By Jonathan Gramling
One of the largest chunks of money approved through the American Recovery and Revitalization Act (ARRA), the federal stimulus bill, was for education.
There was roughly $115 billion — $100 billion in education spending and $15 billion in educational tax credits — in new spending passed, an extraordinary
amount of money, even by Washington standards.
In a telephone conference call, U.S. Education Secretary Arne Duncan outlined what the funds would be used for. “There is $32 billion around college
affordability and the President has talked so much about access and affordability, $17 billion in increases for Pell Grants and $15 billion in educational tax
credits. There is $13 billion for increased Title I funding, which is critically important to support our school districts and support those children who live below
the poverty line. There is $12 billion for IDEA and special education. There is $5 billion for early childhood education. There is $550 million for a range of
other education reforms that will really push this reform agenda. There is $200 million for ‘Pay for Performance.’ There is additional impact aid and other things
for an additional $2 billion.”
While the emphasis in initial discussion about the stimulus was on infrastructure development, there were no funds earmarked specifically for the repair or
replacement of school facilities. While $9 billion was identified in the final bill for possible use on school infrastructure use, the funds could also be used for
other purposes as specified by the governor.
Almost all of the stimulus funds for k-12 education will come to individual school districts through state government or through national request for proposal
processes. Governor Doyle’s 2009-2010 biennial budget for education includes the stimulus funds in the overall aides that local school districts receive.
According to Joe Quick on the MMSD website, the governor’s budget primarily preserves k-12 funding during this period when Wisconsin was facing a $5.5 billion
deficit.
“Using federal stimulus resources, Doyle provides modest increases in general school aids (0.1% in 2009-10 and 0.4% in 2010-11),” Quick said. “Doyle also
supported allowing the per pupil revenue limit increase to go up to an estimated $277 per pupil in 2009-10, and $286 per pupil in 20010-11. The per pupil
revenue limit increase for 2008-09 was a little less than $275. The Governor also increased funding by $9.1 million for the class-size reduction SAGE program
- fully funding the state's existing SAGE classrooms.”
One of the concerns that MMSD personnel have about the federal stimulus funds was using the federal stimulus funds to start new programs and services
that would then have to be scaled back after the federal stimulus funds end in two years.
“We haven’t determined how we are going to use the Title I allocation yet,” said EWrik Kass, assistant superintendent for business services. “We haven’t really
started the conversations because this is so new. And until the money actually arrives, it’s hard to believe it is actually coming. The problem with that idea of
reducing the student-teacher ratio is you are investing in people. And when you look at these funds, they are really only there for two years. So then there is that
perennial cliff that falls off and you’re right back to where you were on square one. It’s definitely a possibility and it will be a large part of the conversation. But
when we talk about one time money that doesn’t exist after a period of time — and I know it is for two consecutive years — it’s tough to invest solely in people.
There’s a lot of thought that needs to go into how these funds are used. Number one, we need to be extremely responsible because everyone is going to be
scrutinized with how these funds are used. But we also need to be very careful on how we use these funds if they aren’t going to be available after two years.”
One possible use of the funds could be to start up some early childhood education projects that have been on the district’s wish list for many years. While
early childhood education would be beneficial to help low-income students close the gap of school preparedness, the price tag has kept it off the table due to
the initial cost and state revenue caps.
But now, the federal stimulus funds may be able to foot the bill for the initial early childhood education costs until state revenue formulas take over the cost
in subsequent years. According to former school board member Carol Carstensen, bridge money is needed for the first two years. “The last time I heard figures,
the cost of establishing four-year-old kindergarten was about $8 million - $6 million the first year and $2 million the second,” Carstensen said in response to a
query from The Capital City Hues. “This is because the way the state formula and revenue caps work, increased enrollment (or, for that matter, decreased
numbers also) is spread over 3 years. So the first year the district can only count one-third of the students for purposes of both increasing the revenue cap and for
state reimbursement; the second year, the district can count two-thirds of the enrollment and by the third year it is the total number — and so by the third year,
the cost of the program is covered by the increased revenue cap level and increased state aid. Therefore two years of increased federal funds would be perfect
for this (assuming it is allowable under the federal guidelines).
While k-12 education will be benefitting to some degree from the federal stimulus funds community colleges like the Madison Area Technical College will
experience little impact from the stimulus funds outside of its partnership with the Workforce Development Board, which will receive employment and training
dollars. “At this point, it doesn’t look like we are coming up with roses either place, federal or state,” said Bettsey Barhorst, president of MATC. “I could go more
into my disappointment at the state level, but my underlying statement would be that we think it is very ironic that at this time when the institutions that help get
the economy going again the most via training the workers is the part of education that gets the least. That’s been traditional across the country. It’s that the
value of the community colleges is just not recognized yet, even though about half of the students who are enrolled in college today in the United States are at
community colleges.”
