Gov. Won’t Replace All School Stimulus Funds (KS)

January 13, 2011

Kansas Gov. Sam Brownback says his proposed budget won’t replace all of the federal stimulus funds for public schools that the state expects will disappear after July 1, and he acknowledges that their base state aid per student could drop for the next school year.

Brownback told legislators Wednesday night during his State of the State address that the state would provide more dollars to its 293 school districts than they’re receiving in the current budget. But in a brief interview with The Associated Press after the speech, he said the extra money won’t offset the loss of $200 million worth of stimulus funds that have been propping up aid to public schools.

The new Republican governor’s staff planned to make more details public about his proposed budget during meetings of the Kansas House Appropriations and Senate Ways and Means committees. In his State of the State address, Brownback proposed an immediate spending freeze, promised to eliminate state agencies and unfilled state jobs, and asked legislators to approve a business tax break to stimulate the economy.

The state is facing a projected $550 million budget shortfall for the next fiscal year. Some GOP legislators were pleased by Brownback’s emphasis on reorganizing state government and reducing its size.

But if the base state aid figure for public schools drops from its current $4,012 per student- as expected and as Brownback hinted Wednesday night after his address – his budget is likely to face strong criticism from educators and legislators from both parties.

"I can tell you this: The education community will not be happy with his budget proposal, and if it passes, literally thousands of teachers across the state will lose their jobs," Senate Vice President John Vratil, a Leawood Republican, said, without disclosing the details.

Brownback said after his speech that he’ll work to give districts more flexibility to tap cash reserves to tide them over following the disappearance of federal stimulus funds.

The governor acknowledged that the increase in state funds he proposes would largely cover rising costs associated with teacher pensions and districts’ building projects. School officials focus on the base aid figure as a measure of the state’s commitment to education.

"The interesting part about it – and this is kind of the sad part about it – the total budget goes up, even if the per-pupil goes down, which tells you you’re not getting as much to the classroom. You’re getting more that’s going to fund the buildings and the teacher retirement," Brownback told The Associated Press. "We’re pointing it out to people: This is where we’re trending."

Brownback said in the State of the State address that he will submit executive orders in the next few days to reorganize state government. He promised to eliminate eight agencies, though he did not name them and his staff did not provide a list Wednesday evening.

He also said he’s seeking to eliminate more than 2,000 positions in state government that haven’t been filled. He proposed allowing businesses to deduct a greater share of their investments from their income taxes and offsetting that break by eliminating unspecified "corporate tax subsidies enjoyed by only a few."

"The days of ever-expanding government are over – and under my administration, they will not return," he said, speaking to a joint session of the Legislature in the Kansas House chamber. "The future demands of us a commitment to deliver core services in innovative and more efficient ways, and we will do that."

In a response to the address, Senate Minority Leader Anthony Hensley, a Topeka Democrat, said the state has been "clearly on the right path." He praised Brownback’s predecessor, Democrat Mark Parkinson, who successfully pushed for a sales tax increase last year to avoid making deep cuts in aid to public schools and social services.

"As we continue on the path toward economic recovery, we must not let that legacy fade in our rearview mirror," Hensley said. "We must maintain our commitment to public education without making crippling cuts to local schools in our urban and rural communities."

Brownback previously has ruled out raising taxes to close the state’s budget shortfall as likely to hurt any economic recovery. And there’s little chance higher taxes will be considered, after last year’s elections made the Legislature more conservative, with GOP majorities of 32-8 in the Senate and 92-33 in the House.

"I’ve been waiting a long time for a governor like this who’s going to take the bull by the horns, apparently, and do the types of things we need to do," said House Speaker Mike O’Neal, a Hutchinson Republican.

The state is facing a budget shortfall despite last year’s tax increase largely because it also has used federal economic stimulus funds for public schools and social services. The gap between projected revenues and current spending commitments for the next fiscal year is about 9 percent, and public schools, higher education and social services consume 88 percent of the state tax dollars in the current budget.

As expected, Brownback focused his address mostly on economic and budget issues, but near the end of his speech, he did allude to his strong opposition to abortion. Anti-abortion groups are eager this year to pass new restrictions on abortion, anticipating that Brownback will sign such legislation.

"I call on the Legislature to bring to my desk legislation that protects the unborn and establishes a culture of life in Kansas," he said, receiving sustained applause and a few cheers.

But Julie Burkhart, founder and director of a new abortion rights group, Trust Women, said Brownback is being hypocritical by calling for an end to expanding government, except "to dictate what women do with their own bodies."