Archive for the ‘Open Records’ Category

What Is The Cost of Minority Purchasing Policies?

Monday, June 12th, 2017

What Is The Cost of Minority Purchasing Policies?

June 12, 2017

 

 

What Is The Cost of Minority Purchasing Policies?

 

There has recently been a lot of discussion in the City and the County governments about the amount of minority purchasing and LOSB (locally owned small business).

Both governments have spent a lot of time on studies about how to expand the opportunity of minorities and LOSBs to get a bigger share of the public purchasing pie.

It is difficult to pull together the total cost of these efforts but the 2017 City of Memphis adopted budget shows $895,000 dollars under the title “EQUAL BUSINESS OPPORTUNITY AND DEVELOPMENT PROGRAM”.

Shelby County Commissioners voted to rehire consultants Mason Tillman Associates at a cost of $80,000 to help rewrite the county’s procurement procedures.

The 8-4 vote followed a debate on whether a consultant was needed, whether it could be done locally and whether the contract included litigation support.

Mason Tillman conducted the county’s $310,000 disparity study, which analyzed purchasing data from Jan. 1 2012 to Dec. 31, 2014. They found that contracts went overwhelmingly to non-minority males and that 55 percent of the contracts were awarded to firms outside of the county.

I share their desire to expand their share of the pie and allow qualified vendors to get experience and expertise in this area. My concern is the cost to the taxpayers for this expanded sharing.

The ordinance allows a bidding preference as follows. 5% for contracts up to $500,000 and under, 3% for contracts greater than $500,000 and under $1 million and 2% for contracts greater than $1 million. For construction contracts over $2 million a 2% preference will be given to the general contractor when they include LOSB who collectively have 50% of the total prime contract.

This all sounds very complicated and could involve some serious money.

Again let me say that the ability to help LOSBs to grow and gain experience is a good thing as long as it is limited in cost and time in the future. These businesses should use the public money preference and experience to grow their capabilities so that the major part of their future business will be private sector business.

Now my main concern is seeing these LOSB and minority contracts online with final contract amount and competitive bids clearly shown and the amount of preference, if any, shown online.

For example if the City or the County puts out a bid for cleaning supplies. The taxpayers should be able to see the request for proposals (RFPs).  When the bids are opened, the public should be able to see the bids of all bidders on line. Then when the contract is awarded, the public should be able to see the winning low bidder and the contract amount and all other higher bids. If the winning bidder is not the low bidder, then an explanation should be given publically on line for the choice of the successful bidder selection and the cost preference calculation.  Unless I have missed something online, that is not the current procedure.

In July of 2016 I asked the City and the County for their procedures and here is what they replied.

05/26/2016

Joe Saino

Memphis TN

RE: PUBLIC RECORDS REQUEST of 5/26/2016, Reference # W003337-052616

Dear Saino,

The City received a public records request from you on 5/26/2016. Your request mentioned “When sealed bids are received on a project or item, are the various bids put on line for the public to see and is the low bidder selected and if not are the reasons available for the public to see for the reason that the low bidder is not selected?”

 

Per the custodian:

Once sealed bids are opened and a project is awarded, the losing bids are not placed online—but can be requested via Open Records.  The winning bid is attached to the resulting contract.    If the lowest bid is not chosen, the Division must supply a letter justifying the reasons for recommending that the award be made to a different bidder. (see Section 10.3.1 of the Purchasing Policies and Procedures Manual)

10.3.1 Bid Award. If the purchase was procured via competitive sealed bidding or multi-step sealed bidding, the City will award the purchase order or contract to the lowest and best bidder. The B&C must be accompanied by a copy of the bid tabulation sheet. The bid tabulation sheet must list all bids submitted in response to the solicitation and be signed by the personnel who completed the bid tabulation sheet. If the division recommends that the purchase order or contract be awarded to one other than the lowest bidder, a full and complete statement of the reasons must accompany the recommendation, for review and approval by the Purchasing Agent.

