The Future of Rural Schools A Presentation By Senator Kathleen Vinehout.
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Transcript The Future of Rural Schools A Presentation By Senator Kathleen Vinehout.
The Future of Rural Schools
A Presentation By Senator Kathleen Vinehout
Education choices
are about our future
Increasing Child Poverty
Students Receiving Free and Reduced Lunch
45%
40%
35%
% of WI Public
School Students
30%
25%
20%
04
05
06
07
08
Fiscal Year End
09
10
11
12
Source: DPI, April 2013
State tax revenue is growing
16
14
12
10
Tax Revenue
($ in billions)
8
6
4
2
0
93
94
95
96
97
98
99
00
01
02
03
04
05
06
Fiscal Year Ends
07
08
09
10
11
12
13* 14* 15*
*Estimated
Source: Comparative Summary of Governor and JFC Budget Recommendations, table 7, Legislative Fiscal Bureau, June 2013; Legislative
Fiscal Bureau Memo, March 2013; Legislative Fiscal Bureau letter to JFC Co-Chairs, May 2013
Where does money come from?
All Funds
Segregated
Revenue
11%
General
Public
FundOther
Utility
Excise
5%
Corporate
7%
2%
2%
Program Revenue
15%
General Purpose Revenue
45%
Federal Revenue
29%
Sales
32%
Sources: State of WI Budget in Brief, February 2013; Preliminary 2012-13
General Fund Tax Collections August 2013
Income
53%
Where does money go?
All Funds
Corrections
4%
General Funds
Debt
Services
5%
All Other Programs
15%
All Other
Programs
10%
Health Care
30%
Local Public
Schools
35%
Local
Government
14%
Local Government
7%
Transportation*
9%
University of WI System*
17%
*excludes bonding
Local Public Schools
18%
Corrections
8%
University of
Wisconsin
System
7%
Health Care
21%
**Excludes property tax relief
Sources: State of WI Budget in Brief, February 2013; Summary of Governor’s Budget Recommendations,
Legislative Fiscal Bureau, March 2013 State Debt Related Memo, Legislative Fiscal Bureau, June 2013;
Summary of General Fund Appropriations by Agency, August 2013.
Budgets are about Choices
Total Budgeted Spending: Health grows
rapidly as education spending slows
25
20
Health
Education
15
$ in
billions
UW System
Transportation
10
Shared
Revenue and
Tax Relief
5
0
2001-03
2003-05
2005-07
2007-09
Biennial Budget
2009-11
2011-13
2013-15
Spending plan is up sharply
increases by $10b over 4 budgets
70
Money in billions
68
66
64
62
St. Budget
60
58
56
54
2007-2009 2009-2011 2011-2013 2013-2015
Budget Years
Sources: Comparative Summary of Governor and JFC Budget Recommendations, table 1, Legislative Fiscal Bureau, June 2013;
Comparative Summary of Budget Recommendations — 2011 Act 32 (and 2011 Acts 10, 13, and 27) table 1, Legislative Fiscal Bureau,
2011; Comparative Summary of Budget Recommendations (2009 Act 28) table 1, Legislative Fiscal Bureau, 2009; Summary of Budget
Provisions 2007 WI Act 20 table 1, Legislative Fiscal Bureau, 2007.
Several Big Increases in
General Fund Spending
Tax Rate Changes = $647.9 million
New Ec. Dvpt tax credits = $75 million
Medical Assistance = $850 million
Marketing “In Wisconsin”=$10.9m
80 New Vehicles $1.7 million
DNA collection at arrest = $11.6 m (inc $250
surcharge at arrest)
New Private School Tuition Tax Break = $30 m
New Money in Private School Vouchers = $78 m
Spending Increases,
but so does Debt
16
14
12
10
Republican
governor
$ in Billions 8
Democratic
Governor
6
4
2
0
96
97
98
99
00
01
02
03
04
05
06
07
08
09
10
11
12
13
14
15
Calendar Year
Source: Legislative Audit Bureau Memo, Feb. 2013 & Legislative Fiscal Bureau
Memo, March 2013; Legislative Fiscal Bureau Memo June 2013.
