Voice of MN Education

MASA... "At the Capiitol" w/ Charlie Successful Ending

The final report from MASA on the 2008 legislative session by Charlie Kyte, Executive Director

Click on the video below for a quick summary of the 2008 legislative session. The video is of Charlie Kyte on the Capitol steps the morning after the session ended.

There are audio and video versions of this report on the MASA Website (www.mnasa.org).  Just click on the word BLOG in the middle of the page and then click on the audio bar or on the video.  Each is about 6 1/2 minutes long.

HARD NEGOTIATION, BUT A SUCCESSFUL CONCLUSION

The hours dragged by, but everyone stayed calm.  In the end the Legislature and the Governor came to an agreement that corrects the state's budget deficiency and still get a few dollars to schools.  We had a long weekend at the Capitol. I, along with a few other education lobbyists, were there late into Friday evening, from 8:30-AM Saturday to 5:50 AM on Sunday morning.  Our ace lobbyist Valerie Dosland was there again from noon to midnight on Sunday.  But the deal got done.

VALERIE'S SUMARY TO BE POSTED LATER TODAY

As soon as it is ready, we will post Valerie's summary of the legislative session.  It should come on-line by this afternoon (Monday)

MONEY FOR SCHOOLS

1% ($51/ pu) for one year and 1% ($51/pu) in transfer authority from Capitol Funds were approved.  Q-Comp excess funds are frozen for 1 year.  Beginning in 2009-2010 Districts will also begin receiving money from the School Trust Fund Lands.  In the 1st year, this will be about $30/pu.  This has the potential to grow over time.

NEW LEVY AUTHORITIES

There are 3 new levy possibilities for schools.  Each will affect only some districts.  The first is an increased lease levy authority (from $100 to $150).  The second is levy authority to pay back money for the federally funded LCTS programs where counties and districts had an unfavorable audit.  This money can be paid back over 3 years and schools can use their judgement levy authority.  This effects the school districts in 13 counties.  Finally schools can now bond for post-retirement obligations and then levy over future years to pay off the bond.  This is a complicated authority and Districts will want to study this carefully before using it.

BACKGROUND CHECKS

Schools will be able to use private security firms to do the BCA background checks on new employees if you prefer to do that.  In addition, schools will need to do background checks on all coaches (paid and volunteer) in the future.

STATEWIDE HEALTH INSURANCE

The legislature passed a statewide educator's health insurance Bill. The Governor's has just vetoed this Bill. MASA had strongly recommended a veto. PENSION BILL SHOULD BE SIGNED BY THE GOVERNOR The Pension Bill contains several improvements and also calls for a study to improve the retirement benefits of post 1989 TRA members. There is a reasonable hope that the post 1989 issue will be resolved next year.

DEPARTMENT OF EDUCATION HAS BUDGET CUT BACK

All state agencies, including the Department of Education received a 4% reduction in funding. The MDE is already understaffed and this cut back will be challenging for them. As an added comment, Commissioner Seagren worked hard all weekend to help secure a decent outcome for schools.

THANK YOU'S AND NEXT YEAR

It is time to thank legislators. Please take the time to write a note to your local legislators. In a difficult budget year, they kept working until an agreement was reached. Even a small amount of additional money for schools should be acknowledged when many other areas of government were taking cut backs. Also, if you came to the Capitol during the session and met with leaders, be sure to drop them a note of appreciation as well.

"On the Road w/ Charlie".... Friday quick update

This is a quick legislative update on the Friday prior to the end of the MN legislative session. By Charlie Kyte, Ex Director, MASA

The audio podcast is 7 1/2 minutes long. Just click the audio bar above.

BUDGET NEGOTIATIONS ONGOING

Talk, talk, talk.... maneuver, maneuver, maneuver!!! The state budget needs a near $1 billion downward adjustment. We will need to see if an agreement can be reached or if the Governor will need to simply begin the 'unallotment' process. At least the 2 sides are remaining calm and somewhat cordial. Reminds me of some of the contract negotiations I have been involved in over the years.

