Education

House GOP pans new school tax plan, suggests spending cuts

House Republicans listen to Minority Leader Patti McCoy (center) call for a better school funding solution than the Yield Bill passed out of Ways & Means Wednesday. Page photo.

By Guy Page

House Republicans Thursday rejected the latest proposed fix of the $200 million education revenue shortfall and instead suggested a combination of budget cuts and longterm ed funding reform. 

The so-called Yield Bill, H.887, was passed 8-4 out of the Ways and Means Committee on Wednesday. It creates two new forms of taxation – a “cloud tax” (Internet services) and a short-term rental (“BnB”) tax, and proposes a 15% property tax increase – down from the proposed 20%.

The proposed 20% tax hike sent shockwaves through Town Meeting voters, who rejected budgets in 30 school districts. Since then, 14 of those budgets have been revoted, and 11 have failed again. Rep. Carolyn Branagan of the Ways and Means Committee said Wednesday – the day after Fairfax, one of the towns she represents – said Vermont is experiencing “an old-fashioned school revolt.”

“Put simply, the projected property tax increase for this year will hurt Vermonters and our economy and we cannot let that happen,” Rep. Patti McCoy (R-Poultney), House Minority Leader, told the assembled press as about 25 GOP House members stood behind her. 

McCoy fixed the blame squarely on the Democratic House supermajority.

“At a time when housing costs and interest rates are elevated, high property taxes will make our housing crisis worse,” McCoy said. “We have been acknowledging the property tax rates are going to be an issue since the December one tax letter was delivered by the tax commissioner. It is frustrating that the committees of jurisdiction have waited until April to start addressing when we have known this crisis was coming. 

“We should have been talking about this every day of the session, along with housing. And now the yield bill has passed out of House Ways and Means after 10 drafts and we are being told there’s not enough time to do anything serious,” McCoy said. 

Some of those earlier drafts contained a plan for mid-term and long-term cost containment – something the Republicans on the committee demanded. 

However, in the final version that section was stripped out – much to the disappointment of Republican Ways & Means member Scott Beck (R-St. Johnsbury).

“Albert Einstein once said that the definition of insaniyty is doing the same thing over and over again and expecting different results,” Beck said. “Without those provisions, we’re simply left with insanity,” 

“It [the Education Fund] has grown from $1.5 billion to $2.3 billion in only 10 years,” Beck said. “It’s now bigger than the General Fund – first year it’s actually been bigger.”

Why not cut spending, instead?

Beck and others were asked where they might cut spending, and in particular education spending. Suggestions:

  • Stop spending $30 million in universal school meals, first approved during the pandemic era using federal funds. Vermont could return to its previous practice of using federal funding for free and reduced meals for only low-income children. 
  • Take a second look at allocating $1 million for ‘community schools’, a program that expands public school access to social services, Rep. Casey Toof (R-St. Albans) said. 
  • Oversee all Vermont public schools with one, single school district – an idea advanced without success by former Rep. Larry Cupoli (R-Rutland). This super-district would greatly reduce administrative costs without impacting in-school services, he said. 
  • Take aim at Vermont’s 4.4-1 student-to-staff ratio – the highest in the nation, Beck said. 

Gov. Scott weighed in on criticism of H.877, scheduled for a full House vote next week:

“Vermonters already face a daunting tax burden. Too many are struggling to get by, and simply cannot afford to see their costs continue to go up. Vermonters have also made themselves abundantly clear: taxes are crushing them.

“Months ago, when the December 1 property tax projection letter came out, my team warned about the consequences of such a historic tax increase. Unfortunately, many in the Legislature brushed it off and downplayed it. For years, I’ve voiced my concerns about the sustainability of our education system and  have offered ideas for the Legislature to consider that would contain costs. They have rejected those ideas, time and time again – without following through on solutions of their own.

“Today, it is clear the House’s only plan is to accept an unbearable property tax increase, without any cost containment, while adding other taxes and studying the problem for a couple years. That means we’ll be in this same mess for years to come. I cannot accept this, I know Vermonters won’t, and I hope the Senate doesn’t either.”

Categories: Education, Legislation

7 replies »

  1. Why not stop handing out money to the special interest groups that waste money on ‘who-knows-what’ each year. Public Private leach entities who get Govt grants to do whatever they want. We don’t know what they do with that money. What % is toward conferences and parties and new office chairs rather than going to the programs that say they are providing?

  2. Why not try reducing the layers of management. We don’t need a Pentagon establishment. McKinsey is good at this. Test all students and assign them with their peers. This would address bored lead students, lost strugglers and wasted teacher time. When I was in 6th grade we had some students 16 years old. But, when someone graduated they did have some skills.

  3. Thanks for trying and proposing this, but this will go nowhere !!

    As we have a DemocRATic ” super majority ” and this gaggle of fools will never surrender the power, or use common sense, all they’ll understand is if they are removed from the power

    Any interest of the people is not on their agenda, and whatever common sense plan you have, will never come to fruition………………. wake up people.

  4. Staff, staff, staff, staff, cut staffing! On my way home the other day I came buy the Calais Elementary school. I wish I’d stopped, and counted the cars in the parking lot, beacuse it hit me that their were more cars in the lot than there are students in the school ! Why ? Staff, staff, staff, staff ! Do we really need to have a student to teacher ratio that is as low as we have ? No !!!!

  5. I’m tempted to quote: “Forgive them, for they know not what they do.” But it’s probably more appropriate to say, “Remember in November!”

  6. Teachers are in bondage to our state run “plantations” and their union overseers. Exorbitant funds go to support ORGANIZATIONS not learners. Teachers are locked in. It’s the only game in town. Emancipate them. Let them sell their considerable skills directly to parent trying to educate their kids. Parents know the teachers, school services, and curriculum they want. Redesign the kerfuffle we have so teachers and parents can do business with each other.

  7. Re: A “… super-district would greatly reduce administrative costs without impacting in-school services, he said.”

    Are you kidding, Mr. Beck. Since when has more centralization improved anything in education?

    Would this articles author, our referenced representatives, or anyone else commenting above, explain why there exists the persistent, if not resolute, disregard for what has proven to be the single most effective cure for our dystopian public schools? Namely, School Choice – i.e., an educational free market.

    It’s as plain as the nose on our collective faces. Representatives Peterson of Clarendon, Branagan of Georgia, Demar of Enosburgh, Higley of Lowell, Williams of Granby, and Wilson of Lyndon, introduced H.405, “An act relating to school choice for all Vermont students”, more than a year ago. And the bill is surprisingly well constructed. But not one word about it in this missive.

    I understand that the educational ‘administrative state’ is threatened by School Choice, in the same way that any monopoly is threatened by competition. And I understand further that more than 37,000 people are employed directly by the monopoly (not to mention the various private sub-contractors and NGOs also stalking their financial prey at the great education watering hole), and that they will have to reconfigure their modus operandi to be more efficient and productive in a free market. But hey, isn’t that the whole idea?

    Why not promote H. 405? – cut spending AND improve outcomes at the same time!

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