Wisconsin Education Association Council Budget Overview March 2017

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Bertram Randall
5 years ago
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1 Overview The Wisconsin state budget cycle is picking up steam, now that the governor has introduced his budget proposal and the Legislature s Joint Finance Committee has set its official hearings. Here is the schedule: Monday, April 3 UW-Platteville, Platteville Wednesday, April 5 State Fair Park, Milwaukee Friday, April 7 Berlin High School, Berlin Tuesday, April 18 Spooner High School, Spooner Wednesday, April 19 Ellsworth High School, Ellsworth Friday, April 21 Marinette High School, Marinette May 2-28: The Joint Finance Committee will hold executive sessions on the budget. See the Legislative Floor Calendar Legislative Leadership Senate Leadership President: Roger Roth, R-Appleton Majority Leader: Scott Fitzgerald, R-Juneau Minority Leader: Jennifer Shilling, D-La Crosse Assembly Leadership Speaker: Robin Vos, R-Rochester Majority Leader: Jim Steineke, R-Kaukauna Minority Leader: Peter Barca, D-Kenosha Key Committees SENATE Co-Chair: Alberta Darling, R-River Hills Republican members Vice-Chair Luther Olsen, R-Ripon Sheila Harsdorf, R-River Falls Howard Marklein, R-Spring Green Tom Tiffany, R-Hazelhurst Leah Vukmir, R-Wauwatosa Democratic members Lena Taylor, D-Milwaukee Jon Erpenbach, D-Middleton JOINT FINANCE COMMITTEE ASSEMBLY Co-Chair: John Nygren, R-Marinette Republican members Vice-Chair Dale Kooyenga, R-Brookfield Mary Czaja, R-Irma Dean Knudson, R-Hudson Michael Schraa, R-Oshkosh Amy Loudenbeck, R-Clinton Democratic members Chris Taylor, D-Madison Gordon Hintz, D-Oshkosh 1

2 Republican members Alberta Darling (Vice-Chair), River Falls SENATE EDUCATION COMMITTEE Chair: Luther Olsen, R-Ripon Democratic members Chris Larson, Milwaukee Stephen Nass, Whitewater Leah Vukmir, Brookfield Janet Bewley, Ashland LaTonya Johnson, Milwaukee Republican members Joel Kitchens (Vice-Chair), Sturgeon Bay John Jagler, Watertown Shannon Zimmerman, River Falls Jessie Rodriguez, Oak Creek Ron Tusler, Harrison Jeffrey Mursau, Crivitz Romaine Quinn, Rice Lake Cindi Duchow, Town of Delafield Chuck Wichgers, Muskego ASSEMBLY EDUCATION COMMITTEE Chair: Jeremy Thiesfeldt, R-Fond du Lac Democratic members Sondy Pope, Mt. Horeb Eric Genrich, Green Bay Dave Considine, Baraboo Gary Hebl, Sun Prairie David Bowen, Milwaukee Don Vruwink, Milton Find a complete overview of the governor s budget proposal at 2

3 Per-Pupil funding Background: Public schools are in crisis due to years of defunding in state budgets, resulting in program cuts, teacher shortages and turnover, and local communities forced to referendum to keep their schools running. Governor s Proposal: Governor Walker has proposed an education budget that significantly increases resources for Wisconsin K-12 schools, with most of the increase delivered in a way that would move the state away from its commitment to providing more assistance to districts with less capacity to boost local property tax support for schools. His proposal would also increase the amount of public money going to private schools, and cut property taxes compared to what they would otherwise be. There are some bright spots, including increased aid for mental health supports in schools. What to Watch: Adjusted for inflation, state funding for public schools remains below levels more than a decade ago when the state maintained a commitment to fund two-thirds the cost of public education. The $200/$204 per-pupil increase roughly equals a cost of living increase, so essentially allows district to maintain existing programs and doesn t restore what they ve lost through years of state budget cuts. Under the governor s proposal, a significant portion of the new spending would be delivered through a type of aid that provides money according to the number of pupils in a district -- meaning wealthy districts would receive the same funding boosts as those in poorer communities. Additionally, the governor s plan for increased funding for schools is based on assumptions on other areas of the budget, including what he calls savings from moving state employees to a questionable selfinsurance program and a possible federal infusion of money for infrastructure. Senate Majority Leader Scott Fitzgerald has urged caution, noting education is only one of many priorities that the Senate will weigh throughout the budget process. Key Point: To best serve students, Wisconsin must restore cuts made to its public schools over the past few years. This starts with targeting funding to districts that need it most by putting funding into the state school funding formula rather than providing a flat-increase regardless of need that won t be used as a base to build off of in the school funding formula for local schools going forward. 3

