by Denise Siffarm, Puget Sound School Coalition
The following information is based upon current understanding of ongoing discussions taking place in Olympia. Of course we all know that things can change rapidly, and dramatically, at the Legislature. These issues will, however, be of significant potential impact to K-12 education should they be enacted as a result of the Legislature's work in the upcoming special session.
The Governor is convening a Special Session to address the anticipated $1.5 billion shortfall in the 2011-13 operating budget (the $1.5 billion figure reflects the November 17th updated budget forecast). On October 27th the Governor presented a list of budget reduction alternatives, including her “preliminary choices,” to cut $2 billion in the current biennium (cutting $2 billion will provide the State with some revenue surplus).
The Governor’s preliminary choices would cut $365 million from K-12 funding and include: reducing Local Effort Assistance by $150 million beginning in 2013; increasing class size by two students in grades 4-12 saving $137 million; changing the school bus depreciation schedule saving $49 million; reducing the National Board certification bonus saving $8.4 million; revising the State attendance policy saving $6.4 million; and other cuts. The proposed cuts would likely not start until the 2012-13 school year.
While the focus is on a $2 billion operating budget deficit, it appears likely that the capital budget will also be in a deficit position because lower general fund revenue results in less bond capacity. We anticipate a negative supplemental capital budget. OFM is currently gathering information from agencies to further refine the timing of capital expenditures, looking for ways to reduce appropriations without actually impacting projects.
The Governor is expected to release her proposed budget and bills necessary to implement the budget the week of November 21st. The Special Session convenes at noon on November 28th and could run as long as 30 days, but will likely adjourn before Christmas. The Regular Session begins on January 9, 2012.
