Byron Yankey's blog

This makes me laugh....

Should Idaho consolidate school districts?  Every time this comes up, I laugh.  Why, because it is so ironic to hear people say,"We need to consolidate the smaller school districts and we will save money." These are often the same people who say, "We should remove the cap on the number of charter schools."

What are they missing?  Every new charter school is like adding a new school district!

Now, I agree there are probably some services or business functions that could be combined. If so, those should be considered. But for fun, why not look at the Our Idaho website.  Cruise through the salary section of the few charter schools listed, check out the salaries of staff and administration and then look at the same information for some of the small school districts and see what you think.

Facing another year of dismal education funding, all choice should be carefully considered. 

Luna calls for 9% increase to stay even

Public schools need a 9% increase in funds.

State schools Supt. Tom Luna says Idaho’s public schools need a 9.2 percent increase in state general funds next year, just to keep even and fund student growth. In a budget request for fiscal year 2011 that Luna’s scheduled to present to the state Board of Education on Thursday, he calls for a $1.34 billion general fund appropriation for public schools next year, $1.73 billion in total funds. That’s up from $1.23 billion in general funds this year - the first year that Idaho’s schools have taken a cut in state funds from what they received the year before.

The premise here is to stay even.  That is an impossible concept.  To stay even would mean such things as; utility costs don't increase, diesel for buses won't go up, the cost of paper,services, textbooks all would have to remain the same and oh, no buildings would need repair.   See what I mean?  The logic of staying even is unfathomable.

From Eye on Boise

One in five Idaho school districts have declared financial emergencies, legislative budget analyst Paul Headlee just informed lawmakers on the Joint Finance-Appropriations Committee. He said 23 school districts, 20 percent of Idaho’s 115 districts, made the declaration as permitted by HB 252, legislation that passed this year. Many reduced school supplies, eliminated or reduced positions, reduced their textbook budgets, and left vacant positions unfilled; some have negotiated cuts or freezes in salaries.

So what is next? It surely is not removing the caps on the number of charter schools. Some legislators are calling for school consolidation.  Every new charter school is exactly opposite of that sentiment. In some cases, maybe consolidation should be considered. Considered by local patrons, not compelled by law makers.

Let's watch and see what is next.

"It's going to be horrible..."

At the end of today's JFAC budget committee meeting, Betsy Russell reports:

With so few options, the Rupert Republican (Dean Cameron) is blunt about the task of making ends meet starting in January.

“It’s going to be horrible,” he said.

Yes, he is right. And,it will be made more horrible if the majority party does not move to a reasonable perspective and seriously considers additional revenue sources. Those sources should include after thoughtful review, the repeal of some tax exemptions and exclusions.

The implied appeal to Idaho citizens to "suck it up" and "tell us what they can do without", is a cop out. Here is what Vice Chairwomen Sen. Shawn Keough said after hearing the catastrophic possibilities in Idaho's Medicaid program.

It’s breathtaking,” said Sen. Shawn Keough, R-Sandpoint, vice-chairwoman of the Joint Finance-Appropriations Committee. “I think everyone in Idaho needs to understand where we’re at, and be prepared to sacrifice in a lot of ways. They need to communicate to us what their priorities are - what can they do without in services, and what do they feel they absolutely have to have, and how do they want to pay for that?”

Last legislative session many Idaho citizens tried to do just that. They testified at hearings. They wrote letters and emails. They made phone calls. What evidence has been provided that this legislative session will be different?

 

Enough is a enough

Take a moment and read Superintendent Tom Luna's comments about public education.

"There are very few things the Idaho Constitution says the state has to fund, but K-12 education is one of those. That should set the priorities," (...) "The governor has been clear that some things state government is doing now, we may not be able to do in the future if we're going to meet our constitutional obligations."

Superintendent Luna has proposed level funding for public education next year, plus some additional money for projected student growth. These early statements are positive in that between now and the start of the legislative session all sorts of trial balloons are floated. What is not included in this article is the developing positions of Superintendent Luna with regards to lifting the caps on charter schools and teacher pay for performance.  These are both high ticket items under any circumstance, but given the economic realities facing budget writers, I find it hard to imagine any scenario where these two issues should compete for already limited revenue.

And so it begins again...

Tug of war over state revenue reserves ,that's how the Idaho Statesman characterizes one of the few options available to lawmakers as they face another difficult budget year. New revenue will be needed as another option to preserve public services, education and health and welfare. Nearly $225 million dollars remain in budget reserves. These are dollars that were set aside for just such a time as now.  Hopefully, a combination of resources will produce a solution.  Idaho citizens do no deserve a repeat of the last legislative session where politics and egos created a session of near record breaking length.

Education spending cuts

How severe was the cut to Idaho public schools?  Great question posed by Kevin Richert.

Idaho's continued budget problems predict a very difficult legislative session. Revenue projects continue to have the same level of accuracy as television weathermen.   The reality is, no matter how you spin this story,no viable plan or solution has been created to stop the effects of budget cutting.  Yes, education has been somewhat held harmless in this last round of cuts, but again, without increased revenue or new revenue sources; the future is bleak for Idaho citizens.  

