Archive for the ‘Colorado Budget Crisis’ Category

Colorado Amendments 60-61 and Prop 101 to bury us, but not in debt

Wednesday, July 14th, 2010

Proponents of three anti-tax initiatives in Colorado, known colloquially as the ‘three blind mice,’ argue that Colorado citizens are over-taxed and that state government is inherently wasteful. They make these claims even though Colorado ranks 46th lowest in combined state and local taxes.

Colorado revenues will take big hit with three initiatives
The ‘three blind mice‘ attack state revenues, already low from the recession and other constitutional amendments, in novel and imaginative ways.

  • Proposition 101 will cut $2 billion+ in car fees, income tax and phone bill rates. The vehicle ownership fee will plummet to $2, cutting funds directly out of school budgets.
  • Amendment 60 will cut local school property taxes by 50%; the state will have no money to backfill the loss. The amendment will also override previous local elections in which citizens voted to exempt themselves from the Taxpayer Bill of Rights (TABOR) effects. Most inventive, citizens will be able to run elections to reduce their mill levy.
  • Amendment 61 will prohibit the state from using any debt for any reason. All capital expenses will have to be paid with cash, upfront. School districts that borrow from the state at 0% interest to cover payroll in the months when property tax collections are low will be prohibited from doing so. The school year in those districts would have to run from March to November when property tax dollars are highest. Winter will be the new summer.  (Colorado Blue Book on Amendments and Propositions)


Public school funding tanks since 1988

Colorado’s per student funding has dropped steadily in comparison to other states since 1988. According to the National Center for Education Statistics, Colorado was $1397 below the national average in per-student funding in 2007, before the recession. In its 2010-11 budget, the Colorado legislature gouged out $354 million in prek-12 cuts, or $400 to $500 per student. 2011-12 looks no better, and may be worse.

Colorado Higher Ed funding 48th in the country
The legislature now allows state colleges to increase their tuition up to 9% per year to offset the state’s 48th ranking in per capita spending, which has plummeted to $159/year. Neighboring state Wyoming spends $709 per capita, New Mexico $581 per capita, Nebraska $404 per capita, Kansas $360 per capita, and Utah $296 per capita (State Higher Education Executive Officers, SHEEO). Even Mississippi substantially exceeds Colorado’s spending at $372 per capita.

Cheap car registration or very high college tuition for CO?
Voters face a huge choice in 2010. If the initiatives pass, the state will not be able to continue its school construction projects in the rural areas of the state authorized by the legislature. School districts will not be able to do capital improvements without cash on hand. There will be no more physical improvements to the University of Colorado medical facility and no money for more construction at any state college or university.

On the other hand, vehicle registration will be really, really cheap and Colorado will have no new debt.

Colorado’s Race to the Top app foundered

Wednesday, April 14th, 2010

Colorado’s Race to the Top application foundered, as expected, on its lack of progress on teacher evaluation and tenure.  To give Colorado a second chance at RTTT funding, State Senator Michael Johnston has introduced SB10-191 to change the state’s evaluation and tenure process.

Tenure hit with new bill

Currently, teachers get tenure with three years of satisfactory probationary teaching, and it’s very difficult (at least three years) to remove teachers with tenure.  With SB10-191, new teachers must show three years of “highly effective” teaching in their first three years, and if tenured teachers receive two years of unsatisfactory reviews, their tenure can be yanked.

The state will define “highly effective” teaching.  Fifty percent of teacher evaluation will depend on student performance, based on annual yearly progress on state tests.  Sixty-six percent of principal evaluation will depend on student performance.

Teacher evaluation goes from once every three years to once a year

The bill will change the current evaluation system from once every three years for tenured teachers to once each year.  The bill also will “reward” excellent teacher performance with career development and compensation.

No new state dollars for the program

What the bill does not do is provide extra dollars for compensation.  It assumes, apparently, that those dollars will come from RTTT.  At some point, however, Colorado, and all states, will need to get serious about compensation if they expect teachers to play to the new tune.

In the Denver metropolitan area, new teachers make roughly $35,000 per year.  That’s about the same as a retail store manager.  A starting engineer will make somewhat north of $65,000, depending on the engineering field.  A starting lawyer will make about $75,000, depending on the size of the firm.  A new physician can make up to $100,000, depending on the practice.

Teachers will get paid less at least through 2011

The incentive for new teachers to become “highly effective” based on compensation is nil.  The only incentive is pride and love of the job because the opportunity for a raise in the current economic environment is not what it was even two years ago.  Right now, most school districts in the state are cutting their budgets, telling staff that they will make the same in 2011 as they did in 2010.  In fact, they will probably have made more in 2009 than they’ll make in 2011.

The state legislature is cutting about $250 million from the 2010-2011 school budget.  That’s the wrong direction if the state intends to implement a system that puts a teacher’s employment at risk each year.

