Category Archives: taxes

Governor Corbett’s 2012-13 Budget Proposal

Here we go again.

If you haven’t heard the news already, this morning Gov. Corbett launched, er, presented his budget proposal for the upcoming fiscal year. Unsurprisingly, PASSHE is once again in his crosshairs.

Corbett proposed a cut of 20%, or about $86 million, for PA state universities. That’s after a cut of 18% last year (which we fought like hell to reduce from his original proposal of cutting over 50%), and a mid-school-year request from his office to freeze 5% of last year’s already reduced allocation.

Here’s the official response from State APSCUF, posted just a few minutes ago on that blog:

GOVERNOR CORBETT’S BUDGET CUTS TO PUBLIC HIGHER EDUCATION JEOPARDIZE PENNSYLVANIA’S FUTURE
Funding for state-owned universities is necessary to ensure that Pennsylvania students have the opportunity to go to college.

HARRISBURG – Today Governor Tom Corbett revealed his FY 2012-13 state budget proposal, which cuts funding for Pennsylvania’s 14 state-owned universities by 20 percent, or $82.5 million. The president of the association representing 6,000 faculty members and coaches at the State System of Higher Education (PASSHE) institutions expressed dismay that the governor has once again attempted to balance the budget on the backs of students and their working families.

The governor’s proposed budget allocates $330 million to PASSHE, a loss of almost $175 million since Corbett took office. His budget proposal comes just one month after he requested that the State System freeze five percent of last year’s appropriation.

“Since taking office, Governor Corbett has taken every opportunity to decrease funding for our universities,” said Dr. Steve Hicks, president of APSCUF. “We understand that these are challenging economic times, but our students and their families are already struggling to make ends meet. Additional budget cuts are going to put the college dream out of reach for many Pennsylvanians.”

In June, Governor Corbett signed a budget that reduced funding for PASSHE by 18 percent.

As a result, PASSHE was forced to raise tuition 7.5 percent.

“PASSHE has a state-mandated mission to provide accessible, affordable, ‘high quality education at the lowest possible cost to students.’ Our universities cannot continue to meet these goals without critical state support,” Dr. Hicks stated. “The governor’s proposal puts current funding for the State System below 1989-90 levels. This short-sighted budget fix will have a lasting impact on the future of the Commonwealth.”

“Our campus communities must stand together for quality education,” Hicks said. “I urge the legislature to reaffirm the promise of affordable higher education for the working families of Pennsylvania.”

The governor’s budget proposal includes cuts to higher education totaling $265.4 million. In addition to the State System reduction, three of the four state-related universities will see cuts totaling $146.9 million, community colleges, $8.8 million, and the Pennsylvania Higher Education Assistance Agency, $27.2 million.

For understandable reasons, State APSCUF’s response is somewhat restrained in its tone. And if what I’m about to say seems unrestrained, you should see what it looked like when I first wrote it.

Understand the context:  these proposed cuts coincide with the Governor’s firm refusal to tax gas extraction companies that are volunteering to pay taxes as they begin fracking up our state; I’m not advocating fracking, but it’s doubly outrageous for the Governor to want it both ways. He can’t just let his fracking friends destroy the state and not pay a penny in taxes for doing it.  The cuts further coincide with the Governor’s refusal to make businesses and wealthy residents pay their fair share of the operating costs of our state, even as many of those businesses are benefiting from state contracts (read: taxpayer dollars), from the squeezing of public services, and so on. None of this is news.

I understand other states, especially California, have faced bigger cuts to public higher ed budgets, and other states (WI, OH, FL, MI, TX) have Governors who are more drooling, insane whackjobs.

Nonetheless, for those of us who live in PA, it’s about time to throw down the gauntlet. The reason the Governor keeps making these outrageous decisions is that nobody is stopping him. We’re not the only organization deeply harmed by the Governor’s stance, and it’s incumbent on all of us not just to defend our system and our students, but our state.

Be on the lookout for calls to act coming fast and furious now that the budget proposal is official. More important, when you see those calls, ACT!!!

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Filed under Advocacy, APSCUF, Benefits/Benefit Cuts, Budget, Budget Cuts, Budget Deficit, Communities, free speech, lobbying, PASSHE, Privatization, Public education, Public employee unions, public employees, Rally, Shock Doctrine, Student activism, taxes, Tom Corbett

Public unions and budget deficits

Although facts and evidence don’t much matter to the controlling factions on most Capitol Hills these days, it’s never a bad idea to marshall them anyway.

David Moberg’s “The Wrong Target” (In These Times, 10/14/2011) summarizes and highlights the results of a recent study out of the University of California at Berkeley, making clear that public unions are not at all responsible for state budget deficits; neither are public unions responsible for skyrocketing numbers of state jobs (although I don’t see why that’s a bad thing–but that’s just me).

