2015 Legislative Conference JANUARY 18, 2015

Transcription

1 2015 Legislative Conference JANUARY 18, 2015

2 2015 Election House 51 Democrats 47 Republicans Senate 23 Democrats 25 Republicans plus 1 quasi-democrat

3 Who did PSE contribute to? Party Lost Won Grand Total Democrat Republican Grand Total

4 How much did PSE contribute? Party Lost Won Grand Total Democrat $14,350 $46,650 $61,000 (66%) Republican $30,950 $30,950 Grand Total $14,350 $77,600 $91,950 84(%)

5 2015 Session

6 Unfinished Business Supreme Court threat to sanction the legislature if they are not provided a plan to fully fund K 12 as required by HB 2261 & HB 2776 by 2018 Fund lawsuits (e.g., boarding mentally ill citizens in hospitals) - $135 million Transportation Needs require funding Fires and Disasters Costs far exceeded budget ($00 million) Funding State employee collective bargaining agreements Initiative 1351 implementation

7 Primary purpose of session 105 Day session ending on April 26, 2015 Spend $37.2 billion, $3 billion increase over previous budget Address myriad issues facing Washington 60 day session only a few, most important issues are addressed

8 Spending needs overwhelm budget Governor s Budget $1.3 billion for McCleary $440 million for State employee contracts $386 million for K 12 salary increase $361 for debt service $285 million for pensions $151 million early childhood education $125 million to freeze tuition and increase financial aid

9 State Revenue (taxes)

10 Tax system hits middle class and working poor the most Non-elderly residents pay 16.9% of income in taxes Highest income residents pay less than 2.8%

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12 Governor Inslee proposed revenue increases amounting to $1.4 billion Update tax structure to promote fairness and recognize our changing economy Capital Gains - $798 million Carbon tax - $380 million Close Tax Loopholes - $282 million Sales tax exemption for trade-ins - $105 million Cigarette and e-cigarette tax increases - $56 million Extracted fuel tax - $51 million Bottled water tax - $44 million B&O tax on royalties - $30 million

13 Right to work legislation 5045 Sponsored by Jan Angel & Mike Hewitt 30% of members sign petition requesting that the requirement to pay union dues be stopped; signatures may be collected over a 12 month period Petition submitted to PERC (Public Employment Relations Commission) PERC conducts an election. If majority vote to cease requirement to pay union dues, it goes into effect within 30 days A petition from employees who want to reinstate the requirement to pay union dues can be filed after 12 months

14 Positive legislation HB 1120 PSE s bus driver protection HB 1293 & SB PSE s paraeducator bill SB /3 of new State revenue going to education Early education K 12 Higher education

15 Outlook Special Session(s?) PSE challenges: Seeking K 12 funding increases focused on classified employees, including COLA and insurance inflation Higher education contracts funded Passing PSE bills

16 Workshop topics

17 1.Support classified employee services

18 Market Based Salary Recommendations Compensation Workgroup 2012 Report HB 2261Requirement QEC received report

19 Classified salary recommendation 19 Position Current State Funding Current Local Funding Total Current Funding New State Funded Amount Teaching Assistance (InstructionalAides/Paraeducators) $31,699 $1,197 $32,896 $45,386 Office Support and other Non-instructional Aides $31,699 $6,037 $37,736 $40,949 Custodians $31,699 $5,070 $36,769 $39,454 Classified staff providing student and staff safety $31,699 $5,651 $37,350 $44,040 Family Involvement Coordinator $45,386 Technology $31,699 $23,249 $54,948 $83,253 Facilities, maintenance and grounds $31,699 $15,616 $47,315 $50,057 Warehouse, laborers, and mechanics $31,699 $10,743 $42,442 $36,522 Central Office, Classified $31,699 $22,872 $54,571 $56,374

20 Cost of salary 20 recommendation $277 million House appropriations committee passed HB 2792 to fully fund 2013 House passed budget funded 50% of the increase

21 Staffing adequacy recommendations (B) RECOMMENDATIONS FOR ASSURING ADEQUATE LEVELS OF STATE-FUNDED CLASSIFIED STAFF TO SUPPORT ESSENTIAL SCHOOL AND DISTRICT SERVICES. PSE ADDED THIS TO HB 2776

22 Staffing adequacy report Workgroups developed classification recommendations The QEC provisionally adopts the recommendations of the Classified Staffing Adequacy Working Group for essential staffing levels - QEC 2011 Report to the Legislature Placed into Initiative 1351 (with small changes)

23 Paraeducators 23 Elementary School 400 students FTE increase Middle School 432 students.3 FTE Increase High School 600 students.35 FTE Increase

24 Secretaries 24 Elementary School 400 students 1 FTE increase Middle School 432 students 1.3 FTE Increase High School 600 students.25 FTE Increase

25 Student safety 25 Elementary School 400 students.08 FTE decrease Middle School 432 students.61 FTE Increase High School 600 students 1.16 FTE Increase

