How to deal with a Supreme Court order to increase school funding will be a constant companion of legislators when the 2018 session opens in about three weeks, Rep. Kent Thompson told Allen County commissioners Tuesday morning.
Thompson and Adam Lusker, who together represent Allen County in the Kansas House, were at the meeting for annual pre-session discussions. Sen. Caryn Tyson, though invited, did not attend.
Thompson, a Republican, said he was disturbed because the recent Supreme Court decision, which ordered more state aid for public schools, pointed out that during 11 of the past 15 years school funding did not meet requirements of the Kansas constitution.
At the start of each session, “all 165 legislators (125 in the House, 40 in the Senate) take an oath to uphold the constitution,” he noted.
Thompson also said he would like for a credible source to do a comprehensive study of school finance for legislators to have in hand when the session starts. “We’d had just two done in the past 10 years. I don’t want to wait until the session starts to look at school funding.”
Comments from Arthur Chalmers, reported by the Kansas News Service, lends urgency to Thompson’s comment. Chalmers, a state attorney, said lawmakers were facing a tight deadline for responding to the Supreme Court order for additional funding. He proposed legislators have a new school finance bill by March 1. The court’s deadline is June 30, with threat of school closure if they fail.
Thompson’s concern also is that a study come from a nonpartisan source, such as the state’s Department of Education, which does not have cabinet status. Craig Neuenswander and Dale Dennis (two of the department’s financial specialists) could give legislators a financial reading “that would be straight down the middle, and nonpartisan,” he said.
He also bemoaned leaders in the two chambers having inordinate power to decide the course of legislation, and that it would be better for the majority, not a handful, to propose the route to a solution.
POLITICS also enter the equation, Lusker, a Democrat, said. “I don’t think they (leaders from the two parties) are working together now.” Although partisans did reach across the aisle to derail the horrendous income tax cuts of 2012-13, after moderate Republicans found themselves more in control of the GOP’s course last session.
When block grant funding was repealed, “we went back to the old formula”— with weighting factors intervening — “which helped southeast Kansas,” Lusker said. Also, he pointed out, “state aid was increased $195 million this year, with an additional $95 million due in 2018.”
Revenue immediately increased with restoration of most income taxes. Lusker thinks revenue will be sufficient to fund a $200 million increase in school funding in 2018, and subsequent $200 million increase increments in 2019 and 2010, bringing overall fiscal upgrade to $600 million annually in three years’ time.
That may meet muster for Supreme Court justices. If not, another strategy may be required; i.e., a tax increase.
Lusker and Thompson did not predict what avenue might be selected. However, only three sources of taxes are available: income, sales or property.
They did not rule out looking at property taxes. When the state took responsibility for practically all school funding in 1996, property tax revenue came from a statewide levy of 35 mills. That was lowered to 27 mills in 1997 and then to 20 mills for the 1998-1999 school year. Each decrease occurred because of robust financial times. When the economy deflated, including during the recession, the levy remained at 20 mills.
When Gov. Sam Brownback’s experiment with trickle-down economics failed to bring about the economic revival he promised, KDOT reserves were tapped, to the tune of $3.4 billion through 2016, Thompson said. Other state services drained up reserves, Lusker said.
While the current 10-year plan meant to improve Kansas highways has fallen on hard times, Lusker said reviving KDOT financially, including a new 10-year plan, was in his view.
He suggested in addition to the four-tenths of a cent sales tax to fund KDOT, a small property tax levy, a quarter of a mill, maybe a half, would be helpful.
He championed the importance of good highways for economic development, including the U.S. 169 Kansas City to Tulsa corridor that runs through the heart of Allen County.
IN THEIR LONE decision, commissioners approved purchase of a Caterpillar road maintainer. One purchased in 1998 fetched $42,000 in trade and the county will retire the $250,000 remainder with a three-year lease-purchase agreement.
