" price index had been used for 30 years because of the impracticability during that period of constructing a wage index based on the wages paid by other employers to measure the effect of amenities on personnel costs, but that more recently, reliable data had been compiled "on wages for a wide variety of finely classified occupations for all 67 Florida counties" from which a wage-based index, which would directly measure and estimate the differences among the districts in the cost of hiring personnel, could be developed.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Haridopolos v. Citizens for Strong Schools, Inc.
78 So. 3d 605 (District Court of Appeal of Florida, 2011)

Cite This Page — Counsel Stack

Bluebook (online)
940 So. 2d 593, 2006 WL 3071387, Counsel Stack Legal Research, https://law.counselstack.com/opinion/school-bd-of-miami-dade-county-v-king-fladistctapp-2006.