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June 01, 2005

Do Higher Taxes Help Our Schools?

Happy June!

June gloom has set in, kids are almost out of school for the summer, and the State Capitol budget negotiations (well, turf wars) are heating up! It's going to be a hot summer!

Yesterday, Assembly speaker Fabian Nunez proposed raising the top income tax rates on families and small business owners to provide an extra $3.1 billion in new taxes next year that would go to California's public schools.

It's a proposal that is probably DOA because he needs a 2/3's majority to get it passed, but it does beg the question - Do higher taxes save our schools?

What do you say?

Do higher taxes mean better schools?
How much are you willing to invest in tax money in our schools?
What do you consider GOOD schools, or well funded schools?
If our schools educate all of our kids, shouldn't everyone have to pay?
Why would we RAISE taxes without EVALUATING spending?

Another question I have is this - is the Nunez proposal even constitutional? Under prop 98, 40% of the general fund is suppose to go to education. Wouldn't that mean that just 40% of the increase would go to schools? IF so, where would the other 60% go? If not so, is this tax increase OUTSIDE of prop 98 funding?

And - how would this money be spent?

Inquiring minds want to know...

What say you?

Tim Keaney


Comments

Tim:

I think you raise a lot of interesting points regarding the tax system in California as it relates to the education system. I think there are many ways that districts and the state can save money.

Some believe successful companies are flush with cash and consider them ripe for taxation. However, I want to point out one business strategy that I think government could try and emulate in some of their budgetary practices. This is that successful private companies hardly ever allot more money to departments to increase output. Companies in the 1990's and early into this decade have been heavily involved in reducing departmental budgets, using technological advances, and better operational practices to reduce costs while improving quality and customer retention.

CEO's and managers know that allotting more money to departments only encourages more spending and costs on the overall bottom line. Benjamin Franklin used to remark, “that a penny saved is a penny earned,” and I’d like to see government follow this American core value. While the private sector has become obsessed with getting more with less, most of government from the federal level down to our local boards, have been obsessed with telling us the only way we get more is by giving more. Yet, they never once tell us how much they've saved and how productive and effective they have become.

President Clinton and Vice President Al Gore pioneered a book called Reinventing Government, which was obsessed with creating an effective bureaucracy for much less money. Out of this came the government performance review system and Paperwork Reduction Act. The problem, as I see it, is that this system has not fully matured down to the local level. As I see it, government still has the mentality of more spending equals better programs as opposed to asking a key question. How can we improve these programs while reducing costs? How can we get more bang for our buck?

NASA is a prime example. The Mars Lander, which looked like a skateboard completed all the work of previous more expensive Mars projects, yet was very cheap to complete. This ensured that NASA could spend more on additional Mars trips and get more out of their shrinking exploration dollar.

The New Republic article I sited yesterday stated that spending on education has gone up threefold since the 1960’s, yet we still fall behind other nations in student performance. I’d like to see a new mentality in education where we begin a government performance review system and reduce administrative costs to get more money in the classrooms. When the goal is always to get more funding and not to manage the funding we have, it moves the goals of student performance to the shadows and creates a system where each year we hear that the reason we didn't do well is because of funding. I think we need to get back to how our students are doing, not how much more money we need and whose to blame.

Scott

Posted by: Scott Blough at June 2, 2005 09:37 AM

It is not certain that more money will result in better schools. Right off the top 85% of the money will go into higher salaries, but that doesn’t necessarily translate into better schools. Forty percent of the state budget is already dedicated to education. Maybe we need to ask the unions how much money it will take to have better schools – 45%, 50%, higher?

It’s a shame that schools and districts are not allowed to pay an incentive to attract better teachers. But the teacher unions have that all locked up. According to the union, all teachers with 14 years experience (fill in any number you want) are equally proficient and therefore they all make the same amount of salary. Private sector business pays for performance, not longevity.

There was a report a few days ago that there is a shortage of teachers for math and science. Educators were wondering how to attract teachers with this kind of background. It’s simple; they can’t under the current salary structure. But in the private sector, a person with a needed specialty would be given higher pay or a bonus in order to hire on. That’s why we need pay for performance in the school system not a fixed salary schedule based on years of teaching.

And finally, why are private schools able to do a much better job educating kids with less money than the public schools?

Posted by: Jerre Reimers at June 2, 2005 02:11 PM

Jerre,

Welcome to the blog, and thanks for your post. Wouldn't it be great, if we just had a blank piece of paper, to figure out what it costs to really run a school, and provide the resources, teachers and infrastructure needed to run a school?

