Voice For Liberty

Search results for: “"school fund" balances”

  • Kansas schools’ unspent funds on the rise — again

    Following is a press release from Kansas Policy Institute. It is important that citizens understand the issue of the unspent fund balances. It’s also important that they are aware of the refusal of school districts and school spending advocates to deal forthrightly with the public on this issue. It provides insight into the nature of our public schools, and why reform is so difficult. In July Dave Trabert, President of KPI, appeared before the Wichita school board to discuss these fund balances. For information on that appearance, see Wichita school district discusses unspent fund balances. For more articles on the fund balances, click on Kansas school fund balances.

    Kansas Schools Start The New Year With Even More In The Bank — New Authority To Spend Now Exists

    Operating Carryover Cash Reserves Increased 90% Since 2005

    September 29, 2011 — Wichita — New data from the Kansas Department of Education show that Kansas public schools increased their operating carryover cash reserves by $93.7 million in the fiscal year ended June 30, 2011. Operating cash reserves (not including capital, debt or federal funds) increased from $774.6 million to a record-high $868.3 million. The increase in operating reserves includes a first-time disclosure of $8 million in school activity funds, which are primarily used for school athletics.

    “We continue to hear about schools choosing to cut classroom spending, but many districts are not spending all of their state and local tax income,” said KPI president Dave Trabert. “These funds operate much like personal checking accounts; the unencumbered balances only increase when income is greater than spending. It will be interesting to see how Kansas school districts use the new authority they have which makes it easier to spend down these balances.”

    Effective July 1, 2011 school districts were permitted to transfer unencumbered carryover cash balances from a group of twelve funds to be used for any operating purpose. Some of these balances have always been available but, to the extent that restrictions existed, the new law (SB 111) expedites access by lifting all restrictions. SB 111 gives districts authority to access those funds to offset the $232 per-pupil decline in base state aid over the last two years.

    Since 2005, Kansas schools have increased operating reserves by $410.1 million. The balances increased every year over that time frame, when a Kansas Supreme Court ruling forced legislators to increase school funding. Last year’s increase was the second-largest; the greatest annual increase of $112.1 million occurred in 2009. A complete, district by district breakdown is available at KansasOpenGov.org, a website operated by Kansas Policy Institute. As with all data on KansasOpenGov.org, the carryover balances were obtained through Kansas open records law from the appropriate government agency, in this case the Kansas Dept. of Education.

    Trabert concluded, “As of July 1, the average Kansas school district had nearly four times the amount permitted to be transferred in the funds identified in SB 111. All but ten districts across the state could exercise the full authority of SB 111 and still have carryover cash balances. Of course, each district is faced with a unique situation but teachers and parents have a right to know that this option exists.”

  • Year in review, 2013

    happy-157428_640Happy new year, and a look back at some of the stories covered by Voice for Liberty in 2013.

    January

    Kansans’ views on role of government
    Kansas Policy Institute has released the results of a public opinion poll asking Kansans for their views on some issues that are currently in the news.

    Hawker job numbers a lesson in economic development
    Economic development officials took credit for saving 4,000 jobs. Now that Hawker employment has fallen to 3,372, will we update our economic development scorecard?

    Carl Brewer: The state of Wichita, 2013
    Much like President Barack Obama in his recent inaugural address, Wichita Mayor Carl Brewer displayed his collectivist instincts in his “State of the City” address for 2013. Opening, the mayor said “Wichita has overcome great challenges in the past and will overcome these as well, but we’ll need to work together.” Near the close, the mayor said “THE TIME FOR ACTION IS NOW! We have reached a point where we MUST come together as a community, and create a plan that defines our priorities and the City we are to become.”

    Kansas teachers union: No competition for us
    Kansas National Education Association (KNEA), our state’s teachers union, is an effective force that denies Kansas parents the choice as to where to send their children to school. The union also works hard to deny teachers choice in representation.

    Privatization study released
    Kansas Policy Institute has released a study looking at privatization of government services. “With Kansas’ general fund spending having increased by 48 percent in the past decade there are absolutely opportunities for efficiency and savings. In many cases, this could certainly be accomplished by utilizing private sector expertise while at the same time delivering better service to Kansans.”

    State and local tax burden visualized
    For two decades the Tax Foundation has estimated the combined state and local tax burden for all the states. I’ve created an interactive visualization that lets you compare states and see trends in rank over time.

    Teacher quality report issued; Kansas needs improvement
    National Council on Teacher Quality has released its new edition of its State Teacher Policy Yearbook. Kansas doesn’t do well. Kansas earned a grade of D+, the same as the previous year. That’s also the average state grade.

    Economic development in Wichita, the next step
    Critics of the economic development policies in use by the City of Wichita are often portrayed as not being able to see and appreciate the good things these policies are producing, even though they are unfolding right before our very eyes. The difference is that some look beyond the immediate — what is seen — and ask “And then what will happen?” — looking for the unseen.

    Wichita movie theater expands product line, now selling groceries
    A Wichita movie theater has started carrying a limited line of grocery items.

    In Sedgwick County, misplaced concern for an industry
    Expressing concern about a large industry that he said is important to Sedgwick County and Kansas, Sedgwick County Commissioner Tim Norton spoke in favor of the need for comprehensive government planning. He cited the commonly-held belief that humans, with their desire for large suburban home lots, are depleting the stock of available farmland.

    Wichita economic development: We can’t be satisfied with this
    Wichita officials, including Mayor Carl Brewer, seem proud of the city’s efforts in economic development. They should look at the statistics.

    Wichita STAR bonds project not good for capitalism
    A proposed STAR bonds project in Wichita is the latest example of Wichita and Kansas relying on cronyism and business welfare instead of capitalism.

    Campaign contributions show need for reform in Wichita
    Wichita City Council members Lavonta Williams and James Clendenin have filed campaign finance reports that reinforce the need for campaign finance reform in Wichita and Kansas.

    Wichita economic development solution, postponed
    Wichita leaders have identified what they believe is a solution to economic development, but have not implemented that solution effectively, in their own words.

    February

    In Wichita, Jeff Longwell has the solution to cronyism
    If cronyism is a problem, the solution preferred by Wichita’s political class is to follow Jeff Longwell’s advice: Just don’t talk about it.

    Lavonta Williams: ‘You don’t have to go there’
    Wichita city council member Lavonta Williams advised taxpayers on what to do if they disagree with action taken by the council: Just don’t go there.

    Open records in Kansas
    Kansas has a weak open records law. Wichita doesn’t want to follow the law, as weak as it is.

    Kansas and Texas schools and low-income students
    If you were the parent of a low-income student, or a student who is a member of an ethnic minority group, in which state would you rather have your child attend school: Kansas or Texas?

    Downtown Wichita economic development numbers questioned
    Wichita needs to be concerned why the city’s political and bureaucratic leadership is not “forthcoming and honest” with citizens regarding economic development results.

    Renewables portfolio standard: Good or bad for the Kansas economy?
    A report submitted to the Kansas Legislature claims the Kansas economy benefits from the state’s Renewables Portfolio Standard, but an economist presented testimony rebutting the key points in the report.

    Wichita Eagle editorial board on the truth
    The Wichita Eagle editorial board holds the governor to a standard that itself is not willing or able to meet.

    State and local government employees, a visualization
    How does your state compare to others in the number of state and local government employees, and the payroll costs of these employees?

    Kansas school spending, for real
    A new organization with the motto “Responsible Policy. Real Prosperity” is producing reports that are true on the surface, but fail to present the total picture.

    Kansas school supporters should look more closely
    Those such as Kansas House of Representatives Minority Leader Paul Davis who uncritically tout Kansas schools as among the best in the nation are harming both students and taxpayers when they fail to recognize why Kansas performs well compared to other states.

    Wichita economic growth, compared
    How does economic growth in Wichita compare to the state and nation?

