Teachers Union Says "Stop Blaming the County’s Budget Problems on the School System"

MCEA Press Release: November 29, 2012

Today, the Montgomery County Education Association (MCEA), the union representing more than 12,000 teachers in the Montgomery County Public Schools, called on county elected officials to stop blaming the school system for the County’s budget problems.

According to the County Council’s own recent report (from their Office of Legislative Oversight), the average increase in the MCPS budget over the last decade has been 4.9%. The average increase in the county government budget over the past decade has also been 4.9% (see Table 1 below). How can the school system be blamed for the county’s budget problems if the schools budget has been increasing at the same rate as the county government’s budget?

In fact, about half of that increase in the MCPS budget has come from increased state funding, not from the county government.  The share of the county government’s local revenues going to our schools has actually been decreasing over the past decade (see Table 2 below).

“There is no doubt that the County has been through challenging fiscal times” said MCEA President Doug Prouty, “ but it belies the facts to say that the problem is funding for education”. The national recession has resulted in serious decreases in state and local revenues at the same time that demand for services has been increasing.

The school system has seen an enrollment increase of more than 10,000 students. Almost all of that growth has been among low-income and non-English speaking students who often need more resources to be successful. MCPS has also seen a dramatic increase in the need for special education services to meet the needs of its 17,000+ special education students.

Thankfully, state aid to MCPS has increased. But the reality is that local per-pupil spending – meaning funding approved by the Montgomery County Council – has decreased as a share of the county’s local taxes and revenues. State aid – intended to meet the needs of our growing population of low-income and non-English speaking students – has instead been used to fill the gap created by the decrease in local per-pupil spending.

The County’s local per-pupil spending is now lower than it was before the recession hit – more than six years ago. (See Chart 1 below)

“Our schools are the solution to our fiscal problems, not the cause” said Prouty. “Good schools raise property values and attract high paying jobs”.

Let’s stop blaming the County’s budget problems on the school system. And let’s start talking about how we meet the needs of all our students for the 21st century and close the remaining achievement gaps.

FACT 1: The MCPS Budget has not been increasing any faster than the County Government budget

Table 1: Rate of Growth in County Budgets

from the County Council’s own Report (page 19), October 16, 2012

FACT 2: For the past 10 years, the Montgomery County Government has been allocating a smaller and smaller share of local revenues to our schools

Table 2: Montgomery County’s Local School Funding as a Percent of Local Revenues

FACT 3: The County's local per-pupil spending is now lower than it was six years ago

Chart 1: Montgomery County’s  Local Per-Pupil Spending: 2006 – 2013

Facts Matter

The Washington Post editorial board is entitled to its own opinions but not its own facts.  Their recent  editorial "A lesson in runaway spending" (10-18-12)  ignores the facts to advance the editors’ own agenda.

Buried in the very County Council Report (Table 4-4) that the editorial cites is the straightforward fact that the average annual change in MCPS’ budget over the past decade has been 4.9% and the average annual change in the County Government budget has been --- 4.9%. How can any objective reader blame “runaway spending” in MCPS for the County’s budget woes?

In fact, most of the increase in the school budget has been funded by the state, not by Montgomery County.  The very same report (Table 3-1) reveals that local per-pupil spending by the Montgomery County Council has been cut back to a level lower than it was six years ago – in 2007.

The real question is how long does the Post editorial Board – and most members of the Montgomery County Council – want to freeze local per-pupil spending below 2007 levels? Seven years? Ten years? Fifteen years?

Last Spring, the Council approved a budget increase for non-MCPS spending of 4.7%- more than twice the increase given to MCPS of 2.2%. Had these increases been equal, MCPS could have begun to restore positions cut in previous years. The statement in the editorial that staffing levels were cut for the current school year in order to fund raises is inaccurate- overall hiring is up for the current school year in order to teach the 2,500 new students enrolled for this year.

The Post also repeats the falsehood from the Council report that any increase above the minimum level would be “irreversible”. The legislation passed last year provides for a clearer and faster path to a waiver of the minimum spending requirement, including new criteria providing that a county’s history of exceeding the minimum required spending will now be a factor that must be considered in granting a waiver request.  There is also a provision that if the Executive, Council, and Board of Education agree such a waiver is necessary, as was true in 2010 when the state BOE granted Montgomery County’s request, it is automatic.