Salary & Benefit Expense
Instructional Materials
New Equipment
Parental Communications
Support Staff
transportation
food services

Etc... I know, I know, someone is going to post and say: "Well, LOOK at the budgets" But the budgets are based on "what we did last year" not on establishing the true costs of running the place.

I think if we started at zero, established priorities and then established budgets and fixed costs based on those priorities, we'd have a much better feel for all this.

Tim

Posted by: Tim Keaney at June 2, 2005 03:07 PM

Well I see in the L.A. Times and Sacbee that Arnold's big donors get a special phone number to call Arnold, or his top advisors anytime. Shouldn't every taxpayer have that kind of access? His top donors like Wells Fargo get a special phone number and a secret code to get in on a bi-weekly conference call with Arnold himself. The Times said last week they talked about how if they spend enough money and tell enough lies that they can get the voters to believe people like police officers, firefighters, teachers, nurses etc are actually bad people who need to be punished. Orwell would be proud.
In terms of business being so efficient, give me a break! I have two different banks that I closed accounts at over the past few years. Both still send me a monthly statement that say's balance $0. I called both and still the statement comes. They pay postage, printing etc. If you really want to talk about waste, let's talk about the Pentagon. I was in the Marine Corp for six years and the waste is incredible. We are spending 4 billion a week in Iraq and getting what in return? Everytime I watch the news I see more of the stuff we paid for being blown up or burned down. This war has nothing to do with security and everything to do with lining the pockets of the defense industry.
In terms of private schools we know that Oaks Christian charges $17,500 a year. California spends $6,700 a year on public school kids. So Jerre, what good private schools in Ventura County charge parents less than $6,700 a year and receive no other outside supplemental funds?
Of course spending 80 million dollars on a special election this Fall will fix everything, right? By the way are any of you guys invited to the conference call with Arnold?
Arleigh

Posted by: Arleigh Kidd at June 6, 2005 02:23 PM

CNN just reported that Citigroup said private information they were sending by UPS, to a Texas credit bureau, was lost. Now the personal financial data of 3.9 million customers is out there for the taking by identity thieves. How can this be? I thought private enterprise was so efficient? I thought this was the model to save the schools? Quick, somebody call Tom Delay, he'll no what to do! What, Tom is out of the country on a junket paid for by a lobbyist?! Well then call Halliburton and get Cheney on the phone!
Arleigh

Posted by: Arleigh Kidd at June 6, 2005 03:18 PM

So Arleigh - What you're saying is "government and taxation is the answer - look at those businesses that are inefficient or failures - Why how could THEY be any good?"

Um, and then you point to the Pentagon as a complete failure, because they are bloated and inefficient.

The market will take care of businesses that stink - people stop doing business with them, they get closed or sold - That's what a free market system does.

What happens when a government agency gets bloated or fails it's trust? Well, you give them more money and call people calling for reform "liars" or "fools".

So let's stop with the name calling, and discuss solutions.

Posted by: Tim Keaney at June 8, 2005 01:15 PM

Tim,
I don't give anyone hell, I just tell the truth and they think its hell! Free markets work when they are not manipulated. Unfortunately we have the Enrons, World Coms, Health Souths and Adelphia's out there. You guys often act as if the private sector is perfect, and it is not. We recently had a company running charter schools in the Desert, they ripped off the company, mismanaged it and kids were on the street without a school to go to when they went bankrupt. I think our childrens future is to important to leave to Enron. What did companies do as soon as we deregulated the energy industry in California? They ripped us off big time is what they did! Was that good "Strategic Planning" on their part? I see in the papers that Cities and Counties have told Arnold that his "Live Within Our Means Act" or better known as "Rip Off and Declare War On the Middle Class Act" is DOA. Cities and counties have read the fine print and they now say that if this passes they could be forced to lay off police and firefighters big time. They told Arnold if he doesn't negotiate a compromise that they will join the Alliance to fight it. All I can say to cities and counties is WELCOME TO THE FIGHT! Also we have a teacher in Simi who said her best friend will swear under oath, that when she attended Santa Monica City College that Arnold offered to pay her to take a math finals test for him. Tim I'm surprised you have not spoken out against Vista Real Charter School. Don't you believe in local control? This is anti-local control, it should come from Simi, not the county. In terms of NCLB you should read the Constitution (You might want to hurry before W. burns the Constitution and Bill of Rights). According to the Constitution any rights not given the Federal Government becomes a States Right. Public Education by the Constitution is clearly a States right. Therefore NCLB is un-Constitutional and should be overturned by the courts. I also want to clear up that Glen Becerra did not lobby me or SEA for the Happy Face Development. I had been lobbying him and the Council for a first time home loan program for new teachers, firefighters and police officers. I spoke in favor of entry level housing at the Happy Face meeting because I believe we need more affordable entry level housing in Simi. Arleigh