    March

    In Kansas, don’t mention the level of school spending
    At a meeting of the South-Central Kansas Legislative Delegation today, it was apparent that facts are either not known — or not important — to public school spending advocates.

    Wichita has school choice, they say
    Wichita school superintendent John Allison told Wichitans something they probably didn’t know: Parents of Wichita schoolchildren benefit from the district’s school choice program.

    Kansas spring elections should be moved
    I urge this committee to support moving the spring elections to be held in conjunction with the fall state and national elections. This will help reduce the electoral power and influence of special interest groups.

    Kansas Open Records Act needs improvement
    Thank you for this opportunity to present testimony on problems with the Kansas Open Records Act regarding high fees for the production of records.

    Personal income growth in the states
    As Kansas debates whether to move forward with a new vision, especially in tax policy, we should examine how we have fared under the policies of recent decades. But in the visualization below, where does Kansas rank in relation to some of our surrounding states? The answer is: Not well.

    April

    Bonding KPERS debt is not the solution
    Borrowing money to shore up the Kansas state employee pension plan is about the worst idea that could come out of Topeka. Legislatures across the country, and counties and cities of all sizes, have shown that government is fundamentally unable to manage the responsibilities of a defined benefit pension plan.

    Wichita Mayor Carl Brewer on public trust in government
    If you ask Wichita Mayor Carl Brewer to live up to the policies he himself promotes, you might be threatened with a lawsuit.

    Wichita: No such document
    When asked to provide documents that establish the city’s proclaimed policy, Wichita city hall is not able to do so, leaving us to wonder just how policy is made.

    Wichita survey questions based on false premises
    Some questions on the Wichita/Sedgwick County Community Investment Plan survey have such severe problems that the survey may not be a reliable measure of citizen opinion.

    Recycling debate short on reason
    Responses to a news story on recycling indicate that the issue is driven more by emotion and misinformation than reason.

    As Southwest arrives in Wichita, something else happens
    Wichita officials are proud that Southwest Airlines is starting service in Wichita soon. Great economic benefit is anticipated. But at the same time Southwest arrives, AirTran Airways leaves.

    Intrust Bank Arena depreciation expense is important, even today
    Proper attention given to the depreciation expense of Intrust Bank Arena in downtown Wichita recognizes and accounts for the sacrifices of the people of Sedgwick County and its visitors to pay for the arena.

    Low education standards limit Kansas childrens’ dreams
    A new video from Kansas Policy Institute highlights the fact that Kansas schools have low standards. Additionally, the standards have been changed so that it appears students are doing better.

    Government planning, itself, is dangerous
    The very existence of a government plan is dangerous, as its construction creates powerful constituencies that have shaped it to fit their needs and are highly motivated to see it implemented.

    May

    Wichita sees results of new economic development policy
    The first action under a new Wichita economic development policy doesn’t produce economic growth, and in fact, harms the Wichita economy.

    Language makes a difference
    No longer is it “Sustainable Communities.” Now it’s “South Central Kansas Prosperity Plan.” Either way, the program is still centralized government planning, with great potential to harm our economy and liberties.

    Kansas freedom scorecard released
    To help Kansans understand how legislators vote, Kansas Policy Institute has produced the Kansas Freedom Index for 2013.

    Starwood calls on Wichita
    The usual problems with cronyism and corporate welfare come with economic development incentives offered to Starwood, but there are specific problems, too.

    Wichita mayor said to be ‘under lockdown’
    When Wichita ABC affiliate KAKE Television ran a news story critical of Wichita Mayor Carl Brewer, reporter Jared Cerullo wasn’t able to interview Brewer to get his reaction to his critics. The mayor refused to talk to Cerullo.

    Kansas looks better in Rich States, Poor States report
    A new edition of Rich States, Poor States signals a brighter future for Kansas.

    Spending and taxing in the states
    In the current policy debate in Kansas, we often compare our state with Texas. The prevailing themes sounded by Democrats and other spenders include that because Texas has no income tax, its other taxes (sales and property) are higher. We also hear that Texas is “atop a sea of oil” from which the state collects a gusher of tax revenue.

    June

    Wichitans taxed into a lower standard of living
    To the extent that rebates fund the replacement of fully-functional toilets, civilization takes a step backwards, thanks to the Wichita City Council.

    REAP: We’ll plan for you, like it or not
    We’ve learned that the government planners will plan for you, whether or not you want it. Despite having voted against participation, two Kansas counties are still included in a regional planning consortium.

    Wichita and peer GDP growth
    Compared to its peers, the government sector in Wichita is growing fairly quickly, but the private sector is growing slowly

    Kansas has lowered its school standards
    At a time when Kansas was spending more on schools due to an order from the Kansas Supreme Court, the state lowered its standards for schools.

    Part of Kansas tax law has something for everyone
    The just-signed Kansas tax bill contains a future provision that, based on recent research, may satisfy everyone.

    Wichita needs more, and willing, taxpayers
    Is the goal of Wichita/Sedgwick County Community Investments Plan to create more willing taxpayers? A paper from the Hugo Wall School of Urban and Public affairs gives us a clue — and a warning.

    For our own good: No rain, please
    There are those who are so sure of the righteousness of their prescriptions for others’ behavior, they will torment themselves when good things happen.

    Wichita water supply good through 2050, they said
    A document created in March 2013 — at the time the city warned that its major water source might soon go dry — touts an expensive investment that is part of a “plan to ensure that Wichita has the water it needs through the year 2050 and beyond.”

    July

    The speck and the logs
    What can we say about a mayor who is concerned about the appearance of impropriety when shopping for his personal automobile, but is not able to understand the problems with his own behavior in office?

    Wichita city code seemingly ignored
    A Wichita city statute seems to be clear in its meaning, but the city decides not to apply it.

    Kansas school fund balances on the rise
    Kansas schools don’t spend all the money they’ve been given, and the pile of unspent cash continues to grow, although it leveled off in the most recent year for which there is data.

    Kansas school employment trends are not what you’d expect
    Kansas school employment statistics don’t reflect the doom-and-gloom stories you may have heard from Kansas political leaders and newspaper editorialists.

    How to grow the Kansas economy
    In this 14 minute video from April, Art Hall, who is Director of Center for Applied Economics at Kansas University, talks about how to grow the Kansas economy.

    More evidence of low Kansas school standards
    A study of school testing standards has found that Kansas has low standards compared to other states.

    Wichita Transit finances
    A financial snapshot of the Wichita Transit System.

    In Wichita, there’s no option for dissent
    A citizen outreach system implemented by Wichita doesn’t let participants express disapproval of ideas when voting.

    For Kansas progressives, it’s all about school spending, not performance
    Kansas progressives keep the focus on school spending and away from inconvenient facts that harm schoolchildren.

    Sedgwick is a red county in a pink state
    Sedgwick County is bleeding income.

    Why is business welfare necessary in Wichita?

    Business tax credits more desired than zero tax rates
    A Kansas business welfare program is more attractive and valuable than elimination of the Kansas corporate income tax, at least for some influential corporations in Kansas.

    Research on economic development incentives
    Here’s a summary of the peer-reviewed academic research that examines the local impact of targeted tax incentives from an empirical point of view. “Peer-reviewed” means these studies were stripped of identification of authorship and then subjected to critique by other economists, and were able to pass that review.

    Wichita airport statistics: the visualization
    While the program to reduce airfares in Wichita has probably met that goal, there have been consequences. In particular, the availability of air travel in Wichita is lower than it has been, and the trend is in the wrong direction. In some aspects the Wichita trend mirrors that of the nation and other airports, and in others Wichita is falling farther behind.

    August

    Fish, sauce, and the law: You make the call
    Should Wichita Mayor Carl Brewer vote on an upcoming issue? The City of Wichita code seems to say he should not vote, but the Wichita City Attorney says the law doesn’t apply.

    Wichita’s evaluation of development team should be reconsidered
    The evaluation matrix released for a project to be considered next week by the Wichita City Council ought to be recalculated.

