Archive for Thursday, July 2, 2009

Public schools, higher education face more cuts in Kansas budget

Governor cuts schools, higher ed by 2 percent

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Public schools and higher education were cut 2 percent by Gov. Mark Parkinson on Thursday as part of a $160 million budget-reduction plan.

July 2, 2009, 11:34 a.m. Updated July 2, 2009, 4:58 p.m.

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Parkinson details Kansas budget outlook

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Kansas Governor Mark Parkinson discussed Thursday the state's dire budget situation. Enlarge video

— Public schools and higher education were cut 2 percent by Gov. Mark Parkinson on Thursday as part of a $160 million plan to balance the state budget amid falling tax revenues.

“My plan is a responsible reaction to the current struggles we face,” Parkinson said at a news conference.

He said his cuts will spare human services and most of public safety.

But that left essentially a 2-percent cut to most of the rest of state finances, which have already suffered several rounds of budget cuts.

The newest cut in general state aid to schools will total $39.1 million, while higher education will take a $15.3 million hit, including an estimated $2.77 million at Kansas University’s Lawrence campus, and $2.24 million at the KU Medical Center.

In addition, the Kansas Department of Transportation will cut $30 million in road maintenance over the next year.

The package also included some revenue adjustments, such as an increase in federal funds because of the state’s increasing unemployment rate.

In addition, Parkinson said he will seek approval from legislative leaders on Monday to issue $700 million in certificates of indebtedness, basically using state government reserve funds to pay for tax refunds and school payments that have been held up in recent days.

Parkinson said if state revenues don’t recover over the next year, a tax increase may be needed.

“We need our revenues to stabilize over the next 12 months. If they don’t stabilize in the next 12 months, we’re going to have to put a lot of other options on the table and among those options would be revenue enhancements,” he said.

Parkinson said there were some programs he simply wasn’t willing to cut anymore.

Kathy Cook, executive director of Kansas Families for Education, was more direct.

She blamed the Legislature for passing tax cuts when it should have been investing more in education. “Eating your seed corn fills your belly today but guarantees you will starve tomorrow,” she said.

Prior to Parkinson’s announcement, House Republican leaders issued a blistering news release blaming Democrats for overspending in the budget. That budget was also supported by moderate Republicans.

“Everyone knew the shortfalls were coming, but the Democrats in the Legislature felt it was politically expedient to avoid making critical votes to tame the state budget,” said House Speaker Mike O’Neal, R-Hutchinson.

Parkinson, a Democrat, said the criticism was off base. Because of sinking revenue, even a House Republican leadership-backed budget proposal during the recent legislative session would have ended up in the red, he said.

Having already dealt with several rounds of budget cuts during the legislative session, education advocates seemed resigned to the fact that the worsening budget situation was falling on them.

“Unfortunately, this year’s cuts have undone several years of budgetary progress by essentially taking higher education back to 2006 funding levels,” said Kansas Board of Regents Chairwoman Jill Docking.

The state’s higher education budget has been cut 12 percent, or $100 million this year, the regents said.

Barbara Atkinson, Kansas University’s interim chancellor, said that KU stood ready to help with the existing budget crisis.

“We certainly want to do what we need to do and what we can do to help the state and everybody that needs services from the state get through this difficult time,” Atkinson said.

However, she said the cuts are beginning to hit the bone.

KU recently received approval to increase tuition for many students by 6 percent, and increase the four-year-compact rate for incoming freshmen by 7 percent. Officials said the increases were needed in part to help deal with expected cuts.

Atkinson said she would be meeting with faculty on both campuses soon to determine how best to move forward.

A budget forum has been scheduled for noon Wednesday at Alderson Auditorium in the Kansas Union for the KU community to attend, and more details will be revealed at that time, she said.

The 2-percent cut to public schools will hurt, said Mark Tallman, with the Kansas Association of School Boards. Schools had already been cut $124 million.

“The concern, of course, is that we’ve made so much progress in recent years with additional funding, but when you take away those dollars we firmly believe in the long run it’s going to have an impact on student achievement, and an impact on student achievement is going to have an impact on the long-term economic future of this state,” Tallman said.

Parkinson said he realized the cuts were unpleasant, but he said he was confident the state would rebound.

“We understand the pain that is out there, but I continue steadfast in my optimism,” he said. “I am 100 percent sure that we will come out of this recession and when we come out of it we will be better and stronger than we were before.”