The Need for Educational Reform

The Need for Educational Reform 

Wyoming now spends more money, per student, than any other state in this nation…over $13,000 per student. We have spent over $1 Billion dollars on capitol construction. Our teachers start at $40,000. I list this, not because I think it is too much, but because I question whether we, as a society, are getting what we are paying for.

 

Only 76% of our students ever attain a high school degree of any sort, exactly the national average, and the lowest in the region. Two-thirds of those who do graduate, say that they aspire to some sort of post-secondary education, but only one-third of them are academically ready. Perhaps, most disturbing of all are the students who earn a degree, only to find that they need remedial classes to do college work!

 

An abundance of financial resources for mediocre to poor results is cheating our future citizens, and is not acceptable for parents, dedicated educators, employers, or taxpayers. What we have is a situation that demands radical change.

 

So, what do we do? The Educational System, writ large, is like changing the course of the proverbial Ship of State…only worse. If there was ever a megalithic, monolithic, entrenched, bureaucratic, immutable monster where everything is linked to everything else, and every good, bad, or indifferent idea is backed up by reams of “research based data,” fraught with fears of faddish innovations with disastrous consequences…this is it. What happens, as a result, is more of the same…only louder, and slower, and longer, and with more bells and whistles in more expensive surroundings.

 

One way to focus change is around the Three ‘R’s: Rigor, Relevance, and Relationships. High school graduation in Wyoming is based on 9 standards, and a diploma can be earned with proficiency in only 5. It is possible to graduate without knowing how to read, write, balance a checkbook, or determine fact. Proficiency in the core subjects: language arts; math; science; and social studies, should be required to receive a diploma.

 

For some students, traditional education has little relevance to their lives. Wyoming needs a skilled, educated workforce that knows how to use technology. Students who come out of today’s Career and Technical Education (CTE) courses are prepared for the world of work, and they consistently score higher on achievement exams in core subjects like English, math, and writing, then do their counterparts who go through traditional classrooms. It would be a mistake to make a knee-jerk reaction and focus only on the academic classrooms.

 

And, finally, relationships…as one passionate educator put it so succinctly, “the key is relationships.” When a group of drop outs were polled the top reasons they gave for leaving school were: 1) “I was bored;” and 2) “nobody cared whether I stayed.” The complicated truth includes dysfunctional families, substance abuse, and issues outside of school walls. Nonetheless, we can find better ways to organize schools so that every student has educators who know their strengths, their weaknesses, and who provide early intervention. It is no anomaly that the highest performing schools in the state, are also the smallest. Instead of consolidating schools, we ought to be breaking them up into smaller, more personal learning environments.

 

Finally, the key is choice. In a sparsely populated state with enormous distances this can be difficult, but we have the ability, and we have the resources, to provide meaningful choice if we leverage technology and innovation to do so. The monopoly of traditional public education must end. We need to encourage charter schools, magnet schools, private schools, home schools, and distance education programs. We need to build choice into public education enrollment policies. We need to get rid of road blocks to college dual enrollment, and advanced placement courses. Without choice, students and parents are forced to endure a system that in far too many cases, is failing miserably. It is said that a child can overcome one bad teacher, but if they wind up with bad teachers for two years in a row, they never recover. Without choice there are no consequences for a failing school, or a failing teacher—no incentive to make the drastic changes that are so desperately needed.

 

There is plenty of work that needs to be done. To assume that these are problems for the educational system, and that they, alone, will solve them, is no longer an option. For the good of our nation, our state, and our children, there is work for us all. Let’s do it.

 

The Hathaway Scholarship

A few years ago, when the State of Wyoming was literally swimming in more mineral generated money then they could responsibly spend, they did at least one very good thing—and that was to establish the Hathaway Scholarship. When the $400 Million dollar permanent trust fund is completely full, predicted to be around March of 2008, it will provide a perpetual amount sufficient to grant this scholarship from the income of the fund alone. Although, we are not the only state to have a merit scholarship of this type, we are the only state in the union to have a completely funded permanent trust to support the scholarship.

