Our federal government has used the phrase frequently that bailouts and stimulus funds have kept our economy from falling over the cliff. In Arizona, school funding is falling off the cliff.
The current school year which we will call fiscal year 2011 (FY2011) has our State budget short nearly $900 million from being balanced. Depending on who you talk to, K-12 public education is 37 or 48 percent of the State budget. So if cuts come based on portion of the bduget, from K-12education, the additional cuts THIS YEAR would be $333 million. Why cuts? The State has exhausted their rollovers, fund sweeping, selling of assets and what is left, cliff-falling cuts.
Some politicians have suggested that there have really not been any cuts to education over the past few years. Let’s look at the cuts that have impacted Arizona schools, just this year.
Soft Capital $165 Million
New Utility Formula $100 Million
Building Renewal $231 Million
Charter SchoolAdditional Assistance $10 Million
Total $506 Million
In addition to the cuts, Arizona schools have not been getting the revenue payments. This year schools have been assured funding from the State for SIX months. Schools have expenses for twelve months. This is another cut, that is not calculated in the cuts above.
What do schools do when they don’t get the funding? THEY BORROW money from their lines of credit with banks and then they ask the County Treasurer to issue warrants. The issuance of warrants means they’ll ask their taxpayers for more local tax funds, at some future point. Reality, schools will be forced to make cuts, just like taxpayers do with thie personal budgets. The Grand Canyon School District saw this coming last year and captured every penny available, and worked to have cash in the bank to weather this year’s loss of funding. Next year…is another story.
There is another option, and this is one that is aggressively underway, at The Grand Canyon Schools. Searching for alternate sources of funding and developing a fund-development program, just like our colleges, universities and private schools have done for centuries. There is a foundation being formed whose sole purpose is to support Grand Canyon education. The contributions to the foundation will be used to support and help fund education for children who seek learning at the Grand Canyon Schools.
What are other ways that funds can be generated in schools? Advertising on busses, websites, facebook, gym walls, etc…Create business partnerships such as Pepsi, Coke – as in the past. Seek corporate sponsorship of labs, teachers and more.
These are bleak times which call for ingenuinty, creativity, and strong leadership. K-12 education will look much different than ever before. Services taken for granted will be reduced. The status quo is gone. State funding through statewide taxes is gone.
At the Grand Canyon, the only taxpayers that contribute to the funding of our education, as those who own property, in Tusayan. You see, education is funded through a real-estate tax. If you do not own real estate in the Grand Canyon School district, thank a taxpayer, in Tusayan for paying this tax that pays for educationg your child. Yes, there is a small amount of sales tax that is collected, as well. The sales tax is negligible when it comes to school funding.
In every adversity, there is opportunity. You can help by contributing to the foundation, to tax credits, you can make donations to the school district, you can offer ideas on how to generate funds, and you can look for our budget survey that will be on our school website next week, and offer your perspectives through the survey.
There is one more thing, you can contact your State legislators and encourage a suspension of the paperwork required of teachers and school districts, and a complete revamping of the State school funding formula. You could even ask for less cuts to public education, your child’s education…
If you would like to be on the mailing list that will get regular updates on Arizona School funding, be sure to send an email to sallen@grandcanyonschools.org so you can get up-to-date information on the Arizona economy and its impact on School Funding.