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MNEA Legislative Update

By Otto Fajen
MNEA Legislative Director

Number 14
April 16, 2009

SENATE PASSES ELEMENTARY AND SECONDARY EDUCATION BUDGET BILL
The Senate gave final approval to its version of the elementary and secondary education budget bill, Senate Substitute for Senate Committee Substitute for House Committee Substitute for House Bill 2 (Allen Icet) on Apr. 14. It now returns to the House and will be sent to budget conference. In conference, a committee of five members from each chamber will meet to negotiate an agreement on how to resolve the differences in the House and Senate positions on budget items where the versions differ. Final action on all operating budget bills must be completed by May 8.

Overall, the Senate position on H.B. 2 increases total appropriations by about 1.5 percent, mainly due to the new Prop A gambling revenues. General Revenue funding in H.B. 2 is reduced by over 19 percent ($574 million), and this funding is largely supplanted by a similar amount of federal stabilization funding. Of that federal stabilization funding, $500 million goes to the equity formula, $37.5 million goes to Career Ladder, $20 million goes to transportation reimbursement aid, $5.3 million for the Rebuild Missouri Schools Program, $1 million for equipment for state-operated schools, $1 million for eMINTS, $750,000 for intra-district transportation in St. Louis City and $200,000 for assessment of public charter schools.

The Senate position restores the governor’s recommendation of $10 million in state funding for professional development. While even the $10 million level represents a significant cut from the current year level of $15 million and the $20 million level last year, the Senate position sets the upper limit for professional development funding when the issue is debated in budget conference.

New language in the Senate version imposes an itemized funding amount for each program within the professional development appropriation even to the level of specifying, for example, that each of the Regional Professional Development Centers will receive $219,230 in state funding next school year. Notable among the valuable programs no longer in the appropriation is funding to support teachers seeking National Board Certification from the NBPTS.

The MNEA appreciates the support of the Senate Appropriations Committee to restore state professional development funding and will need to work to support the Senate position and maintain the $10 million investment in professional development when H.B. 2 goes to conference within the next few weeks.

On other key funding items, the House’s 10 percent cut of $3.43 million from Parents as Teachers funding was retained by the Senate, assuring that the loss of PAT funding will occur next year. Also, the entire $3.37 million in Safe Schools funding was eliminated.

HIGHER EDUCATION BUDGET BILL
The Senate gave final approval to its version of the higher education budget bill, Senate Substitute for Senate Committee Substitute for House Committee Substitute for House Bill 3 (Allen Icet) on Apr. 14. It increases total funding by about $69 million by adding about $176 million in federal stabilization funds while reducing General Revenue by about $107 million. Following is how the federal stabilization funds will be used: $105 million to supplant General Revenue core funding for the various community colleges and four-year public institutions around the state; $60 million for one-time capital improvement funding for community colleges, Linn State Technical College and four-year institutions; $6.55 million to fund the operation of the Mid-Missouri Mental Health Center which is being taken over by University Hospital and Clinics; and, $3.3 million to MORENet for one-time equipment expenses.

NO TAX JUSTICE IN “FAIR” TAX
The House gave first round approval (perfection vote) to House Committee Substitute for House Joint Resolution 36 (Ed Emery) on Apr. 14. It was given final approval (Third Reading vote) on Apr. 16 by a vote of 90-65. The HCS eliminates the state income tax and replaces it with a state sales tax. The state needs a fair, adequate and sustainable tax policy to fund investment in public schools and other vital services. However, the joint resolution would make Missouri’s tax code profoundly less fair, less adequate and less sustainable.

The resolution is supposed to be revenue neutral in the aggregate, but it will shift taxes from wealthier taxpayers to the working poor and middle class. Also, based on figures from the state tax expenditure report, the specified new sales tax rate of 5.11 percent would fall at least $1.5 billion short of replacing the roughly $6 billion in state income tax eliminated by the joint resolution, and a higher sales tax rate will be needed. Missouri NEA strongly opposes this type of regressive tax change that will keep Missouri from obtaining the revenue it needs to invest in public schools, public higher education and other vital public services like healthcare.

