More School Cuts? Memo Clouds Issue (IN)
June 25, 2010
House Speaker Patrick Bauer, D-South Bend, suggested Thursday that Indiana schools are in for another round of cuts in 2011, based on a May memo from the Indiana Department of Education.
“That is pretty dark information,” he said. “They shouldn’t put fear and trepidation into schools.”
But Superintendent of Public Instruction Tony Bennett clarified that the statement “was intended to encourage (schools) to maintain fiscal caution as they proceed to craft their next budgets.”
“The statement does not indicate that any additional cuts have been or will be made.”
Gov. Mitch Daniels cut 2010 school funding by about $300 million statewide.
The question is whether the memo meant that the current cuts would continue into 2011 – indicating that spending levels would not jump back again – or that even more cuts would be required.
Kathy Friend, chief financial officer for Fort Wayne Community Schools, said she understood it as a signal only that Indiana schools are not going to get the $300 million back next year.
“We are assuming that the reduction is continuing into the next year,” she said. “But anything could happen. They are not really telling us.”
The state’s formula for school funding gives no clue what might happen. Friend said the current formula figures don’t even reflect this year’s cut, which was done administratively and not by law.
“They’re not trying to play games with us at all,” she said. “They don’t have the ability to change the formula on their own.”
That’s because legislators set the formula for two years when they passed the most recent state budget last year.
But Daniels used his executive powers to withhold some of the money to counter a $1 billion deficit in state revenue.
Bennett said future action depends on how state tax collections perform in coming months.
“In these times, no one knows the future of our state’s economic stability, and (the Office of Management and Budget) will make a decision on any budget cuts based on revenue numbers.
“Funding education is a top priority, and this year’s education cuts were a last resort. This memo to superintendents was meant only to encourage school leaders to continue exercising caution and restraint.”
Sen. Luke Kenley, R-Noblesville, pointed out that education cuts in Indiana have been less deep and widespread than in other states.
“Through the years, Indiana has been steadfast in supporting student success,” said Kenley, the budget architect in the Senate.
According to him, Indiana’s average spending per child per year hovers around $10,000. Also, he said, Indiana’s average teacher salary rose in 2008 while average Hoosier workers saw their pay drop.
“Political critics may often lash out about school funding but ra rely mention financial hardships faced by Hoosiers today,” Kenley said.
“Taxpayers’ ability to fund government is always limited, but especially during a recession.”