4 Act 10 Provisions Background: Wisconsin s 2011 Act 10 called upon school employees to pay 12 percent of health insurance costs. Local school boards in some school districts have taken the lead on absorbing a portion of those costs to attract and keep educators in their schools. Governor s Proposal: In each of the and school years, the department of public instruction may not pay per pupil aid under section (3) of the statutes to a school district unless the school district certifies to the department of public instruction that employees of the school district will be required to pay at least 12 percent of all costs and payments associated with employee health care coverage plans in that school year. School boards know best what works in their school district, and are responsible to taxpayers for their decisions. State politicians take away local control when they meddle in local decisions. This proposal punishes students for measures to ensure quality educators stay in their classrooms. Instead of looking for ways to punish students and teachers, politicians should be advancing ways to increase morale to attract the best and brightest into the teaching profession. 4

5 Voucher schools and other privatization Background: Under the current governor and previous legislatures, vouchers have been expanded statewide, special needs vouchers have been introduced, other privatization schemes benefiting privately run charter schools have been advanced, siphoning state aid from public schools to pay for it all. The result? Public schools are spending less now than they were in Governor s Proposal: Per-pupil aid payments for voucher school students would increase $217 each year more than the $200/$204 increase for public school students. The governor provides for fully funding of expected changes in privately run charter schools, vouchers, and for special needs vouchers. What to Watch: While the governor s budget doesn t call for expansion of the voucher program beyond current law, several legislators have expressed support for eliminating enrollment caps. Senate Majority Leader Robin Vos has announced his support for Education Savings Accounts, and other policies that would subsidize private school tuition at the expense of the majority of Wisconsin children. Public school students outperform those in voucher schools. Funding for unaccountable vouchers comes directly out of neighborhood public schools. Almost 80 percent of students receiving vouchers for private schools never attended public schools in the first place. Their private tuition is now being subsidized by taxpayers. After a quarter century of vouchers in Wisconsin, they ve done nothing to impact school improvement. A better investment is the Community Schools model, which is proven to help students in struggling communities. Stay away from Education Savings Accounts and expansion of Special Needs Scholarships they are vouchers by another name. In Wisconsin, the most vulnerable special needs students stay in public schools where they receive the extra help they need while unaccountable private schools siphon off funding and accept only a tiny number of special needs students. 5

6 Lifetime licenses Background: Wisconsin moved away from permanent teaching and administrator licenses in 1983 to ensure educators are continuously improving their skills in the fast-changing education environment. Governor s Proposal: The perpetual teaching license would be created to replace current five-year renewal cycles. The proposal says support would be continued for a robust educator effectiveness system that provides regular performance data. The move would save teachers $750 over a 30-year career, the proposal states, and would result in approximately 10 staff cuts (and associated funding) at the Department of Public Instruction. What to Watch: This is a policy move that was suggested with no input from educators. Senate Majority Leader Fitzgerald said he s not sure why the governor proposed the change, and State Superintendent Tony Evers questioned the move. While WEAC and other education stakeholders have offered recommendations on streamlining the licensing process to lift unnecessary burdens from educators, this move has some critics wondering if it s designed to allow anyone to become a teacher, similar to legislation recommended during the last session. Key Point: Educators who work with students every day should make the decisions regarding their profession and that the role of state government is not to dictate how schools and education credentialing is structured. 6

7 Energy efficiency exemptions Background: Currently, under Act 32, school improvements for energy improvements fall outside of revenue limits, allowing districts to undertake money-saving projects outside of their operational budgets. Governor s Proposal: Eliminate Act 32. School districts would need to go to referendum for such energy efficiency projects outside operational budgets. What to Watch: As the number of school referendum increases, such a move could further push that trend. School districts that do not or cannot successfully pass energy efficiency projects would lose funding currently available to keep their schools up-to-date. Critics of this budget item suspect it is a way for the state legislature to keep local property taxes by making it more difficult for school boards to undertake school projects. Local school boards know best what students and schools need to be successful, and how to save money in the long run by undertaking energy efficiency projects. Politicians should allow the exemption so districts don t have to choose between student programming, quality educators and up-to-date, safe facilities. 7