Our schools face increasing challenges. The new Common Core standards will raise expectations for all students.  The number of low-income and non-English speaking students, who often need more resources to be successful, is increasing rapidly. MCPS has the highest African-American graduation rate of any major school system in the country, but we have a lot more work to do. Does anyone think we can close the achievement gap if the County continues to freeze local per-pupil spending below 2007 levels?

No one wants to see county services cut. Our children need the health and human services and public safety protections that the county government funds. But this groundless blaming of the school system for the County Government’s budget woes is misguided. It’s about time we worked together to meet the needs of our community and stop this blame game.

Doug Prouty, President, Montgomery County Education Association

State Senator Responds to County Council Attacks on School Funding Law

In response to recent comments by County Council members attacking the Maintenance of Effort school funding law that was fixed last spring by the state legislature, Montgomery County State Senator Nancy King (District 39) has sent a pointed reply to Council President Roger Berliner. To read her full letter, click here. 

BOE passes FY2013 Budget

     Last night the Board of Education officially passed the budget for next school year.  The budget, which falls within the minimum amount of county funding allowed under state's Maintenance of Effort funding law was passed 4-1, with Laura Berthiaume (Dist. 2) casting the lone vote in opposition.  

     Board Member Michael Durso was absent and Board Member Phil Kauffman recused himself from the vote on the MCEA contract because his wife is a teacher and a member of the MCEA bargaining unit. Not only did Mr. Kauffman vote in favor of the other two contracts, he spoke up in support of all three agreements.  In fact, when Ms. Berthiume incorrectly asserted that MCPS employees were getting increases when federal employees were not, it was Mr. Kauffman who corrected this misrepresentation and pointed out that federal employees have actually gotten step increases for the past two years when MCPS employees have had their salaries frozen.

     With this contract, members eligible for a step increase as of July 1 will receive their 2012-13 step. In May 2013, the first make-up step (for the step missed in school year 10-11) will be instituted. Those at the top of the scale who do not receive a step, will receive a 2% increase in their base pay, also effective July 1 2012.

You can read about the proceedings here: http://www.somdnews.com/article/20120614/NEWS/706149748/1022/school-board-member-speaks-out-about-union-contracts-minutes-before&template=gazette

Unfinished Business in Annapolis

Passage of the bill to fix the State's Maintenance of Effort law has been a huge victory for education funding. However the legislature has failed to complete action on the state budget.

This past Monday was supposed to be the final day of the session. But the clock struck midnight before the legislature acted on important components of the budget that would protect state funding for our schools in the coming year. If the legislature fails to reconvene to address this, it will trigger a so-called “doomsday budget” that will mean more than $200 million in cuts to school funding next year. 

Our Advocacy Must Continue

We need one more phone call, email, text, and legislative contact to force the General Assembly and Governor O’Malley to act and ensure the Doomsday budget is not enacted. Send an email with this link, and/or call our legislative hotline at 866-268-MSEA today!

MOE bill emerging in House

After months of work - and behind the scenes discussions - a workgroup in the Maryland House of Delegates has just released a bill designed to fix what the State Board of Education described as the "broken" Maintenance of Effort law. The bill is designed to prevent local counties from unilaterally rebasing their per-pupil spending without seeking a waiver from the State Board of Education.

The text of House Bill 1412 can be found at: http://mlis.state.md.us/2012rs/billfile/HB1412.htm
Click on the link at the bottom of page that says "First Reading".

While MSEA has a few remaining concerns about some provisions in the bill, it is seen as going a long way towards fixing the problem. Not only does the bill require that local counties seek waivers, it also allows local counties to exceed property tax caps in order to meet their Maintenance of Effort school funding obligations.

An article in Southern Maryland Online today describes the bill, as does this Baltimore Sun story. 

Do your part to protect school funding

Why is it so important to prevent a shift of the cost of teacher pensions on to the counties? Why must the broken Maintenance of Effort law be fixed? Watch this video of our members and see why we must work to make this happen. 

What can you do right now? 