PROPERTY TAX FREEZE
The Senate Governmental Accountability and Fiscal Oversight Committee heard Senate Joint Resolution 18 (Jane Cunningham) on Apr. 16. It limits increases in assessed value for real property to two percent every two years (after reassessment) until such time as the property is sold. Missouri NEA opposes the joint resolution. After the hearing, the bill was defeated in committee by a vote of 3-4. Sens. Rita Days, Kurt Schaefer, Wes Shoemyer and Bill Stouffer voted against the SJR, while Sens. Brad Lager, Jim Lembke and Chuck Purgason voted in favor.

This scheme is akin to California’s problematic “Prop 13” limitation that is currently wreaking havoc on city and county funding due to declining home assessment values that will not recover for a generation, even if housing market values recover. Missouri already provides an income tax credit for low-income seniors based on homestead rental or property taxes paid and a separate property tax homestead exemption. A third option is to allow property tax increases to accumulate as a lien against the value of a house and have the state reimburse local governments for the lost revenues.

SCHOOL FUNDING
The Senate gave final approval (Third Reading vote) to Senate Committee Substitute for Senate Bills 453 & 24 (Rob Mayer and Victor Callahan) on Apr. 16. It revises the use of the Proposition A gambling revenues. The bill moves the funding out of the “state adequacy target,” the per pupil amount in the formula, and uses it to fund removing the five percent per year revenue growth cap on “performance district” revenues and adds in a 25 percent pupil weight in the formula for gifted students. The bill also runs all gambling funds through the existing Classroom Trust Fund while ensuring that any increases over next school year’s CTF amount will go to school operating funds, not capital projects. The MNEA supports the bill’s improvements to the state school funding formula that will help improve adequacy of funding for our students.

HOUSE COMMITTEE HEARS SENATE OMNIBUS EDUCATION BILL
The House Elementary and Secondary Education Committee heard the Senate’s omnibus education bill: Senate Substitute for Senate Committee Substitute for Senate Bill 291 (Charlie Shields) on Apr. 15. The original bill allows school districts to offer virtual courses to resident students and count the courses for formula aid purposes. It includes many other provisions affecting school funding, school governance and transition, early childhood, teaching standards, school records, special education, charter schools, open enrollment, school facilities, school activities, physical education, alternative certification for finance teachers, volunteering, mentoring and performance pay schemes.

The MNEA supports the original bill, the school funding provisions and many other provisions in the bill including provisions on teaching standards, school records, dropout prevention, charter schools and continuity of education for children in foster care. However, concerns remain regarding the alternative teacher certification for finance teachers, the performance pay scheme, open enrollment for foster students, physical education mandates, use of seclusion for special education students and the school activities provisions. The Association will work on the House side to make sure these concerns are addressed or to have the problematic provisions removed from the bill.

The House committee will likely consider and add other provisions to S.B. 291 in executive session on Apr. 22. Some possible amendments include: improvements to the Small School Grants program, a fuel tax exemption for school buses, the optional four-day school calendar, school retirement “cleanup” provisions and the tax rate “fix” for last year’s S.B. 711 (Michael Gibbons) to ensure school districts and other taxing entities can continue to levy the rate previously authorized in 1984 prior to the major reassessment at that time if that is the district’s highest previously-voted levy.

SENATE EDUCATION COMMITTEE
The Senate Education Committee met on Apr. 15 to hear and vote on the following consent House Bills:

1. H.B. 236 (Scott Lipke) requires school districts to adopt policies to allow students with a disability to participate in graduation ceremonies with their graduating class. A Senate Committee Substitute version of the bill was voted “do pass” as a consent bill.

2. H.B. 289 (Maynard Wallace) modifies provisions relating to special education due process hearings. The bill was voted “do pass” as a consent bill.

