Volume 34, No.11
April 25, 2008
Click here for a look at a list of education-related bills.
Still No Education Budget in House
The House spent its time in a filibuster this week on H.350, a corporate tax bill with a $67 million impact on the education budget. Various interests appeared to be working on a compromise after a procedural vote on the bill failed Tuesday. However, by late Thursday, no compromise had been reached and the House adjourned shortly after a voice vote to reconsider the procedural vote. That vote will take place next Tuesday.
The House Education Appropriations Committee Thursday approved a bill that would be linked to H.350 if a compromise succeeds. H.144 would provide to small businesses and their employees a state tax deduction for health insurance coverage costs. Noting that the cost and access to health care coverage is the highest priority for Alabama’s small businesses, the committee indicated it could help accommodate the costs. An amendment to H.350 would incorporate an additional provision addressing certain tax shelters known as REITS’s or Real Estate Investment Trusts to raise additional revenue and help provide an offset to H.144.
Two scenarios for the Education Budget Tuesday
If H.350 succeeds, the education budget can be considered as passed by the Education Appropriations Committee. Local school boards urge support of the committee budget and oppose floor amendments.
Expect higher education to attempt to add $25 million to the bottom line in a floor amendment. Such a move would push the FY2009 proposal well beyond revenue projections and set the budget up for proration next year. Proration has a heavily lopsided impact on K-12. It means a loss of critical operating dollars for K-12 schools which rely on state dollars for up to 80 percent of their funding. Higher education wants additional dollars up front even if it means proration. Universities have alternative resources when state dollars, which comprise only up to 20 percent of their budget, are prorated.
If H.350 fails in the House, Chairman Lindsey will propose cuts that would need to be made because of the $67 million loss. To balance the budget, those adjustments must be made. Moreover, the committee budget is based on the governor’s revenue projections which are more optimistic than the Legislative Fiscal Office numbers. The state’s economy must perform at this optimistic level to fully fund the proposed education budget next year.
Proposed Education Cuts if H.350 Fails
Governor’s Programs - $12.5 million
Office of School Readiness - $5,000,000
Math & Science Technology Initiative - $2,500,000
Distance Learning - $2,500,000
Reading Initiative - $2,500,000
----------------------------------------------------------
Higher Education - $25 million
Alabama A & M - $893,881
Alabama State - $870,281
University of Alabama - $3,584,153
University of Alabama-Birmingham - $6,416,711
University of Alabama-Huntsville - $1,067,779
Auburn University - $3,940,552
Auburn Agricultural Experiment Station - $731,793
Auburn Cooperative Extension - $790,490
Auburn University-Montgomery - $560,978
Athens State University - $284,036
Jacksonville State University - $874,746
University of Montevallo - $448,364
University of North Alabama - $634,940
University of South Alabama - $2,520,887
Troy University - $1,097,114
University of West Alabama - $283,295
----------------------------------------------------------
Two-Year College System - $7,570,000
Prison Education-Therapeutic Ed. - $2,000,000
Adult Basic - $1,570,000
Workforce Development - $3,000,000
Marion Institute - $1,000,000
----------------------------------------------------------
Community Service Grants- $10,000,000
----------------------------------------------------------
ACHE-Alabama Agricultural Land Grant Alliance - $600,000
----------------------------------------------------------
Department of Mental Health and Mental Retardation-ARC type community-based programs - $1,610,000
----------------------------------------------------------
AIDT - $5,000,000
----------------------------------------------------------
Archives and History - $250,000
----------------------------------------------------------
Family Practice Rural Health Board - UAH - $100,000
----------------------------------------------------------
Department of Education - $4,370,000
Career Tech Initiative - $2,500,000
High Hopes - $1,000,000
At-Risk - $870,000
Competitive Bid Law Captive in Senate Standstill;
Prioritize H.442/S.364.
The Senate remains locked in battle with a local bill that is testing the mettle of every senator. At issue is a longstanding courtesy of allowing local legislation to be handled by a local delegation versus a gaming issue allowed to be left to a local vote. The bill has attracted heated opposition from those outside the local delegation. Over 400 bills are pending Senate action. If the logjam breaks, the competition for bill passage will be fierce. Only the legislation with significant support will be in the running to see the light of day on the Senate floor.
H.442/S.364 would provide schools with better tools to obtain quality products at competitive prices. The bills would update the current $7,500 minimum bid threshold to $15,000 and adjust for 15 years of inflation.
Urge your senator to prioritize
and vote YES on S.364/H.442
S.364/H.442 would: increase the bid threshold from $7,500 to $15,000; make the bid bond requirement optional; exempt local school boards from bids when using certain joint purchase agreements; allow for life cycle costing in determining lowest responsible bidder; and allow school boards to award contracts to the second lowest responsible bidder if the lowest bidder defaults.
Local Schools Caught in Political Backlash
This week, school board members reported that auditors from the Department of Examiners of Public Accounts appeared at central offices demanding specific information about central office operations. Their presence and requests are intimidating and are the result of a House Resolution sponsored by Rep. Ken Guin. H.R.564 requests and urges the examiners to provide to the Legislature:
(1) A list of each public school system.
(2) The salary of the superintendent of each public school system.
(3) The number of individuals employed within the central office of each public school system.
(4) The total payroll for the individuals employed within the central office of each public school system.
AASB has learned that the information requested is being provided to each House member by the School Superintendents of Alabama (SSA). The information was compiled at SSA’s request by the state Department of Education. For a copy of the SDE information, click here (Fund Sources FTE and Salary).
The request for information is not at issue since it is already available to the public at the state and local level. The issue raising eyebrows statewide is the motive of the request. It has spurred coverage in several newspapers, including the front page of today’s Birmingham News.
Rep. Guin’s resolution was approved last Thursday by a 37-36 vote. Several lawmakers spoke against the resolution because it came on the heels of last Tuesday’s defeat of Rep. Guin’s bill, H.767 (requiring regional dietitians to review school menus). Superintendents successfully rallied opposition while the bill was debated on the House floor.
Following the bill’s defeat, there was a heated meeting between superintendents and Rep. Guin. SSA’s executive director and three local superintendents reported that Guin threatened the group if it didn’t remove its opposition to the bill. SSA informed Guin it would continue to oppose the bill and the resolution was introduced the next legislative day. Guin told the Birmingham News:
"If they think a resolution asking for some financial information is a threat, then they are really underestimating what any member of the Legislature can do. There are an awful lot of other tools at their disposal," Guin said.
AASB hopes that the information from the state Department of Education will quell additional visits and requests from the auditors to local school systems. School officials and examiners can use their time to address other pressing needs.
Additional Pending Legislation in Senate
H.317/ would update the school nurse law to
S.55 authorize school systems to employ licensed practical nurses (LPNs).
H.398/ would allow a provisional teaching certifi-
S.574 cate to be granted for grades 6-12 (currently grades 9-12); focus eligibility on knowledge of the subject to be taught; and extend the window for individuals to acquire their mandated teaching experience.
H.54/ would require school boards to have
S.585 a comprehensive safety plan for each school.
******************************************
On education funding and policy decisions,
local perspective can make a BIG difference.
******************************************
The Legislature is planning a 3-day work week
April 29, 30 and May 1
----------------------------------------------------------------------------
6 Days remain in the
Regular Legislative Session
|
