Official Price Tag on Class Size Initiative - Florida Tax Watch (BAD IDEA, McBride!)

FloridaTaxWatch.org ^ | July 2002 | Kurt Wenner, FTW Staff

[Ragtime Cowgirl]

From:

The First Constitutional Amendment Estimating Conference
Puts an Official Price Tag on Class Size Initiative

How Much Money is $20 Billion - $27.5 Billion?

The validity of the estimates aside, the class size amendment would require a significant contribution from taxpayers. For perspective, the total General Revenue Fund for the current fiscal year is just under $20 billion, and the lottery provides less than $900 million annually to education.

Over eight years, the $20 billion - $27.5 billion total averages out to $2.5 billion-3.4 billion annually. Based on FY 2004 population, this means an average cost of $146 to $201 per Floridian annually or $369 to $507 per household. Over the eight years, the total cost would be $977 to $1,343 per capita and $2,460 to $3,382 per household.

Even assuming that tourists and other out-of-state taxpayers pay 20% of the cost burden, the total investment by Floridians would be $781 to $1,074 per capita and $1,968 to $2,705 per household.

The universal pre-K amendment would add another $25 to $39 per capita and $64 to $97 per household.

Reducing class size to the prescribed limits would be a challenging undertaking. Without a significant overhaul of state spending patterns, the class size proposal would likely require some new or increased taxes. A 1-penny increase to the state's 6-cent sales tax would raise $2.9 billion (based on FY 2004 estimated collections.).

To further illustrate the scope of the estimated required investment, the gross receipts tax on utilities, which funds public school construction, raises less than $800 million annually. Moreover, it would take a tripling of the state corporate income tax to raise the additional revenue called for in the estimates. In fact, four major tax sources combined (gross receipts, corporate income, beverage, and tobacco taxes) are expected to bring in $2.97 billion in FY 2004, so it would take a doubling of all those to raise the revenue. Lastly, a state personal income tax (currently prohibited by the state Constitution) of 1 per cent of Floridians' federal taxable income would raise approximately $2.4 billion.

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This Briefing was researched and written by
Kurt Wenner, Senior Research Analyst, under the direction of
Keith G. Baker, Ph.D., Senior Vice President & COO.
Steven L. Evans, Chairman; Dominic M. Calabro, President and Publisher

© Copyright Florida TaxWatch, April 2002

[Ragtime Cowgirl]

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How does Mr. McBride propose we pay for this?

A new 50-cent per pack tax on cigarettes, used only for schools, would produce almost $600 million a year, he said.

Removing sales tax exemptions on some items such as stadium skyboxes and tanning salons could up the total to almost $1 billion, he said.
Link

McBride's concern for the Florida taxpayers' extends to his choice of running mates, former Sen. Tom Rossin, who rated at the bottom of the National Federation of Independent Business Legislative Report Card for 2002, and rated an "F" from the Florida Chamber of Commerce.

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Who supports the "Class Size" amendment?

Half of the bill's supporters won't have to pay the bill:

The proposed constitutional amendment, which is expected to be approved as early as today for the November ballot, has heavy backing from two national teacher unions, the National Association for the Advancement of Colored People, and People for the American Way. All oppose Gov. Jeb Bush's school voucher program.

The four groups have pumped $578,000 into the effort. Other contributors, including telecommunications companies and the Congressional Black Caucus Policy and Leadership Institute, pushed the out-of-state total raised through June 30 to $685,000.

...Republicans opposed to the ballot measure were quick to criticize the fundraising.

If voters agree to reduce class sizes, it could cost $12 billion to $27 billion to build additional classrooms and hire more teachers during the next eight years. That's an expenditure Florida taxpayers and not the out-of-state interests bankrolling the measure would be left paying, said Towson Fraser, spokesman for the Republican Party of Florida.

``We all want smaller classes; we just think there's a more fiscally responsible way to do it,'' Fraser said. ``It doesn't appear the people who are contributing to this amendment care who gets stuck with the bill.''

