Volume 36, No. 6
February 19, 2010
Senate Stalls for Bingo
While some believe votes are lined up to pass a bingo bill, others believe the votes are not there. There was no movement Thursday as both sides hustled for votes. The slow down impacts important bills coming down the pike, including crucial proposals seeking to provide resolution to the costly payroll loophole in the tenure law.
Senate Committee Stops Charters
In a 13-4 vote, the Senate FTE Committee killed S.202, the charter bill sponsored by Sen. French. Those voting in support of the charter proposal were Sen. Harri Ann Smith, Sen. Jimmy Holley, Sen. Jabo Waggoner and Sen. Larry Dixon. Despite the overwhelming defeat Wednesday and last week in House committee by a 13-2 vote, bill sponsors indicate they are not stopping. However, bill proponent state Superintendent Joe Morton reportedly said “I would pretty much conclude it has no chance for the rest of the session.”
Kudos to the committee members who clearly recognized key problems in the proposal. Sen. Rodger Smitherman emphasized that we do not need a dual system of education in Alabama. “We still do not adequately fund schools,” said Sen. Quinton Ross. “Why divert funds to a new system? The charter movement will take us back to where we don’t want to go.”
Sen. Ted Little asked probing questions about funding and salaries. And clearing muddy waters, Sen. Hank Sanders said he believed Alabama had innovation enough to be considered for the Race To The Top funding. Chairman Sanders congratulated committee members for their research and full discussions on the issue.
Three amendments were added by Sen. Jabo Waggoner. One clarified that charter schools would be subject to proration, one specified that principals must be named, and a third attempted to provide local boards protection from liability. The amendment, a seeming concession to one of many of school boards’ concern, was ineffective. It, like the bill, failed to understand the complexity of the issue.
Full Media Press Makes Little Impact
Editorials and special news coverage appeared in many major dailies and on television stations to endorse charter schools. However, endorsements of charter schools failed to adequately understand the details and fatal flaws in the plan though AASB and other education leaders testified in regard to unworkable components in the governor’s proposals. In public hearings, different education groups shared their on-point research and experience and explained in detail the proposal’s problems. The media, and even some proponents of the bills, instead chose to lambaste all opponents of the bills as impediments to innovation. Both need to do some more homework.
AASB hosted a meeting for Riley’s staff and the state Superintendent Joe Morton in January and included attorneys and practitioners, experts in this matter, to help improve the bills. Response to that half-day meeting of expert testimony came weeks later, five minutes before the House Committee was to vote. The governor’s staff handed out three amendments: too little, too late.
Schools Forced to Pay Terminated Employees;
Close the Loophole -- Support S.B. 429 and 430
Nearly every local school system has experienced nonsensical problems from the tenure law revised in 2004. It only took a few years to learn the “improved process” to terminate teachers was a farce. It turned out to do exactly opposite from what was intended.
The existing termination process is like a payroll lottery with a win every time! School systems spend hundreds of thousands of dollars as terminated teachers and other employees take full advantage of the payroll loophole in the law. But why not? There is absolutely nothing for the employee to lose by taking advantage of the loophole. Meanwhile, jobs in Alabama are scarce and students do without. The terminated employee sits at home and collects full pay and benefits until the full tenure process through arbitration is resolved. It can take years.
A little common sense can close the loophole and save public dollars.
- Authorize immediate cancellation of an employment contract for any teacher convicted of a felony or sex offenses involving a child;
- Maintain teacher’s current appeal process before a hearing;
- Provide a pre-termination hearing before the employing local board;
- Protect teacher’s 5th amendment right against self-incrimination by restricting use of testimony offered; and
- Give employee restitution for any unpaid compensation if the termination is reversed by a hearing officer.
School boards must have immediate relief from the technical flaw that drains education dollars and draws a justified public outcry. AASB recognizes that until there is a complete overhaul of the law, this common sense fix must do. Right now, schools have no choice but to pay a full salary to terminated employees while they also must hire a substitute for the classroom.
Stop pay to terminated school employees.
Support Senate Bill 429 and 430!!
