Funding Proposal

Will Our Children Be Penniless?

If no one teaches them about money – yes.

Ohio ranked Number 3 in the nation for the largest increase in new foreclosure filings. In addition, 7% of all mortgage loans in Ohio are delinquent.

The number of people living in poverty in the City of Columbus last year was 128,163, up from 102,732 in 1999. In the Columbus suburbs, the number living in poverty last year grew to 73,075, up from 52,697 in 1999.

Almost half of all parents say they do not set a good example when it comes to handling their own money and are not capable of properly teaching their children. Yet, 87% of college students and 90% of high school students rely on their parents for financial guidance.

Among parents with children five or older, only 26% feel well prepared to teach their kids about basic personal finances. Many of these parents do not understand how money works.

College students are in debt by $19,259 when they graduate. Much of this debt is the result of the misuse of credit cards. The average household credit card debt is $9,000.

In a 2003 survey, the median reported value of all household savings was only $40,000, and 25% of those surveyed had no retirement account at all. No wonder Ohio ’s rate of savings remains too low.

Students are graduating from high school without courses in financial literacy. How will today’s students be able to make sound financial decisions in their future (savings, purchases, mortgages, investments, etc.) without appropriate financial literacy today?

This is a crisis situation that will only become worse. There is no easy fix to this crisis. It will take a long-term, concerted effort – a public and private collaborative approach – to address the core issues of the situation, and ensure that K-12 students have the basic financial literacy needed for them to make wise financial decisions and invest in their future. If nothing is done to solve this crisis, who will own our children?

Ohio’s economic success rests with the ability of its citizens to understand personal finance and economics, and to put that understanding into practice. Economic education helps students learn to make decisions about their personal and shared resources, their role in the economy, and the need for analytical thinking. In short, informed students will grow up to be informed citizens, workers, voters and taxpayers.

A Capacity to Deliver

Economic standards are part of Ohio’s state achievement and graduation testing. The Ohio Council on Economic Education (OCEE) has over 50 years of experience in providing professional development to teachers to help students learn economics through effective, standards-based curricula, delivered through a network of nine Centers for Economic Education around the state. Through this network, its multiplier effect, and its partnerships with business, civic and labor organizations, OCEE is in an excellent position to support changing teaching and learning requirements for educators and students.

Our proposal consists of three integrated, comprehensive components. A $750,000 allocation to OCEE during each year of the budget will provide:

FOR THE CHILDREN

…Building foundations for life-long learning

K-8 Financial Foundations for Life – This media-based, interactive program features instructional modules in kindergarten through eighth grade that integrate mathematics, language arts, and personal finance. The 75 teaching units are correlated to the Ohio Academic Content Standards and use multiple learning styles to help every student to succeed.

15,000 students will be served during year one and over 30,000 students will be served in year two.

9-12 Financial Responsibility & Wise Choices – This two-program sequence (grades 9-10 and 11-12) focuses on personal finance and economic literacy. These programs will be delivered statewide utilizing our university-based network of Centers for Economic Education. Six train-the-trainer presentations will be conducted each year.

3,000 teachers and over 120,000 students will be impacted during year one and
3,600 teachers and over 144,000 students will be impacted during year two.

FOR THE TEACHERS

…Investing in lasting results

Online Professional Development Practica – This series of online exercises for teachers at each of four levels (K-2, 3-5, 6-8, and 9-12) is designed to strengthen teacher’s economics content knowledge and awareness of classroom resources. The practica would build a cooperative feedback system between Centers for Economic Education and Regional School Improvement Teams (RSIT’s) to anticipate and meet professional development needs at each of the four instructional levels.

400 elementary school, 200 middle school, and 100 high school teachers will be served by the online professional development practica.

FOR QUALITY INTERVENTION

…At a critical point

Eighth Grade Learning Resource – A package of instructional materials, coupled with professional development, to enable students to succeed on the Eighth Grade Ohio Achievement Test by improving teacher content knowledge. Teachers would receive instructional materials and professional development; then return to their schools to lead workshops for other teachers at the same grade level. Teachers would be eligible for a District Improvement Grant to facilitate these workshops. Materials and instruction would be targeted to meet the Ohio Academic Content Standards for Eighth Grade.

12 workshops with 300 teachers and approximately125,000 students will receive the benefit of these materials each year.