    Wichita job growth under the Visioneering/Brewer regime
    Wichita has set ambitious goals in job growth, but it doesn’t seem that the Visioneering program has produced results. But apparently Wichita government officials are satisfied.

    Do you know this about Kansas school test scores?
    Public school leaders in Kansas are proud of Kansas schools, often citing our state’s high ranking compared to other states. This video takes a look at Kansas test scores.

    Wichita income is not keeping up
    Visioneering Wichita uses per capita income growth as one benchmark of economic progress. What do the numbers say about the city’s progress?

    Sedgwick County delinquent taxes, the useful version
    The Wichita Eagle has devoted newsprint to deliver the data, and you can obtain it as pdf on your computer, too. Neither of these options for delivering the Sedgwick County delinquent tax list for 2012 is very useful.

    Incentive program ignores ‘One Lesson’
    A document released by the City of Wichita casts strong doubt on the wisdom of a new home property tax rebate program. The document also lets us know that city staff are not being entirely honest with the citizens of Wichita.

    Wichita school district checkbook
    USD 259, the Wichita public school district, makes its monthly checkbook register available. I’ve gathered the monthly spreadsheets for the last three fiscal years and made it available for analysis through Tableau Public.

    Be wary of expanding Wichita transit spending
    Before deciding to expand Wichita’s transit system, and especially before deciding on a new taxing scheme to fund it, we need to make sure we understand more about transit.

    Wichita City Council makes an economic decision
    Last year the Wichita City Council was faced with a decision regarding a program designed to stimulate the sales of new homes. Analysis revealed that even though the city had an opportunity to make an investment with a purportedly high return on investment, it would be better off, dollar-wise, if it did not make the investment. What did the city council do?

    September

    Anderson, former Kansas budget director, speaks
    Former Kansas budget director Steve Anderson spoke to members and guests of the Wichita Pachyderm Club. Two videos are available, a highlights version and full version.

    For Wichita, more districts, more taxes, more bureaucracy
    The Wichita City Council will consider formation of a committee to consider a new district, new taxes, and new bureaucracy in the form of a Tourism Business Improvement District.

    Touring a Wichita-owned downtown retail development
    Touring a Wichita city-owned retail strip in a prime downtown location raises a few issues.

    Wichita performs a reference check, sort of
    Citizens of Wichita are rightly concerned about whether our elected officials and bureaucrats are looking out for their interests, or only for the interests and welfare of a small group of city hall insiders.

    Exchange Place still not good for Wichita, others
    Tomorrow the Wichita City Council will consider a redevelopment plan for the Exchange Place project in downtown Wichita. Despite having shed the problems with the former owners, the project has become an even worse deal for the taxpayers of Wichita, Kansas, and the nation. Those looking for jobs and for investment capital to meet consumer demands are worse off, too.

    October

    Wichita does it again
    Action by the Wichita City Council today provides opportunity for two city council members and the city manager to exercise leadership, protecting citizens instead of cronies.

    Bud Norman: “Ruminations on the State of the Republican Party”
    Bud Norman addressed members and guests of the Wichita Pachyderm Club on October 4, 2013. The title of his presentation is “Ruminations on the State of the Republican Party.”

    Wichita contracts, their meaning (or not)
    Is the City of Wichita concerned that its contracts contain language that seems to be violated even before the contract is signed?

    Commissioner’s questions halt county’s plan to remove trees on private land
    Questioning by County Commissioner Richard Ranzau put the kibosh on the project, and the Minneha Township now will have to pay the tab if it wants the trees gone.

    Cronyism and other problems in Wichita
    Someone asked for a collection of articles about cronyism and other problems with Wichita city government. Here are a few.

    John J. Ingalls Spirit of Freedom Award
    Last night I was recognized by the Kansas Policy Institute with the John J. Ingalls Spirit of Freedom Award. Following are my remarks I delivered to the audience.

    Wichita economic development not being managed
    It is evident that The City of Wichita does not manage the results of its economic development efforts.

    WichitaLiberty.TV October 27, 2013
    In this episode of WichitaLiberty.TV: David Boaz, Executive Vice President of the Cato Institute, visits the WichitaLiberty.TV studios and explains the ideas behind libertarianism and its approach to government and society.

    Shortchanging Kansas schoolchildren, indeed
    This month the New York Times published an editorial that advocates for more spending on Kansas public schools. While getting some facts wrong, the piece also overlooks the ways that Kansas schoolchildren are truly being shortchanged.

    Should Wichita expand its convention facilities?
    On its face, pursuit of convention business seems like a noble effort by city leaders. Vast streams of economic development will follow if they are successful, they say. But is this pursuit of convention business wise?

    November

    Spirit Aerosystems applies for tax relief
    The Wichita City Council will consider excepting a large company from property and sales taxation. Is this action wise for the city’s economy?

    Kansas test scores unchanged
    In the four areas measured and released (math at grade four and eight; reading at grade four and eight), the scores for Kansas have no significant change.

    Curious Wichita ethics enigmas
    Wichita Mayor Carl Brewer’s decisions regarding government ethics are inconsistent.

    Kansas school spending, by district
    For each school district (and state totals) you can see the trend in each of the three sources of school funding (state, federal, and local) along with the total.

    In Wichita, the case for business welfare
    A Wichita company headed by a high-profile executive seeks relief from taxation.

    Spinning for fundraising, Kansas-style
    Kansas liberals accuse Republicans of “spinning” statistics on school funding. Can we look at some actual numbers?

    Wichita city government ethics workshop
    As far as I can tell, the Wichita city ethics code is crafted so poorly that it is without meaning.

    December

    WichitaLiberty.TV December 1, 2013
    In this episode of WichitaLiberty.TV: What is libertarianism? Is it dangerous, as New Jersey Governor Chris Christie recently warned? David J. Theroux, who is Founder, President and Chief Executive Officer of The Independent Institute and Publisher of The Independent Review stopped by the WichitaLiberty.TV studios to answer these questions and give the liberty-based perspective on current events.

    Cessna, another Wichita company asking for tax relief
    As Wichita considers granting tax relief to a major employer, it becomes more difficult for entrepreneurs and young companies to survive.

    Your local chamber of commerce: Working for you?
    Is your local chamber of commerce supporting pro-growth policies that allow free enterprise and genuine capitalism to flourish, or is it supporting crony capitalism?

    Wichita city council advances economic development
    Yesterday’s action taken by the Wichita City Council regarding economic development incentives granted to Cessna Aircraft Company through the Industrial Revenue Bond program may be confusing to some people.

    Sedgwick County illustrates inefficiency of tax credit mechanism
    Tax credits can be an inefficient way for government to distribute benefits, as illustrated by action the Sedgwick County Commission will consider today.

    Employment visualization updated; Wichita still in last place
    Wichita continues to lag behind its peer cities in job growth, according to data from the Bureau of Labor Statistics.

    In Wichita, ‘free markets’ used to justify business welfare
    Incredibly, a prominent Wichita business uses the free market to justify its request for economic development incentives. A gullible city council buys the argument.

    In Kansas, dueling job claims
    Candidates for Kansas governor last week released statements on recent job figures in Kansas. The releases from Sam Brownback and Paul Davis appear to contain conflicting views of Kansas employment.

    Kansas jobs: Who do we believe?
    Let’s be fair. The next time Paul Davis and Democrats praise good job creation figures at the national level as evidence of the goodness of Barack Obama, let’s ask them to give the same credit to Sam Brownback.

  • Year in Review: 2016

    Year in Review: 2016

    Here are highlights from Voice for Liberty for 2016. Was it a good year for the principles of individual liberty, limited government, economic freedom, and free markets in Wichita and Kansas?