Posted by: Arleigh Kidd at June 9, 2005 03:33 PM

I see in today's L.A. Daily News that Arnold and his people brought in out of state felons to collect signatures for his initiatives. I guess this is better than when his Save California Committee wanted to outsource personal voter data to India, which would have opened millions of Californian's to identity theft. Is this the kind of outsourcing Arnold wants for the schools? Arleigh

Posted by: Arleigh Kidd at June 10, 2005 08:59 AM

OK, Arleigh, you’ve managed to find the most expensive private school (Oaks Christian) in the area, but they also offer many scholarships for deserving students. There are a number of private schools out there that do a great job for about the same dollars that the public schools get.

But let’s get back to the point of Tim’s original question “Do higher taxes mean better schools?” Please tell us how much money it will take to make the public schools first-class? And where will the money come from? What existing state programs do you propose to cut? Or, which taxes do you plan to raise?
Jerre

Posted by: Jerre Reimers at June 10, 2005 01:49 PM

Good Morning:

I haven't had access to computer or a newspaper in over a week, so I am catching up. The good part of a vacation is the fact that you get to be a little more introspective.

The back and forth is very effective in defining positions, but as I see it we have one major problem in school finance.

1. Not enough money is getting to the classrooms.

A) The left wants higher taxes and more spending.
B) The right wants more efficient use of the money we already spend.

I think a moderate approach to all government and education budget policy in particular is the adoption of a policy that encourages savings with more spending.

For instance, the state government analyzes and develops criteria that encourages thrift for all schools, thus getting rid of the current policy, "spend it or lose it". This will also create more local control of budget finance.

The more efficient and productive districts become in delivering education, the more money they will be rewarded with.

As I see it...

The reason we have lost local control is the fact that over the past few decades the public has felt more disenchanted because their child has not received the best education that their current tax dollars pay for. The public has continually voted for greater state and now federal control of education policy because of the failure of local districts to meet the needs of their citizenry.

If local districts encouraged a neighborhood council system at the local level and allowed regular citizens to get involved, voice opinions in an official format in their schools, I believe this disconnect would begin to disappear.

Let me be clearer. I absolutely support things like the PTA and union involvement in local decision-making. What my major concern has been is these two groups and the district do not empower local citizens to get involved in their local schools. We need feedback from all walks of life from the students and taxpayers to the private sector, so we can put school policy back in balance.

I believe we can be fiscally acountable and meet the educatonal needs of the students while maintaining a vibrant private and nonprofit sector without raising taxes. I don't believe in the "either/or" here. I believe we can deliver better education and better results that cost less.

Anyone want to work with me on doing this?

Scott

Posted by: Scott Blough at June 11, 2005 11:12 AM

Scott,

It's an interesting idea, but let me share my experiences with our readers so they can decide for themselves how to get involved. First, I think it's very noble, but it's very challenging to navigate.

Examples:

Schools have School Site Councils to help principals guide their decision making, school site planning and use of additional discretionary funds. When I went to my school site council training, it was put on by CTA leaders (Teachers Union) and our "Guide to school planning" was a CTA document. Independant Site Councils meeting together might make your neighborhood council idea fly, but they would need to be independant, and as we're seeing from the bond committee, fat chance.

When I was on school site council, Imet with Union leadership and tried to implement a program at our school called KEYS 2.0, an NEA sponsored school site survery and improvement program that would have brought the entire community together; Parents, teachers, students, businesses in a collaborative effort to improve and raise standards for our school. When my principal and I pitched it to our site council, it was met with a THUD. The teachers didn't want any part of it, because it was NEA sponsored. The felt their must be another motive to the program.

Worse, when I pitched the idea to the Union endorsement committee, that we should implement KEYS 2.0 DISTRICT WIDE, in a district wide collaborative effor to improve our schools and involve more parties, they not only weren't interested, THEY HADN'T EVEN HEARD OF KEYS 2.0.

Shocking... so what is the union doing if not working with programs like Keys 2.0 from the NEA to improve our schools.

