Why is money at the heart of any discussion about education? Here in Colorado, with a drop out rate of about 25% (higher and lower, depending on the school) it’s because some people think the schools need more money to succeed. Others think school budgets are bloated and more can be squeezed by efficiencies. And others think that any dollar spent on public schools is a dollar on a bad poker hand.
These arguments come from a polarized electorate, frustrated that school reforms don’t work fast enough or well enough to fix our problems.
Do tax reforms hurt school reforms?
Many of Colorado’s problems stem from our arcane budgeting mess. Colorado’s the state with the Taxpayer Bill of Rights, TABOR. Taxes go up only with a vote of the people, fair enough. State revenues can only increase based on inflation and population. Any surplus money must be returned to voters. That means it’s very hard for the state to save for a rainy day, such as now, when revenues are way lower than expenses. Colorado has cut the budget about $700 million this year, and will cut a lot more next year.
Tax amendments to tax amendments = budget chaos
Colorado also has what’s known as Amendment 23, a constitutional amendment to ensure a certain amount of state money goes to k-12 education. But as dollars decline, even these funds are threatened.
Currently, the largest school district in the state, Jefferson County Schools, has to cut $35 million from a $500 million budget over the next three years because a 2008 mill and bond election failed. The district is trying to figure out what schools to close and what teachers to lay off. Not pretty.
No steady revenues for education
Like many states, Colorado has to figure out a steady revenue source for education, including higher ed. At one point during this year’s legislative session, the state’s Joint Budget Committee was going to cut $300 million from the state’s higher ed system, including community colleges, state colleges and universities.
TABOR makes finding revenue sources extremely difficult. Just about every cash fund has already been emptied and the state is relying more on fees to pay for its ongoing needs. The Department of Transportation and municipalities are about to partner with the private sector to build new roads, so we’ll be tolled to death.
Reform without money is like a fish without water
Just like California, Colorado has to figure out how to pay for a quality education for all kids. Without a steady revenue source, it’s tough to get school reforms to work. If teachers and schools are to receive incentives and rewards to reduce drop out rates and improve achievement, someone has to put some significant money on the table. We all have skin in the game, whether we want to or not, so we’re all going to have to ante up.
Tags: school reform, state budgets, tax amendments, voters