From Deseret News archives:

Issue of day: cutting taxes or raising teacher pay

Published: Wednesday, Feb. 20, 2008 12:44 a.m. MST
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The Utah Education Association thought it might be a budgetary stretch to fund a full 7 percent increase in the WPU — which would cost around $178.5 million — plus a $2,500 raise, which costs around $86 million. Each 1 percent boost in the WPU costs $25.5 million, according to the Legislative Fiscal Analyst.

"We're hoping to do as well this year as we did last year," when legislators gave a 4 percent WPU hike, and teachers received a $2,500 raise and a $1,000 bonus, UEA government relations director Vik Arnold said. "But we recognize to fund that kind of package again is not looking good."

The UEA is working to set up a meeting with the governor on education funding.

"We are still hopeful that we can have a combination of educator salary adjustment, plus a WPU increase sufficient to cover health insurance increases and funding for the many programs that school districts provide that depend on the WPU," Arnold said.

There must be a changing of attitudes following the disappointing revenue estimates, Curtis said. And part of that must be from Huntsman himself, who is still saying he wants to fund state programs like he suggested in December, said the speaker.

But, says Curtis, Huntsman is still demanding a 7 percent increase in next year's funding for schools — which comes through a yearly adjustment in the state's Weighted Pupil Unit.

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So if Huntsman sticks by his 7 percent increase for the WPU, there may not be enough money for his health care reform tax cut, or a guaranteed $2,500 per-teacher pay raise, as well, said Curtis.

Of note: The Public Education Appropriations Subcommittee last week prioritized a $2,500 raise plus a 3 percent increase in the WPU.

Of course, the state still has a lot of money. Curtis told his caucus that between this year and next, there will be an additional $777 million.

But the question is where those revenues come in — which state funds — and whether those tax surpluses are one-time events, or ongoing revenue growth.

Tax cuts have traditionally been from ongoing revenues. And there is $149 million less in the Education Fund in ongoing revenues now than was believed in December.


E-mail: bbjr@desnews.com; jtcook@desnews.com

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