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Gov. Pat McCrory’s office is working with local school superintendents to come up with a fix for two hotly contested budget provisions lawmakers just enacted that would stop funding public schools on the basis of enrollment growth and cut funds to teacher assistants, according to a Lee County Schools superintendent and a lobbyist for the N.C. Association of School Administrators (NCASA).

“We have verbal confirmation from the Governor’s staff that they are concerned with the issue of no longer funding local school districts on the basis of enrollment growth as well as problems with trading teacher positions to fund TAs, and they are asking for budget technical corrections to present to the General Assembly that would fix these issues,” said Katherine Joyce, a lobbyist for NCASA.

Gov. McCrory signed a 260-page budget bill last week that contains a provision that would stop automatically paying for enrollment growth at public schools. The budget also spends $105 million less than what was previously budgeted for teacher assistants, even though McCrory has repeatedly said he was proud to sign a budget that preserves all TA positions.

The two budget provisions force local school districts to plan their budgets in the spring without knowing whether or not the state will pay for increased numbers of students in their schools, making it difficult for principals and superintendents to figure out if they will have the means necessary to hire the teachers and other school personnel they actually need. In addition, the budget cuts teacher assistant funds for local school districts by 22 percent.

Joyce explained to N.C. Policy Watch that NCASA, along with their local superintendents, are engaged in conversations with the Governor’s office to come up with language for a budget technical corrections bill they hope to see taken up by the General Assembly in August that would ensure schools go back to the old system of receiving their budget allotments from the state on the basis of student enrollment growth.

The bill would also allow local districts to use average teacher salaries, instead of beginning teacher salaries, to fund teacher assistant positions—freeing up more funds to save TAs. That fix, said Joyce, would effectively hold districts harmless when it comes to losing TAs and bridge the $105 million funding gap.

“Now we just need the General Assembly to actually come back into a real session and take up a budget technical corrections bill that will make these changes happen,” said Joyce.

Lee County Schools Superintendent Dr. Andy Bryan told the Sanford Herald this weekend that he learned Gov. McCrory plans to ask the legislature to implement corrections to the education budget on August 14.

“The Governor is recommending a technical correction that would allow school districts to receive planning allotments based on growth. As noted earlier, that is a really big issue for school districts and planning,” Dr. Bryan told the Sanford Herald.

In signing the $21.1 billion budget, Gov. McCrory said, “this budget reflects a pragmatic approach to managing taxpayer dollars.” He also said previously that critics of the budget should come up with their own spending plan instead of complaining about it.

This budget reflects a pragmatic and thoughtful approach to managing taxpayer dollars,” – See more at: http://governor.nc.gov/newsroom/press-releases/20140807/governor-signs-211-billion-budget-law#sthash.HXefpdLN.dpuf
This budget reflects a pragmatic and thoughtful approach to managing taxpayer dollars,” – See more at: http://governor.nc.gov/newsroom/press-releases/20140807/governor-signs-211-billion-budget-law#sthash.HXefpdLN.dpuf

Calls to the Governor’s office and his education advisor seeking comment on the possible budget fixes were not returned.

 

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The Rowan-Salisbury School System is trying to figure out how to handle a 22 percent cut to their teacher assistant funding stream.trackingCuts-web-600

The budget cut to TAs slices more than one way — in Rowan-Salisbury schools, many elementary school TAs double as school bus drivers (see my recent story about how TAs across the state also serve as bus drivers). 

Meetings will take place this week to determine how to handle the reduction in funds, and the school board will meet next Monday to make a final decision.

While the N.C. Department of Public Instruction’s Philip Price told N.C. Policy Watch that state lawmakers enacted a 2014 budget that spends $105 million less than what was previously budgeted for this year, Gov. Pat McCrory and his former budget director, Art Pope, have been working hard to tell a different story.

Charlotte Observer education reporter Andrew Dunn reports that Pope called him after he wrote a story about how Charlotte-Mecklenberg Schools will lose 90 TAs to explain how that simply should not be the case.

After my story ran, state budget director Art Pope called to walk through the numbers at a state level and say that because CMS was already using some teacher assistant money to hire teachers, they shouldn’t have lose anything.

“I can’t say why they’re coming up with any losses,” he said.

Then later, my colleague Ely Portillo spoke with McCrory, who offered up this:

“We are not reducing the number of teacher’s assistants,” he said. “Any teacher assistant who was working in a classroom last year will be working again this year if the local superintendents and principals set it up that way based on money that we gave them.”