Kevin Richert writes:

In two recent editorials, I have written that public schools sustained a 7.7 percent budget cut in 2009-10.

And that's true of Idaho general fund dollars — which are traditionally the coin of the realm when politicos talk about state budget trends. The 2009-10 general fund appropriation for K-12 was just over $1.3 billion, down from $1.42 billion a year ago.

That doesn't tell the whole story, says the state Education Department. The state put $60.6 million of federal economic stimulus money into the 2009-10 budget, which puts the cut at 3.2 percent.

These numbers demonstrate two points. First, no matter how you look at the spreadsheets, Idaho public schools took an unprecedented budget cut during 2009-10 — a sobering fact that should influence future budget decisions during Idaho's ongoing recession. Second, it illustrates a dirty secret of the state budget: without an economic stimulus bill that passed over the objections of the Idaho congressional delegation, the state's public schools would be in an even deeper world of hurt.

As our elected state officials quietly seek to build their campaign war chests in preparation for the next election, I wonder when lawmakers will become statesmen. I wonder when the majority party will stop posturing behind slogans and start believing good government serves the people.

Insurance and part time legislators

Wayne Hoffman writes an interesting piece.  The topic is insurance costs for state part time employees. He writes,

Gov. Butch Otter’s administration correctly determined earlier this year that part-time government employees should pay more for their health insurance than fulltime employees. (...)Curiously, however, one group of part-time employees is exempt from the Otter administration’s new rules. Idahoans pay around $780,000 a year to insure members of the House and Senate.

He concludes by saying,

Come January, lawmakers will have to figure out how to cut $150 million (or thereabouts) from the budget. Legislators cannot justify keeping their insurance perks while cutting everywhere else. It’s unfair to other state employees, and it’s unfair to taxpayers who are left with the bill.

While I don't often agree with Mr. Hoffman, I must say thanks for his perspective on this issue.

And while I'm at it I will also say "THANKS" to Mr Hoffman for including the salaries of employees at some charter schools on his ouridaho.com website. I'll keep checking that site to see when the rest of the charter schools find a place there.

I think some are finally getting it.....

With more budget hold backs looming, there is much speculation as to what strategy will be used to plug an ever increasing budget hole. Today, Betsy Russell writes in the Spokesman Review:

"As Gov. Butch Otter ponders whether to make additional cuts in Idaho’s already much-trimmed state budget, he faces a dilemma: Budget cuts could trim state jobs at the same time that a precipitous drop in jobs is driving Idaho’s state budget crunch."

Using rainy day funds have to be part of the equation to survive this economic downturn. Simply stated,

"Most of Idaho’s state tax revenue comes from the individual income tax – 47.8 percent of the state’s general fund – and the sales tax, at 40.5 percent. When people lose their jobs, they stop contributing entirely to income tax, and their purchases drop, too."

Additional revenue sources must be an option also. Both sides of the aisle say job creation is essential to economic recovery. Few can deny that need, but many will disagree how to accomplish that task. Recovery is a moving target that won't respond to simple solutions. However, decisions that result in more job losses seems counter intuitive when other remedies can to be considered.

 

Weather Report....It's still raining

Great opinion piece from the Idaho Statesman regarding the continuing budget crisis for the state of Idaho. Thoughtful and careful decisions are needed to manage the next steps as revenues continue to miss the mark each month. Reserve funds must be used and the next legislature must find a way to increase revenues for the next fiscal year.

"Reserve dollars would not be used to "grow" state government. They would only prevent the dismantling of state services.

The easy cuts are gone. Long gone.

Now, every budget fight will be brutal. Witness the backlash over Otter's plan to make part-time state workers pay more for insurance. Or an ill-advised plan to cut Idaho's immunization program, which Otter reversed last month with a $2.1 million withdrawal from a rainy-day fund."

The first place to look for increased revenue is the laundry list of tax exemptions that have been granted over the last two decades. 

"There is no guarantee that tax collections and hiring will rebound quickly. But there is a guarantee that deep budget cuts will do real damage to the government services Idahoans need now."

Be sure to read the comments on the Statesman site. 

A cheer for Kustra!!!

I heard and incredible thing tonight on my way home.  Listening to NPR I heard the confident, strong voice of BSU President Bob Kustra commenting on what could have remained a silent issue. Part time employees at BSU are paying for a 47% increase in their health insurance. Commenting on this he said,

...the same people who are cutting state worker health benefits, dress in blue and orange, attend seven Bronco games a year and slap him on the back asking if we are going to beat Oregon.

“I wish just once somebody would say, 'How’s the lab technician going to handle the 40 percent increase? How’s the custodian going to handle the 40 percent increase? Will he drop his coverage, will he simply fail to pay?" Kustra said. "Believe me, those are the important questions we ought to be asking around this place, not how the football team’s going to be doing. I don’t know how else to put it.”

At the risk of identifying myself as a disinterested Bronco fan, I would like to ask, "How can you disagree with Kustra's comments?"