 

This completes your public records request with the City of Memphis.

Sincerely,

Public Records Office

City of Memphis

 

THE FOLLOWING IS AN EMAIL RESPONSE TO A QUESTION TO HARVEY KENNEDY AT THE COUNTY ABOUT RESULTS OF SELAED BIDS.

 

Mr. Saino,

 

In response to your questions:

 

  1. If it is a sealed bid, each vendor can review the results online in Mercury Commerce. If it is an RFP, vendors will have to make a public records request and all of the information can be viewed.
  2. There are other criteria for RFP’s and all bids must meet specifications.  Cost is always an important factor but not the only basis for award.  I could provide you with an evaluation sheet for one of our bids if you would like to see one.

 

 

Harvey Kennedy

Chief Administrative Officer

Shelby County Government

 

As you see it is possible to get this information but it is not easy. Why not put this information online so that the public can look and see the all the bids and the reasons for the selection if not the low bid.

I would like anyone reading this posting that has experience in this public purchasing area to let me know what is really happening. Also I will be asking public officials why the taxpayers cannot know this information and the cost of these policies without having to put in a public records request.

What do you think?

Workforce Development And Training

Wednesday, May 31st, 2017

Workforce Development And Training

 

I am an advocate of open records access and workforce development and training. For many years I have been asking taxpayer funded public bodies for information on finances and evaluation of the effectiveness of the public money that they spend. Some of these bodies are very forthcoming and I would rate the local Shelby County government at the top of the accessibility scale and the old Memphis school board and the successor, Shelby County School Board, at the bottom.

Mainly my focus is local and generally I have not tried to get detailed information on any agency at the Federal Government level. In 2015 there was an article in the CA which caught my eye. This was an article about a $42 million dollar federal grant to provide no-cost career technical and academic training to nearly 300 people over five years. The facility designated was the Dr. Benjamin L. Hooks job Corps center at 1555 McAlister Drive here in Memphis.

As a taxpayer I felt I was entitled to enter and see the facility and learn how my tax money was being spent and how effective was the program. I drove out to the facility one day and was stopped at a guard gate. I told them that I wanted a tour and was told that I would have to make an appointment. I said fine, I would call and make an appointment.

I tried several times and never was able to get to anyone but an answering machine. I left word and a return call number and message but never got a return call. I was frustrated but I did not give up.

This year I tried again and after several calls I got the names of some of the staff. I was able to make a 10 AM appointment with Mr. Smith and I showed up for the appointment at 9:45 at the guard gate. I told the guard about the appointment and was told Mr. Smith was not in. I had the names of several other people and finally the guard tracked down Mr. Harris and I was allowed for the first time to enter the facility.

The facility is interesting. The facility history is that it started out as Memphis Preparatory School which was setup in the face of school integration in the 1970s. It eventually had to close due to finances and the property and the buildings eventually sold to the US Department of Labor for $1.975 million dollars. According to the 2015 CA news story the facility had 232 students aged 16-24 living at the center and 55 non-residential students. According to Mr. Harris this is still the approximate numbers.

I toured the facility with Mr. Harris and saw two dormitories which separately house women and men students. Also there is a child care building for children of the students and outside families able to get into the facility. I viewed classes which included carpentry, industrial electronics and medical and nursing assistant programs and forklift training.

I asked if they published a financial statement and he said he was not aware of one. Concerning performance reports of results I was able to pull up one on the internet as shown from 2012/2013. It showed a graduate average wage of $8.73/hour and a 44.5% full time graduate placement.

Upon further research the facility is run by Minact Inc. under a subcontract with the labor department.

A very interesting thing happened. Due to my telephone requests to the center I got an email from Mr. Wayne Gillard asking me for the best number to reach me. On his email he is listed as “Outreach and Admissions, Job Corps, Alutiiq Commercial Enterprises, LLC, 22 N. Front St, Suite 680, Memphis, Tn 38103.