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                 CLASS SIZE AMENDMENT WOULD HANDCUFF EDUCATION AND GOVERNMENT

 

A seemingly well-intentioned constitutional amendment that proposes smaller class sizes could significantly cripple K-12 schools, community colleges and universities if it passes. If this amendment passes, we will almost immediately need 32,000 new teachers, new classrooms at a cost of $9 billion, and another $2.5 billion to pay for the new teachers -- and $2.5 billion is more than it costs to run all 11 of our public universities to give you a reference point for the cost of this bad amendment. (continueLink )

 

Florida can't afford this bill, nor this Bill.

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JEB Gets An "A" (Wall Street Journal):

Jeb Bush of Florida is the real tax-cutting fiscal conservative in the family. In a state with no income tax, Gov. Bush has cut the Florida property tax by $1 billion, and in 2001 he cut the business intangible tax by another $600 million. Earlier this year he took the unusual step of walking the halls of the Capitol himself asking members of both parties to oppose a sales tax hike sponsored by members of his own party. Mr. Bush has also distinguished himself by promoting one of the most innovative choice-based school reforms in the nation -- a plan that allows students in failing schools to go to any public or private school of their choice -- and by enacting tort reform legislation fiercely opposed by the trial lawyers.

[Ragtime Cowgirl]

Our summer knows Jeb's record:

Is Jeb actually ahead of the curve on education? The jury's in - and they side with: Jeb.

Some people talk about FL education as if it was #1 in every category during the 8-year rein of FL's former Dem governor, Chiles, and then suddenly, everything fell apart with Gov Bush. Nothing could be further from the truth.

Gov. Bush has tried and succeeded in improving education for this state. This state has now been ranked #2 nationwide in the number of Nationally Certified Teachers, #4 in the nation in Educational Choice (up from #34), and FL community colleges are ranked #12 in the nation in terms of the number of students staying in school to graduation. Under Gov. Bush, 100% of FL students take the PSAT for free in public schools, something the People For the American Way have demanded in every state but not received.

And while other states are still struggling with antiquated formulas denying equitable educational funding to the poorest districts, FL has had an equitable forumula in place. Gov. Bush's push for literacy, setting grade level standards and testing, expanding testing to include science and expanding AP courses, all speak well of the education improvements made during his administration.

Will we be #1 overnight after at least 8 years of being at the bottom? Probably not.

But Gov Bush has not given up on public schools. He has improved them, created competition, and offered parents and low income students, disabled students and students in failed schools a variety of educational options they never had before. His record on education can stand up to whatever criticism is thrown at it.

Furthermore, those who have spent billions on education in this country know there is no "quick" fix. Yet, Gov. Bush's current opponent promises to fix education "the fastest." This is an empty promise. There is no one single solution. Gov. Bush's multi-pronged approach, and his dedication to this issue, is one of the best and most defendable elements of his overall record as governor.

1 posted on 9/19/02 9:00 PM Eastern by summerr

[Ragtime Cowgirl]

5) Reduce Class Size Amendment -- requires the State to build enough classrooms so that, by the beginning of the 2010 school year, limits on the maximum number of students per class can be attained. The limits are 18 students for Pre-K to grade 3, 22 students for grades 4 through 8 and 25 students for grades 9 through12.

Floridians, vote NO in November!

[Uncle Miltie]

Here in ND, class sizes are huge, teachers' pay is very low, and SAT scores are the highest in the nation and graduation and college attendance rates are spectacular.

We do have good family values and strong religious convictions, and we don't have whole language or politicized course content.

Leftists can throw infinite amounts of money at their structurally failed school systems and no improvement will result. It is family values and educational basics that work. The left will not allow these, and so will continuously fail.

B.C.
Fargo, ND
Where "cultural conservative" is a compliment.

