K-12 Tax & Spending Climate: Public Sector Taxpayer Compensation

Monica Potts:

There was general agreement among the Facebook commenters that no one in the area was paid that much — the librarian’s wages would have worked out to be about $42,200 a year — and the people who do actually earn incomes that are similar — teachers and many county officials — largely remained quiet. (Clinton has a median income of $34,764 and a poverty rate of 22.6 percent.) When a few of us, including me, pointed out that the candidate for the library job had a master’s degree, more people commented on the uselessness of education. “Call me narrow-minded but I’ve never understood why a librarian needs a four-year degree,” someone wrote. “We were taught Dewey decimal system in grade school. Never sounded like anything too tough.”

Many rural counties are also experiencing declines in whatever industries were once the major employers. In Appalachia, this is coal; in much of the Midwest, it is heavy manufacturing; and in my county, and many other counties, it’s natural gas and other extractive industries.

This part of Arkansas sits on the Fayetteville Shale, which brought in natural gas exploration in the early 2000s. For about a decade, the gas companies paid local taxes on their property, equipment and the money they made from extracting natural gas, and landowners paid property taxes on the royalties they earned. It was a boom. Many people at the time, here and elsewhere, expected that the money would last longer than it did.

Instead, the price of natural gas plummeted in 2009 and profits declined. Production slowed. One of the biggest natural gas companies in the area, Houston-based Southwestern Energy, stopped paying taxes to the counties here, arguing that the rates were unfair. The company and five Arkansas counties, including mine, are still locked in litigation over some of the money it owes (it recently paid a portion of it).


To make matters more dire, the long-term legislative proposal specifically exempts school district arbitrations from the requirement that arbitrators consider and give the greatest weight to revenue limits and local economic conditions. While arbitrators would continue to give these two factors paramount consideration when deciding cases for all other local governments, the importance of fiscal limits and local economic conditions would be specifically diminished for school district arbitration.

WEAC $1,570,000 for Four Wisconsin Senators:

How much do election-year firewalls cost to build? For the state’s largest teachers union, $1.57 million.
That’s how much the Wisconsin Education Association Council said last week it will spend trying to make sure four Democratic state senators are re-elected – enough, WEAC hopes, to keep a Democratic majority in the 33-member state body.

Although there are 15 Democratic candidates running for the state Senate, and 80 Democrats running for the state Assembly, the latest WEAC report shows that the teachers union is placing what amounts to an “all in” bet on saving just four Democratic senators who are finishing their first terms.

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