3. H.B. 373 (Maynard Wallace) creates the General Educational Development Revolving Fund for the payment and expenses related to GED test administration. A Senate Committee Substitute version of the bill was voted “do pass” as a consent bill. The SCS version adds the Public School Retirement System and the Public Education Employee Retirement System cleanup provisions contained in Senate Committee Substitute for House Bill 265.

4. H.B. 488 (Rodney Schad) allows the State Board of Education to postpone the date on which an unaccredited school district will lapse. The bill also broadens the purpose of the accreditation hearing, and allows continued governance of a lapsed district by its existing local school board under conditions established by the state board. A Senate Committee Substitute version of the bill was voted “do pass” as a consent bill.

5. H.B. 490 (Rodney Schad) corrects a technical error from last session regarding requirements for public career-technical schools to participate in the A+ Schools Program. The MNEA supports the bill. The bill was voted “do pass” as a consent bill.

6. H.B. 506 (Doug Funderburk) requires the governor to issue an annual proclamation designating the third week of March as “Math, Engineering, Technology and Science Week.” A Senate Committee Substitute version of the bill was voted “do pass” as a consent bill.

7. H.B. 659 (Gary Dusenberg) allows the State Board of Education to establish a structure for moving away from an unelected, administrative board that is governing a lapsed school district and back to an elected board over time by electing new board members. A Senate Committee Substitute version of the bill was voted “do pass” as a consent bill.

8. H.B. 682 (Terry Swinger) creates an exception for the 2008-2009 school year for the number of school days to be made up due to inclement weather. The MNEA supports the bill. The bill was voted “do pass” as a consent bill.

9. H.B. 922 (Joe Smith) requires each school district to adopt a policy on allergy prevention and response. A Senate Committee Substitute version of the bill was voted “do pass” as a consent bill.

QUALITY RATING SYSTEM FOR EARLY CHILD CARE
The House began debate on House Bill 387 (Robert Wayne Cooper) on Apr. 15 but did not bring the bill to a vote. It establishes a quality rating system for child care facilities. Missouri NEA strongly supports this effort to evaluate programs and provide parents with information that will improve the quality of early child care and education programs across the state.

HEALTHCARE ACCESS
The Senate gave final approval (Third Reading vote) to Senate Substitute for Senate Bill 306 (Tom Dempsey) on Apr. 16. It establishes the Show-Me Health Coverage plan within the Department of Social Services to provide health care coverage through the private insurance market to low-income working individuals in the state. The maximum enrollment of plan participants is subject to appropriations. Under the plan, a health care account is established for each individual and payments for his or her participation can be made by the individual, an employer, the state, any philanthropic or other charitable contributor. An individual’s health care account shall be used to pay the individual’s deductible for health care services under the plan.

Missouri NEA supports the bill. The Association supports universal health care for all students, staff and all other Missourians as a basic right. The private insurance market and employer-provided insurance is the main option for many Missourians who currently have health care coverage and will be a significant part of the ultimate solution to health care coverage for all Missourians. Reforms to health care should be guided by the goals of universal coverage, minimizing employer impact and ensuring that all parts of the health care provider system are accountable for making health care better, safer and less costly.

RETIREMENT
The Senate gave final approval (Third Reading vote) to Senate Committee Substitute for Senate Bill 383 (Tom Dempsey) on Apr. 16. It establishes the Joint Interim Committee on the Public School Retirement System of Missouri to function during the legislative interim. The Joint Interim Committee will study issues such as contribution rates by employers and members, long-term solvency of the Public School Retirement System of Missouri and issues affecting other state retirement systems that may similarly impact PSRS.

