Gov. Gary Herbert has shown how Utah schools could get the funding they need despite a new tax reform law that cuts $160 million in income taxes, the main funding source for public and higher education.
While state lawmakers seldom follow any governor’s budget recommendation fully, his proposed budget for 2021, unveiled Wednesday, still ought to give some comfort to educators who have been worried about the effects of tax reform. It’s clear he intends to keep education whole. Surely, many lawmakers do, as well.
The Utah Education Association has declined to throw its support behind a petition drive aimed at reversing tax reform, saying it wants to take legislative leaders at their word that funding solutions will be found during the upcoming 2020 legislative session. But an air of uncertainty has existed ever since the reform law was enacted.
Lawmakers may grant local school districts greater leeway in raising property taxes for general purposes, with the state chipping in extra money to equalize those receipts between wealthier and low-income districts. But once lawmakers convene and begin the political process of drafting the budget, nothing is certain. The governor has at least set a good tone.
Last month’s special session, in which a tax reform bill was passed, made drafting a budget proposal difficult this year. Herbert and his staff don’t know whether school districts will get that extra property tax authority. They also don’t know whether voters next fall will decide whether to free up the income tax to fund more than just education.
Despite the uncertainty, Herbert’s budget would add about $292 million to public education, putting his total requested amount at $4.9 billion. His budget also would increase the weighted pupil unit by 4.5%.
Significantly, the governor’s budget also includes a plea to lawmakers to let voters decide whether to change the state constitution to allow the governor to directly appoint members of the state school board. Currently, voters elect those board members, but the governor believes his office should be directly accountable for education. This is a controversial proposal that has failed previous legislative attempts, despite support from some key members of both parties.
The fact that Herbert is not running for re-election this year gives this recommendation extra weight. It’s clearly based on principle, not self-interest.
The fact that Herbert is not running for re-election this year gives this recommendation extra weight. It’s clearly based on principle, not self-interest.
We note that not all education news is good. In 2013, the governor articulated the goal of having 66% of adults in the state earn a degree or post-secondary certificate by 2020. That effort has failed and is no longer part of official discussions, although some have advocated extending it to 2025. In 2017, data showed only 44% of the state had reached this goal. That represents an improvement, but given the advantages post-secondary education brings, we wish 66% still was a point of emphasis.
Also of significance, Herbert’s budget recommendation includes $66 million to improve the infrastructure needed to enhance electric vehicles by incentivizing the private sector to build more charging stations. Considering electric vehicles make up only 2% of the total vehicles on Utah roads, and considering the perennial concerns about air pollution in the state’s most populous valleys, this is a prudent suggestion. It’s also in line with his goal to reduce per capita emissions by 25% between now and 2026. Another $34 million would be set aside for expanded transit options.
The governor also would give state workers a 2.5% pay raise, and he would set aside $635 million in the rainy day funds.
Budgeting is easier when times are good, and there is no mistaking that this is a time of prosperity in Utah. The governor has proposed a prudent, balanced budget that calls for zero new borrowing while calming the fears of public education.
Now it’s up to state lawmakers to see if they can do as well.