Will Our Children Be Penniless? If no one teaches them about money – yes.
		Ohio ranked Number 3 in the nation for the largest increase in new foreclosure filings. In addition, 7% of all mortgage loans in Ohio are delinquent. The number of people living in poverty in the City of Columbus last year was 128,163, up from 102,732 in 1999. In the Columbus suburbs, the number living in poverty last year grew to 73,075, up from 52,697 in 1999. Almost half of all parents say they do not set a good example when it comes to handling their own money and are not capable of properly teaching their children. Yet, 87% of college students and 90% of high school students rely on their parents for financial guidance. Among parents with children five or older, only 26% feel well prepared to teach their kids about basic personal finances. Many of these parents do not understand how money works. College students are in debt by $19,259 when they graduate. Much of this debt is the result of the misuse of credit cards. The average household credit card debt is $9,000. In a 2003 survey, the median reported value of all household savings was only $40,000, and 25% of those surveyed had no retirement account at all. No wonder Ohio ’s rate of savings remains too low. Students are graduating from high school without courses in financial literacy. How will today’s students be able to make sound financial decisions in their future (savings, purchases, mortgages, investments, etc.) without appropriate financial literacy today?
This is a crisis situation that will only become worse. There is no easy fix to this crisis. It will take a long-term, concerted effort – a public and private collaborative approach – to address the core issues of the situation, and ensure that K-12 students have the basic financial literacy needed for them to make wise financial decisions and invest in their future. If nothing is done to solve this crisis, who will own our children? Ohio’s economic success rests with the ability of its citizens to understand personal finance and economics, and to put that understanding into practice. Economic education helps students learn to make decisions about their personal and shared resources, their role in the economy, and the need for analytical thinking. In short, informed students will grow up to be informed citizens, workers, voters and taxpayers. A Capacity to Deliver Economic standards are part of Ohio’s state achievement and graduation testing. The Ohio Council on Economic Education (OCEE) has over 50 years of experience in providing professional development to teachers to help students learn economics through effective, standards-based curricula, delivered through a network of nine Centers for Economic Education around the state. Through this network, its multiplier effect, and its partnerships with business, civic and labor organizations, OCEE is in an excellent position to support changing teaching and learning requirements for educators and students.
Our proposal consists of three integrated, comprehensive components. A $750,000 allocation to OCEE during each year of the budget will provide:
FOR THE CHILDREN *…Building foundations for life-long learning*		K-8 Financial Foundations for Life – This media-based, interactive program features instructional modules in kindergarten through eighth grade that integrate mathematics, language arts, and personal finance. The 75 teaching units are correlated to the Ohio Academic Content Standards and use multiple learning styles to help every student to succeed. 15,000 students will be served during year one and over 30,000 students will be served in year two. 9-12 Financial Responsibility & Wise Choices – This two-program sequence (grades 9-10 and 11-12) focuses on personal finance and economic literacy. These programs will be delivered statewide utilizing our university-based network of Centers for Economic Education. Six train-the-trainer presentations will be conducted each year. 3,000 teachers and over 120,000 students will be impacted during year one and 3,600 teachers and over 144,000 students will be impacted during year two.
*FOR THE TEACHERS* *…Investing in lasting results*		Online Professional Development Practica – This series of online exercises for teachers at each of four levels (K-2, 3-5, 6-8, and 9-12) is designed to strengthen teacher’s economics content knowledge and awareness of classroom resources. The practica would build a cooperative feedback system between Centers for Economic Education and Regional School Improvement Teams (RSIT’s) to anticipate and meet professional development needs at each of the four instructional levels. 400 elementary school, 200 middle school, and 100 high school teachers will be served by the online professional development practica.
*FOR QUALITY INTERVENTION* *…At a critical point*		Eighth Grade Learning Resource – A package of instructional materials, coupled with professional development, to enable students to succeed on the Eighth Grade Ohio Achievement Test by improving teacher content knowledge. Teachers would receive instructional materials and professional development; then return to their schools to lead workshops for other teachers at the same grade level. Teachers would be eligible for a District Improvement Grant to facilitate these workshops. Materials and instruction would be targeted to meet the Ohio Academic Content Standards for Eighth Grade. 12 workshops with 300 teachers and approximately125,000 students will receive the benefit of these materials each year.