[Winona Online Democracy]
Steve and all,
This has been the education community's worst fear since the unveiling
of the property tax shift plan. You are absolutely right that the property
tax base is a much more steady source of predictable funding. However, the
Governor chose sales tax which is entirely dependent on the economy.
Healthy economy, stable school funding. Recessive or depressed economy,
unpredictable school funding.
For months at board meetings, we have ruefully wondered whether the
Governor might ask for money back half way through the school year. We had
also been worried that the tax rebates took too much away from the state
"surplus." As it turns out, they are expecting a cool billion dollar
shortfall.
Worst nightmare? Yes, our programs and people could very well be back
on the cutting block within months after passing a referendum thanks to a
seriously flawed statewide funding mechanism. Or, city and county
governments may be tail-spinning if state government suddenly tells them to
chop their budgets in order to fund education. Re-allocating school budgets
mid-year does have a precedent - it has happened before in the 1970's or
early 80's.
Yet, in the midst of state-level funding mania swirling above us, it is
my opinion that there is one consistency upon which we can depend. Local
opinion page editors will likely find a way to espouse district
mismanagement.
Welcome to my world.
Sharon
----- Original Message -----
From: "Stephen Hacken" <[EMAIL PROTECTED]>
To: "'Online democracy'" <[EMAIL PROTECTED]>
Sent: Tuesday, November 20, 2001 2:58 PM
Subject: [Winona] State Money
>
> [Winona Online Democracy]
>
> Just to change the subject for a few minutes.
>
> My grandfather always used to say that you have to be careful what you ask
> for, because you might get it. I think this applies when looking at school
> funding in Minnesota.
>
> The 2001 legislature spent considerable dollars taking over basic funding
> for schools in Minnesota. The money did not go into providing schools more
> money--it provided property tax relief. The Winona district, like the
other
> two districts in Winona County, passed a referendum to provide additional
> funding.
>
> I see in today's Minneapolis paper that all state agencies have been
ordered
> to come up with budget cuts averaging between 5 and 10% because the
state's
> income and sales tax collections are substantially less, up to $1 billion
> depending on who is making the estimates, than were the projections.
> Included in this memo was that K-12 education should be looking at cuts as
> well.
>
> In the past, a preferred taxing system was spread out among property,
sales
> and income taxes. Sales and income taxes are more based on an ability to
> pay; property taxes are more steady since the economy does not influence
> them as much.
>
> Wouldn't it be just wonderful(sarcasm) if our schools still have to cut
> programs even after the voters pass a referendum?
>
> Steve Hacken
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