PACT Solutions Make Progress in House:
Senate will Make or Break a Deal.
The pack of PACT bills aimed at alleviating the fund’s crisis while creating improved program stability, accountability and transparency are moving through the House and are ready to be considered, tentatively Feb. 25.
The financial arm of the package includes H.228, sponsored by Rep. Craig Ford. The bill would allocate approximately $236 million over an 8- year period, starting in the 2014 fiscal year, to meet PACT obligations. The allocation would be appropriated annually from the ETF. It would consist of the annual difference paid from the debt service compared to the 2013 fiscal year debt level. Sounds complicated, but it is an existing debt required by law that is paid from the ETF. Once current contract holder obligations are met, the program would be dissolved and any remaining funds in the PACT fund would transfer to the ETF.
A substitute to be offered by Rep. Ford to H.228 also caps tuition increases at the lesser of actual costs or 2.5 percent, unless the trust fund earns 5 percent or more. If the fund earns more than 5 percent, the tuition cap can be increased by the growth above 5 percent. For example, if the trust fund grows by 6 percent, then the annual tuition cap may increase to 3.5 percent. The tuition cap language is causing grief to higher education institutions and will be the make or break issue for the PACT package. Those who are willing to use ETF funds want a mechanism to ensure controlled costs while universities are loathe to accept the restrictions as part of the solution.
Transparency and good governance highlight the remaining 3 bills sponsored by Rep. Greg Wren. The bills outline governance and administration of the program to enhanced control and accountability. The goal is to ensure program viability until the obligations of the current contract holders are honored. H.122 simply details the Legislature’s intent to honor all current contracts. H.123 would establish a separate PACT board with enumerated duties and requirements. Outlining fiscal controls would provide assurance the program can be viable through economic downturns.
H.124 would establish an advisory task force to the PACT board. Increased public involvement in the PACT program would take place with representation on the task force and access to the operations of the task force through regional meetings. AASB continues to monitor the PACT solution bill to ensure the PACT program may be resolved with the least negative impact on the ETF.
P.E. Bill Mired in Senate Slow Down
H.105 was poised on a special agenda this week, however may be caught in the Senate slow down and the bill is no longer non-controversial. A House amendment allowed students who participated in JR ROTC and band to be exempted, and education interests believed the bill improved. The Senate committee striped that language which leaves all K-8 students mandated to take thirty minutes of daily P.E. without substitution.
Local school boards believe the state Board of education should determine curriculum and not the Legislature. If this legislation is approved, it must have the exemption language as added in the House.
ETF Rolling Reserve Act
Common Sense for Common Good
H.99, the Education Trust Fund Rolling Reserve Act, would put in place a state budgeting process that would protect public schools from the ups and downs of economic cycles and build in systemic, sustainable growth. Rep. Greg Canfield’s bill proposes building reserves in strong fiscal years to allow stable growth when the economy slows. Using 15-year budget history, the process would also allow the ETF to begin to pay down unfunded liability reserves for employee health benefits (PEEHIP), education employee retirement benefits (TRS) and by accumulating funds for school construction.
AASB advocates prudent education budgeting. Local school boards strongly support consistent, measured growth for public education. Alabama’s public students suffer great setbacks when proration is called as in the past several years. It will take many years to recover. Alabama needs a responsible budgeting process to ensure local schools will have the resources to build and improve public education. While public education remains underfunded in Alabama, the rolling reserve act ensures prudent use of revenues protecting students and employees in the process.
The House Education Appropriations Committee will hold a public hearing on H.99 next Wednesday. Please contact committee members and urge they support a responsible budgeting process as proposed in H.99.
Superintendent Vacancies to Require Posting
H.79, sponsored by Rep. James Buskey, is pending final passage in the Senate. Among other posting requirements for state level positions, county and city superintendent vacancies will require vacancy postings. Because the bill will take effect immediately upon passage, school systems with superintendent vacancies will be impacted. Stay tuned for additional details.
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Local school boards work with legislative leaders to accomplish the public’s highest priority -- educating our children.
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17 Days remain in the
Regular Legislative Session. |