 

It is hugely appropriate that this scholarship be named after our beloved Governor, Stanley K. Hathaway, who was a World War II war hero, and a humble, but very effective leader, and governor from 1967 to 1975.. Hathaway participated in 35 successful missions over France and Germany, but his 401^st Heavy Bombardment Group suffered a high casualty rate. It is said that for years, after serving as a gunner in the Army Air Corp during the war, that he would relive the nightmares of those days in his dreams. My husband, a Vietnam veteran, experienced the same vicious cycle of nightmares for many, many years—and still has a bad night every once in awhile—nearly 40 years later. Our American Veterans Day should not be the only day in the year when we acknowledge and celebrate the sacrifices and commitment of our military men and women.

 

But the main reason that it is so fitting that this scholarship be named after Governor Hathaway, is because he was the leader who first implemented a mineral severance tax in Wyoming, and the leader who established the Permanent Mineral Trust Fund. In the lore of the State, it is said that when he took over the office, the State was flat broke, and going in the red, fast. He asked how much money was in the General Fund, and someone came in and said, “$89.00…Governor, what are we going to do?” Stan said, “the first thing we are going to do is stop writing checks.” After that, they went to work and figured out a way to keep the state on its feet.

 

That legacy is what has fueled the tremendous wealth of this state, which allowed for the possibility of such a scholarship to every Wyoming kid willing to put in the effort. While that legacy has been our savior many times over, and no doubt will be again, it is my fear that our nearly total dependence on mineral revenue, will also be the bane of our demise.

 

In regards to the Hathaway Scholarship, itself, the program is very new. Last year was the first year that scholarships were distributed. During the General Session in January and February, we passed a controversial “Success Curriculum,” including a very strong emphasis on math, science, English, and foreign language, that is now required of students if they want to get the scholarship. One of the problems is that it is almost totally focused on those students who are headed for a four-year degree at the University. Statistics point out that only 1 in 10 people ever complete a 4-year degree, and work in their chosen field after graduation. Wyoming desperately needs Career and Technical Education (CTE), but these are the programs and educators who are being cut statewide, in order to provide more of the academics.

 

What we need to do is keep the educational bureaucracy from smearing an overabundance of complicated rules and regulations, and tricky model-driven redistribution schemes, over the whole thing. It is designed and intended to help any deserving high school student, who has worked hard enough to earn decent grades, and who has studied hard enough to pass the ACT Tests with a good score, to attend a one, two, or four-year post-secondary institution without the added stress of figuring out how to pay for it all. We should keep it as simple as that. We need to provide incentives to do good work once you have earned a scholarship. We need to provide a way to regain the scholarship if you slip out of eligibility, for whatever reason. And we need to make sure that it truly does encourage students to gain the credentials for opportunities that are available right here in Wyoming—whether that be at a one-year certification/apprentice program, a two-year Associates Degree, or a four-year Baccalaureate degree.

 

My father, Dick Wallis, (who is, by the way, a Korean War veteran), spent many years working hard to better the education system in this State, both as a local school board member, and as a legislator. When talking about the potential of the Hathaway Scholarship, he had this brilliant advice for all of us:

 

“Keep it simple…and, make it fair.”

 

Property Taxes and Governmental Accountability

Property taxes come up in a lot of the conversations I have these days. On one hand, it is true that the citizens of Wyoming enjoy one of the least onerous taxing environments in the United States, mainly because we have figured out how to get somebody else to pay our bills for us—namely, the mineral industry. It is true that we pay an average of $3,300 a year in taxes, and receive something in the neighborhood of $33,000 in government services in return. Not a bad deal, some would say.

On the other hand, when you are looking at your property tax bill, and you see that the value of your residence, and consequently the taxes that you pay, have doubled, tripled, or even quadrupled…it is pretty easy to get up in arms. Then you look up, and see that the state, cities, towns, counties, and special districts are spending money like there is no end—megalithic capitol construction; gigantic infrastructure projects; programs of every imaginable style and ilk from low-income assistance, to mental and physical health services; recreation; beautification; economic development; fire suppression; water development; and more, and more, and more—all crying for more to feed the insatiable ‘essential’ needs. Where does it stop? And, how did this happen?