1. Attend the Educator Town Hall on Monday, February 27 in Annapolis.
RSVP at https://marylandeducators.wufoo.com/forms/register-for-the-educator-town-hall/

2. Participate in the Statewide Day of Action on Tuesday, February 28. Simply call 866-268-MSEA on Tuesday the 28th. You will hear an automated message and then be connected to the legislative switchboard. Our goal is to get 1,000 calls in to the General Assembly on Tuesday. The number is live now and you can call anytime.

3. Send emails through the Capwiz system. The email message is updated as events demand. The latest information will be made available at the Do Your Part page on the MSEA website at www.marylandeducators.org/doyourpart.

Great Schools=Great Neighborhoods

You’ve seen our signs all over the county. Great Schools = Great Neighborhoods. Read about the importance of protecting school funding here and then you can contact your County Council member and your state legislators to tell them to keep our schools as a top priority and protect school funding.

Statewide Teacher Town Hall 2/27

In partnership with the Marc Steiner Show, MSEA is helping to organize a Teacher Town Hall which will be broadcast live on WEAA 88.9, Delmarva Public Radio, and other outlets. The event will be held at the Governor Calvert House in Annapolis from 5-7 PM on Monday, February 27 and will be moderated by Marc Steiner.

The Town Hall will feature a discussion between educators and a panel of policymakers and elected officials about our schools and priority education issues. It is very important that we fill the room with educators ready to participate and share their stories and viewpoints.

The event should provide for a robust, interesting dialogue and a prime two-hour window when we can communicate our message to legislators and thousands upon thousands of listeners. Please come to the event, and please encourage activists in your school to attend as well. This is a great opportunity, and it’s up to us to make the most of it. Please register to attend the event here: https://marylandeducators.wufoo.com/forms/register-for-the-teacher-town-hall/

Light refreshments and snacks will be served.

Fixing MOE and stopping pension cost "sharing"

This week has seen our fight getting a lot of attention in the media. We know that the broken Maintenance of Effort law must be fixed to ensure proper local funding of our schools and that the state "sharing" the costs of pensions with the counties will strain already thin budgets.

If you missed  MSEA's Sean Johnson on the Marc Steiner show, you can listen here to hear why MOE must be fixed and shifting teacher pension costs is bad policy.http://www.steinershow.org/radio/the-marc-steiner-show/february-2-2012-hour-1

The Maryland Reporter also has a story: http://marylandreporter.com/2012/02/03/education-groups-want-to-strengthen-requirement-for-maintaining-school-funding/

The Baltimore Sun reported on the release of a multi-stakeholder report outlining a comprehensive fix for MOE. You can read the report here.

Continue reaching out to elected officials. Take a few moments to contact the Governor and your legislators and tell them to fix the broken MOE law and to not "share" the cost of pensions with the counties: http://capwiz.com/nea/md/issues/alert/?alertid=60813666 

You can also:

• Text “MSEA” to 66937 to get legislative alerts and actions throughout session
• Call MSEA’s legislative hotline and connect to the General Assembly switchboard.  The hotline is 866-268-MSEA (6732).  Use it, share it, and use it again.  The message will update as circumstances and targets dictate during the session.
• Participate in the February 27 Teacher Town Hall in Annapolis. The Town Hall will be an opportunity for educators from across the state to discuss protecting school funding and other critical issues with elected officials and policymakers. RSVP to participate in the Town Hall, and please share the registration link with your fellow activists.

Shifting teacher pensions jeopardizes education funding

Last week Governor O'Malley discussed plans to shift a portion of the cost of teacher pensions back to the local counties as a way to improve the state budget. Part of the state's argument has been that the pension fund is troubled.

From today's Frederick News-Post:

Teacher pension fund now sustainable

     In its editorial, "Sharing the cost of teacher pensions," The Frederick News-Post states that "many believe" Maryland's pension system is "inarguably unsustainable."

      This conclusion must be challenged in light of last year's legislative session when the pension system underwent major reform. As a result of these reforms, actuaries for the State Retirement and Pension System as well as the General Assembly now project that the system is on a path for sustainability, expected to reach 80 percent funding by fiscal year 2023 and 100 percent funding in fiscal year 2030.

     This was accomplished by increasing state employee contributions to their retirement by 40 percent; reducing benefits for service earned after June 30, 2011; increasing vesting for new employees from five to 10 years; and reducing the annual Cost of Living Adjustment for service earned on and after July 1, 2011.

