School Districts Healthy Under Balanced Budget
Legislative column by Senator Mary Lazich (R-New Berlin)
The majority of school districts within Senate District 28 did not increase elementary school class sizes or increase student fees this year, and nearly all Senate District 28 school districts experienced property tax levy decline.
According to the state Department of Public Instruction, the average property tax payer will see a one percent reduction in the school portion of their property tax bill. The overall K-12 tax levy decreased by more than $47 million, compared to an average increase of $181 million during the last five years.
Within Senate District 28, 10 school districts expect a tax levy decrease, one the tax levy remains the same, and two expect increases of less than one percent.
The cost-saving mechanisms provided in the balanced budget avoided large-scale layoffs while allowing districts to hold the line on property taxes. Schools are improving. According to a Wisconsin Association of School District Administrators study released during November, more than 70 percent of parents say their school has stayed the same or improved over the last six months. Wisconsin’s 13.5 to 1 student to teacher ratio is two students better than the national average.
In other words, the sky is not falling. The reforms instituted by this summer’s balanced budget are working and parents and taxpayers are seeing the results.
How was this possible? Requiring employees to contribute roughly the national average to their pensions provided Senate District 28 schools a total of $9,445,100. The $9 million does include additional money realized by districts such as the Muskego-Norway School District, recently saving $2 million because Act 10 allowed the district to shop around for health insurance providers.
Other results from the Wisconsin Association of School District Administrators include:
Whitnall School District added a net 19 employees, including 18 teachers.
Franklin School District replaced all 26 retired employees.
New Berlin School District added a net five teachers.
East Troy School District added a net three teachers.
Muskego-Norway School District hired 40 new teachers to replace 39.7 full-time equivalent employees.
Mukwonago replaced 41 of 44 retired teachers, and did not increase elementary class sizes and student fees or reduce sports or extracurricular programs.
Waterford Unified High School did not eliminate or reduce sports or extracurricular programs and did not eliminate any core educational offerings.
Government employee contributions to healthcare and pension were designed to replace dollar for dollar reductions in state aid. The balanced budget reduced state aid to school districts by an average of $374.5 million each year. That $374.5 million is offset by the $336 million in health and pension payments school districts received. Milwaukee and Janesville school districts did not enact reforms to realize a potential $28 million in pension savings that would have brought statewide total savings to $364 million. The difference between funding reductions and money from pension and healthcare payments is just $10 million statewide. There is nothing Draconian about those funding reductions, especially considering many state agencies faced much steeper cuts.
One argument you will not hear from opponents of Governor Walker and legislative Republicans’ balanced budget is that schools are faring better than under Democratic leadership.
Two and a half years ago, the Wisconsin Education Association Council (WEAC) issued a press release in response to that year’s Wisconsin Association of School District Administrators survey. WEAC bemoaned the fact 70 percent of school districts increased class sizes during the previous year and 65 percent of schools offered fewer classes. The final budget by Governor Jim Doyle and the Democrat legislature resulted in higher class sizes and fewer offerings, even after the property tax levy increased eight percent.
Contrast those results to the results of this year’s survey. Districts overwhelmingly report class sizes smaller or the same as the previous year, the same or greater course offerings, and minimal or nonexistent cuts to extracurricular activities. The Republican’s balanced budget is a positive for schools while not raising property taxes.
In the coming months, heated rhetoric about the reforms from the 2011-13 balanced budget will begin again. I urge you to put aside the rhetoric and look at facts. Districts are not laying off large numbers of teachers or operating with skeleton staffs, and property taxes are decreasing. Parents are happy about the direction of their schools. Most importantly, Wisconsin’s education system is as good as ever, and local school districts are allowed to manage education in ways they were not allowed during the past.
If you have comments on this or any other issue, please contact me at Sen.Lazich@legis.wisconsin.gov, www.senatorlazich.com, Senator Mary Lazich, State Capitol, P.O. Box 7882 Madison, WI 53707 or 1-800-334-1442.