I looked up Alutiiq and it is listed as a wholly owned subsidiary of Afognak Native Corporation. Here is a statement from their website.

Afognak Native Corporation (Afognak) is an Alaska Native Corporation (ANC) formed under the 1971 Alaska Native Claims Settlement Act (ANCSA) and through the 1977 merger of two Alaska Native village corporations: Natives of Afognak, Inc. and Port Lions Native Corporation. Native corporation shareholders are those Alaska Natives who were alive on December 18, 1971, and have proven their lineage to the respective region and village. Congress termed ANC enrollees “shareholders,” although being an ANC shareholder is truly more comparable to a tribal membership – it is a lifetime enrollment that cannot be bought or sold.

This all seems very strange to me. Is there anyone out there who can provide more information how native Alaskan tribes are involved so deeply in workforce development all over the country?

The Hooks center seems well run to me. My question is “What is the cost per student and what are we spending per student nationally on workforce development? Is our tax money being spent wisely? How can we find out? Open the Hooks center to the public and let the public see this facility as we are able to see Southwest Tennessee Community College and Tennessee Tech. Also provide detailed cost and result information to the taxpaying public. What do you think?

 

The Highland Street TIF District

Tuesday, May 16th, 2017

The Highland Street TIF District

 

TIF stands for tax incremental financing. The theory is that a certain part of a city is in decline and that by creating a TIF district and investing in certain projects in the district, the future for that district will improve economically and that the tax revenue increases from that district year over year will finance the investment required to pay for the new projects in that district.

There is a TIF district on Highland Avenue south of central and the genesis of this TIF district comes from the University of Memphis and their desire to change the area to benefit the university and its growth. The city public library on Highland was closed as a result. The area of the TIF district is as shown on this map.

The finances of this district are as shown on this Highland Row Bond Amortization schedule. I hope that it works financially which depends on the incremental increase of tax revenue in the district  sufficient to cover the bond payments with interest to the tune of almost $26 million.

As I drive around this area along Highland and Ellsworth I wonder about the design and appearance. Frankly in my opinion the apartments along Highland are ugly, boxlike and unattractive. I wonder about the neighbors along the west side of Ellsworth and the future of this residential area. Maybe over time and with sufficient plantings the appearance will improve. What is your opinion? I would love to know.

 

The picture below in the center is a view of the west side of Ellsworth. The picture on the west below is a view of the west side of Highland of some of the apartments. The picture on the right side below is a view of the parking garage for the apartments.

Sleepless Or Desperate In Memphis

Monday, April 24th, 2017

Sleepless Or Desperate In Memphis

April 24, 2017

 

I must admit that I have been sleepless since reading about the Airport expansion and the Pop-Up Park project reported recently in the CA.

As a taxpayer, the Airport Authority and the Riverfront Development  Corporation are two of my least favorite organizations.

First the Airport Authority. This is a big time operation in terms of expenditures but look at the results.

In the year 2000 we had 10.6 million total passengers. In 2007 we had about the same numbers of total passengers. In 2013 we had 5.5 million passengers. Yet in 2001 they were planning the three story parking garage addition. In 2007 they stated in the CAFR that the new garage would proceed at a cost of $70 million dollars. Forward to 2009 and read the Memphis Business Journal article about the new $150 million dollar parking garage. Where did the money come from? $20 million from the Federal Aviation Administration, $50 million from the Tennessee Department of Transportation with the remainder in airport authority bonds. Get the picture. The Federal and State money is free money (it really is taxpayer money) and must be spent regardless of the benefits of the investment.

Then in 2014 here is what was reported.

Memphis International Airport lashed back Thursday at last year’s de-hubbing by

Delta Air Lines with a $114 million plan to shrink the facility but improve the

experience for airlines and passengers.

Airport managers presented plans to spend $3 million tearing down a fourth of the

gates and $111 million upgrading much of what remains. They propose to consolidate activity into a refurbished and expanded B Concourse, mothball remaining gates in the other two terminals and leave ticket lobbies and the front of the airport unchanged.

Now we read the following.

Airport unveils $214 million plan

Memphis International Airport proposes to spend $214 million over five years on a transformative project that will build all-new passenger facilities in the airport’s oldest concourse.

Airport officials on Thursday unveiled a redesign of a three-year-old preliminary concept for B Concourse modernization and said the price tag is up about $100 million from what was previously estimated.

Airport president Scott Brockman said the new number is “all-in,” including non-construction costs and improvements that will help minimize impact on passengers when the B Concourse is shut down for reconstruction in 2018.

The modernization, which should begin in early 2018, will focus on expanding a majority of the B Concourse’s gates, leaving one section the same size but updated. It will literally raise the roof and blow out the exterior walls on the reconstructed sections, increasing ceiling height to 14 to 19 feet from nine feet and widening the concourse by about 30 to 40 feet.

If anyone can make sense of all these expenditures and where we are heading, please let me know.

It seems to me what we need is lower fares combines with direct flights from Memphis to desirable locations. Recently some of my family went to Mexico for spring break. They drove to Nashville to get lower fares and direct flights. Go figure.

Considering the size of the Airport expenditures the Pop-Up Park project seems insignificant by the Riverfront Development Corporation. They want to keep their jobs at RDC and they have to come up with ideas to keep themselves relevant. Put down some basketball courts and a skating rink and then take it back up when Memphis in May is over.

What are your thoughts about these projects? I would love to hear from you.

The Memphis Police Situation

Tuesday, February 28th, 2017

I read Mayor Strickland’s weekly update (https://mail.google.com/mail/u/0/#all/15a4e354e56b4a71) and it was a very thoughtful and informative article on the Memphis police staffing, recruitment and benefit situation. He blames the current shortage of uniformed officers on two things. One was the Memphis pension and OPEB (other post employment benefits, mainly retiree healthcare) unfunded liability. The unfunded liability was so massive that the State of Tennessee Comptroller threatened to take over the city unless it was addressed. This was in 2014. In order to meet this funding requirement retirement healthcare benefits had to be cut and more and more officers decided to retire or resign.

I have written in the past about this situation and it was the fault of past city of Memphis mayors and past city of Memphis City councils that ignored the 2007 GASB 45 regulation that required that pension and retiree health care expenses be recognized as they are earned rather than as they are paid. The Shelby County government did the right thing and the City of Memphis did not and hence the 2014 year of reckoning.

We all want and need good and effective policing as Memphis is earning a bad reputation for violent crime. I want Memphis to hire more qualified officers and apparently Mayor Strickland is moving in that direction. There is one more thing he can do which will help in the future and that is to stop the abuse evident in the City of Memphis pension board. This abuse is the number of LINE OF DUTY DISABILITY approved by this board. In the past I have compared the number of line of duty disability approvals from Memphis to the MLGW and Shelby County. The approval in Memphis is 10 times higher per active employees than Shelby County and the MLGW. Line of Duty disability approval gives the disabled employee a pension of 60% of his highest average salary tax free for life.

The City of Memphis in 2011 had 429 people on line of duty disability costing the City $11.8 million per year. In 2016 the figure is 510 people costing $14.7 million. Compare this with the MLGW employees. In 2008 they had 37 people in this status costing $523,000 per year. In 2015 they had 34 people in this status costing $485,000. Shelby County in 2015 had only 17 line of duty retirees. Compare that to 510 for the City of Memphis. Clearly there is a problem at the City of Memphis and it goes to the Memphis Pension Board and it’s makeup of members. The membership of this board and its rules need to be changed. The numbers of line of duty retirees at the City of Memphis when compared to the MLGW and the County clearly show a problem and the problem should be addressed. Qualified new officers should be paid whatever the market requires but obvious abuses of the system should be stopped.

Why Is Government Purchasing So Complicated?

Monday, December 19th, 2016

December 19, 2016

 

Why Is Government Purchasing So Complicated?

 

In a recent article Daily News article it was reported as follows. “Shelby County Commissioners hold their third meeting of the month Monday, Dec. 19 – and there could be a fourth, depending on what happens on one of two ordinances that would establish new programs for a larger share of county government contracts for locally owned, minority-owned and women-owned businesses.”

 

The locally owned small-business contracts ordinance establishes that 20 percent of the annual purchases of goods and services by county government will be awarded to locally owned small businesses.

 

A local County official told me the following.

 

The Locally Owned Small Business (LOSB) ordinance was passed in 2007 and established a target of 20% of all purchases to be awarded to LOSB’s. There is a bidding advantage for LOSB’s of 5% for contracts up to $500,000; 3.5% for contracts up to $750,000; 2.5% for contracts up to $1,000,000 and 2% for contracts over $1,000,000.  For large construction projects we normally establish an LOSB percentage requirement.  The ordinance does not address minority or women owned businesses, only LOSB’s. The County official stated that they have met the LOSB target each year. That ordinance appeared on its way to final passage at Monday’s meeting, with a nine-vote, two-thirds majority required.

 

The voting problem comes on the ordinance for minority owned businesses. Are we willing to pay from 2% to 5% extra (or even more) to minority owned businesses to satisfy this principle?

 

When I look at the Shelby County website and at the contract reporting page it does not show the losing bids on competitive contracts nor does it show in single source contracts an explanation of why there is only a single source.  I have no problem with paying up to a 5% extra over a limited period (say 2 years) until the minority firms gets their feet on the ground. But the taxpayers should know the facts of the winning and losing bidders and how much extra it is costing the taxpayers to satisfy this minority purchasing principle.

 

Minority firms need to learn to compete for public and private business but we need to open the purchasing records to the public and to make the process easier for firms to bid on public business without all the red tape and paperwork that it now requires. What do you think?

Is Tenure In Education A Good Thing?

Tuesday, December 13th, 2016

December 13, 2016

Is Tenure In Education A Good Thing?

 

There was an article yesterday in the CA concerning the question of how to get rid of bad teachers and how the Shelby County School System (SCS) rates. The report is from the Thomas Fordham Institute. Although the SCS system is rated “Difficult” to dismiss an ineffective teacher, it is still much better than the famous “rubber room” teachers of the New York City school system.

Working people who have to make a living in the private business world are faced every day with the truth that their jobs depend on several things, that is their skill level in marketable skills (computers, medicine, electrical, mechanical etc. etc) and the general business environment which is growing or not. Unions were formed and grew when management abused their power and held wages down regardless of skill level. The principle of tenure (job security based on years of service) is a part of the local teachers’ union contract. Management would like to have job security based on a teacher’s skill level. The union therefore wants provisions in their contract that somewhat protects teacher dismissals from something other than a lack of teaching skills.

Now comes along charter schools, private and parochial schools, home schooling and vouchers. All of these alternatives do away with the tenure principle and job security depends on teaching skill level. With the probable increase of charter schools and vouchers under the Trump administration, the future of tenure will be probable.

This change is coming at the K1-12 level. I have always thought that the real abuse of tenure is at the higher university education level. Real reform should come at this level and let those tenured professors, who in many cases go off the rails on political opinions, face the real world job market based on their marketable skills. Maybe then the price of higher education will come down and the outcome of this college education will improve. What are your thoughts?

What Is The Best Way To Educate Little “SHUTUP”

Monday, December 5th, 2016

December 5, 2016

What Is The Best Way To Educate Little “SHUTUP”

Last week I wrote about Betsy DeVos, the possible new  federal Secretary of Education. She favors competition in education by giving parents a choice between public, charter, private or parochial  schools with the education tax money following the student.

I received a number of thoughtful replies some of them heart wrenching.  One person told me about a young child in first grade when asked his name said it was “SHUTUP”.  Apparently this is not an uncommon happening. Another person told me about two 5th grade boys that he mentors from time to time. They both see professional sports as their only future. One of those students has eleven kids in his dad’s family, and nine in his mom’s.

These stories are not uncommon and it points to the basic problem which is the breakdown of the family structure. It takes a family to raise children, not a village. I do not have the answer to restoration of the basic family structure, but the one problem that I think can be solved is to give a choice to those families that still have an existing family structure and let them choose where their children have the best chance to break out of the poverty/crime cycle that exists today.

Now some good news on SCS transparency. I sent an open records request to Superintendant Hopson asking him for data on Shelby county charter schools and the amount of money given to each. I asked that this be sent electronically and they in fact did send it electronically. I have attached it for our readers’ review. I also looked at the 2015 CAFR (comprehensive annual financial report) of the school system and found that there were 109,950 students (charter schools included) and that the amount of money available per student was $11,583 each. The charter school allocation per pupil was $7734 without transportation and $8030 with transportation. The difference obviously is the cost of the school system bureaucracy and possibly the salary and benefits to the administration employees and the meeting of federal and state regulations.

The new school system CAFR for 2016 should be available soon and I will take a look at it and report. In the meantime I would like your thoughts on the various ways forward to improve educational outcomes of our students. Improvement is critical to our future.

Betsy Devos, Education Secretary, What It Could Mean For Memphis

Tuesday, November 29th, 2016

November 29, 2016

Betsy Devos, Education Secretary, What It Could Mean For Memphis

Recently  I got an invitation from Van Menard to visit a local charter school, Leadership Preparatory Charter School, 4190 Elliston Road, Memphis, Tennessee. The head of school is Ms Valissia Allen, a very smart lawyer born in Detroit who ended up in Memphis via North Carolina.

The visit to the school was quite impressive but I must admit that I have been in very few public and charter schools. Leadership Prep is starting at the bottom of the school age cycle with the first and second grades. They feel that they must get in on the ground floor of the learning cycle if they are to break the disastrous mold of failure of large inner city school populations like Chicago, New York or DC. The children were in uniforms, well organized and disciplined. I asked for test data to compare against other schools and am awaiting the test data to see if what I saw with my eyes can be verified with believable and understandable results.

Thinking about education you cannot help but think about the incoming Trump administration. On the campaign trail, president-elect Donald Trump made many ambitious promises. When it comes to education, Trump is already delivering with his announcement of Betsy DeVos as his pick for the next secretary of education. His choice of DeVos is a clear signal that he intends to be “the nation’s biggest cheerleader for school choice.” The effect on Memphis could be dramatic.

DeVos is a prominent and generous supporter of school choice, which includes empowering parents and local communities to take greater ownership of education policy.

School choice advocates, unlike our local school board, say increased current federal control over education policy is unacceptable. They point to wide disparities in test scores between white and non-white students as proof that urgent action is required to ensure that all students are receiving a quality education. Our local SCS board has filed an expensive lawsuit asking for greatly increased funding. Yet Washington, D.C., despite spending nearly $18,000 per pupil, has one of the worst high school graduation rates in the country. Many students cannot read at grade level. One story I was told during my visit to Leadership Prep was that one child did not know his real name as he had always been called “Hey Kid” or “Buddy”. This is the clay that Leadership Prep is trying to mold.

Here is some of what Ms. Devos proposes to do if confirmed for the Education job.

  1. Re-authorize the Washington, D.C. Opportunity Scholarship Program
  2. Have Federal Dollars Follow Low-Income Students; Not Schools
  3. Continue to Be a Champion for Charter Schools

Charter schools are the fastest growing form of public school options and increasingly popular among African American and Latino students. In some cities, successful charter schools are providing low-income immigrant families with the means to live out the American Dream.

Ever since Lyndon Johnson’s administration embarked on creating the Great Society in the 1960s, a significant sum of federal dollars have been devoted to helping the most disadvantaged students. Today, Title I of the Elementary and Secondary Education Act provides nearly $15 billion in funding for low-income neighborhood schools

Unfortunately, the funding process has grown cumbersome and complicated. More importantly, there is scant evidence that it is truly living up to Johnson’s intention of “providing a good education for every boy and girl — no matter where he lives.”

