Milwaukee Journal Sentinel

Republican­s split over budget’s K-12 spending

- JASON STEIN AND ERIN RICHARDS

Gov. Scott Walker’s 2017-’19 state budget plan includes a significan­t boost in school funding, but members of his own party may not let that sail through as proposed.

Given that K-12 spending makes up a huge part of the state budget, how much to give schools and under what conditions is likely to attract more discussion this month as lawmakers on the state finance committee hold public hearings around the state starting Monday.

Several school funding issues to debate include:

Tying aid increases to Act 10 compliance. Lawmakers are questionin­g whether Walker’s budget too broadly penalizes school districts for not adopting some of the provisions of his 2011 limits on unions and public-worker benefits.

Walker would offer schools per pupil increases in state aid of $200 in the first year and an additional $204 in the second year. But to get it, the Republican governor is requiring districts to comply with his Act 10 law of 2011, which called for cuts in public work--

ers’ health benefits.

In a hearing of the Legislatur­e’s budget committee Thursday, legislator­s asked whether the budget requiremen­t would end up penalizing some districts that had actually found savings in their employee benefits.

State Superinten­dent Tony Evers, an ally of Democrats, and Rep. John Nygren (R-Marinette), the committee’s co-chairman, both expressed concern that some districts could be passed over for funding increases even if they had made health care cuts.

“It’s not recognizin­g the efforts that school districts have made,” Evers told Nygren. “There’s all kinds of ways that districts have met their obligation­s to cut health care costs.”

Act 10 called for a 12.6% employee premium contributi­on for participan­ts in the health plan the state runs for its own and local government employees. School districts outside that plan did not have to compel employees to contribute 12.6% toward the premium, and as a result they could achieve health care savings through other actions such as plan or provider changes.

Milwaukee Public Schools, for instance, requires contributi­ons ranging from 2% for staff who make less than $25,000 and who choose high-deductible plans to 14% for higher paid staff on higher-cost plans.

Walker defended his proposal last month, saying it’s consistent with what taxpayers experience in their private sector jobs and that there’s nothing to stop districts from rewarding employees in other ways.

“Most people in this state pay something for their ... health insurance. Districts that choose not to do that are out of whack with where the rest of the state is at,” he said.

Whether Walker’s aid increases are sustainabl­e. Assembly Republican­s led by Speaker Robin Vos (RRochester) are questionin­g whether the state can afford all of Walker’s school spending proposals.

Vos said in an interview that if the economy doesn’t continue to grow, the state might not have enough revenue to fund Walker’s proposals in the second year of the budget. He said Republican Senate Majority leader Scott Fitzgerald (R-Juneau) and other Republican­s had expressed similar concerns.

Meanwhile, Walker is encouragin­g citizens to contact their legislator­s and support his plan for increasing K-12 education spending by $649 million.

Walker held a tight lid on education spending in his last budget, which prompted his fellow Republican­s to offer schools some more aid later in the budget process. Now the situation has reversed, likely for two reasons: Walker was pressured by outstate Republican­s who heard from their own local superinten­dents, especially ones in rural areas, about being strapped for cash. And all signs point to Walker running for re-election. Offering public schools more dollars could garner more support from the electorate.

But in this budget, Vos and other Republican­s are eager to see more money flow to transporta­tion infrastruc­ture projects statewide and in their home districts. Vos is open to a gas tax increase, which would generate additional revenue, but Walker has said he would veto a gas tax increase. Without additional revenue, the money lawmakers want for roads might have to come from somewhere else in the budget, such as K-12 education.

Expanding school vouchers. Walker did not propose expanding privatesch­ool vouchers as part of his budget plan, but Fitzgerald, the leader of the Senate, has signaled that lifting the enrollment limits on private schools in the statewide voucher program will “absolutely” be part of the budget discussion among lawmakers, according to the Associated Press.

Lawmakers could also expand the statewide program by lifting the income limit, which would allow more middle-class children to participat­e. Right now, students can qualify for statewide vouchers if they come from families making at or below 185% of the federal poverty level and are entering kindergart­en, first or ninth grades.

The financial impact of expanding the program would depend on who participat­es. If more students switched from attending public schools to using a voucher in private schools, it could save the state money because vouchers cost taxpayers less than the per pupil cost in public schools. But if more students already in private schools switch to using vouchers, taxpayers would pay for more students who were never publicly funded.

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