Due to the recession and layoffs, enrollments are up at community colleges. Blackhawk Technical College has experience a large enrollment increase
due to the GM plant closure and MATC’s enrollment is up five percent, in part due to the overflow of enrollments from Blackhawk. “More people do enroll in
school during recessions, but the tuition doesn’t cover everything,” Barhorst said. “So when we need more help — looking at the Governor’s comments last night
and what’s happening at the state — we’re not getting more help. We should be getting more, not less. Whatever they want to do in the stimulus — build
bridges and highways, we have a waiting list for welding that is out the door — are things we train people for. We’re hoping that the state legislators, the
General Assembly we have now, will understand the plight of the tech colleges.”
“We are vital to this recovery,” Barhorst added. “Anyone who doesn’t believe that should walk the halls here with me and talk to people as I do every day and
hear their stories of either losing their jobs and coming back for help or are afraid their jobs are going to be gone. They are here taking courses to help bolster
their positions where they are. Then we have the younger students who were going to a private school and are now coming to us because their parents can’t
afford another semester at a private school. I just wish that some of the funding would help with all of the people who are in this plight right now.”
Barhorst was quick to point out that overall, the governor has been very supportive of the community college system. “He actually kept us from the property
tax cap that would have absolutely destroyed us,” Barhorst said. “He vetoed that three times. We really appreciate what he has done for us.”
Barhorst reiterated the important role that community colleges play. “We’re the place where minorities, where the first generation higher ed and where the
people out of work come or who don’t know what they want to do when they grow up even though they are 40 years old come,” Barhorst said. “It’s just so hard to
get respect and to get help that we need for our mission. So I always have trouble with it. I wish in some ways that I could shake a few people to say ‘I know that
universities are more glamorous and they are the American Dream. It’s what we all want our kids to do. But this is the best vehicle to get there. If you want a very
prestigious degree in engineering from the University of Wisconsin-Madison, you should come here for the first two years of the engineering program because it is
a direct route into it and it is a very good program. It’s cheaper and has smaller classes. And we have all kinds of assistance.’ So I guess I want to say that I am
optimistic that maybe some of this will change.”
Since the state legislators come from venues where many of them or their constituents have benefited from the community college system, Barhorst hopes
that the situation for MATC and others will change as the budget bill becomes law. “I have great hope that something will be changed yet,” Barhorst said. “But I
don’t know for sure. We have great faith and hope that something will happen and great love, if they do come through, for the legislators.”
In our next issue, we wioll talk to Darrell Bazzell, UW vice chancellor for administration on the impact of the federal stimulus and the governor’s budget bill
on the UW-Madison.
One of the largest chunks of money approved through the American Recovery and Revitalization Act (ARRA), the federal stimulus bill, was for education.
There was roughly $115 billion — $100 billion in education spending and $15 billion in educational tax credits — in new spending passed, an extraordinary
amount of money, even by Washington standards.
In a telephone conference call, U.S. Education Secretary Arne Duncan outlined what the funds would be used for. “There is $32 billion around college
affordability and the President has talked so much about access and affordability, $17 billion in increases for Pell Grants and $15 billion in educational tax
credits. There is $13 billion for increased Title I funding, which is critically important to support our school districts and support those children who live below
the poverty line. There is $12 billion for IDEA and special education. There is $5 billion for early childhood education. There is $550 million for a range of
other education reforms that will really push this reform agenda. There is $200 million for ‘Pay for Performance.’ There is additional impact aid and other things
for an additional $2 billion.”
While the emphasis in initial discussion about the stimulus was on infrastructure development, there were no funds earmarked specifically for the repair or
replacement of school facilities. While $9 billion was identified in the final bill for possible use on school infrastructure use, the funds could also be used for
other purposes as specified by the governor.
Almost all of the stimulus funds for k-12 education will come to individual school districts through state government or through national request for proposal
processes. Governor Doyle’s 2009-2010 biennial budget for education includes the stimulus funds in the overall aides that local school districts receive.
According to Joe Quick on the MMSD website, the governor’s budget primarily preserves k-12 funding during this period when Wisconsin was facing a $5.5 billion
deficit.
“Using federal stimulus resources, Doyle provides modest increases in general school aids (0.1% in 2009-10 and 0.4% in 2010-11),” Quick said. “Doyle also
supported allowing the per pupil revenue limit increase to go up to an estimated $277 per pupil in 2009-10, and $286 per pupil in 20010-11. The per pupil
revenue limit increase for 2008-09 was a little less than $275. The Governor also increased funding by $9.1 million for the class-size reduction SAGE program
- fully funding the state's existing SAGE classrooms.”
One of the concerns that MMSD personnel have about the federal stimulus funds was using the federal stimulus funds to start new programs and services
that would then have to be scaled back after the federal stimulus funds end in two years.
“We haven’t determined how we are going to use the Title I allocation yet,” said EWrik Kass, assistant superintendent for business services. “We haven’t really
started the conversations because this is so new. And until the money actually arrives, it’s hard to believe it is actually coming. The problem with that idea of
reducing the student-teacher ratio is you are investing in people. And when you look at these funds, they are really only there for two years. So then there is that
perennial cliff that falls off and you’re right back to where you were on square one. It’s definitely a possibility and it will be a large part of the conversation. But
when we talk about one time money that doesn’t exist after a period of time — and I know it is for two consecutive years — it’s tough to invest solely in people.