    Also be sure to view the programs on WichitaLiberty.TV for guests like journalist, novelist, and blogger Bud Norman; Radio talk show host Joseph Ashby; David Bobb, President of Bill of Rights Institute; Heritage Foundation trade expert Bryan Riley; Radio talk show host Andy Hooser; Keen Umbehr; John Chisholm on entrepreneurship; James Rosebush, author of “True Reagan,” Jonathan Williams of American Legislative Exchange Council (ALEC); Gidget Southway, or Danedri Herbert; Lawrence W. Reed, president of the Foundation for Economic Education; and Congressman Mike Pompeo.

    January

    Kansas legislative resources. Citizens who want to be informed of the happenings of the Kansas Legislature have these resources available.

    School choice in Kansas: The haves and have-nots. Kansas non-profit executives work to deny low-income families the school choice opportunities that executive salaries can afford.

    Kansas efficiency study released. An interim version of a report presents possibilities of saving the state $2 billion over five years.

    Wichita Eagle Publisher Roy Heatherly. Wichita Eagle Publisher Roy Heatherly spoke to the Wichita Pachyderm Club on January 15, 2016. This is an audio presentation.

    Pupil-teacher ratios in the states. Kansas ranks near the top of the states in having a low pupil-teacher ratio.

    Kansas highway conditions. Has continually “robbing the bank of KDOT” harmed Kansas highways?

    Property rights in Wichita: Your roof. The Wichita City Council will attempt to settle a dispute concerning whether a new roof should be allowed to have a vertical appearance rather than the horizontal appearance of the old.

    Must it be public schools? A joint statement released by Kansas Association of School Boards, United School Administrators of Kansas, Kansas School Superintendents’ Association, and Kansas National Education Association exposes the attitudes of the Kansas public school establishment.

    Kansas schools and other states. A joint statement released by Kansas Association of School Boards, United School Administrators of Kansas, Kansas School Superintendents’ Association, and Kansas National Education Association makes claims about Kansas public schools that aren’t factual.

    After years of low standards, Kansas schools adopt truthful standards. In a refreshing change, Kansas schools have adopted realistic standards for students, but only after many years of evaluating students using low standards.

    Brownback and Obama stimulus plans. There are useful lessons we can learn from the criticism of Kansas Governor Sam Brownback, including how easy it is to ignore inconvenient lessons of history.

    February

    Spending and taxing in Kansas. Difficulty balancing the Kansas budget is different from, and has not caused, widespread spending cuts.

    In Sedgwick County, choosing your own benchmarks. The Sedgwick County Commission makes a bid for accountability with an economic development agency, but will likely fall short of anything meaningful.

    This is why we must eliminate defined-benefit public pensions. Actions considered by the Kansas Legislature demonstrate — again — that governments are not capable of managing defined-benefit pension plans.

    Kansas transportation bonds economics worse than told. The economic details of a semi-secret sale of bonds by the State of Kansas are worse than what’s been reported.

    Massage business regulations likely to be ineffective, but will be onerous. The Wichita City Council is likely to create a new regulatory regime for massage businesses in response to a problem that is already addressed by strict laws.

    Inspector General evaluates Obamacare website. The HHS Inspector General has released an evaluation of the Obamacare website HealthCare.gov, shedding light on the performance of former Kansas Governor Kathleen Sebelius.

    Kansas highway spending. An op-ed by an advocate for more highway spending in Kansas needs context and correction.

    Brookings Metro Monitor and Wichita. A research project by The Brookings Institution illustrates the poor performance of the Wichita-area economy.

    March

    Wichita: A conversation for a positive community and city agenda. Wichita City Manager Robert Layton held a discussion titled “What are Wichita’s Strengths and Weaknesses: A Conversation for a Positive Community and City Agenda” at the February 26, 2016 luncheon of the Wichita Pachyderm Club.

    In Kansas, teachers unions should stand for retention. A bill requiring teachers unions to stand for retention elections each year would be good for teachers, students, and taxpayers.

    In Kansas, doctors may “learn” just by doing their jobs. A proposed bill in Kansas should make us question the rationale of continuing medical education requirements for physicians.

    Power of Kansas cities to take property may be expanded. A bill working its way through the Kansas Legislature will give cities additional means to seize property.

    Wichita TIF district disbands; taxpayers on the hook. A real estate development in College Hill was not successful. What does this mean for city taxpayers?

    Kansas and Colorado, compared. News that a Wichita-based company is moving to Colorado sparked a round of Kansas-bashing, most not based on facts.

    In Wichita, the phased approach to water supply can save a bundle. In 2014 the City of Wichita recommended voters spend $250 million on a new water supply. But since voters rejected the tax to support that spending, the cost of providing adequate water has dropped, and dropped a lot.

    Wichita Eagle, where are you? The state’s largest newspaper has no good reason to avoid reporting and editorializing on an important issue. But that’s what the Wichita Eagle has done.

    April

    Wichita on verge of new regulatory regime. The Wichita City Council is likely to create a new regulatory regime for massage businesses in response to a problem that is already addressed by strict laws.

    Wichita economic development and capacity. An expansion fueled by incentives is welcome, but illustrates a larger problem with Wichita-area economic development.

    Rich States, Poor States, 2106 edition. In Rich States, Poor States, Kansas continues with middle-of-the-pack performance, and fell sharply in the forward-looking forecast.

    In Wichita, revealing discussion of property rights. Reaction to the veto of a bill in Kansas reveals the instincts of many government officials, which is to grab more power whenever possible.

    ‘Trump, Trump, Trump’ … oops! An event in Wichita that made national headlines has so far turned out to be not the story news media enthusiastically promoted.

    Wichita doesn’t have this. A small Kansas city provides an example of what Wichita should do.

    Kansas continues to snub school choice reform that helps the most vulnerable schoolchildren. Charter schools benefit minority and poor children, yet Kansas does not leverage their benefits, despite having a pressing need to boost the prospects of these children.

    Wichita property tax rate: Up again. The City of Wichita says it hasn’t raised its property mill levy in many years. But data shows the mill levy has risen, and its use has shifted from debt service to current consumption.

    AFP Foundation wins a battle for free speech for everyone. Americans for Prosperity Foundation achieves a victory for free speech and free association.

    Kansas Center for Economic Growth. Kansas Center for Economic Growth, often cited as an authority by Kansas news media and politicians, is not the independent and unbiased source it claims to be.

    Under Goossen, Left’s favorite expert, Kansas was admonished by Securities and Exchange Commission. The State of Kansas was ordered to take remedial action to correct material omissions in the state’s financial statements prepared under the leadership of Duane Goossen.

    May

    Spirit Aerosystems tax relief. Wichita’s largest employer asks to avoid paying millions in taxes, which increases the cost of government for everyone else, including young companies struggling to break through.

    Wichita mayor’s counterfactual op-ed. Wichita’s mayor pens an op-ed that is counter to facts that he knows, or should know.

    Electioneering in Kansas?. An op-ed written under the banner of a non-profit organization appears to violate the ban on electioneering.

    Wichita city council campaign finance reform. Some citizen activists and Wichita city council members believe that a single $500 campaign contribution from a corporation has a corrupting influence. But stacking dozens of the same $500 contributions from executives and spouses of the same corporation? Not a problem.

    In Wichita, more sales tax hypocrisy. Another Wichita company that paid to persuade you to vote for higher taxes now seeks to avoid paying those taxes.

    Wichita student/teacher ratios. Despite years of purported budget cuts, the Wichita public school district has been able to improve its student/teacher ratios.

    June

    KPERS payments and Kansas schools. There is a claim that a recent change in the handling of KPERS payments falsely inflates school spending. The Kansas State Department of Education says otherwise.

    Regulation in Wichita, a ‘labyrinth of city processes’. Wichita offers special regulatory treatment for special circumstances, widening the gulf between the haves and have-nots.

    They really are government schools. What’s wrong with the term “government schools?”

    July

    Kansas City Star as critic, or apologist. An editorial in the Kansas City Star criticizes a Kansas free-market think tank.

    State and local government employee and payroll. Considering all state and local government employees in proportion to population, Kansas has many, compared to other states, and especially so in education.