New Borrowing increases $2 b
New or expanded state buildings
Corrections expansion or improve
National Guard & Military Affairs
DNR HQ & park improvements
Transportation
$233m
$34m
$70m
$23m
$998m
World Dairy Expo
$9m
Maritime Museum
$5m
Family Justice Ctr, MKE
$10m
Not paying debt bills is
Kicking the Can Down the Road
Debt Restructured by Legislative Session
$600
$500
$400
$ in Millions
$300
$200
$100
$0
2001-03
2003-05
2005-07
2007-09
2009-11
2011-13
McCallum
Doyle
Doyle
Doyle
Doyle
Walker
Source: Legislative Fiscal Bureau Memo, May 2012
WI Education Policy
Has become a tangle
of different
types of
schools
all paid for
with
public dollars.
Big Increase in Private School & Independent Charter
School Spending
350
300
250
200
$ in
Millions
150
100
50
0
91
92
93
94
95
96
97
98
99
00
01
02 03 04 05
Fiscal Year End
06
07
08
09
10
11
12
13
14
15
Source: DPI, April 2013
What are charters, vouchers &
‘choice’?
Most don’t know
Changes in Education Budget
•
•
•
•
•
•
•
•
•
Expand private school voucher program statewide with a
cap of 500 students in the first year & 1,000 students in the
2nd yr.
38.4% of private school dollars come from public school
district; rest from state
$78 million = New Tax $$ for Private Vouchers
Raise K-8 private school payments to $7,210 (10%)
Raise private high school payments to $7,856 (22%)
Increase in dollars to public schools (yr 1=1.3%)
Increase revenue limit to schools by $75 per pupil
Provide a one-time aid increase of $75 per pupil
Superintendents say they need $230 per student just to
cover cost increases
Public School Spending
Without private school vouchers and independent charter Schools
6.2
6
5.8
5.6
$ in Billions
5.4
5.2
5
4.8
4.6
03
04
05
06
07
08
Fiscal Year End
09
10
11
12
13
Source: DPI, April 2013
It’s time to reconsider the path we are
headed
Senator Vinehout’s
Alternative Budget 2013-2015
Choices & Priorities
Fund Public Schools including items requested by Dept of Public
Instruction
Governor Walker did not fund:
Fair Funding for Schools
High Cost Special Education
Improving Graduation Rates
Increase for Rural Schools (Sparsity)
Bilingual-Bicultural Education
Career & Technical Education Grants
Science, Technology, Engineering and Math
Education (STEM)
SAGE increases
Additional Library Assistance
High Cost Transportation
Fix Fiscal Problems
Eliminate Tax Rate Change
& Create 2% Reserve Fund
of $623 million
Get rid of Structure Deficit
Cut almost in half Generally
Accepted Accounting
Principles (GAAP) gap
Remove Transportation
Fund raid on General Fund
Fix deficit in Children &
Families programs (TANF)
Ended the budget years with
$300 million surplus!
What’s In?
What’s Out?
Set aside over $600 m in reserves
All policy unrelated to $$$
Expand BadgerCare
Private School tuition tax break
Change School Funding
80 new vehicles
Restore ag, conservation, UW &
Expanded private school
courts cuts
Invest in Mental Health, Drug
court & addiction recovery
vouchers
Sale of state assets in no-bid
contracts
Return $ to nursing homes
New & increased tax loopholes
Expand Family Care
Changes in income tax rates
We Will Move Forward
When we realize the
‘status quo’ is no longer
an option.
When we arm ourselves
with the facts about our
local schools.
When we begin a
community discussion
about what we want for
our schools.
When we raise our
voices together.
What do we want for Wisconsin’s future?
The Future of Rural Schools
For Further Information Contact:
Senator Kathleen Vinehout
State Capitol P.O. Box 7882
Madison, Wisconsin 53707-7882
[email protected]
www.legis.wi.gov/senate/sen31/news
877-763-6636 (toll free)