Hopes for more education funding could extend session

? Republican legislative leaders backed away Wednesday from earlier suggestions that approving a $66 million compromise school funding package is the last chance to increase education spending this session.

House Speaker Doug Mays said some legislators remain willing to extend the 2004 session, holding firm to their insistence that an education funding package be closer to the $155 million his chamber approved in March.

“If people are determined to stay and continue, then we’ll stay and continue,” said Mays, R-Topeka.

The $66 million compromise, agreed to Tuesday by House and Senate negotiators, relies on state cash reserves and delayed payments to the state employee pension plan to fund the increase. But it would also put the state into debt at the end of the 2006 fiscal year.

Senate President Dave Kerr, R-Hutchinson, said Wednesday’s debate on the plan would occur once “the decks were cleared” of other issues.

During an interview with The Associated Press, Gov. Kathleen Sebelius said she dislikes the compromise or any plan that creates state budget problems. She said Wednesday was only the 86th day of a 90-day session.

“This is the focus. This is the job they had to do coming in, and it still is not done,” Sebelius said.

As written, the $66 million compromise would leave the state with a projected negative ending balance in fiscal year 2006 of more than $100 million. Sebelius said that scenario would force cuts in other state programs or a step back next year in education spending. The Kansas Constitution does not allow the state to run a deficit.

House Education Chairwoman Kathe Decker said negotiators were quickly running out of options in a climate where legislators have entrenched themselves.

“It’s all or nothing. That’s pretty much it,” said Decker, R-Clay Center.

The $66 million compromise leaves a state ending balance of about $81 million at the end of the 2005 fiscal year. It also would give 16 districts with high home prices the authority to raise local property taxes to give teachers more money to compensate for housing costs.

Democrats negotiating the agreement found trouble with the use of the state’s cash reserves and retirement funds.

“I think it is very ill-advised for the Legislature to fund schools in this manner,” said Senate Minority Leader Anthony Hensley, D-Topeka.

However, Sen. John Vratil, R-Leawood, rejected the notion it was a raid on pension funds, adding: “It’s a loan.”

Realizing that Sebelius opposes the compromise, negotiators put the spending portions of the package in the final budget bill of the session, leaving the education components in a separate bill. Doing so keeps Sebelius from using her line-item veto power to delete objectionable provisions, such as the one for local property taxes.

“I don’t want to leave my flank open to a veto,” Vratil said.

Much of Tuesday’s negotiations focused on provisions drafted by Rep. Mike O’Neal dealing with the state’s definition of a suitable education. The definition directs school districts to dedicate state funds to providing an education in certain curriculums and disciplines, including reading, writing, math and history.

“It’s a legal presumption,” said O’Neal, R-Hutchinson, adding that it would give the courts a point of reference to ensure that Kansas schools are spending resources on areas intended by legislators.

He said the provision doesn’t change how funding is allocated by the Kansas State Department of Education, but does send a clear message to schools that certain obligations must be satisfied first.

Senators initially objected, but eventually agreed the suitable definition would be for one year, with further legislative review.

Vratil said though he liked the policy, the definition lacked enforcement, noting that schools may choose to ignore it.

“School districts would be foolish to think this will go away,” he said. “If they think this will go away, they make that assumption at their own risk.”

The compromise also includes several items that would provide tuition assistance to families of members of the active duty military and the Kansas National Guard, part of a package of bills to strengthen retention and recruitment.