    Kansas government ‘hollowed-out’. Considering all state and local government employees in proportion to population, Kansas has many, compared to other states, and especially so in education.

    In Wichita, Meitzner, Clendenin sow seeds of distrust. Comments by two Wichita city council members give citizens more reasons to be cynical and distrusting of politicians.

    David Dennis, gleeful regulatory revisionist. David Dennis, candidate for Sedgwick County Commission, rewrites his history of service on the Kansas State Board of Education.

    Say no to Kansas taxpayer-funded campaigning. Kansas taxpayers should know their tax dollars are helping staff campaigns for political office.

    Roger Marshall campaign setting new standards. Attacks on Tim Huelskamp reveal the worst in political campaigning.

    Wichita Metro Chamber of Commerce on the campaign trail. We want to believe that The Wichita Metro Chamber of Commerce and its PAC are a force for good. Why does the PAC need to be deceptive and untruthful?

    August

    Which Kansas Governor made these proposals?. Cutting spending for higher education, holding K through 12 public school spending steady, sweeping highway money to the general fund, reducing aid to local governments, spending down state reserves, and a huge projected budget gap. Who and when is the following newspaper report referencing?

    Wichita Business Journal editorial missed the news on the Wichita economy. A Wichita business newspaper’s editorial ignores the history of our local economy. Even the history that it reported in its own pages.

    Sedgwick County Health Department: Services provided. Sedgwick County government trimmed spending on health. What has been the result so far?

    School staffing and students. Trends for the nation and each state in teachers, administrators, and students, presented in an interactive visualization.

    Intrust Bank Arena loss for 2015 is $4.1 million. The depreciation expense of Intrust Bank Arena in downtown Wichita recognizes and accounts for the sacrifices of the people of Sedgwick County and its visitors to pay for the arena.

    School spending in the states. School spending in the states, presented in an interactive visualization.

    September

    Kansas construction employment. Tip to the Wichita Eagle editorial board: When a lobbying group feeds you statistics, try to learn what they really mean.

    Wichita has no city sales tax, except for these. There is no Wichita city retail sales tax, but the city collects tax revenue from citizens when they buy utilities, just like a sales tax.

    CID and other incentives approved in downtown Wichita. The Wichita City Council approves economic development incentives, but citizens should not be proud of the discussion and deliberation.

    Cost per visitor to Wichita cultural attractions. Wichitans might be surprised to learn the cost of cultural attractions.

    GetTheFactsKansas launched. From Kansas Policy Institute and the Kansas Chamber of Commerce, a new website with facts about the Kansas budget, economy, and schools.

    The nation’s report card and charter schools.
    * An interactive table of NAEP scores for the states and races, broken down by charter school and traditional public school.
    * Some states have few or no charter schools.
    * In many states, minority students perform better on the NAEP test when in charter schools.

    School choice and funding. Opponents of school choice programs argue the programs harm traditional public schools, both financially and in their ability to serve their remaining students. Evidence does not support this position.

    October

    Public school experts. Do only those within the Kansas public schooling community have a say?

    Kansas and Arizona schools. Arizona shows that Kansas is missing out on an opportunity to provide better education at lower cost.

    Video in the Kansas Senate. A plan to increase visibility of the Kansas Senate is a good start, and needs to go just one or two steps farther.

    Kansas, a frugal state?. Is Kansas a frugal state, compared to others?

    Topeka Capital-Journal falls for a story. The editorial boards of two large Kansas newspapers have shown how little effort goes into forming the opinions they foist upon our state.

    Kansas revenue estimates. Kansas revenue estimates are frequently in the news and have become a political issue. Here’s a look at them over the past decades.

    Kansas school fund balances.
    * Kansas school fund balances rose significantly this year, in both absolute dollars and dollars per pupil.
    * Kansans might wonder why schools did not spend some of these funds to offset cuts they have contended were necessary.
    * The interactive visualization holds data for each district since 2008.

    In Wichita, developer welfare under a cloud. A downtown Wichita project receives a small benefit from the city, with no mention of the really big money.

    Wichita, give back the Hyatt proceeds. Instead of spending the proceeds of the Hyatt hotel sale, the city should honor those who paid for the hotel — the city’s taxpayers.

    Kansas Democrats: They don’t add it up — or they don’t tell us. Kansas Democrats (and some Republicans) are campaigning on some very expensive programs, and they’re aren’t adding it up for us.

    November

    How would higher Kansas taxes help?. Candidates in Kansas who promise more spending ought to explain just how higher taxes will — purportedly — help the Kansas economy.

    Decoding the Kansas teachers union. Explaining to Kansans what the teachers union really means in its public communications.

    Kansas school spending: Visualization. An interactive visualization of revenue and spending data for Kansas school districts.

    Decoding Duane Goossen. The writing of Duane Goossen, a former Kansas budget director, requires decoding and explanation. This time, his vehicle is “Rise Up, Kansas.”

    Decoding the Kansas teachers union. Decoding and deconstructing communications from KNEA, the Kansas teachers union, lets us discover the true purpose of the union.

    Government schools’ entitlement mentality. If the Kansas personal income grows, should school spending also rise?

    December

    Wichita bridges, well memorialized. Drivers on East Twenty-First Street in Wichita are happy that the work on a small bridge is complete, but may not be pleased with one aspect of the project.

    Gary Sherrer and Kansas Policy Institute. A former Kansas government official criticizes Kansas Policy Institute.

    Wichita to grant property and sales tax relief. Several large employers in Wichita ask to avoid paying millions in taxes, which increases the cost of government for everyone else, including young companies struggling to break through.

    Economic development incentives at the margin. The evaluation of economic development incentives in Wichita and Kansas requires thinking at the margin, not the entirety.

    The Wichita economy, according to Milken Institute. The performance of the Wichita-area economy, compared to other large cities, is on a downward trend.

    State pension cronyism. A new report details the way state pension funds harm workers and taxpayers through cronyism.

    In Wichita, converting a hotel into street repairs. In Wichita, it turns out we have to sell a hotel in order to fix our streets.

    In Wichita, we’ll not know how this tax money is spent. Despite claims to the contrary, the attitude of the City of Wichita towards citizens’ right to know is poor, and its attitude will likely be reaffirmed this week.

  • Kansas House committee considers school funds

    Yesterday the Kansas House of Representatives Education Budget Committee heard testimony on HB 2748. The bill would give Kansas school districts flexibility in spending funds.

    Kansas Policy Institute President Dave Trabert offered written and oral testimony. He told the committee that the ability to flexibly use find balances would let school districts avoid layoffs of teachers and other employees.

    The use of fund balances has been a subject of controversy, with school spending advocates insisting that while these fund balances exist, they can’t — or shouldn’t — be used to fund current operations. But as Trabert told the committee, and recent Kansas State Department of Education figures show, Kansas schools have been using these fund balances to allow increased spending even as revenue to districts has fallen.

    In his oral testimony, Mark Tallman, Assistant Executive Director/Advocacy for the Kansas Association of School Boards (KASB) explained the need for fund balances. The reasons are valid, and no one doubts that the balances are needed.

    Tallman said that districts have recognized that by transferring less into funds than they think they will need, they can spend down fund balances. This contradicts arguments that school spending advocates have made in the past.

    In his testimony, Tallman made a curious observation about how total school spending is not often mentioned by school districts. He said that the usual number given for school spending as a percent of the state’s budget (he used 51.75%) is valid if referring to the state’s general fund budget only. If the state’s all funds budget were referenced, the percentage would be smaller.

    This would be true if the comparison was made between Kansas state school funding and the all funds budget. But the all funds budget includes many federal sources of funding. If we take the total spending on Kansas schools ($5.667 billion in 2009) and divide by all funds spending ($13,960.3 billion for fiscal year 2009), the percentage is 40.6.

    Testimony from Diane Gjerstad of the Wichita school district said that the issue of restricted funds comes down to two factors: timing of funding, and restricted use. She also mentioned capital and bond funds, which are not part of the current legislation, and are excluded from analysis prepared by groups that promote the use of funds.