So Scott - while your idea is noble, I think the education has to want to change, and should at least embrace change that their own leadership advocates for. But don't take it from me - anyone interested in finding out more about Keys 2.0 simply need to click here: http://support.keysonline.org/about.html

My schools' API grew by 40 points in the 2 years I was on the Council. What might have happened had we actually DONE something like keys 2.0.


Tim Keaney
June, 2005

Posted by: Tim Keaney at June 12, 2005 12:44 PM

Tim:

Noble or not, I'd love to be involved in schools, but there aren't many ways other then showing up at a meeting and speaking in the public comments section. I am a community volunteer who has been and is appointed to numerous opportunities with the city, yet see no way to be involved in the school district. I am involved with PACT, but really see no policy avenues to get involved.

We talk about high expectations in your other post, yet when we see one door shut, we should not be content with that. We should find another way even directly going to the district if need be. Why can't Keys be implemented? If the entrenched powers want to shut it down, let them do it in the papers and put their name on it.

We shouldn't tolerate low expectations from our district. I've learned from a pervious job that usually when something isn't succeeding, it's because I haven't put my full effort into it or I need to change my tactics. If the powers that be don't want it, then I need to go talk to them and directly convince them as to why it's in their interest to support it.

These days, from what I notice, it's hot potato leadership. People are more interested with whose fault it is (holding the hot potato), then what we can do to fix things. I think it's a failure of everyone when schools aren't performing, including me. What else could I be doing to change this?

Arleigh: What community efforts do SEA and CTA do that get citizens like me involved in creating a stronger edeucational environment.

Scott

Posted by: Scott Blough at June 13, 2005 08:51 AM

Jerre,
So can you name any of these private schools that have tuitions under $6,700? Tim, when I was on my SIP committee our scores went up by 100 points, and we were not using Keys 2.0. Funny how you bash the union when it suits your needs and embrace it when it does, like with Keys, voters don't like inconsistency. I notice you did not respond to my pointing out that Public Education is a states right. Jerre, so your saying that the best California can do is 44th in the Nation in funding our schools? I believe in this great state of ours and its people and believe we can do better. If you guys want to bash our great state and the dedicated teachers of this state then I will Blog no more on this site. Arleigh

Posted by: Arleigh Kidd at June 13, 2005 03:30 PM

Arleigh, Arleigh, Arleigh. Talk about inconsistency! So, I'm a long time supporter and advocate for Keys 2.0 (ask your predecessor) and I think the union should get behind it's own program. The union has NO interest in getting behind an NEA program, and I'm inconsistent. Got it. Thanks for the clarification.

Now, how about answering some questions - or does it feel "like hell" in here to quote your earlier post.

Tim

Posted by: Tim Keaney at June 13, 2005 04:02 PM

Arleigh, how do you plan to provide more funding -- taxes or program cuts? That is the question to you.

Posted by: Jerre Reimers at June 13, 2005 06:31 PM

Tim,
Let go of your anger, the election is over! I notice you won't comment on the Constitutional question of NCLB since it is clearly against the Constitution. Jerre, I believe in tax and spend. Let's compare Clinton and Bush Jr. Clinton-Dow up 600%. Bush-Dow down 500 points. Clinton jobless rate 3.1. Bush jobless rate 5.6. Clinton-Surplus and debt reduction. Bush-500 billion a year federal deficit and 500 billion a year trade deficit. Clinton peace. Bush a war based on lies and costing the lives of 1,700 american kids, concentration camp in Guantanamo. Jerre don't you think our kids are worth a tax increase? Arnold last night said 80 million is cheap and a good deal. Of course today's headline should have been "Jacko upstages Wacko. Arnold pushed from top story by MJ." Arleigh

Posted by: Arleigh Kidd at June 14, 2005 12:54 PM

Below is a press release from representative Miller on the TEACH ACT, which if passed will provide more money for teacher quality.

Arleigh, Is this more federal meddling or a good thing?

Representative Miller's New Teacher Excellence Bill Gets Endorsements from 15 Key Education Organizations

Senators Kennedy and Durbin join Miller in Introducing Legislation Today
Thursday, June 9, 2005


WASHINGTON, DC -- Representative George Miller (D-CA) announced today that his new bill to attract highly qualified teachers to the nation’s poorest schools has earned endorsements from over 15 major education organizations.

Miller, who developed the legislation over the last several months, formally introduced it today. Senators Edward Kennedy (D-MA) and Dick Durbin (D-IL) introduced companion legislation in the Senate today as well.

