Short-term pain relief or long-term improvement? That seems to be the choice that is currently facing Congress, as the House debates how to fund “edujobs,” the federal relief necessary to supposedly save hundreds of thousands of teachers’ jobs in this difficult economy.
stimulus
A Work-Around for Edu-Jobs?
Edu-jobs. For the past month or so, we have been hearing how our K-12 public school systems need $23 billion in emergency funding from the federal government in order to keep teachers across the nation in jobs this fall. EdSec Arne Duncan has made passioned pleas on Capitol Hill for such funding. The teachers unions have stood behind Duncan’s request in a way far stronger than they have ever supported the EdSec. And House leaders like Education and Labor Committee Chairman George Miller (CA) and Appropriations Chairman David Obey (WI) have echoed the calls and urged their fellow leaders on the Hill to ask, “what about the teachers?”
To date, though, Congress has resisted. Many senators, wary of spending more and more money, have refused to move the issue forward. They even cite the absence of edu-jobs from President Obama’s request for emergency funding from Congress. Despite the best of intentions, right now, it seems like efforts to fund edu-jobs aren’t going anywhere.
It all has Eduflack thinking. In February of 2009, the U.S. Congress passed the American Recovery and Reinvestment Act, a $787 billion spending bill designed to help states and localities IMMEDIATELY deal with the budget shortfalls and shrinking coffers just about everyone was facing. By spring, we saw roadside signs erected declaring that this public works project or these jobs were funded courtesy of ARRA. Our K-12 schools got a big chunk of that money as well, with ARRA funding Race to the Top, i3, and big boosts to Title I and IDEA funding just for starters.
We’ve also heard how a great deal of the education ARRA funds went back to the school districts to pay for salaries. Despite the initial guidance that stimulus dollars were meant to be one-time injections, and were not designed to pay for long-term obligations (like teachers’ salaries) that would have to be funded well after all the ARRA money was spent, we still used the stimulus for teachers’ salaries. Just last month, one of President Obama’s leading economic advisors declared ARRA had saved 400,000 educator jobs across the country (while saying that one out of every 15 teachers could now be laid off without the additional $23 billion).
Curiosity has gotten the better of Eduflack. We committed $787 billion to economic stimulus that was needed as soon as possible. The funds were made available in February of 2009. It is now June 2010. The nearly $800 billion is all supposed to be spent by September of this year. According to the Recovery website, of that $787 billion that was so desperately needed, $406 billion has actually been paid out. There is still $381 billion still sitting in the kitty.
In California, the state seen as having the most dire current economic position (and the most difficulty paying teachers), only $8.8 billion of the nearly $22 billion promised to the Golden State has been dispersed. In New York, they’ve gotten $2.5 billion of their $12 billion. Illinois has taken in $3.7 billion of its $8.1 billion. Georgia’s taken in $2 billion of its $5.4 billion. Oregon’s taken in just $809 million of its $2.5 billion. And even the cash-strapped Ohio has only tapped $1.7 billion of its available $7.6 billion.
So it begs the question, why don’t we just reallocate some of the committed $787 billion in stimulus money to pay for the $23 billion in edu-jobs? The money was designed to help states and localities save jobs. Check. Funds have already been used to save teachers’ jobs (those 400K that Christina Romer touts). Check. There is plenty of money that still hasn’t been spent. Check. And we need to spend this soon. Seems like a win-win for all involved. And one could even win over the reformer crowd (which has been concerned that edu-jobs funding will simply perpetuate the notion of last hired, first fired and prize tenure over effective teaching). Tie the dollars to the priorities in ARRA, using RttT language to ensure that new edu-jobs spending is aligned with teacher and principal quality provisions being moved through Race.
A simplistic idea? Perhaps. But new federal funding for teachers’ jobs isn’t going anywhere. If the goal is to protect those educators and avoid laying off the “one in 15,” then why not ask Congress to reallocate the funding they’ve already spent? At this point, it is just like asking if we can use our allowance to buy baseball cards instead of bubble gum. The money’s already left Congress’ wallet.
Eliminating Rainy Day Funds in NJ Schools?
Last fall, when the Commonwealth of Pennsylvania was suffering through one of its worse budget stalemates in modern memory, one of the debates was how deep should the state dip into its “rainy day” fund to balance the current budget. Do you completely deplete your reserves to get a budget many can live with? Or do you hold back some of that rainy day fund, with the fear that 2010 or 2011 may not be particularly sunny either?
Ultimately, Pennsylvania (like a lot of states in similar situations) decided to tap the vast majority of those reserves to keep the state moving forward. Such funds are established to help navigate those doomsday budget scenarios, and those dollars, along with the billions coming through the feds through the American Recovery and Reinvestment Act, help many a K-12 state school system stave off disaster.
With the federal stimulus money nearing sunset, we are starting to see those doomsday scenarios coming back to the forefront. In Eduflack’s home state of Virginia, new Gov. Bob McDonnell is proposing a $731 million cut in K-12 education. Details are still in the works, but it seems clear that most public school systems — urban, suburban, and rural — will face the butcher’s knife before the coming fiscal year’s budget is complete. Many feared that cuts were coming, but few expected them to be as deep as McDonnell is currently proposing.
More interesting, though, is what is happening in New Jersey, where equally new Gov. Chris Christie has also declared that the public schools will face massive cuts. In many ways, the Garden State is in an even more dire financial situation than the Old Dominion, with higher unemployment rates, a bigger budget deficit to overcome, and a generally dimmer light at the end of the tunnel.