8 Self-insurance for state employees Background: The Group Insurance Board voted to move forward with self-insuring state employees, just hours before Gov. Scott Walker delivered his budget address which incorporated the anticipated savings. The decision, which board members approved 10-1, needs approval from the state s Joint Finance Committee. About 22,000 of WEA Trust s 82,000 members are in the state worker health plan. Governor s Proposal: Adopt a self-insurance model for state and local government employees. The change means the state would pay medical benefits to some 250,000 workers directly instead of buying insurance from HMOs. What to Watch: The governor s school funding increases are based on assumptions, such as savings from the self-insurance. If the plan moves forward and doesn t perform as well as the governor speculates, there s no guarantee funding will be there for students. With a new administration in Washington promising to upend the nation s health care system now is the wrong time for Wisconsin to roll the dice on a risky rewrite of its own system. School funding shouldn t be a gamble. The governor s school funding increases are based on assumptions, such as savings from the self-insurance. If the plan doesn t perform as well as the governor speculates, there s no guarantee funding will be there for students. 8

9 Remedies for discrimination and violations of family & medical leave act Background: The Wisconsin Fair Employment Act prohibits employment discrimination based upon race, age, gender, religion and disability. Employees who believe they are victims of discrimination have to prove it in federal court or through the Wisconsin Equal Rights Division. They have a far better chance of success with a lawyer, but often can t afford it or find one who will accept payment only if the client wins. Because of that, the Wisconsin Supreme Court has ruled that the employer must pay the employee s reasonable attorney fees when found guilty of discrimination under the Equal Rights Division. Governor s Proposal: No attorney fees or costs will be awarded to victims if no reinstatement, monetary relief, or other substantive or tangible benefit is ordered and victims who win discrimination cases could be forced to pay the attorney fees of the offending employer. The governor s plan would add an identical rule to the Wisconsin Family and Medical Leave Act, thereby stripping employees who can prove a violation of this law of an effective remedy. What to Watch: If this is enacted, an employer found guilty of unlawful discrimination who is ordered not to do it again but with no financial penalty would not be required to pay the victim s reasonable attorney fees. If an employer serves an offer of settlement on a claimant and the claimant declines the offer in order to continue to a hearing, but does not receive a more favorable award than the settlement offer, the claimant does not receive any attorneys fees and cost reimbursements that the judge awards and must pay the employers attorneys fees and costs from the date of the offer. Laws protecting against discrimination and Family and Medical Leave violations exist to protect working people. Take a stand for fairness by upholding current policies that deter employers from discriminating against employees. Please remove any hidden attempts without the state budget that undermine employees legal avenues when they are discriminated against by their employers. Click here to send a letter to the Joint Finance Committee. 9

10 Wisconsin Retirement System Background: WEAC is recognized as a champion of the Wisconsin Retirement System, protecting the pension system heralded as best in the nation from attacks. WEAC successfully worked in coalition in the last budget cycle to block against a bill to change the formula used to calculate retirement earnings, as well as to stop a move to change the retirement age. Governor s Proposal: There are no substantial changes within the governor s budget proposal that would impact educators. What to Watch: Senator Dewey Strobel and Representative Tyler August have announced they ll introduce legislation to change the retirement calculation formula to include the top five years of earning, and increase the retirement age for teacher from 55 to 60 but only for new hires. This comes on the heels of an audit that shows extremely minimal savings, if any, from such a move. Members of the Joint Legislative Audit Committee have publicly said they d like to move the WRS from a definedbenefit model to defined-contribution. Senator Chris Kapenga (R-Delafield) stated that he wants to recommend that the WRS be privatized and the Legislative Audit Bureau was asked to look into whether a state has ever backed out of their investment fund and turned the whole thing over to the private sector. The WRS is financially sound and provides retirement security to attract and keep quality educators in our public schools. Moving from a defined benefit plan into a 401(k) style plan would be risky for taxpayers. Instead of messing with a system that is recognized as one of the best in America, lawmakers should create a pension system similar to the WRS for private employees. 10

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