“Teacher quality is the single most important factor in determining a child’s success in school,” said Miller, the senior Democrat on the House Education and the Workforce Committee. “Imagine a time when every classroom – even the toughest classrooms in the poorest schools – is taught by a highly-qualified teacher. With this legislation we can take a giant step toward that goal.

“I am honored to have the support of Senator Kennedy and Senator Durbin for this important bill as well as the backing of so many leading education institutions and organizations,” said Miller. “Their unified support demonstrates a collective sense of urgency about the task of attracting highly qualified teachers to the toughest schools in the coming years – and to keeping them there. I hope that my other colleagues, in both parties, will join this effort this year and help make a difference for our nation’s schoolchildren.”

The legislation, called the Teach Act of 2005, will help to increase the supply of excellent teachers, ensure that children are taught by teachers with expertise in their subject area, build a teaching career ladder, identify and reward the best teachers, and retain the best teachers and principals.

Miller, one of the four principal co-authors of the No Child Left Behind Act, first unveiled his multi-faceted proposal at the National Press Club on May 24 upon the release of a major new study by the National Academy of Education on the benefits of improving teacher quality for K-12 students. Miller said today that his bill has since earned the backing of 15 leading education organizations, representing a broad spectrum of viewpoints.

The endorsements come from: Alliance for Excellent Education; American Federation of Teachers; Business Roundtable; Center for American Progress Action Fund; Children’s Defense Fund; Education Trust; New Leaders for New Schools; National Council of La Raza; National Council on Teacher Quality; National Education Association; New Teacher Center at UC Santa Cruz; Operation Public Education; Teach for America; Teacher Advancement Program Foundation; and The Teaching Commission.

Miller also released information on funding for the bill today. It doubles the federal investment in improving teacher quality by providing an additional $3.4 billion. That funding includes:

$2.2 billion for premium pay for teachers in high-need schools;
$300 million for state-of-the-art teacher induction programs;
$200 million for recruiting math and science teachers;
$200 million for building teaching career ladders;
$200 million for developing data systems and training teachers in their use;
An increase of $100 million over current funding for improving accountability in teacher preparation programs;
$100 million for improving principal training;
$50 million for improving professional development for veteran teachers; and
$50 million for peer mentoring and review programs for veteran teachers.
The $3.4 billion does not include additional funding for up-front tuition assistance for outstanding college undergraduates who promise to go into teaching, nor for student loan forgiveness for veteran teachers. The cost of those provisions would depend on the number of students and teachers who apply for and receive up-front tuition assistance or loan forgiveness.

Visit http://edworkforce.house.gov/democrats/teacherquality.html for more information, including a summary of the bill, endorsement letters, and Miller’s speech at the National Press Club last month.

Scott

Posted by: Scott Blough at June 14, 2005 04:13 PM

Arleigh,

Thanks for the anger coment - I promise I'll get help. SHEESH

Anyway - Another question for you:

If the State Budget that gets approved (if it ever gets approved this year) "gives back" the $3 billion in prop 98 dollars, how much would go to Simi Valley? And of that amount, what are the trustees plans for those dollars?

Example (and I am really looking for statistics and facts, as I think it's really worth analyzing):

1. If it were to go to lower class size, at what schools and by how many kids per class?

2. If it were to buy textbooks, how many and what subjects?

3. Would it restore the classroom supply budget?

I'm really curious how far the $3 billion would go. Has that analysis occured at any level, and is it published? I would be happy to link to it from the blog, or any other pertinent facts and statistics you can add to the discussion.

I think this is an important discussion for all districts.

Tim

Posted by: Tim Keaney at June 14, 2005 06:04 PM

Arleigh, thank you for finally answering the question. You want to tax and spend. Let's follow Rob Reiner's philosophy and only tax the rich, say those making more than $500,000. That's good by me!

But I have one more question -- we're talking about the adequacy of funding for local schools. Why do you always go off on Bush? He's so far removed from Simi Valley. What's your point?

Posted by: Jerre Reimers at June 14, 2005 07:15 PM

Sorry Jerre. No tax increases period.

A tax increase would just reward the legislature's bad behavior in managing our money. Let's focus on managing the money we currently pay before we guarantee more funds.

Scott

Posted by: Scott Blough at June 15, 2005 09:09 AM

I agree, Scott, I was just trying to make a point. What's scary is that Reiner is thinking of running for governor.

Jerre

Posted by: Jerre Reimers at July 3, 2005 11:59 AM
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