Latest state budget plan increases money for schools, but local taxpayers share costs

Annysa Johnson
Milwaukee Journal Sentinel
Republican Senate Majority Leader Scott Fitzgerald (from left), Gov. Scott Walker 
 and Assembly Speaker Robin Vos.

State funding for Wisconsin's schools would increase by about $740 million over the next two years under the Senate Republican proposal announced last week in an effort to break the stalemate over Gov. Scott Walker's 2017-'19 budget.

The plan includes Walker's proposed boost in per-pupil funding, from the current $250 to $654 over the biennium, and additional dollars for low-spending districts and private schools that take part in one of the state's four voucher programs.

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But rural schools would lose almost all of the $20 million in so-called sparsity aid proposed by Walker. And GOP lawmakers continue to negotiate key points of contention involving measures aimed at boosting enrollment in two of the state's four voucher programs.

Dan Rossmiller, lobbyist for the Wisconsin Association of School Boards, called it "a good budget for public schools, largely because the governor's proposed increase in per-pupil categorical aid appears to have survived intact."

But he and others voiced concerns about a handful of provisions, among them: the GOP senators' plan to roll back Walker's aid to rural schools and another that would allow voucher schools to create online virtual schools, including those that would serve special needs students.

"That's significant backsliding," Superintendent of Public Instruction Tony Evers said of the Senate provision that would slash Walker's increase in aid to sparsely populated school districts from $20 million to $1.9 million

"I don't know how many more years rural schools will be able to go to referenda" in which they raise local property taxes to fund their public schools, he said. "I think there's a limit to the ability of rural folks to pay that, with the economy what it is."

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Senate Republicans announced their proposal on Tuesday in an effort to break the stalemate over the budget, which has been bogged down in disagreements primarily over transportation and taxes. The Senate plan would rely on borrowing to fund roads and cut taxes on businesses and those earning $200,000 to $500,000 a year. 

In all, they would spend less on education than Walker's proposed $822 million, but more than the $707 million plan proposed by Evers.

GOP lawmakers have reached broad consensus on most of the education-related provisions, according to Kit Beyer, spokeswoman for Assembly Speaker Robin Vos (R-Rochester). Negotiations are ongoing on some sticking points, including how high to raise the income cap on the statewide Parental Choice program, which allows students outside of Milwaukee and Racine to attend private schools on vouchers.

The Senate proposal would move the cap from the current 185% of the federal poverty level to 220%, or about $54,120 for a family of four. Vos wants to see it higher, at 300%, or about $73,800, she said.

      At 220%, the Senate proposal would cost about $4.4 million, though that would be passed on to the local public schools, and is projected to increase enrollment in the statewide program by about 550 students.

      Efforts to reach Senate Majority Leader Scott Fitzgerald were not immediately successful.

      Milwaukee Public Schools Superintendent Darienne Driver voiced concern about the Senate plan to cut in half the $2.8 million Walker proposed to fund summer school programs for Milwaukee Public Schools, and allow other districts to compete for those funds. The Senate version eliminates $1.4 million for 2017-'18, it says, so it will be available in future years.

      She said it would not scuttle the district's plans for a 2018 summer J-Term in which students would focus on credit recovery or advanced course work.

      "We will ... continue to move forward with our plans for J-Term," she said.

      On the education front, the Senate GOP plan would, among other things: 

      • Maintain Walker's proposal to raise the state's per-pupil aid from the current $250 to $450 in 2017-'18 and $654 in 2018-'19, at a cost of about $505 million. Revenue limits, which control how much districts can raise from the state and local taxpayers, remain unchanged for most districts. But low-spending districts, which were locked into those rates when revenue caps were imposed in the 1990s,  would be allowed to gradually raise their spending to $9,800 per student by 2022-'23. 
      • Increase funding for all four of the state’s private school voucher programs, however, most of the increase would be passed on to local public school districts in the form of cuts to their state aid. Per-pupil payments for the Milwaukee, Racine and statewide Parental Choice programs would rise from the current $7,323 to $7,757 in 2018-'19 for K-8 students and from $7,969 to $8,403 for high-schoolers. Per-pupil payments for students in the special needs scholarship program would rise from the current $12,000 to $12,434 in 2018-'19.
      • Place a two-year moratorium on school districts' ability to raise local property taxes beyond their revenue limits to cover the costs of making buildings more energy efficient. Last year, 120 districts used the provision to raise nearly $80 million from local taxpayers. Walker had proposed eliminating the provision altogether.
      • Limit school district referendums to regularly scheduled spring and fall elections, except for those that have had buildings damaged in a fire or natural disaster. The provision, which has been criticized by local school officials, is part of a slate of measures GOP lawmakers had proposed to rein in referendums, which have been driving up local property taxes around the state.
      • Set aside $3.7 million in grants to improve the poorest performing schools — traditional public, private or charter — in the city of Milwaukee. Walker had proposed spending $5.6 million, with $2 million going to the highest performing schools, and $3.7 million for schools that showed improvements on their annual report cards.
      • Maintain the $3 million Walker proposed to fund school social workers, and add $3.5 million for community-school mental health collaboration grants, $1 million more than Walker proposed.
      • Cut school library funding by $4 million over the biennium.