March 23, 2011

Local School Districts face financial trouble

We are told this morning that each of the major school districts in the county are in financial trouble. Last year, when Natomas was in trouble, the Sacramento Bee and County Superintendent David Gordon opined that the Board of Education was financially irresponsible. However, realistically, the economic troubles were caused by the state and national economic crisis. The state has provided schools with $18 billion less in state aid over the last three years- thus the local districts are going broke.
Note to Sacramento Bee.  It wasn't the School Board, it was the economic crisis!
How did we get into this fix? Well, first was the economic collapse caused by the bankers and the real estate fraud artists. That took 13 Trillion from the economy crashing the U.S. and the international economy. That produced a dramatic drop in sales tax and property taxes and a California economic crisis. School funding reveals the nature of crisis. We have larger classes and fewer teachers. School reform has stopped- except for the politicians hot air. School funding makes up a total of 30% of the state budget. Any crisis in the state budget and any cuts in the state budget will make school budgets worse. The crisis will get worse.
Politicians and editorial writers discuss the economic crisis as if the crisis is a neutral act, or as if a natural act. Like rain or snow. The school budgets are a disaster not because of some natural phenomena. The crisis was created by people and policies of our government and of the financial system.

"The reality is that we got into this mess because of an overwhelming excess of greed and stupidity on the part of the Wall Street bankers and the people deciding economic policy. We continue to face excessive rates of unemployment because of a continuing reluctance to pursue policies that can restore the economy to health.”says economist Dean Baker.

California will need to extend the current taxes to fund the schools and to repair the social safety net. Anti tax radicals and Republicans oppose any tax increases and they oppose allowing these issues to be placed on the ballot so the people can vote.

Here is how it works in Sacramento County. There has been a nearly 30 percent drop in sales tax for Sacramento County over the past five years. Property tax funds an even larger share of county budgets, and plummeting real estate values have meant even less income for counties to pay their bills.
During the current fiscal year (2009) , Sacramento's assessed property values dropped by 6.4 percent, and the outlook is for a continued decline into next year. And, the ongoing budget-crisis impacts from the state also caused by the financial recession, which cut funding for counties, yet still requires them to provide costly programs. The reality is that almost all of California's counties are facing significant budget shortfalls resulting in cuts in programs, services and staffing.
Natomas Unified was one of the early casualties. Now, most of the school districts in the area are facing a budget crisis and laying off thousands of teachers. Many more will follow- even with the teachers giving up salary. The states and California are in a downward spiral and it will continue for at least 3-4 years. The children, and the working people are paying for the robbery of the financial classes.
Today, Californians are working harder and earning less
while corporate profits soar. As homeowners, consumers
and students we see our wealth being stripped away by
banks. Our government plunges into debt waging
trillion-dollar wars. Meanwhile, our infrastructure
erodes and climate change proceeds unchecked. Schools,
daycare centers, senior citizen facilities, clinics,
parks and firehouses are starved for funds so that
corporations and the rich can get billions in tax
breaks!

Corporate America's unprovoked assault on working
people has been carried out by manufacturing a need for
fiscal austerity. We are told that there is no more
money for essential human services, for the care of
children, or better public schools, or to help lower
the cost of a college education. The fact is that big
banks and large corporations are hoarding trillions in
cash and using tax loopholes to bankrupt our
communities.

Spending on social needs is not the reason governments
at all levels are facing massive budget short falls.
Our debt and deficit problems are a direct result of
corporate tax rollbacks, and the extortionist policies
of banks and financial institutions that are engaged in
a coordinated and massive wealth transfer from the
people to their own coffers.
Attend the National Teach In on the economic crisis, April 5, at CSU-Sacramento.  11 A.M.
http://progressiveforum07.blogspot.com/2011/03/teach-in-april-5-national-effort.html

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December 18, 2010

Natomas school district budget crisis

A news story in today's Bee recounts the budget balancing of the Natomas School District by teachers giving wage concessions.