Some highlights from the article (but you should look at the whole thing, which isn’t very long, and at the study on which it’s based):

   •    Public workers have been a steady share of the workforce from 1979 to 2011—averaging 14.2 percent of the entire workforce and ranging from 13.6 to 15.2 percent (slightly increasing typically following a recession simply because private workers disproportionately lost jobs).

•    State and local government employment for every thousand residents rose very slightly from 1990 to 2001 (from 60.8 to 64.2 workers for a thousand residents, virtually all in local government), then remained flat through 2009.

•    Comparing states with the highest and lowest rates of unionization, the researchers found that from 1990-2009 there were more public employees for every thousand residents in weak- or non-union states than in states densely unionized. Also, there was faster growth in weakly unionized states, especially from 2001 onwards when the ratio of public workers to the population declined in the most unionized states.

•    Ultimately, the data seem to show no correlation between union density and public sector employment. (Jacobs suggests some rural, lightly populated and big states that also have few public unions may have a higher ratio to serve a dispersed population.)

•    Public worker total compensation has not been growing as a share of state expenditures. Indeed, worker wages and benefit declined as a share of state spending from 1992 to 2002, then remained stable (according to a study from the Center for American Progress).

•    As many studies have demonstrated, state and local government workers earn less in wages and benefits than similar private sector workers. Moreover, in recent years private sector labor costs have risen faster than costs in the public sector—a remarkable record considering the widespread wage stagnation and cuts in both pay and benefits in the private sector.

 

So the next time somebody tells you that public sector unions are bad for the economy, here’s a solid block of evidence to the contrary. We can only hope that evidence starts to matter sooner rather than later.

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Filed under Advocacy, AFSCME, APSCUF, Benefits/Benefit Cuts, Budget, Budget Cuts, Budget Deficit, Collective Bargaining, Communities, PASSHE, Privatization, Public education, Public employee unions, public employees, research, Shock Doctrine, taxes, Teacher unions, Unions

Follow the money!

I’m sorry to title this post with such a tired cliche, but dagnabbit, it’s right on target again!

As you’re likely aware, Governor Corbett is attacking not just public higher education but all public education in PA.  There’s legislation pending in Harrisburg that would transfer a huge chunk of the money Governor Drill-and-Kill (Drill the Shale, Kill the Schools) wants to cut from K-12 education into a voucher program.

From my early morning cruise through the blogosphere, two articles that help debunk the notion that vouchers are anything but money-stealers from public schools for private interests:

1. In Testing for Thee, but Not for Me, Kevin Drum reports the results of a study from Milwaukee Public Schools indicating (not for the first time!) that voucher-eligible schools are producing test scores that aren’t any better than their public school counterparts. So, all those lazygreedyunion teachers wouldn’t seem to be the problem, would they?

2. If you follow the KUXchange blog, you’ve seen them developing arguments, based on Naomi Klein’s notion of the Shock Doctrine, which holds (in simplistic terms) that the powerful often use rhetorics of crisis and disaster (shock) as smokescreens behind which they accrete power to themselves while people aren’t watching.  In Monday’s HuffPost Education section, Timothy Slekar from Penn State-Altoona applies the Shock Doctrine directly to Governor Drill-and-Kill’s K-12 budget proposal.  His most interesting finding, in my estimation, is that the voucher program in SB1, along with increased (you gotta be frackin’ kidding me!) testing requirements that add nothing to education, will ACTUALLY COST MORE than the proposed cuts would save.

Sometime later today, I’ll see if I can find this again, but about 6 weeks ago, I found evidence that the second largest individual contributor to the Corbett for Governor campaign is the guy who owns the Charter School Management firm that would profit the most from Drill-and-Kill’s “education reform” package.  Gee.  We’re surprised, aren’t we?

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Filed under Advocacy, APSCUF, Budget, Budget Cuts, Budget Deficit, Follow the Money, K-12 Education, PA Senate Bill 1, PASSHE, Penn State University, Public education, research, Shock Doctrine, taxes, Tom Corbett, Uncategorized, Vouchers/School Choice

You Pay, Corporations Don’t (repost from KUXchange)

Yet another score from our friends at the KUXchange.  The CLEAR Coalition explains one reason why tax revenues in PA aren’t higher. If the link to the vid doesn’t show up in your e-mail (for those of you who get posts by subscription), just click through to the blog post itself and the video is there.

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Filed under Advocacy, Budget, Budget Cuts, Budget Deficit, Communities, Follow the Money, Shock Doctrine, taxes, Tom Corbett, Uncategorized