It happened partly because the system, as it stands, makes it almost automatic. The Wyoming Constitution addresses taxes in several sections. Firstly, it states that “No tax shall be imposed without the consent of the people or their authorized representatives.” Secondly, the constitution states that all property shall be uniformly valued at its full value. The constitution designates three classes: 1) the gross production of minerals and mine products in lieu of taxes on the land where produced, which are assessed at 100%; 2) property used for industrial purposes, assessed at 11.5%; and 3) all other property, real and personal, assessed at 9.5%. While the three classes are designated in the constitution, the percentages for each class are set by the legislature.

Herein, lies one part of the problem—the constitutional requirement to value all property at its full value. That means that if you are fortunate enough to live in a pretty place that is attractive to movie stars and millionaires, or in an area of booming economic expansion, or just next to a subdivision where people are moving in and developing nice homes—that the value of your property is going to inevitably ratchet up as the properties around you are bought and sold and built for higher and higher amounts. Say, for instance, that you are the typical Wyoming family with Mom, Dad, and a couple of kids living on an acreage with a good house that you bought some years ago for under $100,000. Since then, you’ve built a shop, put in some nice landscaping, made some other improvements, and have comfortably increased that value to $150,000, or even $175,000. Then, the big pasture next door gets sold to a developer who starts putting in multi-million dollar home sites—all of the sudden, your property is enormously more valuable—and you’ve got the tax bill to prove it that has exponentially exploded.

Some would say, “you lucky family, your net worth has just gone through the roof through no effort of your own…live it up.” That, however, is small consolation to a family struggling to make ends meet. What are they supposed to do? Sell it and go start over someplace else? How fair is that?

Now that we have taken a look at the individual end of the taxing spectrum, let’s move to the other end, and take a look at what happens on the governmental level. Taxes are always levied in mills, and one mill equals $.001 or 1/1000 of a dollar. In the Wyoming Constitution all taxes are addressed in terms of language that says a levy “shall not exceed” a certain number of mills. Currently, the mill levies for schools are statutorily set as “mandatory” at the maximum not to be exceeded in the constitution.

Here is a streamlined version of how the taxing system works from the government end. The County Assessor certifies the value of all property in the county every year. There are mechanisms in place whereby the State Board of Equalization makes sure that this is done properly. Budgets are developed by the various entities and submitted to the county commissioners, who then has the taxing authority to actually levy the mills necessary, up to the constitutional and statutory limits that are in place.

So, if the property valuation increases dramatically within a taxing district, the actual revenue garnered from the same mill levy results in substantially more income for the government. Currently, there is very little accountability, or even visibility, when this happens, and for elected officials it is apparently a lot more fun to spend money, then to give it back to the taxpayers by not taking it in the first place.

To address this specific problem I have asked the Legislative Service Office to draft legislation that would tie property tax valuation to the mill levies so that when the valuation goes up, the mill levies automatically come down, with a formula to account for inflation, so that the end result is essentially the same amount of actual dollars available to the government from one year to the next. The draft legislation also removes the mandatory language from the various school mills, so that they can be adjusted like every other property tax.

This legislation does not impede the ability of any taxing authority from setting mill levies, as they have always done, up to the limits, but it does bring the whole process out in the open—which makes it a much more transparent, and accountable process. Instead of a stealthy windfall to spend freely, your elected taxing authorities would now have to publicly take action to raise the mills from their adjusted amount, and in the process, would have to justify why they need the extra dollars.

Since it would work both ways, in that in a district where the valuation is dropping, the mill levies would be automatically adjusted upward, within the limits—this should be comforting to smaller, and more vulnerable districts, as it would provide a reliable, steady, amount of dollars to meet the budget from year to year.

Now, let’s take this back to our typical Wyoming family—what would this do for them? The end result would be that their property value has still increased to meet the constitutional requirement for full fair market value, but their tax bill has stayed level because the amount of mills that they are taxed on that value have been adjusted downward, and their local governments have been provided with the same revenue as they had in the previous year to supply the necessary services. Everybody wins.

As we prepare for the Wyoming Legislative Budget Session in February, I ask for your support with this initiative. If you would like to talk to me about this, or any other issue, please call me at 307-685-8248, or email at sue.wallis@vcn.com.

Send us a Responsible Budget!