WORKPLACE DISCRIMINATION
The Senate Jobs, Economic Development and Local Government Committee heard House Committee Substitute for House Bill 481 (Timothy Jones). It bans punitive damages on unlawful workplace discrimination claims against public employers and extends that ban to similar claims against the employer’s officer or employee. The MNEA opposes the bill. The bill will undermine accountability for unfair, discriminatory treatment of employees in the workplace. Such unfair treatment can create a hostile or unpleasant work environment for an employee without creating sufficient financial loss to make recovery by lawsuit a viable option if punitive damages are not an option for the court. Missouri NEA believes that unfair, discriminatory treatment in the workplace should remain unlawful, and that the law should maintain an effective process by which those who commit such acts may be held accountable and future acts may be effectively deterred.

SCHOOL NUTRITION
The House Health Care Policy Committee heard two House bills relating to school nutrition on Apr. 15:

1. H.B. 900 (Steve Brown) requires school meals to derive no more than 30 percent of their calories from fat and to limit saturated fat to less than 10 percent of the calories as measured over the school day.

2. H.B. 901 (Steve Brown) establishes minimum nutritional standards for food and beverages sold or provided to students during the school day.

The MNEA supports both bills as efforts to ensure that public school programs provide students with well-balanced meals and nutritious food choices so that they are able to stay healthy and succeed in school.

PUPIL TRANSFERS
The House gave first round approval (perfection vote) to House Committee Substitute for House Bill 217 (Ted Hoskins) on Apr. 15. The House gave final approval (Third Reading vote) to the bill on Apr. 16 by a vote of 88-64. It requires accredited school districts to specify the reason for rejection of transfer requests from nonresident students from adjoining, unaccredited districts. Also, the bill provides that the State Board of Education shall hear appeals of such decision but does not specify the criteria by which such appeals would be reviewed or decided.

KANSAS CITY SCHOOL BOARD ELECTIONS
The House Elections Committee heard Senate Committee Substitute for Senate Bill 253 (Jolie Justus) on Apr. 16. It provides that vacancies on the Kansas City Missouri School District Board of Directors shall be filled by special election, rather than by appointment by the remaining members of the board.

EDUCATION OF FOSTER CHILDREN
The House Children and Families Committee heard Senate Committee Substitute for Senate Bill 96 (Jolie Justus) on Apr. 15. It establishes the Foster Care Education Bill of Rights Act. Missouri NEA supports the intent of S.B. 96 in improving continuity of placement and school district involvement in the planning of educational service for foster care students. It was heard as a consent bill, but was not voted out by the committee due to controversy over a proposed House Committee Substitute which will add other provisions to the bill. The committee adjourned without voting on the bill. Under House rules, the bill can no longer be a consent bill because Apr. 15 was the last day for a Senate consent bills to be voted out and placed on the consent calendar.

CAPITOL ACTION DAYS
MNEA Capitol Action Days allow planned, face-to-face contact with legislators throughout the legislative session. Capitol Action Days continued on Apr. 15 when nine members from Governance Districts 6 and 9 visited the Capitol. Capitol Action Days will generally be on Wednesdays and will continue through the first week of May. Your MNEA calendar includes the dates MNEA Board members selected for your governance district. If you are not able to attend on these designated days, feel free to contact MNEA Legislative Director Otto Fajen at otto.fajen@mnea.org to let him know when you can attend on another Capitol Action Day.

Typical Capitol Action Day agenda:
10:00 a.m. Meet for briefing, 2nd floor Capitol rotunda, Senate side alcove under the grand staircase
10:15 a.m. Visit with your legislator/watch floor debate
12:00 noon Invite legislator to lunch
1:00-4:30 p.m. Committee hearings, floor debate, visiting legislators


Legislative Update 2009
Missouri National Education Association
1810 East Elm Street
Jefferson City, MO 65101-4174
(573) 634-3202 or (800) 392-0236

Chris Guinther , President
Ben Simmons, Executive Director
DeeAnn Aull, Director of Programs and P.R.
Leila Medley, Political Director
Otto Fajen, Legislative Director
Judy Glover, Secretary

 

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