I previously reported that lawmakers offered “flexibility” to school districts to handle their move to underfund TAs, which means they can move money out of classroom teacher positions that were intended to reduce class size in order to pay for the TAs they actually need.

But as one superintendent put it — that’s a false choice. You either save TA jobs and make classes larger, or the reverse — neither of which is great for kids or educators.

“If it’s going to cost people their jobs, I don’t see how we can use it (for class size),” Winston-Salem/Forsyth Superintendent Beverly Emory told the Winston-Salem Journal, explaining that she felt more pressure to save jobs than use that money to make classes smaller.

Know of more cuts to the classroom at the local level? Send me an email at lindsay@ncpolicywatch.com

 

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Voices of concern are growing louder as more and more individuals and institutions directly impacted by the new state budget signed by Gov. McCrory yesterday come to grasp what is actually in the 260 page document. As reported in the post immediately below and in this story by Sarah Ovaska on Wednesday, the list of changes buried in the fine print is long and full of significant policy decisions.

And as this story in today’s Charlotte Observer details, one of the most important and worrisome changes involves how the state funds public education:

A provision of the state budget that changes how schools are funded will put Charlotte-Mecklenburg Schools at a disadvantage in recruiting talented teachers and make planning much more difficult, Superintendent Heath Morrison said.

As part of the budget signed by Gov. Pat McCrory on Thursday, the state legislature will no longer automatically fund growth in public school enrollment. Districts had long used that assumption to plan their staffing ahead of the North Carolina budget debate each summer. Now, they will have to wait until after the legislature adjourns, or later, to learn how much money they’ll receive.

“We view it as a very radical change,” Morrison said Thursday.

Charlotte-Meck isn’t the only system worried. This is from Sarah Ovaska’s story: Read More

Falling Behind in NC, NC Budget and Tax Center

Governor McCrory signed a final budget into law for the current 2015 fiscal year, which runs from July 2014 through June 2015, this morning. The $21.1 billion budget includes new spending initiatives – largely pay raises for teachers and state employees – but fails to include additional revenue to sustain this spending in the long-term. Contrary to fueling North Carolina’s economic comeback, as Governor McCrory claims, the final budget continues to fund core public services at diminished levels, well below pre-recession levels, and compromises the ability of the state to get ahead and prepare for the future.  Moreover, it puts North Carolina on a fiscally irresponsible path that will continue to create budget challenges in the years ahead, largely as a result of the tax plan that was little debated and discussed in the final budget.

North Carolina faces a revenue challenge, and actions taken within the final budget make this reality clear. The final budget signed by the Governor spends every available dollar and uses dollars from last year’s budget as a result of the Governor requiring agencies to cut their respective budgets. No funding is available to build up the state’s Savings Reserve fund, which is meant to position the state to weather a future economic downturn. Furthermore, the budget relies on one-time funding sources that, once depleted, cannot be replenished with such low revenue and shifts funding for core public investments such as K-12 education to lottery receipts and early childhood programming to federal block grants.

Such budget decisions are driven largely by the tax plan the governor signed into law last year, which significantly reduces revenue available for public investments. Revised analysis by the General Assembly’s Fiscal Research Division estimates that the income tax rate cuts in the plan will cost at least $200 million more annually than initially expected – more than $1 billion less in annual revenue once the plan is fully implemented. The Governor and state policymakers failed to account for this reality in the final budget, which means that, absent new revenue, more budget cuts to core public services are likely to occur in future years as the tax plan continues to be implemented. Another round of tax cuts is set to occur in January 2015.

Under the final budget signed by the Governor, state spending remains 6.6 percent below pre-recession levels (see chart below). Read More

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Governor Pat McCrory has said repeatedly he plans to sign the 2014 budget passed last week–and with pride, thanks in part to the fact that it preserves teacher assistant positions, which are particularly important to him.trackingCuts-web-600

But on the ground, we’re already seeing local school districts cutting teacher assistants positions as they are faced with sizable shortfalls in their budgets that were handed down from the General Assembly.

The Chief Financial Officer for the N.C. Department of Public Instruction, Philip Price, explained to N.C. Policy Watch last week that this year’s budget actually spends $105 million less on teacher assistants than was originally budgeted for 2014 last summer– and this move comes on top of years of huge cuts to TAs.

Here’s what we know so far:

Got more cuts to the classroom to report? Email me at lindsay@ncpolicywatch.com or give me an old-fashioned phone call at 919-861-1460. I’ll be Tracking the Cuts once again this year.