State hopes for RTTT to add to compensation

If the state is serious about implementing a new evaluation system, it also needs to get serious about compensation.  Offering a new teacher at least $45,000 seems reasonable.  That’s the only way school districts will be able to attract and retain highly competent new teachers after firing all those incompetent old teachers.

State doesn’t fund evaluation program

The state also needs to come up with a support system for the increase in teacher evaluations.  The main complaint from principals is that they don’t have time for frequent evaluation.  If that’s the case, then schools may have to create a whole new class of educator, the teacher evaluator, which may be a good thing.  This person theoretically can be an instructional leader.

But the teacher evaluator position does not currently exist in Colorado.  Will this position be supervisory or licensed?  Will it be a part of the new “career ladder” envisioned in the law, or one more trend that eventually is discarded.

Democrats will fight over the bill; GOP just needs to stay out of it

Many in Colorado support education reform.  A huge fight is already heating up between Democrats who want schools to get better faster and Democrats who receive much of their candidate funding from the Colorado Education Association.  Republicans can just stay out of the way and watch the pots boil over.

But more money?  To get more money, teacher supporters have to come up with a 2/3 majority of legislators who are willing to put an initiative on the ballot.  That’s not likely.

So if teacher evaluation goes forward, and nothing changes related to compensation, the state may get the opposite of what it wants:  a system with fewer teachers, doing less with less, facing an evaluation program requiring them to do more with less.  It’s difficult to figure how that scenario can lead to anything but complete breakdown in the entire system.

No blood in those state turnips

Wednesday, March 10th, 2010

Means no $ for Ed

School districts are beginning negotiations with their unions based on their 2010-2011 budget numbers, which are depressing.  If it’s impossible to draw blood from a turnip, just try to wring money from state legislatures for education.

The Colorado legislature is about to claw back $250 million+ from public schools for the ‘10-’11 year.  It will probably take back just as much, if not more, for ‘11-’12.  If school districts don’t have enough reserves, and no one does, they will be going backwards in funding for years.

Money saving tricks

Some districts are freezing salary - no COLA, no steps and levels.  Others are doing furlough days.  Others are charging for transportation.  Others are ending all technology purchases.  Others are emptying administration - no more professional development for teachers or curriculum support!  Others are increasing classroom size by one, two, or three children.  Last but not least, some districts are closing buildings.

No more investing in education!

Investment in education has stopped.  Districts that have made progress in student achievement will probably freeze in place or will start drifting backwards.  After all, if no one is in charge any more of managing the voluminous data underlying each student’s progress, how will the analytical process thrive that supports achievement?

Schools going backward in funding

The largest district in Colorado is about to cut $60 million from a $670 million budget.  The district estimates it will make the same size cut in ‘11-’12, and possibly again in ‘12-’13.  That means that by ‘13-’14, unless miracles happen, the district will be at a budget starting point roughly $180 million below where it is today.  And yet the District is supposed to get every student to meet annual growth targets.

Colorado calculates annual growth against student peers.  Proficient students are measured against proficient students, barely proficient against barely proficient, etc.  So the only good news for schools is that all students in the state are in the same hole, so the lack of annual achievement growth should be relatively similar.  This prediction will assure funding remains at about the same dismal level for all schools in the state.

Not enough tax dollars for education today

Colorado is almost last in state funding per student, at about $7300, even though the state has one of the highest college education levels.  This “Colorado paradox” happens because educated out-of-staters like to come and live here for the mountains.  The state is also reasonably affluent.  But like other western states, including California, citizens prefer to keep their money in their pockets.  Colorado has one of the lowest state income tax and sales tax levels in the country.

How’s that Obama money doing?

ARRA money has bailed districts out in 2010, but now everyone is headed towards a cliff.  What kind of help is the Obama administration offering?  Race to the Top, of course, or as some wags say, slow jog to nowhere.  Really, the $4 billion will go to schools doing education Arne Duncan’s way, which means pay-for-performance and closing non-performing schools or turning them around or starting over.

What does any of that do to help districts whose schools aren’t completely in the doghouse yet (but may be after two or three years of these budget cuts)?

What would you do if you could?

And will pay-for-performance really do the trick with teachers? Schools definitely need something beyond steps and levels, but what should that look like?  Do schools need a more streamlined way to move bad to mediocre teachers out?  Yes.  Do schools need more money for entry level teachers, so education can compete at least marginally with law and medicine for top graduates? Yes.  Do schools need a way to pay off student loans to encourage teachers to work in challenging schools?  Yes.

How about a little extra money for some teacher career tracking - giving teachers money for online course development, professional development of peers, etc.

Get your 30 in and retire

It’s true that some relationship needs to exist between compensation and how well kids learn, but that’s not the whole package.  And frankly, in Colorado, teachers and districts are going to be so busy plowing money into their PERA pension fund, they may not get a raise for years.  They are mostly going to be working for that glorious final moment when they stagger over the 30 year finish line and can get out of education altogether.  Not very pretty, is it?