    But what Tallman and other school spending advocates cannot do is explain why these balances have grown rapidly over the past several years. We might expect that the fund balances would grow at about the same rate as overall school spending, but they’ve grown much faster. The only way these fund balances can grow over time is if school districts have not spent all the money that has been added to the funds.

    The bill passed the committee and may be considered by the entire House.

    In hearings like these, it becomes evident that school finance is complicated, and in ways that probably work against schools being able to meet their challenges by using their funds most effectively. An example of distinctions that Tallman mentioned is what while the Kansas Constitution prevents public schools from charging tuition, they may charge fees. How is a fee — if it is required — different from tuition? Tallman said a fee for a specific purpose like textbooks is permissible, but a fee for general education is not.

    To understand Kansas school finance, you have to make distinctions like these.

    Further complications in Kansas school funding became evident on the floor of the Kansas House in an amendment to a bill that would let counties add an extra .25 cents per dollar to their sales tax. These funds would be distributed to school districts within the county. But even school spending advocates in the House argued against the amendment, saying it is unfair to counties with a small amount of retail trade per student, and therefore would disturb Kansas school funding equalization.

    The fund balance issue is important as these balances may allow schools to continue spending without requiring tax increases on Kansans. While the fund balances are a short-term solution, hopefully that is all the state needs until the economy recovers.

  • Kansas school efficiency task force

    Kansas Governor Sam Brownback has been criticized for the composition of a school efficiency task force that he recently created.

    Accountants dominate the membership. Critics wonder why there aren’t any educators as members. I would remind these critics that educators — those already running the Kansas public school system — are free to implement efficiency measures any time they want. They don’t need permission or a task force.

    We’ve seen, however, that efficiency and controlling spending are hardly the concerns of the school spending establishment. The standard argument — or complaint — is that more spending is needed. Everything is underfunded, according to them.

    The school spending establishment isn’t willing to have an honest discussion of school spending. They present base state aid per pupil as the primary benchmark or indicator of school spending, despite the fact that it is only a small part of the Kansas school spending formula and disguises the overall level of spending. Which is that in 2012, Kansas schools spent more money than ever before.

    There’s also been the controversy over school fund balances. An outside group brought this issue to the attention of Kansans, and the school spending establishment resisted at every step. Just recently it was discovered that there were errors in the tabulation of Kansas school test scores. An outside group discovered this error, too.

    Kansas school districts have also been reluctant to participate in school efficiency audits conducted by Kansas Legislative Division of Post Audit.

    We further find that citizens are generally uninformed about the level of school spending. Amazingly, legislators and school board members are sometimes uninformed or misinformed, too.

    Even worse, school administrators contribute to the confusion — or is it obfuscation — surrounding school spending. A KSN Television news story reported that Newton school superintendent John Morton thinks it is “a real concern” when citizens have access to data about government spending. This is a common reaction by government bureaucrats and officials. They prefer to operate without citizen scrutiny.

    Furthermore, according to the KSN story: “[Morton] says although numbers may say schools receive $12,000 per student, only about $4,000 makes its way to daily student learning.”

    It’s astonishing that of the roughly $12,000 that Kansas schools receive for each student, only $4,000 — according to Morton — makes its way to “daily student learning.”

    May I ask: Where does the other $8,000 go?

    These are the types of questions for which the school efficiency task force may seek answers. The school spending establishment has had its chance, and it has failed to even notice the problem.

  • School choice and funding

    School choice and funding

    Opponents of school choice programs argue the programs harm traditional public schools, both financially and in their ability to serve their remaining students. Evidence does not support this position.

    The prevalent argument is that charter schools and other school choice programs drain funds from public schools. That is, if a public school student chooses to attend a charter or private school, and if the money follows the student to the other school, the public school district loses money that it otherwise would have received. Therefore, the public school district is worse off, and so too are its students.

    A rebuttal is that since a public school has shed the responsibility for schooling the student, its costs should fall correspondingly. This would be true if all the costs of a public school are variable. Some costs are fixed, however, meaning they can’t be adjusted quickly — in the short run, that is. An example is the cost to maintain a classroom. If a school has one less student than the year before, it still requires the same support for utilities. One or several fewer students doesn’t mean that fewer teachers are needed.

    Public schools and their lobbyists, therefore, argue that school choice programs are a financial burden to public schools. Under school choice programs, they say, public schools lose students and their accompanying funding, but the public schools retain their fixed costs.

    The Fiscal Effects of School Choice Programs on Public School Districts (cover)The question, then, is what portion of a school’s costs are variable, meaning costs that schools can adjust quickly, and what portion are fixed, meaning they can’t be adjusted quickly? Benjamin Scafidi, professor of economics at Kennesaw State University, has examined schools looking for the answer to this question. His paper The Fiscal Effects of School Choice Programs on Public School Districts, published by EdChoice (formerly The Friedman Foundation for Educational Choice), holds answers to these questions.

    The first question is this: What is the relation of school choice programs to school districts’ variable costs? Scafidi has endeavored to determine the breakdown between variable and fixed costs in each state. In Kansas, for the 2008 – 2009 school year, total spending per student was $11,441. Of that, Scafidi estimates $3,749, or 32.8 percent, were fixed costs. Variable costs were $7,692, or 67.2 percent. Since then spending has risen, but there’s no reason to think the allocation of costs between fixed and variable has changed materially. For the school year ending in 2015 total spending per student was $13,1241. That implies fixed costs per student of $4,305 and variable costs per student of $8,819.

    Now, how much money would a public school lose if a student chose to attend a school other than the traditional public schools? For Kansas this question is complicated by recent changes in the way public schools are funded. Prior to the school year ending in 2016, Kansas used a school funding formula that started with a figure called “base state aid per pupil.” For 2015 the value was $3,852, and that is the starting point for calculating state spending per student.

    In a recent presentation on this topic, Scafidi said: “Any school choice program where about $8,000 per student or less, on average, follows the child to the school of his or her choice, improves the fiscal situation of the public school district, on average, and students who remain in public schools have more resources available for their education.” Considering only base state aid per pupil, a typical Kansas school district, which has variable costs of $8,819 per student, has its fiscal situation improved when it loses a student and the accompanying $3,852 in state funding.

    Kansas School Finance Formula, from Kansas Policy Institute, August 2014
    Kansas School Finance Formula, from Kansas Policy Institute, August 2014
    Many Kansas students, however, trigger much more funding due to weightings that compensate for the purported higher costs of some situations. The largest weighting in Kansas, based magnitude, is the “at-risk” weighting. It adds 45.6 percent to base state aid. So if a Kansas public school loses such a student and weighting, it loses $5,608 in funding. That is far less than its variable costs of $8,819. State funding for Kansas schools in the school year ending in 2015 was $8,5672 per student, still less than school districts’ variable costs.

    I asked Scafidi what is the dividing line between variable and fixed costs? The answer is that within two or three years, schools should be able to adjust their fixed costs to be in line with their needs. This is in line with the economic and accounting reality that says in the long run, all costs are variable.

    Can school districts adjust their costs quickly in response to changing enrollments? This may be a problem for the very smallest districts, those with just one or two teachers per grade, Scadifi concedes. In his paper, Scafidi illustrates two examples of districts in Georgia with just over 1,000 students making adjustments. In Kansas, there are 286 school districts. Of these, 207 have enrollment of less than 1,000 students, but only 20 percent if the state’s students are in these small districts.

    School districts often dispute the contention that they are able to reduce their variable costs rapidly in response to enrollment changes. Scafidi notes that if school districts say they cannot reduce costs when they lose students, the implication is that all of their costs are fixed. If that is true, then schools should not receive additional funding when enrollment rises. If all their costs truly are fixed, the total cost of running a school district does not change with enrollment — either up or down.