[Ragtime Cowgirl]

Re. the five amendments on Florida's Nov. ballot (see report):

The Estimating Conference did not put dollar amounts on the first three amendments. It determined the animal cruelty amendment had no significant impact for state or local governments. The fiscal impacts of the university governance and drug treatment amendments were deemed indeterminate.

The estimators put an annual cost of between $425 million and $650 million (in today's dollars) on the pre-K education amendment. The range is dependent on the extent to which existing school readiness funding is used.

The big-ticket item is the class size amendment. It is estimated that 30,000 more classrooms would need to be built and 31,000 more teachers hired between 2004 and 2010. The cumulative cost over this period was estimated at between $20 billion and $27.5 billion. This range is dependent on how the Legislature would choose to add capacity, building new schools or using portables. Once implemented, the new system would cost an extra $2.5 billion annually (in today's dollars.)

Currently, the state spends approximately $16 billion on education. According to the Florida School Indicators Report 2000-2001, the statewide average class size in elementary school is 23.3 and middle school, and high school varies by subject: from 24.8 to 27.8.

Unlike the normal Consensus Estimating Conference, the process for initiatives does not require a consensus of every member of the conference. A majority of the four members is sufficient. This issue came into play during this first conference when one of the members voted against the class size fiscal impact statement because he felt that including the cumulative cost would confuse voters.

[Ragtime Cowgirl]

Great post, Brad. The people supporting this amendment know that it won't help our children learn. It's a crime. The far left, the teachers unions want more schools, more teachers, more government-union (Dem.) employees, more control over our childrens' beliefs, more power. That's it.

It is NOT for the children....but is sounds so caring and good the voters will probably vote for it in November (which tells you something about Florida's newsmedia).

[Ragtime Cowgirl]

FYI - Florida Freepers. Ping me if you want on or off my Florida ping list.

[MeekOneGOP]

Bush bump ! Summer bump !

[MeekOneGOP]

I thought Summer was over?.....Oh ! you mean the FReeper summer ! lol

Doh !

[windchime]

Thanks for the post that was cram-packed with info!

[Ragtime Cowgirl]

Thanks for the ping, Meekie.

Summer's back!
(^:

[Ragtime Cowgirl]

You're welcome. (^: I'm sure that most Florida voters aren't aware that this amendment is so costly....or that it's sponsored by left-wing out-of-state groups who won't be paying - PFAW, NAACP and the largest national teacher's unions.

Florida Freepers, we need to let our communities know. Please write letters to the editor!

[JZoback]

Bump from Florida

[js1138]

Constitutional ammendments almost always fail in Florida. (fingers crossed)

[My Favorite Headache]

Bump

[1Old Pro]

THE CLASS SIZE MOVEMENT? Sheesh, this is just a strategy for the teachers unions to hire more teachers and get more dues.

[windchime]

You're right. I didn't know until I began checking it out to decide how to vote. Many don't bother to check.....smaller class size just sounds good.

[Ragtime Cowgirl]

Thanks for the ping. Please let me know if you'd like to be on my "Thru election day Fla. pin list." (^:

[Ragtime Cowgirl]

Constitutional ammendments almost always fail in Florida. (fingers crossed)

Florida voters voted for the high-speed train in 2000. After the election the press finally explained how much it would cost. Rush said that we should just vote to give every Floridian a condo on the beach...that would tank this amendment process.

It's like so many created crises by the left, we're forced to deal with problems that were never problems until the Democrats created them. Who would pay for ads to oppose these amendments? To even educate the voters? Florida voters? Our Sen. Bob Graham is a big proponent of this method of legislating without going through the messy debate and checks and balances.

This "class size" amendment has been getting a lot of favorable press. They gathered signatures fast. It sounds so good...for the children.

Republicans need to get out and vote!

[Ragtime Cowgirl]

THE CLASS SIZE MOVEMENT? Sheesh, this is just a strategy for the teachers unions to hire more teachers and get more dues.

YES! You can't say that to the voters, though, they'll call you meanspirited. Just repeat the facts in Brad's #4 post. (^: