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Where is the light at the end of the budget tunnel?

(Baton Rouge – February 22, 2013) Today’s announcement of yet another standstill budget for public education left the president of the Louisiana Federation of Teachers shaking his head in bewilderment.

“Spending for public education has been frozen for five years now, while costs have risen dramatically” said LFT President Steve Monaghan. “Higher education has been devastated by nearly half a billion dollars in cuts. Health care services to the elderly and poor have been eviscerated."

“Where is the light at the end of this tunnel?” asked Monaghan.

The Federation president was responding to Governor Bobby Jindal’s proposed $24.7 billion state budget, which will be debated in the legislative session that begins on April 8.

Commissioner of Administration Kristy Nichols told the Joint Legislative Committee on the Budget that the budget will include $3.46 billion for the Minimum Foundation Program, a formula which allocates state funds to local school boards. The amount is increased over last year’s $3.42 billion MFP only because the state expects about 22,000 more students to attend school in the state next year.

Jindal told reporters on Thursday that he intends to continue paying for a controversial voucher program and other non-public education courses through the MFP, even though a district court has ruled the plan unconstitutional.

The State Supreme Court is slated to hear arguments on March 19. If the high court upholds the district court decision, the state will have to find money in the general fund to pay for the governor’s programs.

Nichols said that higher education, which has suffered cuts amounting to nearly half a billion dollars over the past few years, will have no change in its funding. Included in the higher education funds, though, is an anticipated $75 million hike in tuition that must be paid by students.

Not discussed at today’s briefing was a proposed overhaul of the state tax code. The governor has said that he wants to abolish the state individual and corporate income taxes and replace them with higher sales taxes and the elimination of certain tax loopholes.

Details of that plan remain sketchy, but observers say that it will have a big impact on the budget as debates are held during the session.

To read more about the proposed budget from Advocate reporter Michelle Millhollon, please click here.

To read how local school superintendents are reacting to the fifth frozen MFP formula, please click here for Advocate reporter Will Sentell's article.


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