I look forward to coming changes in education policy and to fostering competition with quality charter schools in competition with public schools. What are your thoughts on public schools, charter schools and private and religious schools, their funding and their public measurable results?

 

 

The Case For and Against The Shelby County School System Education Suit

Monday, November 14th, 2016

November 14, 2016

The Case For and Against The Shelby County School System Education Suit

 

I have reviewed the Shelby County School System (SCS) complaint and the answer by the State against the suit. Also I have reviewed the case brought by Hamilton County and several other Tennessee counties. Here are the essentials.

SCS claims that the State and the Defendants have breached their duties to provide a free, adequate and equitable education arising under the Tennessee Constitution and Tennessee statute.

The Defendants responds that “with regard to their duties and responsibilities and duties, the applicable Tennessee law and constitutional provisions speak for themselves.” The constitution says the following.

The state of Tennessee recognizes the inherent value of education and encourages its support. The General Assembly shall provide for the maintenance, support and eligibility standards of a system of free public schools.

The SCS then goes on to a list of what they call “Relevant Facts”.

They point out that the SCS has made drastic cuts because of a lack of funding and that this lack of funding has directly impacted the SCS system’s ability to provide all of its students with a free, adequate and equitable education pursuant to the Tennessee Constitution and Tennessee statute.

The complaint goes on to list of job cuts caused by funding cuts. They list that their students are mainly African-American, Hispanic and Asian-Americans. They also complain that there are students of non-U.S. origin  and students with disabilities. Also they complain that schools in the District have extremely high poverty rates.

The SCS case is mainly based on their opinion that the State must provide sufficient money per the Basic Education Program (BEP) to guarantee all Tennessee children their constitutionally mandated outcomes.

 

General Overview of the BEP

  • The funds generated by the BEP are what the state has defined as sufficient to provide a basic level of education for Tennessee students. This basic level of funding includes both a state share of the BEP and a local share of the BEP.
  • The BEP has three major categories (instruction, classroom, and non-classroom), each made up of separate components related to the basic needs of students, teachers, and administrators within a school system.
  • Student enrollment (average daily membership) is the primary driver of funds generated by the BEP.
  • There are 45 BEP components most of which are based on student enrollment (ADM). For example, students per teacher, assistant principals per school, or dollars per student for textbooks.
  • Unit cost adjustments (salary, health benefits, insurance) are essential to maintaining a similar level of funding from year to year, due to inflation. For example, in 2006 over 100 million new state dollars were required to maintain full funding of the BEP.
  • The funds generated by the BEP are divided into state and local shares for each of the three major categories (instructional, classroom, non-classroom).
  • The state and local share for each school system is based on an equalization formula that is applied to the BEP. This equalization formula is the primary factor in determining how much of the BEP is supported by the state vs. the local district.
  • The equalization formula is driven primarily by property values and sales tax, applied at a county level. For example, the state and local equalization shares for County System A would be the exact same state and local shares for City System A, within the same county
  • All local school systems are free to raise additional education dollars beyond the funds generated by the BEP.

 

Let’s face it. Education and family are the keys to life success. However there is no guaranteed outcome. The children from educated and wealthier families have a built in advantage. However I know of many instances where these children have blown their advantage and ended up without success or happiness. Our recent election has pointed out the problem we have with the influx and the obligation of educating children of illegal immigrants. We have an obligation to educate them but it obviously drains the available resources.

My opinion is that we need to stick to the basics. Teach children to READ, WRITE AND ADD/SUBTRACT. Give the parents the option to send their children to public, charter, private or religious schools using our education taxes as long as they all meet the state educational standards. But we cannot turn over our taxing authority to local school boards. They must compete with other educational venues and let the winners be those schools that produce the best results.