How did we get into this fix?  Well, first was the economic collapse caused by the bankers and the real estate fraud artists.  That took 13 Trillion from the economy crashing the U.S. and the international economy.  That produced a dramatic drop in sales tax and property taxes and a California economic crisis.  School funding reveals the nature of crisis.  In the last two years the k-12 budget “solutions” have cut 4.6 billion dollars from the schools. We have larger classes and fewer teachers.  School reform has stopped- except for the politicians hot air.  School funding makes up a total of 30% of the state budget.  Any crisis in the state budget and any cuts in the state budget will make school budgets worse.  The crisis will get worse.
California will need to raise taxes to fund the schools and to repair the social safety net.  Anti tax radicals and Republicans  oppose any tax increases.
Natomas was one of the early casualties.  Many more will follow- even with the teachers giving up salary.  The states and California are in a downward spiral and it will continue for at least 3-4 years.  The children, and the working people are paying for the robbery of the financial classes. And, they just held up unemployment benefits until the Republicans gave them a $700 Billion tax benefits. 
See the prior posts on the financial crisis and the state budget crisis.

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December 3, 2010

Bee editorial board bargains against the teachers

Today's Sacramento Bee editorial calls for an infusion of new leadership to keep Natomas Unified from failing.  As described yesterday in the post below - Natomas is not failing.  It is under funded as are almost all schools districts in the state.  The Bee editorial board calls for "civic leaders"  to let Natomas Unified teaches know that they should settle and take a 7.9 % pay cut to balance the budget.
However, California school budgets are all in crisis and they will continue in crisis for several years as a consequence of the economic collapse of the housing market and the financial heist of Wall Street. ( See "the Best Way to Rob a Bank is to Own One" in the archives of this blog.)
I would like to see the "civic leaders", including the Bee editorial board insist that the state adequately fund our schools.  Poll after poll show that the tax payers want their schools adequately funded, but the legislature has refused, and has been unable to fund the schools in this crisis. The Robles-Wong suite against California on school funding makes these points well.
This kind of crisis will engulf more and more school districts.  Those unwilling to take on the corporate elite- like the Sacramento Bee editorial board- will continue to call for the teaches to take the pay cut.  The Financial Crisis Inquiry Commission chaired by Phil Angelides will soon make their report showing who really caused the crisis and who profited from the economic crisis. The Bee calls for new leadership but does not call upon the financial insiders to be held accountable and to pay for the crisis they have created.  The students will have a reduced education and the Bee will castigate the teachers. That is our future for the next few years.

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December 2, 2010

School district not going broke- Natomas

The headline in the Sacramento Bee today  says, “School district is going broke,” Dec.2,2010. P. B1.  The article by Diana Lambert.
The article, and the headlines, miss the major points, create a distorted frame for the story, and assign blame for the wrong problem.
The issue is that the Natomas schools have cut their budgets by $31.2 million, and now, due to the failure of the legislature to adequately fund the schools, they must cut even more. Natomas is not a troubled school district. Like all districts it must respond to the draconian cuts imposed from the state.

The new superintendent and the school board wants the teachers to take a bigger pay cut.  That is, they insist that teachers take pay cuts to respond to the failure of the legislature to adequately fund the schools.  The Bee regularly argues that teachers should take these cuts.

These cuts hurt children. Already the district has raised its class size from 20 to 25 in k-3. This means that some children will not learn to read and some will not learn math. It is difficult to make these cuts since they damage the quality of education.


Appointing a financial monitor is a means of enforcing a failed state policy of budget cuts. An accounting view of the problem is that the district must make the cuts. An educational view of the problem is that the School Board has a responsibility to provide a quality education for all the children.

The children did not cause the economic crisis. Major banks and corporations like AIG and Citi corp looted the economy creating an international meltdown. Now, they have been rewarded with bail out money and Wall Street has recovered.  Meanwhile, the anti tax crowd roars, - no new taxes and the Republican Party minority used the anti democratic 2/3 vote rule last year to  prevent raising taxes.

The result. Each child have about $1,400 less spent on their education this year. This in a state that already ranks 49 out of the 50 states in reading. Children will have larger classes, they will learn less, and they will have less support. The County office of education nor the independent consultant will provide help for this real problem.


