Due Process, Health Care and EDUCATION CUTS!

Feb 8, 2017 by

Hearing Set on Due Process Bill

Rep. Clay Aurand, Chair of the House Education Committee, has announced that a hearing has been scheduled for HB 2179 which would restore due process protections for Kansas teachers who have completed a probationary period. The bill re-enacts the law as it was prior to repeal in 2014.

Due process was repealed in 2014 without ever having been introduced as a bill and without any public announcement or hearing. The repeal was enacted after midnight as a floor amendment to a must-pass school funding bill. With it attached to the finance bill, the bill was unable to receive the needed 63 votes to pass until House leadership enacted a call of the House under which members are locked in the chamber indefinitely. Eventually – about 4:00 am as we recall – a 63rd vote was gained through pressure and exhaustion.

HB 2179 has 45 legislative co-sponsors from both parties. We look forward to a fair hearing and having a vote on the bill in committee next week.


LPA Study on Health Benefit Consolidation

The Division of Legislative Post Audit today released their study on the feasibility of consolidating school district health benefit plans into one mega-plan similar to the State Employee Health Plan (SEHP). The idea was raised as a possible cost saver in the Alvarez and Marsal efficiency study. They suggested a savings of about $80 million per year. Finding himself short of cash in setting a budget, Governor Brownback leapt on the idea and called for this to happen by January 1, 2018.

Unfortunately for the Governor, the LPA indicates that even if they decided to move forward, it could not be done so as to gain any savings in 2018.

Beyond that, the savings are lower in the LPA study. They suggest perhaps $38 million in efficiency savings and another $25 million by shifting costs onto employees. What they did was look at what happens if you put school employees in a plan modeled on the SEHP. Doing this would significantly reduce benefits for school employees by raising deductibles, increasing co-pays, and increasing the out-of-pocket maximum per year. The state would then “claw back” those savings leaving school districts with less budget authority. The savings garnered by reducing benefits would not go to the employees as pay raises but to the state general fund presumably to shore up Brownback’s reckless tax cut program.

Passage of a plan to make this consolidation happen is basically a cut to school employee compensation across Kansas by $25 million.

There will be a hearing on a bill to enact the consolidation on Monday. KNEA will be there to oppose the bill.

CLICK HERE to read the full LPA report.

CLICK HERE to read the healthcare report highlights.


Senate Voting Tomorrow to Cut Education, Pass Inadequate Tax plan

The full Senate will convene tomorrow to vote on two bills. Senate Bill 27 would cut education funding by $154 million – $128 million from K-12 and another $23 million from higher education.

Their tax bill, SB 147, would raise income tax rates for all Kansans, repeal the low-income tax exemption for those earning less than $12,000/year, and repeal the LLC loophole but does nothing to end the glide path to zero which is the root of future revenue declines. There is much debate about what it would raise – perhaps $280 million in 2018.

The problem with this bill is that it does not go nearly far enough in solving the revenue crisis facing Kansas. The budget holes Kansas now faces in 2017 and beyond are enormous. Most analysts believe the state will need to raise at least $580 million just to break even and not accounting for any pending decision in the Gannon school finance lawsuit.

Kansas NEA has released a statement along with USA/KS, KASB, KSSA, and others calling on the Senate to vote NO on SB 27 and to send SB 147 back to committee for more work.

CLICK HERE to email your Senator.

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Taxes, Cuts, and Revenue

Feb 8, 2017 by

Post Highlights

  • Senate unveils two-pronged strategy to restore a portion of state revenue.
  • Tax bill SB 147 does not solve shortfall and fails to address long-term problems.
  • SB 27 is a bill to cut funding to K-12 and Regents institutions to grab another chunk of revenue to fill the Governor’s revenue hole.
  • Full senate to convene on Thursday to debate both bills.
  • Rise Up Kansas plan gets committee hearing today.
  • KNEA joined 13 proponents from various organizations to support the bill.
  • 5 groups opposed the bill including Americans for Prosperity, Kansas Policy Institute and Kansas Chamber of Commerce among others.

 

The Senate has crafted a two-pronged plan, approved by Senate President Susan Wagle, that includes a tax bill which seeks to increase revenue (SB 147) and a bill which cuts funding to K-12 education and higher ed Regents institutions (SB 27).

The tax bill (SB 147) would raise approximately $280 million in new revenue. Unfortunately, the Brownback-created revenue hole is so deep, this plan is far short of what is needed to reverse the tax cuts of 2012 and 2013. Additionally, SB 147 is not a comprehensive, long-term solution.

The funding-cut bill would reduce spending in FY 2017 by $154 million. Most of the reduction would come after taking $128 million from K-12 education with another $23 million from Regents institutions. Overall, this plan cuts K-12 education by 5%, higher education by 3%, and the Schools for the Deaf and Blind by 1%.

The leadership of the Senate plans to convene the full Senate at 8:00 am on Thursday and work both bills.

We oppose the tax bill because it does not fully address the disaster brought on by the Brownback cuts. Passing this plan, even coupled with cuts, would require the legislature to address continuing shortfalls going forward with more tax increase votes likely. We support a comprehensive tax plan that restores funding such that vital state services can be adequately funded.

We also oppose the draconian cuts to K-12 education and higher education. When the Governor is challenging higher education institutions to provide a $15,000 undergraduate degree, it is counterproductive to cut state funding for our colleges and universities. As for the K-12 cuts, any cuts run counter to common sense as we await the decision on adequacy by the Kansas Supreme Court.

We are pleased to see that the House Taxation Committee appears to be on a more rational path, examining a proposal to raise enough money to restore fiscal stability to Kansas.

We urge the Senate to amend the tax bill to include a comprehensive solution or send SB147 back to Committee. While the tax bill is a move in the right direction, it falls far short of what is necessary to put Kansas back on sound financial footing. We urge the senate to vote no on SB 27, the “cuts bill.”

We believe that both chambers need to develop comprehensive tax policy bills that provide for the restoration of funding necessary for vital state services. We do not wish to be in a position to consider still more cuts and more tax increases indefinitely into the future.


Rise Up Plan Gets Hearing!

The Rise Up tax reform plan supported by KNEA, Kansas Action for Children (KAC), AFT/KOSE, the Kansas Contractors Association, the Kansas Center for Economic Growth (KCEG) and others got its day in Committee today.

The first proponent of the plan was Duane Goosen, the former budget director for Governors Graves, Sebelius, and Parkinson. Other proponents included KCEG Executive Director Heidi Holliday, Wesley McCain of Healthy Communities Wyandotte, KAC President Annie McKay, Christina Ostmeyer of Kansas Appleseed Center for Law & Justice, Scott Englemeyer of the Kansas Association of Community Action Programs, Rob Gilligan of KASB, Bob Totten of the Kansas Contractors Association, Reverend Sarah Oglesby-Dunegan of the Kansas Interfaith Alliance, KNEA’s Mark Desetti, AFT/KOSE Executive Director Rebecca Proctor, Ashley Jones-Wisner of Healthy Kids Kansas, and Scott Anderson of Hamm Companies (highway construction firm).

Opponents kicked off their arguments with Dave Trabert, anti-government zealot with the Kansas Policy Institute, Jeff Glendening with Americans for Prosperity, Tom Palace with Independent Petroleum Marketers, Tom Whitaker of Kansas Motorcarriers Association (opposing only motor fuel tax increase), Eric Stafford of Kansas Chamber of Commerce.

One neutral conferee from Kansas Association of Counties.

13 proponents to 5 opponents (where 1 opponent only opposes the motor fuel tax).

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