EDUCATION POLICY BILL

The Governor has vetoed this Bill. There is some talk in the Senate of bringing the less controversial portions back in a separate Bill, but we have indications that the House Education Leadership prefers not to do this. We will wait to see if anything actually happens here.

EDUCATION FINANCE BILL

This Bill provides $51 per pupil unit for one year and uses the excess Q-Comp money as part of the funding to do so. It is likely that the Governor will veto this Bill which he has to do by Saturday. The legislature could then either attempt an override, or they could put a compromise Bill together that provides a bit less funding and protects some of the Q-Comp money so that this program can continue to slowly expand.

We will need to wait and see how this issue is resolved.

STATEWIDE HEALTH INSURANCE

This Bill is on the way to the Governor. It requires that only 'fully insured' companies bid to provide the statewide insurance. This in turn will raise the cost substantially, but it does remove the objections of the MN Department of Commerce. MASA has sent a strong letter to the Governor recommending the 'veto' of this Bill. The Governor has 14 days in which to make a decision on this Bill and it can not be overridden anymore in this legislative session.

We are anticipating that the Governor will veto this Bill.

PENSION BILL

The provision improving pensions for post 1989 hires was removed from the BIll. This is actually a good thing as that provision would have been costly to school districts and would have caused a 'veto' of the Bill. Instead language was inserted to study this issue and that will set up a good possibility of this issue being fixed in 2009. There are some improvements in 403b limits and in retirement earnings limits. There is also the requirement that 403b vendors be a negotiable issue.

It is likely that the Pension Bill will be signed by the Governor.

BEAUTIFUL WEEKEND..... BUT NO SUN BURN FOR LOBBYISTS!

The legislature will meet right through the weekend. As long as there are education related issues 'in play', we will be at the Capitol. My garden won't get planted, but then again, I won't get sunburned.

MASA... "At the Capitol" w/ Charlie.... Final Manuevering

There are 10 days to go in the Minnesota State Legislative session. This is a report on how K-12 education is affected. By Charlie Kyte of MASA.

The accompanying audio pod cast is 7 1/2 minutes long.

TUMULTUOUS PAUSE:

The BIG Finance Bill has now cleared the conference committee process, but is still being held while negotiations with the Governor go on. This is the Bill that cuts back on the state budget, but does contain a one-time $51 increase for K-12. The money for this increase comes from the excess Q-Comp money. While this move is opposed by the Governor, it is only one small part of a larger Bill.

It is unclear at this time if the legislature wil continue to compromise with the Governor or if they will send him a Bill he opposes. IF he opposes, he could veto the Bill and then the legislature may have a run at a 'veto override' if time permits. There is also a chance of a Special Session. I explain this more thoroughly on the audio pod cast.

Watch the accusations fly over the next few days. It will be good political theater.

DOLLAR'S, POLICY AND PENSIONS:

As I said above there is a possibility of $51 ppu on a one-time basis, but don't spend it yet.

The Governor will get the K-12 Policy Bill soon and may veto over controversial language about the revised school report cards.

STATEWIDE HEALTH INSURANCE:

Within the last 48 hours Education Minnesota began to push forward publicly on the Statewide Health Insurance Bill. They are looking for a committee that will put it into play. We believe they will succeed at this and the Bill will probably once again land on the Governors desk. It is likely to be vetoed.

ECFE VARIANCES:

This over site from last year has been corrected. Now schools can ask for variances for ECFE teachers in the same fashion as for other teaching staff.

REGIONAL MEETINGS SCHEDULED:

Charlie will be coming to a number of region meetings in the next few weeks. Included are:

St. Cloud........ May 13
Mankato........ May 21
Staples......... May 22
Chisholm....... May 28
Marshall........ June 4
Baudette....... June 5
Lakes Country. June 26