26 Parent involvement 26 coordinator Elementary School 400 students.92 FTE increase Middle School 432 students 1 FTE Increase High School 600 students 1 FTE Increase

27 Technology 27 For every 1,000 students 2.2 FTE Increase

28 Facilities, Maintenance, 28 Grounds For every 1,000 students 2.2 FTE Increase

29 Warehouse, Laborers, 29 Mechanics For every 1,000 students 1.6 FTE Increase

30 Increased state cost - $680 Million Teaching Assistants (Elementary / Middle / High) 94,913,779 Office Support (Elementary / Middle / High) 103,741,723 Custodians (Elementary / Middle / High) 5,346,783 Student Safety (Elementary / Middle / High) 38,483,136 Parent Involvement Coordinators (E / M /H) 111,130,003 Districtwide Technology Staff 119,730,144 Districtwide Facilities, Maintenance, Grounds Staff 120,560,606 Districtwide Warehouse Staff, Laborers, Mechanics 86,432,305 Total 680,338,479

31 2. State funding for affordable, quality health insurance HOW DO WE KEEP UP WITH RISING COSTS?

32 Insurance Premium Increases School Year WEA/Premera rates up 17% WEA/Premera has 60% of K 12 covered lives 2014 PEBB On average, no rate increase Some went up a little, some went down a little School Year WEA/Premera rates up 8% 2015 PEBB On average, rates went up 4% Some went up, some went down

33 State Funding for K 12 Insurance Inflation Last inflation funding for K 12 was September $ % $ % $ % $ % $ % & Inflation Funding $308 Million

34 3. Cost of living adjustments INITIATIVE 732 REQUIRED THEM FOR THE LAST 6 YEARS

35 Classified Staff State Funded COLAs -1.9% % 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 1.0% 1.2% 1.9% 3.3% 3.1% 3.0% 3.0% 3.0% 3.0% 3.7% 3.7% 4.0% 4.0% 4.0% 4.4% -3.0% -2.0% -1.0% 0.0% 1.0% 2.0% 3.0% 4.0% 5.0%

36 Initiative 732 COLA Seattle CPI School Year State Funded Seattle CPI % 4.2% % 0.6% % 0.3% % 2.7% % 2.5% % 1.3% % %

37 Cost of I 732 COLA Initiative 732 Salary Increase - $386 million 3.0% %

38 9. Fully fund pension plans PERS 1 / TRS 1 unfunded liability Cost of living longer

39 Cost of living longer Mortality rate assumption updated Implement $1.2 billion cost over next 6 years Employee cost $400 million Budget Cost - $432 Million

40 Unfunded liability - $4.370 Billion PERS 1 - $4.831 Billion TRS 1 - $2.732 Billion PERS 2/3 (-$537 Million) TRS 2/3 (-$390 Million) SERS 2/3 (-$62 Million) PSERS/LEOFF/WSPRS (-$2.204 Billion) Paid off by 2027 (assuming legislature makes annual payments)

41 11. PSE ideas for funding education Property tax swap Raise State Property Tax to the Maximum Allowed - $3.60 per thousand Calendar Year 2014 is $2.30 per thousand Allows school districts to reduce local levy reliance Increase percentage of new revenue for education funding SB Operating Budget % to K 12, 9.1% to Higher Education Extend full implementation year of McCleary funding Current full funding year is the School Year Extend full implementation year of Initiative 1351 Current full funding year is the school year

42 5. Implement Initiative 1351 Won with 50.96% (in a Republican election cycle) School support personnel are the most significant beneficiaries Not enough space, must hire school-based personnel New formulas provide funding for 21,000 classified employees Work with the legislature to implement Support spreading out implementation over longer period (more than 4 years)

43 6. Implement Paraeducator reforms HB 1293 & SB PSE s paraeducator bill Impacts paraeducators in ELL & LAP Minimum employment standard meet NCLBA standard Must become a certificated paraeducator 2 school years to test certification process Starting : 3 years to become certificated Additional process to earn a required ELL endorsement Establish a paraeducator board to implement program Career ladder - Advanced paraeducator position Community and technical college programs updated Teachers trained how to effectively manage a paraeducator

44 Opportunity Gap Students 13,000 Ell / TBIP Eligible Students 456,000 LAP Eligible Students 122,000 Special Education Students

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47 10. Protect school transportation staff HB 1120 Assist and protect drivers who witness or intervene in volatile or threatening situations Especially drivers in remote or isolated areas

48 4. Honor Higher Ed Contracts Negotiated agreements dependent upon legislative approval WWU CWU EWU WSU Financially feasible Office of Financial Management on December 5, 2015 $440 million

49 7. Increase funding for Compass to Campus Focus on low income schools and students Infect 3 rd to 5 th graders with the college bug Student mentors go to schools and assist students College sponsorship Started at WWU, expanding to CWU HB 2400 passed 2014 house higher education committee

50 8. Report on 4 year universities Disparate treatment of classified employees performing same or similar work as exempt employees HB 2788 introduced in 2014