COMMENTARY
Education cuts put recovery at risk
Disinvestment in schools will discourage employers
BY JENNIFER M. GRANHOLM
This past week, superintendents, teachers and parents journeyed to Lansing to demand that the Legislature raise money for the School Aid Fund to prevent the deep cuts that will begin impacting our schools within weeks. I strongly support their efforts to prevent these cuts from happening. You don't need to have kids or grandkids in public schools to know that funding for education is vital to Michigan's economy.
This past week, superintendents, teachers and parents journeyed to Lansing to demand that the Legislature raise money for the School Aid Fund to prevent the deep cuts that will begin impacting our schools within weeks. I strongly support their efforts to prevent these cuts from happening. You don't need to have kids or grandkids in public schools to know that funding for education is vital to Michigan's economy.
Michigan is undergoing an unprecedented, historic economic transformation. The global manufacturing economy has shifted, and Michigan must accept the change and adapt. There's no time for denial, blame or finger-pointing; we must face this new reality head-on. What is the fundamental strategy for success in overcoming this challenge? Education, education, education.
An educated work force is the single most important asset we can have if we want to attract new investment and new good-paying jobs to our state in this knowledge-driven economy. Without action by the Legislature now, schools will have to disinvest -- laying off teachers and increasing class sizes. It has been estimated that these cuts could eliminate three thousand to five thousand jobs in our schools. The Legislature would justifiably do back-flips to bring a major employer with that number of jobs to our state. But so far, with an equal number of jobs at stake in our schools, the Legislature appears to be sitting on its hands.
The cause of this financial crisis in our schools could not be more clear. When our largest employers go bankrupt and citizens lose their jobs, state budget revenues plummet. It's particularly true for the school budget, which is funded in large part by the sales tax. When people don't shop during a recession, money for schools disappears. That's why our School Aid Fund is in deep trouble. Both of the state's nonpartisan fiscal agencies have issued warnings: There is not enough money to fund schools at current levels. The law mandates that when the money is not in the bank, school funding must be cut. But the story doesn't have to end there.
I have asked the Legislature to do two things. First, pass an immediate solution now. Second, work with me on long-term solutions to stabilize funding and reform our education system. In the short term, the Legislature can pass three targeted revenues to soften the blow to schools: freeze the personal exemption on the income tax at this year's level ($55 million), reduce special interest loopholes as much as we have reduced state government departments ($150 million) and tax loose tobacco and flavored cigarillos as we tax cigarettes ($35 million). These three, narrow measures would be a small price to pay to prevent devastating mid-year cuts to our schools.
Schools understand that they will have to accept some cuts this year. They will have to share services and consolidate. Teachers and administrators all must have skin in the game to channel every available cent to the classroom. But the additional deep cuts the Legislature is forcing on these schools cannot stand.
In addition to closing the gap in our School Aid Fund, the Legislature must act now to restore the Michigan Promise scholarship. In order to move our economy forward, we set an audacious goal of doubling the number of college graduates. The Michigan Promise scholarship, promised to almost 100,000 college students this year alone, has been a key part of that strategy. The Legislature eliminated it in the budget, making it much harder for Michigan students and Michigan families to afford higher education. I am asking the Legislature to raise the funds to keep that Promise. It is not too late.
Whether it's in our K-12 schools or in our colleges and universities, we must commit Michigan to educational greatness, not mediocrity. Every economist agrees that if we want a vibrant, diverse economy, we must have a skilled, educated workforce.
That's why I am joining with students, parents, educators and citizens across our great state to fight for a stable stream of revenue to ensure that goal is met. There's no more important issue in our state today if we want to promote economic recovery and more good-paying jobs in Michigan.
Jennifer M. Granholm is governor of Michigan.
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