Joe Wineke, Don Severson & Mitch Henck discuss the upcoming Madison School Referendums, administrative consolidation and the budget in this 40 minute mp3 file (via 1310)

James Buchen:

It will come as no surprise to weary taxpayers that Wisconsin hosts one of the most expensive public school systems in the country.
We rank 8th in per capita spending for elementary and secondary education. The seven states above us tend to be either high cost states like New York and Connecticut or states with very small populations like Alaska and Wyoming. Taxpayers shoulder this burden by paying high property taxes and high state income taxes. In fact, on average, 44 percent of the property tax bill goes to fund public schools and 40 percent of the state budget is devoted to funding for K-12 public education in Wisconsin.

Alan Borsuk:

A year after laying a 13% property tax increase on the city, Milwaukee Public Schools officials are proposing a budget for next year that projects an increase of less than 1% in the amount to be collected in property taxes to pay for schools.
But a budget proposal for 2005-’06 that continues reforms launched by Superintendent William Andrekopoulos and contains no major new steps is based on two big assumptions: That Democratic Gov. Jim Doyle’s state budget proposal, calling for a shift of more school funding back to state government, will win approval from the Republican-controlled Legislature; and that the School Board and the administration will win an arbitration proceeding with Milwaukee’s teachers union that focuses largely on health insurance costs.
The MPS proposal was presented to board members late Tuesday. They are scheduled to spend the next month working on it.

Dennis Shook:

Way back in the corners of our collective political consciousness I am beginning to sense that there is an answer beginning to form. It probably involves consolidating many school districts and putting in place some kind of insurance program that keeps employee costs under control on the expenditure side.
On the revenue side, it also seems we are all starting to become more aware that not every sector in our economy is pulling its weight. Most every comparative study of tax burden during the past few decades has seen a dramatic shift of the burden onto the individual property taxpayer and away from the business sector. There are also a lot of taxable entities that are not being taxed at all, like nonprofits and even fraternal and religious organizations.

via wisopinion.com

Ken Cole:

The perennial argument that the QEO has somehow �capped� teacher salaries just doesn�t square with the numbers because most districts voluntarily settle above the 3.8 percent total package, which includes both salary and benefits. The Wisconsin Association of School Boards database shows that total-package increases averaged about 4.5 percent in 2003-04 and 4.3 percent in 2004-05.

Stan Johnson:

Prior to the law change, arbitrators intervened in stalled negotiations and brought the sides together by analyzing such data as a local school district�s ability to pay, national and regional market forces, and comparable wages and benefits in the geographic area. Arbitration was the single most important factor accounting for the period of labor peace from the late 1970s to early 1990s.

What’s the QEO? via wisopinion

George Will, writing from Phoenix:

The idea, which will face its first referendum in Arizona, is to require that 65 percent of every school district’s education operational budget be spent on classroom instruction. On, that is, teachers and pupils, not bureaucracy.
Nationally, 61.5 percent of education operational budgets reach the classrooms. Why make a fuss about 3.5 percent? Because it amounts to $13 billion. Only four states (Utah, Tennessee, New York, Maine) spend at least 65 percent of their budgets in classrooms. Fifteen states spend less than 60 percent. The worst jurisdiction — Washington, D.C., of course — spends less than 50 percent.

Joanne Jacobs has a few comments.

Bob Lang, Director of the Wisconsin Legislative Fiscal Bureau released an estimate of 2004/2005 State support for local school districts (44 Page PDF)

Madison Resident Richard Chandler:

There seems to be an orchestrated effort under way to blame high residential property taxes on businesses. This assertion has been made recently by some legislators, a school administrator and local officials who are opposed to a property tax freeze, spending limits, and other efforts to reduce Wisconsin’s tax burden by restraining spending.
The argument goes something like this: Over the past 30 years, the share of total property taxes paid by homeowners has risen while the share paid by businesses has dropped. The claim is that this shift is the result of tax exemptions for businesses. While it may serve some political purpose to make this claim, it’s not true.
Simply put, the changes in the percentages of property taxes paid by different categories of property over the past three decades are primarily the result of changes in the economy, not tax breaks. During this period, residential property values have increased rapidly in Wisconsin — and with it the amount of property taxes they pay. What’s usually not mentioned is that the share of property taxes paid by commercial property has climbed along with the residential share as we’ve moved to a more service-oriented economy.

Chandler is the former Wisconsin secretary of revenue and state budget director.

In response to Ruth Robarts’ recent letter, stripped of its satire, she is suggesting that paying Madison’s school staff less would eliminate the budget gap. Her proposal is that school staff should receive a package of 2.35 percent for salary and benefits combined. There are three major problems with her proposal:

• This would impose a pay cut on almost all employees, with the deepest cuts affecting the lowest paid staff (educational assistants and food service workers)
• A 2.35 percent package would save the district about $4.6 millionthere would still be a budget gap of at least $4 million.
• State law makes such an approach impossible. The qualified economic offer law essentially requires that districts offer at least a 3.8 percent annual increase for salary and benefits combined.

Be wary of last minute proposals that sound good and promise to solve the problem without painful cuts. As a community we need to face the fact that the budget gap we face is real; it is a direct consequence of the state laws and funding decisions that affect all Wisconsin school districts.

/Carol Carstensen, Madison School Board /

James Nevels on Philadelphia School Reform:

How did we–teachers, principals and our chief executive, Paul Vallas–do it? We defined the district’s “customers” exclusively as the 200,000 children we serve. Not interest groups. Not adult constituencies. We held adults accountable for results.
To start, we instituted businesslike systems. First came a standardized curriculum so that all students would learn what we agreed was most crucial for success and could easily transfer among schools.
Elementary school students now spend two hours a day on reading and 90 minutes on math, double what they spent before. We conduct benchmark testing every six weeks in elementary and middle schools and every four weeks in high schools. This helps teachers to either dedicate more time to a subject in which students are struggling or provide advanced instruction in subjects students have mastered.

The Madison School District’s Administration will release their proposed budget reductions (reductions in the increase – see these posts) Thursday afternoon (unless it leaks earlier). There will be an afternoon press conference (apparently 2:30p.m.). We’ll link to the district’s site once the information is posted. Roger Price previewed the 2005/2006 budget recently (video/audio along with slides).

Watch a recent Madison School Board Maintenance Referendum Hearing (video). Don Severson, Roger Price, Art Rainwater and others discuss the planned maintenance referendum.

The National Center for Education Statistics has released national K-12 student expenditure data per state. The national average is $7,734, of which $4,755 goes for instruction.
The Madison School District spends north of $12.9K (24,430 students in 2004/2005 per Roger Price’s recent budget presentation) per student per year. We’ll hear a great deal about the district’s 2005/2006 budget over the next few months. Regardless of referendums or new federal/state aids, the district budget will go up, from 316.8M in 2004/2005 to perhaps 327.7M in 2005/2006 (again, according to Price’s presentation). Via Joanne Jacobs.

Roger Price, the Madison School District’s Assistant Superintendent for Business Services presented a look at the upcoming year’s district budget last Monday night (2.14.2005). Roger forwarded his powerpoint slides (260K pdf) and an excel spreadsheet on tax levies from 1993 to 2005 that he used in his presentation. You can view the presentation (or listen to an audio mp3 file) here.
Barb Schrank took a look at the video clip and has some comments below.