    Going forward in Kansas

    Kansas is in the process of formulating a new school financing method. For the school years ending in 2016 and 2017 the state has used a block grant method, whereby state funding to school districts was frozen at the 2015 level with some increases programmed into the law. Current law anticipates a new funding formula being passed in the 2017 legislative session and applied to the school year ending in 2018.

    One of the most important goals for the new funding method should be transparency and flexibility. The prior school finance formula was criticized as being complex and difficult to understand. For example, in June the Kansas Legislature held a special session in order to increase school funding in response to a decision by the Kansas Supreme Court. But, more than half of the higher funding the Wichita school district received went to property tax reduction, rather than being spent on schools.3 Citizens have trouble understanding how increasing state school funding means a reduction in property tax instead of more teachers or schoolbooks. This illustrates a problem with transparency in the prior funding formula.

    Remaining students

    We have seen that school choice programs do not harm the finances of local school districts. The second question concerns the quality of education for the students who remain in public schools.

    To answer this question, we must recognize the wide variation of teacher efficacy. Some are very good, and some very poor. Further, the difference between good and bad is large. Eric A. Hanushek and others have found that very good teachers routinely produce 1.5 years of gain in achievement during an academic year. Bad teachers produce 0.5 years of gain.4 If a student is unfortunate enough to experience ineffective teachers two or three years in a row, the student may be so far behind as to never catch up.

    What does this have to do with school choice programs? If public schools have to downsize due to students lost for any reason — including school choice programs — this gives public schools an opportunity to shed their least effective teachers. This means that students who remain in public schools have a higher likelihood of experiencing the most effective teachers.

    —
    Notes

    1. Kansas State Department of Education. Total Expenditures by District. Available at www.ksde.org/Agency/Fiscal-and-Administrative-Services/School-Finance/Budget-Information/Total-Expenditures-by-District. ↩
    2. ibid. ↩
    3. Lowry, Brian. Kansas schools will stay open as court OKs funding fix. Wichita Eagle, June 28, 2016. Available at www.kansas.com/news/local/education/article86508017.html. ↩
    4. Hanushek and Rivkin. Teacher Quality. Available here. ↩

  • Kansas Speaker: Schools don’t spend all they have

    Based on choices that many school districts have made in response to legislation giving them flexibility to spend fund balances, Speaker of the Kansas House of Representatives Mike O’Neal questions whether a school funding crisis actually exists.

    O’Neal, a Republican from Hutchinson, addressed members and guests of the Wichita Pachyderm Club at its regular Friday luncheon meeting. He started his talk by giving a quick history of recent Kansas school finances, especially litigation.

    In 2005 there was the Montoy II ruling, which resulted in a special session of the legislature in response to a ruling of the Kansas Supreme Court. O’Neal described this as “nearly a constitutional meltdown,” because the was not a party to the lawsuit, but the Court ordered the Legislature to appropriate a specific amount of money to schools, or schools would close. O’Neal said this was an unconstitutional usurpation of the separation of powers.

    Nonetheless, the Legislature did respond to the Court’s order and agreed to spend as directed.

    O’Neal cited two provisions in the Kansas Constitution that relate to spending and education. One, Article 2, Section 24, states: “No money shall be drawn from the treasury except in pursuance of a specific appropriation made by law.” The other is Article 6, Section 6(b), which reads: “The legislature shall make suitable provision for finance of the educational interests of the state.”

    Before Montoy II, this had been interpreted to require an appropriate and equitable mechanism for distributing available funds be in place. But after Montoy II, the Court interpreted this clause to apply to adequacy, that is, the Court can determine whether enough money is being spent on education.

    O’Neal said there are now two pending amendments to the Kansas Constitution. One would make it clear that the Supreme Court can’t order an appropriation, and the other is a clarification to the “suitable provision” clause. “It’s trying to keep courts out of the business of education and school finance funding, and putting it in the hands of those who are elected and closest to the people,” O’Neal told the audience.

    After this review of school finance litigation, O’Neal switched to the topic of whether schools are underfunded, as is the claim of the education community.

    The claims of the school spending lobby are that the cuts are “devastating,” O’Neal said. But the facts, he said, do not support this contention. Since 2005 schools have enjoyed “a pretty healthy increase in funding.” The cuts that we hear about, he said, are not cuts in the sense that most people would use. Instead, there have been reductions in the amount of annual increases that have been experienced.

    O’Neal said that during the last legislative session he spent a great deal of time investigating the status of school funding. He also said he tried to give schools authority to utilize funds in a way that would help address any funding crisis. He was aided by the Kansas Commissioner of Education, and also the Assistant Commissioner.

    O’Neal said there are about 28 separate funds related to school funding. The Legislature created many of these in an effort to track how appropriated funds are being spent. One — the contingency reserve fund — is generally thought of as the primary reserve fund for schools.

    At the end of 2011, the balance in all funds was $1.7 billion, O’Neal said, emphasizing the “b” in “billion.” He said this is a substantial increase over the prior year. Some of these funds are encumbered or spoken for, he said. In an effort to be fair, an analysis removed items like bond and interest and KPERS obligations. Taking away everything that could be argued as encumbered, O’Neal said there was still $640 million.

    These balances are not distributed evenly across school districts, he added.

    Referring to the 2005 Montoy decision, O’Neal said that the Court said the school finance formula distributed funds equitably, but there was not enough money in the pot. Noting the irony, he said “I would respectfully suggest today, based upon our analysis, that the Court not only got it wrong, but it was completely opposite. Why do we have a situation where some school districts have zero, with very conservative administration and management, and we have other schools districts that are sitting on tons of reserves.”

    Using the Wichita school district as an example, he said the unencumbered balances are $39 million.

    O’Neal asked the Kansas Department of Education this question: “Is this money that should be available to schools, and should they be utilizing that to educate Johnny and Susie?”

    The answer he received was yes: There are funds, other than the contingency reserve fund, that have balances that ought to be available.

    O’Neal said the analysis didn’t consider fund balances only at a particular point in time, but looked at the trend in balances over a period of five years. These balances, he said, are increasing over time, and at a “pretty hefty rate.”

    The balances in some funds — he mentioned special education and at-risk — are growing rapidly. This, he said, is an indication that schools can’t spend all the money the state has sent. “But, it’s a devastating situation nevertheless, according to the education community.”

    In response to recent cuts in Kansas base state aid per pupil funding, O’Neal said in 2011 the Legislature passed a bill giving school districts authority to spend up to $154 million to back-fill losses in base state aid. KNEA — the teachers union — and the Kansas Association of School Boards approved the bill.

    But O’Neal said he was terribly disappointed in the result. Only 77 school districts (Kansas has nearly 300 districts) elected to spend any of the fund balances. The total amount involved was $23.4 million, which O’Neal said was 15 percent of the total authority granted by the Legislature, and a much smaller fraction of the total unencumbered fund balances.

    Based on this, O’Neal questioned whether school funding is really inadequate. He said that schools could use these fund balances to compensate for cuts in base state aid, and could avoid laying off teachers. But many districts chose not to spend fund balances.

    Regarding the ending balances in the Kansas general fund, O’Neal said there will be calls to spend more on education. “My question becomes: If you’re not spending the money you have already, why do you want the state to spend down its reserves, and send you more money that’s likely only to end up increasing some of your ending balances.”

  • Wichita Eagle endorsements deserve scrutiny

    The Wichita Eagle editorial board has made its endorsements for offices in the August 3rd Kansas primary election. Before voters decide whether to rely on these recommendations, they deserve some examination.

    For example, for the Kansas House of Representatives the Eagle endorsed incumbent Republican representative Jo Ann Pottorff for her “balanced voting record.” The Eagle said she was willing to stand apart from the area’s “hard-line conservatives.”

    But an examination of Pottorff’s voting record indicates something other than balance. This year, on the Kansas Economic Freedom Index (a project of this site), her score was 13 percent. That placed her in the tenth percentile of members of the Kansas House on a scale that rewards fiscally conservative votes. It’s a liberal voting record, in other words. We might even say a “hard-line liberal” voting record.