As one of the most fiscally conservative members of the Wyoming House of Representatives, I am calling on like-minded citizens and taxpayers to sit up and pay attention. The old saying goes, “no one’s ranch is safe while the Legislature is in session,” and there is maybe a grain of truth in that. It is time to watch our pocketbooks, and hold governments accountable.

 

Budget season comes right along with hunting season in Wyoming. The agencies have submitted their budgets to the Governor. The Consensus Revenue Estimating Group (CREG) has just delivered their report, which tells us how much money is projected. The Governor is required to make his review and recommendations to the Legislature by December 1^st. Then the CREG report will be adjusted in January, if necessary, and the Budget Session will begin on February 11^th.

 

When the CREG report came out last Fall, it looked like the State was in for a windfall to end all windfalls…to the tune of $800 million extra dollars. A spending frenzy began.  Then natural gas prices started falling, and when the revised CREG report was issued, that $800 million had shrunk by $250 million to a mere $550 million. Mind you, that is still $550 million dollars more than was expected the previous year.

 

The Governor sent us a budget that spent every last red cent of that illusionary $800 million dollar surplus. When the January revised CREG came out, he had an opportunity to adjust what was now an over-inflated, and impossible budget.  For political reasons of his own, he took the easy way out and left it to the Legislature. That way he had ample opportunity to complain, loudly, and with as many microphones and cameras in the room as possible, that the Republican legislature was decimating the State budget.

 

Another common theme that we heard from the “tax and spend” crowd was that the foolhardy Legislature was refusing to divert money out of “savings” where it would only earn a pittance, at best, when there are all of these huge, and necessary, needs going unfunded.

 

My logic is different:  1) our minerals are a tremendous asset, and will remain an asset to the State while in the ground—but, we can’t spend them; 2) once those minerals become feasible to produce, someone will take the opportunity to do so, pay their taxes, and the State will have the revenue—and a choice.

 

One choice is to spend it on immediate needs, additional State employees, and big, expensive programs. That choice, while providing a modicum of instant gratification, inflates State government to the point that it will be impossible to maintain once the easy money is gone.

 

Another choice, a far better one that preserves our minerals-based assets for the future, is to invest it in safe, long-term securities that generate good income that we can guiltlessly spend. That way we can preserve the corpus as a permanent asset of the State forever.

 

State government is, in my opinion, way out of line with reality. In the 2005-2006 biennium alone, the budget increased fifty-seven (57%) percent! Even with a sobering January CREG report last year, we still, I am embarrassed to say, passed a “supplemental” budget that raised the 2007-2008 budget another forty-five (45%) percent. In just the last two biennium’s we have managed to jack the Budget from $1.5 Billion to $4 Billion Dollars!

 

Even more frightening is the knowledge that scientists throughout the world are looking for a way to make carbon-less energy. We may be only about four scientific breakthroughs away from human and financial disaster. This may be our last Boom.

 

We should live within our means, and lay the foundation for long-term—come Boom, or come Bust—security. Many of you feel the same way. This is a call to action. Let your voice and your good sense be heard. Tell the Governor to send us a realistic, and responsible Budget, one that provides what we need, and keeps the long view in mind. Tell your Legislators that it is time to stop diverting money from the Permanent Mineral Trust Fund, and that you expect them to spend the taxpayer’s money wisely. Hold your elected officials accountable.

 

It is the only way we’ll ever stop the hemorrhaging of our mineral heritage.

     

Sue Wallis’ Web Log Begins…

As the Wyoming State Representative from District 52, which is essentially the rural outer rim of Campbell County, Wyoming and includes the thriving metropolises of Recluse, Rozet, and Wright…it seemed like a good idea to use available technology to communicate with my constituents, and “rally the troops” for the good work that needs to be done.

I have recently begun to write a weekly column for the Wright High Plains Sentinel, and will begin by posting those articles here. As I become more familiar with the technology, look for other postings as well.

My husband, Rod McQueary, and I are writers and poets who raise grassfat beef, and make beautiful and useful things out of silver, metal, wood, iron, leather, and anything else that strikes our fancy, on the Wallis Family Ranch north of Recluse, Wyoming, in the beautiful Powder River Breaks on Bitter Creek. You can check out our website at http://www.wallis.vcn.com/humankine.

My legislative website is at http://www.wallis.vcn.com.