Hurricane Katrina a-coming; school districts drowning

Wednesday, February 10th, 2010

School districts are cutting budgets like crazy.  In Colorado, the state will reduce its contribution to school districts by roughly $350 million in 2010-2011, leaving districts scrambling to high ground while figuring out how they’ll cut millions from their operating budgets.

Pension fund deficits hurting budgets

On top of budget cuts, Colorado’s state pension fund (PERA) is underwater by about $30 billion over 30 years.  If left unchanged, the fund will go broke in 2032, which is not a problem if you’ll be dead within the next 22 years, but a challenge if you intend to live past that.

Colorado’s SB10-001, a bipartisan bill to square up the pension fund, will reduce the automatic annual COLA increase of 3.5 down to 2.0, and will increase employee contributions by 2 percent and employer contributions by 2 percent.

Salary freezes, furlough days, and larger classrooms on horizon

At the same time, many districts are looking to freeze salary steps and levels right now to balance their short-term budgets.  The freeze in Colorado teacher salaries could extend over two or three years, depending on state and local property tax revenues.

These facts leave boards and all school employees between a desk and a hard place.  It’s difficult to picture how school districts will provide any staff raises in the near future.  Starting teachers in the $30 thousand range may be stuck, sliding farther behind workers in other professional fields, such as investment banking.  New college graduates may struggle to figure out how public school teaching can ever provide enough of a living to be worthwhile.

While taxpayers certainly feel the pinch in this recession, schools are doubly hit as the budget crisis proceeds.  If a salary freeze occurs in ‘10 -’11, budget balancing in ‘11-’12 will require larger classrooms and layoffs.  By the third year out, budgets may be so drained that furlough days will be piled on salary freezes and increased classroom size.

High quality education at stake

Meanwhile, schools try to bring the highest quality education to kids, including all the technology necessary to keep students technologically literate.  They’re asked to reduce the learning gap between ethnic groups.  They need to get kids up to speed in reading, math, writing, and science.

Schools have so many fingers in the dykes that it’s inevitable that a New Orleans style flood is on its way, drowning kids in inadequacy and insufficiency.  School districts will need to offer their best arguments to their constituents to bring more money into the system.  But communities will also have to step up to avoid Hurricane Katrina destruction in classrooms across the nation.

*Serious discussion needs good communication to promote successful solutions for the school community.  See the website with this blog for a possible support program.

Tough decisions for school districts, and it’s not all money

Wednesday, September 30th, 2009

Jefferson County Public Schools (known as Jeffco Public Schools) is the biggest district in Colorado and one of the largest 50 districts in the country.  Its 80,000 students attend schools from the north, still part of the Denver metropolitan area, to the southern most hamlet of Deckers in the national forest near the headwaters of the South Platte River, and over to the front range Rockies at the west.

Like so many other suburban school districts in the western United States, it’s becoming a place for students of many ethnic backgrounds. The changing demographic began about 10 years ago and is accelerating.

At the same time, the whole district is now “mature” and built out.  Little new construction will occur, but plenty of re-construction of older buildings in less affluent parts of the county will be necessary.  School closures are also a possibility as some facilities are under capacity by over 50 percent.

The biggest long-term challenge the district faces is how to handle this transition from primarily white, suburban schools to a diverse population of kids speaking many different languages.  To make the problem more complicated, some of the district in more affluent areas is still primarily white.  And the resources to bring kids up to proficiency on the exams selected by The Colorado Department of Education are most necessary in the poorer parts of the county.

Jeffco Public Schools will probably lose about $11 million in January, 2010, when the state legislature pulls budgeted money back into the state’s general fund.  The district faces about $40 million in deficit financing from property taxes and state contributions in 2010-11 and another $40 million in 2011-12.  It has roughly $160 million in reserve, some of which will be applied to the budget deficits.

Based on the demographic demands and the budget deficits, how should the district allocate resources?

Should it hunker down and keep on trucking as it has?

Or should it take bold steps to attack school improvement of student math and writing deficiencies and reduction in the 25 percent high school dropout rate?

Are we in a time when bold is impossible because there is no money to fund it, even when the facts on the ground require bold action?

Jeffco Public Schools is not the only district facing this dilemma in Colorado or across the nation.

The time is here to make tough decisions, and they will affect the lives and education of many little kids depending on the adults to make the right ones.

<!– /* Style Definitions */ p.MsoNormal, li.MsoNormal, div.MsoNormal {mso-style-parent:”"; margin:0in; margin-bottom:.0001pt; mso-pagination:widow-orphan; font-size:12.0pt; font-family:”Times New Roman”; mso-fareast-font-family:”Times New Roman”;} @page Section1 {size:8.5in 11.0in; margin:1.0in 1.25in 1.0in 1.25in; mso-header-margin:.5in; mso-footer-margin:.5in; mso-paper-source:0;} div.Section1 {page:Section1;} –>

*The school community wants to talk about this dilemma? Take Care!, showing ways for the school community’s adults to resolve problems successfully may help. See the website for this blog.