There’s a lot of thought that needs to go into how these funds are used. Number one, we need to be extremely responsible because everyone is going to be
scrutinized with how these funds are used. But we also need to be very careful on how we use these funds if they aren’t going to be available after two years.”
One possible use of the funds could be to start up some early childhood education projects that have been on the district’s wish list for many years. While
early childhood education would be beneficial to help low-income students close the gap of school preparedness, the price tag has kept it off the table due to
the initial cost and state revenue caps.
But now, the federal stimulus funds may be able to foot the bill for the initial early childhood education costs until state revenue formulas take over the cost
in subsequent years. According to former school board member Carol Carstensen, bridge money is needed for the first two years. “The last time I heard figures,
the cost of establishing four-year-old kindergarten was about $8 million - $6 million the first year and $2 million the second,” Carstensen said in response to a
query from The Capital City Hues. “This is because the way the state formula and revenue caps work, increased enrollment (or, for that matter, decreased
numbers also) is spread over 3 years. So the first year the district can only count one-third of the students for purposes of both increasing the revenue cap and for
state reimbursement; the second year, the district can count two-thirds of the enrollment and by the third year it is the total number — and so by the third year,
the cost of the program is covered by the increased revenue cap level and increased state aid. Therefore two years of increased federal funds would be perfect
for this (assuming it is allowable under the federal guidelines).
While k-12 education will be benefitting to some degree from the federal stimulus funds community colleges like the Madison Area Technical College will
experience little impact from the stimulus funds outside of its partnership with the Workforce Development Board, which will receive employment and training
dollars. “At this point, it doesn’t look like we are coming up with roses either place, federal or state,” said Bettsey Barhorst, president of MATC. “I could go more
into my disappointment at the state level, but my underlying statement would be that we think it is very ironic that at this time when the institutions that help get
the economy going again the most via training the workers is the part of education that gets the least. That’s been traditional across the country. It’s that the
value of the community colleges is just not recognized yet, even though about half of the students who are enrolled in college today in the United States are at
community colleges.”
Due to the recession and layoffs, enrollments are up at community colleges. Blackhawk Technical College has experience a large enrollment increase
due to the GM plant closure and MATC’s enrollment is up five percent, in part due to the overflow of enrollments from Blackhawk. “More people do enroll in
school during recessions, but the tuition doesn’t cover everything,” Barhorst said. “So when we need more help — looking at the Governor’s comments last night
and what’s happening at the state — we’re not getting more help. We should be getting more, not less. Whatever they want to do in the stimulus — build
bridges and highways, we have a waiting list for welding that is out the door — are things we train people for. We’re hoping that the state legislators, the
General Assembly we have now, will understand the plight of the tech colleges.”
“We are vital to this recovery,” Barhorst added. “Anyone who doesn’t believe that should walk the halls here with me and talk to people as I do every day and
hear their stories of either losing their jobs and coming back for help or are afraid their jobs are going to be gone. They are here taking courses to help bolster
their positions where they are. Then we have the younger students who were going to a private school and are now coming to us because their parents can’t
afford another semester at a private school. I just wish that some of the funding would help with all of the people who are in this plight right now.”
Barhorst was quick to point out that overall, the governor has been very supportive of the community college system. “He actually kept us from the property
tax cap that would have absolutely destroyed us,” Barhorst said. “He vetoed that three times. We really appreciate what he has done for us.”
Barhorst reiterated the important role that community colleges play. “We’re the place where minorities, where the first generation higher ed and where the
people out of work come or who don’t know what they want to do when they grow up even though they are 40 years old come,” Barhorst said. “It’s just so hard to
get respect and to get help that we need for our mission. So I always have trouble with it. I wish in some ways that I could shake a few people to say ‘I know that
universities are more glamorous and they are the American Dream. It’s what we all want our kids to do. But this is the best vehicle to get there. If you want a very
prestigious degree in engineering from the University of Wisconsin-Madison, you should come here for the first two years of the engineering program because it is
a direct route into it and it is a very good program. It’s cheaper and has smaller classes. And we have all kinds of assistance.’ So I guess I want to say that I am
optimistic that maybe some of this will change.”
Since the state legislators come from venues where many of them or their constituents have benefited from the community college system, Barhorst hopes
that the situation for MATC and others will change as the budget bill becomes law. “I have great hope that something will be changed yet,” Barhorst said. “But I
don’t know for sure. We have great faith and hope that something will happen and great love, if they do come through, for the legislators.”
In our next issue, we wioll talk to Darrell Bazzell, UW vice chancellor for administration on the impact of the federal stimulus and the governor’s budget bill
on the UW-Madison.
Gauging the impact of the federal stimulus on local education
Feast and famine
Feast and famine