    (If the Eagle was to criticize a liberal, however, it would probably use the softer and preferred term “progressive.” Even liberals try to hide their lineage.)

    Other examples of language that reveals the Wichita Eagle’s bias is in their endorsement of an opponent to current representative Joe McLeland. In its endorsement, the Eagle editorial board wrote: “Unfortunately, he also seemed at times to be a yes-man for GOP leadership and anti-tax think tanks. It was particularly disappointing how McLeland, the chairman of the House Education Budget Committee, parroted misleading information about school budgets during the past session.”

    Why didn’t the Eagle write this about Pottorff: “Unfortunately, she seemed to be a yes-woman for the governor and the anti-economic freedom, big-spending teachers union leadership and school spending advocacy groups”?

    Regarding McLeland, the Eagle is probably referring to the controversy about unspent school fund balances. The Eagle, along with the teachers union and other school spending lobbies, didn’t believe that these balances existed and wrote so in several opinion pieces. The Eagle probably still doesn’t believe these funds exist, notwithstanding the fact that the schools spent the very same fund balances they said didn’t exist and couldn’t be spent: “By using fund balances, schools in Kansas were able to increase spending by an estimated $320 million in the current school year. Revenue to Kansas school districts declined by about $50 million, but $370 in fund balances were used to boost total spending by $320 million.”

    So when the Eagle makes an endorsement based on a factually unsound position, what should voters do?

    In the Republican party primary for Sedgwick County Commission District 4, the Eagle chose Lucy Burtnett over Richard Ranzau, praising Burtnett’s “thoughtful voting record” during her two years as an appointed commissioner.

    In 2006, while campaigning for this same position, Burtnett was reported by the Wichita Eagle to have this reaction to a proposed Sedgwick County property tax increase: “Lucy Burtnett, the current 4th District county commissioner, told 30 people attending a candidate forum at the Northeast Senior Center that none of the commissioners find the increase acceptable.” Part of the purpose of the proposed tax increase was to fund a jail expansion.

    After losing the primary election, Burtnett voted in favor of a tax increase that was somewhat smaller than what the county manager originally proposed. Its purpose, partially, was to fund a jail expansion.

    Two years later — realizing the jail expansion wasn’t necessary after all — the county rolled back part of the tax increase that Burtnett voted for.

    “Thoughtful” voting record, as the Eagle endorsement said? Or thoughtless?

    For Republican Party nomination for United States Congress from the fourth district of Kansas, the Eagle chose Kansas Senator Jean Schodorf.

    Describing her as “not overly ideological or partisan,” the Eagle again overlooks facts.

    Webster’s dictionary gives one definition of ideology as “the integrated assertions, theories and aims that constitute a sociopolitical program.” The Eagle uses this term with a dark connotation, implying that candidates with ideologies are inflexible and unwilling to consider anything other than their own views. Other liberal media outlets use this term in the same way.

    But ideologies cut both ways. And Schodorf hasn’t seen many school spending programs and accompanying taxes that she won’t vote for. This is in spite of evidence that schools had money they weren’t spending, and that all the spending hasn’t done much to improve student outcomes. (The Eagle and Schodorf would have to look beyond the fraudulent Kansas state assessment scores to see that.)

    The view of Schodorf and the Wichita Eagle editorial board is that Kansas public schools are always underfunded, and schools can be fixed only with more money. That’s an ideology, and one that is demonstrably harmful to Kansas schoolchildren.

    This is all the more striking when we consider that Schodorf is chair of the Senate Education Committee. She has been in one of the most powerful positions to do something for Kansas schoolchildren, but she has not done that. So when the Eagle praises her for being “a pragmatist who cares about finding real solutions, not scoring political points,” consider that Kansas has few of the reforms such as charter schools and school choice that are working in other states. These are “real solutions” that the Eagle doesn’t favor. Instead, Schodorf seeks favor and campaign contributions from the teachers union and school spending lobby, earning the “political points” the Eagle editorial board purportedly condemns.

    As for not being partisan, Schodorf simply belongs to the wrong party, if we are to believe that the Republican Party is home to conservative thought and practice. Schodorf’s voting record this year is more liberal — considering the same bills — than that of the presumptive Democratic Party nominee for this position.

    It’s pretty easy to appear non-partisan when your party label is wrong.

    It’s hard to tell, but it appears that the Eagle editorial board gave extra consideration to its Schodorf endorsement because she didn’t run a negative campaign. Regarding Mike Pompeo, the Eagle wrote, after listing his credentials, “It’s too bad he ran such an ugly campaign.”

    That “ugly campaign,” however, can be viewed as simply responding to the allegations and charges made by another candidate. He didn’t attack Schodorf — perhaps he should have — so she, as well as the other candidates, didn’t have to defend themselves.

  • Kansas schools have used funds to increase spending

    Although revenue to Kansas school districts has declined, schools have been able to increase spending by using fund balances. These fund balances have been the subject of controversy, with school spending advocates insisting that they can’t be used in the way that we now see they have been used.

    The controversy over school spending has been played out in the pages of the Wichita Eagle, both on the editorial page and in advertisements placed by public interest groups.

    The group that has placed most of the ads, the Kansas Policy Institute, was mentioned, although not by name, in an Eagle op-ed written by several Wichita-area school superintendents.

    The op-ed states: “This group’s goal is to cast doubt on school funding.” We’ve found, however, that there is plenty of doubt and misinformation about Kansas school funding. A recent poll that KPI commissioned found that very few Kansas residents are well informed about school funding and spending.

    School spending advocates have every motivation to keep the public from learning the facts, as the KPI poll found that when Kansans are presented with the truth about school spending, very few are willing to personally pay more taxes for increased spending on schools.

    As to the controversy over fund balances, a Kansas Watchdog story (Schools Districts Tap Cash Reserves to Increase Spending ) gives more details. (Kansas Watchdog is a project of the Kansas Policy Institute.)

    I spoke with KPI president Dave Trabert about the recent figures released by the Kansas State Department of Education. He said there are several things that Kansans should learn from these figures, the first being that there is good news in these results. Schools have been able to increase spending despite losses in revenue.

    Trabert said that the challenge that schools may have is to find a way to offset half of the loss of federal stimulus funds. In the case of USD 259, the Wichita public school district, that figure is $9.7 million. The recent report from KSDE states that the Wichita district will end the current school year with $14.5 million in its contingency reserve fund.

    Trabert said that the contingency fund provides the funding needed to keep spending at current levels. There is no need to cut anything, including employees. (The Wichita school district recently announced plans to cut 117 employees.)

    While there may be increased costs in some areas that can’t be avoided, districts have options. A bill introduced in the Kansas Legislature would give districts additional flexibility in using fund balances that are not available presently. The bill is HB 2748.

    Even without this bill, Trabert said that school districts can “spend down” fund balances simply by not adding as much to the various funds that school districts have been adding. That’s the other piece of good news: school districts have been spending down the funds that they claim can’t be used.

    By using fund balances, schools in Kansas were able to increase spending by an estimated $320 million in the current school year. Revenue to Kansas school districts declined by about $50 million, but $370 in fund balances were used to boost total spending by $320 million. Trabert verified these figures with Kansas Deputy Education Commissioner Dale Dennis.

    School districts in Kansas also complain that the state is often tardy in making its payments to them. Legislation has been introduced that would require the state to pay on time. The state has the money, Trabert said, noting that if the state truly did not have the funds, we would see plummeting bond ratings for the state. But the state’s policy, as stated in the 2009 Comprehensive Annual Financial Report is “As a cash flow management policy, the State seeks to avoid borrowing from its own idle funds to meet expenditure obligations of the State General Fund.”

    So the money is there, but the state makes a deliberate decision to not pay school districts on time.

    There is still money in funds that can be used for the upcoming school year. Schools should be able to meet their funding needs without asking the state to increase taxes.

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