     To the contrary, the actions of Gov. Martin O'Malley and the General Assembly have provided a state pension system that is sustainable.

R. DEAN KENDERDINE, executive director, Maryland State Retirement and Pension System

Shifting any of the cost of teacher pensions back to the county will do nothing but hurt the counties and their schools systems if the state's broken Maintenance of Effort law is not fixed, ensuring that counties fulfill their obligation to fully fund their school systems. For more information on MOE, go to www.mceanea.org/action/moe.php or www.marylandeducators.org/moe/.

Maintenance of Effort issue getting plenty of notice

One way that the State can help education is to fix the Maintenance of Effort (MOE) law that requires counties to fund education at the same rate as it did the previous year. The law was put in to place so counties would supplement their education budgets when the state increased education funding and not supplant funds that were meant for schools. You can see our background information here.

The Governor, Speaker of the House and President of the Senate have publicly stated that they want to fix the law.

We have had great success in getting press coverage on the statewide MOE push. But we must stay vigilant. Check back often to get the latest news.  Here is this week’s press rundown:

Baltimore Sun: Almost one-third of counties aren’t meeting school funding requirements, state says

Baltimore Sun: Miller, Busch warn counties to maintain school spending

Baltimore Sun: Officials say maintenance of effort needs to be revamped

The Enterprise: Legislators say look to counties to boost school funding

Gazette: For Montgomery school leaders with eyes on Annapolis, money talks

Examiner: Montgomery County delegation seeks money for transit, schools

Patch: Maryland Schools Receive Top Rating, Still Face Obstacles

MDReporter: MD schools get top grade for fourth year in a row, but still not #1 in student achievement

The importance of protecting education funding

As we near the start of Maryland's legislative session, we are reminded of the importance of properly funded schools. Today, NPR ran a story chronicling the school budget struggles in Texas where $4 billion has been cut from education this year and there has been over 12,000 educators and support employees laid off.

This is new for Texas. It's the first time in over 60 year that the state has not come through with it's funding promises. Schools are charging for more than lunches:

"In many school districts across Texas, though, parents are footing the bill for things like bus transportation, field trips, athletics and uniforms."

The Governor, Rick Perry, refuses to use money from the states $5 billion "rainy day fund" to help close the spending gaps. This is having a greater impact on the poor:

"Already, the $4.3 billion in school funding cuts seems to have made the disparity between poor and wealthy school districts worse. A poor district now gets $800 less per student from the state than a wealthy district.More than 300 school districts are now suing. They're hoping the courts will declare the cuts and the school funding formula in Texas unconstitutional."

When we look at situations like this, we see all to well the importance of ensuring full funding for our schools at the state and  county levels. That's why we have a Maintenance of Effort law. To ensure that funding does not decrease and force schools to then cut programs and charge for things they shouldn't have to. 

MCEA to host Town Hall meetings in December

MCEA will be hosting eight Town Hall meetings between December 6 and December 15 and there’s one near where you live or work. State delegates and senators have been invited to the meetings in their district and will be appearing and  answering your questions. Please see the schedule below and click on this link to register:http:// www.surveymonkey.com/s/MCEATownhalls

It is important to have a good turn out so that our elected officials see how important protecting education funding is. For more information, go to: http://www.mceanea.org/action/moe.php

MCEA’s EDUCATION FUNDING TOWN HALL MEETINGS

Tuesday, Dec. 6th                  3:30-5:00pm                Churchill HS               Meet with District 15 delegation

Wednesday, Dec. 7th             3:30-5:00pm                B-CC HS                   Meet with District 16 delegation

Thursday, Dec. 8th                 3:30-5:00pm                Wood MS                  Meet with District 17 delegation

Thursday Dec. 8th                  3:30-5:00pm                Einstein HS                 Meet with District 18 delegation

Monday Dec. 12th                 3:30-5:00pm                Blair HS                      Meet with District 20 delegation

Tuesday Dec. 13th                 3:30-5:00pm                Seneca Valley HS       Meet with District 39 delegation

Wednesday Dec. 14th            3:30-5:00pm                Kennedy HS               Meet with District 19 delegation

Thursday Dec. 15th                3:30-5:00pm                Sherwood HS             Meet with District 14 delegation