The  cuts are imposed by the economic crisis- not the school board and that the cuts hurt children. These kinds of severe budget cuts are occurring in schools throughout the state.  The difference is do the school board pass on the cuts and do the teachers accept the cuts.  What would be an alternative?  Well, if the Congress passed a financial transaction tax of say .25 %, their would be money for the schools and other needed projects.  Notice. You pay 8% tax on all purchases, but when finance capital buys and sells stocks, they do not pay a tax on these sales. 
Notice also, that the stimulus funds sent to the schools this year to create jobs are being held by several districts.  And, given the Republican win of the control of the House of Representatives, it is unlikely that further stimulus funds will be passed.
  All the well informed economists predict that this economic crisis will last at least two more years and the fiscal crisis in the states - including California- will last years beyond that.  That is, there is no improvement coming in California school budgets.  The quality of education in the schools will continue to deteriorate.

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September 28, 2009

Natomas; more cuts

Natomas cuts;
An earlier post criticized the Sacramento BEE article by Diana Lambert on budget cuts in Natomas Unified School District. I criticized the framing of the story and the emphasis on Natomas as a “troubled” district.
On Friday, Sept. 25, the writer Diana Lambert published a follow up article on the budget cuts noting that the County officials told Natomas to cut $200,000 more from this year’s budget and $5 million from the budgets of each of the next three years.

The issue is that the Natomas schools have cut their budgets by $31.2 million, and now, due to the failure of the legislature to adequately fund the schools, they must cut even more. Natomas is not a troubled school district. Like all districts it is responding to the draconian budget cuts imposed from the state.

These cuts hurt children. Already the district has raised its class size from 20 to 25 in k-3. This means that some children will not learn to read and some will not learn math.
Appointing a financial monitor is a means of enforcing a failed state policy of budget cuts. An accounting view of the problem is that the district must make the cuts. An educational view of the problem is that the School Board has a responsibility to provide a quality education for all the children.


The school children did not cause the economic crisis. Major banks and corporations like AIG and Citi corp looted the economy now children must pay the price.

The follow up story continued the frame of the school monitor as shaping up the district – that is the viewpoint of the writer.
At least now they have recognized that cuts are imposed by the economic crisis- not the school board and that the cuts hurt children.
These kinds of severe budget cuts are occurring in schools throughout the state.
BTW. Neither of the major efforts to re-write the California Constitution would respond to these school budget crises. Repair California or California Forward.
Duane Campbell

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September 24, 2009

Budget cuts to Natomas schools

The Sacramento Bee has its top story in the Our Region section for Sept. 24, 2009, “Troubled Natomas schools will get county education office help.” By Diana Lambert. Here: http://www.sacbee.com/education/story/2205459.html

The article, and the headlines, miss the major points, create a distorted frame for the story, and assign blame for the wrong problem.
The issue is that the Natomas schools have cut their budgets by $31.2 million, and now, due to the failure of the legislature to adequately fund the schools, they must cut even more. Natomas is not a troubled school district. Like all districts it must respond to the draconian cuts imposed from the state.

These cuts hurt children. Already the district has raised its class size from 20 to 25 in k-3. This means that some children will not learn to read and some will not learn math. It is difficult to make these cuts since they damage the quality of education.

Appointing a financial monitor is a means of enforcing a failed state policy of budget cuts. An accounting view of the problem is that the district must make the cuts. An educational view of the problem is that the School Board has a responsibility to provide a quality education for all the children.

The children did not cause the economic crisis. Major banks and corporations like AIG and Citi corp looted the economy creating an international meltdown. Now, they have been rewarded with bail out money . Meanwhile, the anti tax crowd roars, - no new taxes and the Republican Party minority uses the anti democratic 2/3 vote rule prevent raising taxes.

The result. Each child have about $1,400 less spent on their education this year. This in a state that already ranks 49 out of the 50 states in reading. Children will have larger classes, they will learn less, and they will have less support. The County office of education nor the independent consultant will provide help for this real problem.

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