For nearly two weeks, communities in New Jersey have been abuzz about the impact of the cuts. The Christie Administration has told all districts to prepare for the possibility of at least 15 percent reductions, with virtually every school district now talking about $1 million-plus reductions to the money they receive from the state. And it comes at a time when local taxes are also unable to pull out from their downward spiral.
But what makes New Jersey so thought provoking is what Christie is actually proposing. If Eduflack is reading the proposals forward, New Jersey’s governor is particularly targeting those school districts that have established their own rainy day funds. Those LEAs that have been reasonably good stewards of their tax dollars, and have established reserves to plan for their own Armageddon, are being asked to zero out those reserves and use them to fund the coming year’s operations. Those districts that have no reserves, and essentially have always eaten what they killed, will be funded at levels comparable to what they typically receive from the state.
Honestly, Eduflack isn’t sure what to make of all this. I was surprised to learn that so many school districts had more than a million dollars socked away in a coffee can in case the financial monsoons came. Like many, I assumed that districts live (financially) from year to year, and spend every dollar they can get their hands on on their operating budget (particularly important since 80-90 percent of a school system budget can go to the salary and benefits one has to pay for each and every year). So in these tough economic times, it seems it many be time for those saver school districts to dip into those accounts if they want to keep instruction and services at the levels we expect.
But at the same time, should we be penalizing school districts for being financial prudent? And with so many districts in NJ following such a rainy day policy, should we be rewarding those school system “squirrels” who did not save their nuts for winter?
So which seems more reasonable, a Virginia approach where most districts are going to be asked to share the pain or a New Jersey approach where those who can most afford to sacrifice are the first to do so? Definitely no winners here, but can one path make a school district less of a loser?
UPDATE: For those looking for more info on the New Jersey debate, check out NJ Left Behind here for a discussion on the “surplus drill-down,” with a critique from Rutgers University’s Bruce Baker here on how such a policy actually hurts the poorest districts the most.
Second Leg of the Race
It can be almost a full-time job to follow the musings and presumptions regarding Race to the Top. During the summer, most believes that the public comment period was pro forma, and we would see a final RttT RFP (bearing remarkable resemblance to the draft) would be released as quickly as possible this month (meaning September).
Setting a Start Time for the Race
While the public comment period is now closed on Race to the Top and we await finalization of the RttT RFP and guidance that will direct states’ applications (as if those aren’t fully underway, as evidenced by the 15 Gates-funded states that have been hard at work on their apps for months and drafts of apps such as those circulated recently by Illinois), some additional details are now coming into sight with regard to timetable.
Equity in Teacher Distribution
The wonkiest of the education policy wonks are currently poring over the more than 1,500 comments, critiques, and outrages submitted as part of the open comment period for the draft Race to the Top criteria. As Eduflack has written before, much of what has been submitted has been put forward in the name of self interest, with key groups looking to protect their constituencies, their missions, or their very existence from the potential steamroller that is becoming RttT.
anyone be surprised to see that those schools experiencing the greatest failure rates are the schools that are denied effective teachers? Would anyone argue that there is currently equity by teacher distribution? Can anyone argue that a qualified, well-supported, effective teacher has the power and tools to boost student achievement?
Filling the Gaps on Innovation
For much of the summer, we’ve been handicapping the future of Race to the Top and which states are going to be the beneficiaries of the $4.35 billion honeypot. As of this morning, more than 1,500 comments and suggestions have officially be submitted with regard to the draft regs. To date, the media highlight has been the statement issued by the National Education Association, making clear that effective teaching needs to focus on good, well-supported teachers. As noted last week, Eduflack was most taken by the remarks jointly submitted by EdTrust, DFER, CAP, and EEP, which provided a broad-brush approach to many of the issues keeping us up at night.
Speaking Collaboratively on RttT
For months now, Eduflack has been asked the same question from a growing group of education policy observers and a great many of those who are looking to get out of the stands and into the game. The question focuses on why a number of groups have been relatively silent on issues like the State Fiscal Stabilization Fund, Race to the Top, and other new funding streams coming out of the U.S. Department of Education.
Where Is the “Loyal Opposition” in Ed Reform?
The drumbeat toward reform continues. Wisconsin’s Democratic governor is now calling for changes to the state law to tear down the firewall preventing the tie between teachers and student achievement. Indiana continues its push to “reform” teacher certification, with the state superintendent looking to more fully embrace the alternative certification pathways advocated by the U.S. Department of Education and its Race to the Top guidance. Even states like New York and California are looking for ways to show they are “reformers” and not the status quoers they have long been known as.
e child advocates and proponents for local control? Where are our defenders of the status quo and of the whole child? Where are our critics of “high-stakes” tests and federal mandates? Where are our doubting Thomases and cynical Samanthas?
Is Stimulus Stimulating Our Schools?
Back in March, we heard how our public schools were in desperate need of the quick injection of cash made available through the American Recovery and Reinvestment Act. We heard how the $55 billion in new education spending would be quickly distributed to the districts, with the majority of State Fiscal Stabilization Fund dollars distributed this spring, Title I and IDEA dollars quickly moving to the states through formulas, and the remainder of the SFSF funds getting out there this summer, after the states’ stimulus plans were approved by the U.S. Department of Education. To some, all that is left to disseminate is the $5 billion or so available through Race to the Top and the Innovation Fund.
