Lawmakers discuss alternate solutions for Utah's education budget

Lawmakers discuss alternate solutions for Utah's education budget

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SALT LAKE CITY — A pair of lawmakers raised concerns Wednesday over appropriating funds for a potential education ballot initiative and suggested earmark budget reform as a way to find more funding for public schools.

Sen. Jerry Stevenson, R-Layton and chairman of the Executive Appropriations Committee, spoke at a panel hosted by the Salt Lake Chamber. He proposed changes to state budget earmarks as a means of freeing up money for increased spending on public education.

The panel addressed desires from a group of business leaders pushing for increased education spending as part of a potential 2018 ballot initiative. The group, Our Schools Now, want a state income tax increase of about 7/8 of 1 percent. The proposal would raise the tax rate from 5 percent to 5.875 percent and would generate about $750 million in new revenue for education.

"That translates into asking each Utah family to vote, if that’s where we do this, on the ballot to raise their taxes ($500) to $600 a year," said Rep. Brad Wilson, R-Kaysville and Utah's House majority leader. "That's a pretty big ask."

Wilson said the proposal would also be problematic as it would lessen the incentive of out-of-state companies to bring business growth into the state. The Republican representative also discussed the political difficulties that lawmakers face in proposing tax increases on their constituents.

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Budget concerns shaped the panel discussion as it approached the issues of education, tax and regulatory reform and infrastructure.

The Salt Lake Chamber released a priority statement, which spelled out its support for a number of legislative items for the upcoming session:

  • Increase accountability and investment in education to create a skilled workforce for Utah.
  • Review existing taxes, fees and exemptions in the state tax code to help solve challenges in education funding.
  • Support noncompete agreements and other post-employment restrictions that fairly protect employers and employees. The chamber also supports the 2016 compromise on these issues and proposes research and data-collection before further efforts are made on the issue.
  • Regulatory reform, including a rulemaking note from the Legislature on all bills that implement new regulations.
  • Private and public cooperation on matters relating to infrastructure development.
  • Improve air quality in ways that promote cleaner vehicles, increase access to transit and minimize costs to small businesses.
  • Sensible reform to the state liquor laws, which it feels will promote public safety and help prevent underage drinking while providing hospitality for tourism and business recruitment.
  • Investment in water use data and for adaptive water strategies for the state.
Education remained the central focus of the discussion at the panel, though the lawmakers noted a number of outside factors, referenced in the priority statement, that would be important in creating solutions.

"We have less money to solve today’s critical needs than any time in the history of the state of Utah, percentage-wise," said Stevenson. "And it’s because we have earmarked so much of the money that comes into the state into specific areas, that they don’t have the latitude really to change a lot of that."

Stevenson said that there is an expected $75 million to $100 million in earmarked funds for the 2017 session, an amount similar to previous years. The weighted pupil unit represented a majority of the earmarked budget, he said.

Lane Beattie, the president and CEO of the Salt Lake Chamber, joined with the lawmakers in emphasizing the need to solve education and budget problems legislatively. He recalled the work of the Legislature in producing effective solutions for infrastructure in the lead-up to the 2002 Winter Olympics, and cited the example as one of effective leadership and solution-making.

"We need to support them and let them know that we do have great expectations," said Beattie, emphasizing his support for the Legislature in the upcoming policymaking.

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Ryan Morgan

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