In my opinion, Senator Miller is banking on the idea of keeping the uninformed residents of Franklin Township riled up, but the tide is turning and pressure is mounting on her. Those who have taken the time to educate themselves by doing their own homework and having direct conversations with Senator Miller to ask her the tough questions... they are seeing this isn't a local issue. This is a big problem the state has generated... and they have no reasonable answers. Why? Because they honestly did not foresee the impacts of the property tax caps. That in itself is okay. You can't foresee every problem. It is the fact that Pat Miller and other representatives ignored the pleas of the school system since the first conversations about the idea of tax caps - when everyone knew the impact of this long ago - that is what has made this a state problem.
You don't have to listen to me. The rest of this blog entry will not be my made up of my providing you with information or sharing my opinions. Rather, it will be information and opinions from 3 other people. The first two will be emails shared with me from Franklin Township Residents Paige Green and Todd Colip. Paige recaps a direct conversation she had with Senator Miller and Todd shared a message he sent directly to Senator Miller. The third piece of information is Dr. Bourke's Message to the Franklin Township Community in reply to the accusations made by Senator Miller.
PAIGE GREEN
Greetings,
As many of you opened your mail today, you found a letter from Senator Pat Miller. Senator Miller is voicing her disapproval of the transportation situation. Immediately, I contacted Senator Miller. I asked her to outline her five alternative solutions. Three of the solutions involve borrowing more money or extending the period for the current debt. Borrowing more money does not seem like the path to balanced budget.
The fourth solution was to use the district's Rainy Day Fund. I reminded Senator Miller that the State currently has over a billion dollars in its Rainy Day Fund. Then, I asked why the State's elected officials aren't distributing that money to the school districts. She had no response.
The fifth solution involved legislation. Unless she has authority to call a special session, nothing will happen before 2012 when our state reps and senators reconvene.
I do hope others will find a few minutes to contact Senator Miller.
Below is Geoff Horen's comments regarding the transportation situation. I hope you find his history lesson helpful. Our school system is one of the best in Indiana. The teachers and administrators need our support to continue this success. Take just a minute to contact a teacher, staff member or administrator to voice your support and appreciation for his or her work and accomplishments.
Sincerely,
PaigeDR. BOURKE
Dear Neighbor,
Students have returned to Franklin Township Community School Corporation, Marion County’s number one school district, for the 2011-2012 school year. The faculty and staff begin the school year enthused, despite all of the changes forced by massive budget reductions, knowing that their dedication and hard work sets the bar for academic success in Marion County. If you have not heard, your Franklin Township schools ranked No. 1 among county schools for the 2010-2011 school year.
By now, you are probably aware that the school district not only had to close three schools, it had to cease the service of general transportation for its students this school year. These are changes that have been predicted for years as a result of Indiana’s school funding formula and dwindling property tax revenue. Transportation is still available for a fee by contracting with a driver through Central Indiana Education Service Center (CIESC), a state agency that assists school districts in sharing services and cooperative purchasing.
Last week most of the community received a letter from the Pat Miller For State Senate Committee. In her letter, Sen. Miller is highly critical of the efforts by the Franklin Township Board of Education to balance its budget and preserve educational programs. As a resident and taxpayer in Franklin Township and Superintendent of its schools, I would like to address several issues that Sen. Miller mentions, but fails to explain.
In a cooperative effort to provide transportation, FTCSC sold a number of buses to CIESC for $1. We did this so the CIESC did not have to purchase buses at a much higher cost. That higher cost would have been passed on to the parents with a higher fee. What Sen. Miller fails to state in her letter, though she is aware of this fact, is that sales contract for the buses stipulates that they can only be used to transport FTCSC students. It also stipulates that should CIESC ever cease providing transportation for our students that FTCSC can buy the buses back for the same price $1. In 2010-2011 the cost of transporting a child aboard our buses was approximately $550 per year.
In a comparable situation, it is interesting to note that Sen. Miller’s supportive vote of the charter school legislation this past session allows for our three temporarily unused vacant school facilities to be sold for $1. Once these schools are permanently sold to these private charter school groups, FTCSC loses them. These are school buildings that we may need again and for which you paid.
Sen. Miller in her letter also points to the fact that FTCSC has $17 million in its Rainy Day Fund (RDF), which is true. The board and I have worked hard to move as much money to that fund as we could the past few years to prepare for today and our future. During 2011 we will receive $16.6 million (36%) less than what the Department of Local Government Finance certified as necessary to pay for our property tax fund operations. Once we pay our debt and our utilities not only is our transportation fund left at zero, so is our Capital Projects Fund (CPF). It is from the CPF that we pay for all of the costs associated with classroom technology, instructional equipment, and for all maintenance and repair to facilities and equipment. We plan to use the RDF to reduce the burden on our General Fund for the foreseeable future. If we use the RDF dollars to support Transportation, within approximately five years the RDF will be gone, and we will be back to eliminating transportation, cutting teachers and quality programs again to pay for CPF expenses. The voters have told the district twice – “balance the budget.”
In an effort to solve the FTCSC financial crisis, Sen. Miller recently hosted a public meeting with representatives from several organizations just a few weeks before the first day of the 2011-2012 school year. Here are some of the options that were generated from that meeting and Sen. Miller supports.
The first option was to use our Rainy Day Fund. I have already addressed reasons for rejecting this option. Options 2 and 3 involved an interest free loan for $6 million from the state’s Rainy Day Fund or from the Common School Fund. Six million dollars will only fund transportation for two years and would have to be repaid within six years. This is really no different than spending our Rainy Day Fund
The fourth option is a new law that allows school corporations to restructure their debt by extending it over an additional 10-year period of time. This is similar to stretching a 30-year home mortgage to a 40-year mortgage. This sounds good at first until you realize that the additional 10 years of interest payments will add an additional $150,000,000 to FTCSC’s debt, according to the State’s own budget consultants. To do this, a community petition and remonstrance process would need to be supported. This proposed debt restructuring would result in everyone paying more taxes for a longer period of time. That is not what the taxpayers in Franklin Township want.
The fifth option is to work with the legislature to pass new laws that would alleviate the tremendous negative impact of property tax caps on FTCSC (the highest in the State).This is not a new option and is one that FTCSC has been trying to do for several years. FTCSC has been asking the legislature, including Sen. Miller, to address the discrepancies in the school funding formula for years. And when the impact of the property tax cap became clear, we pleaded for assistance. The legislature failed to respond or help. Sadly, state funding for FTCSC only slightly improved after the district joined other school corporations in suing the State for lack of uniformity in funding.
I encourage you to call me if you have questions regarding any of these issues. I can be reached at 862-2411. I also encourage you to call Senator Pat Miller at 894-7023 to ask for her support to restore adequate funding for education and services to families in FTCSC.
And, please take the time to thank Franklin Township educators who continue to provide your kids with the best public education in Marion County.
Sincerely,
Walter D. Bourke
TODD COLIP
Senator Miller,
I am going to try to keep this short...
It is my opinion that your letter I received last night is absolutely irresponsible for someone that we are counting on for leadership at the state level.
First of all there were not 300 people at the July 26 meeting. I was there as well.
Secondly...your comment about the selling of the buses $1 is a blatant misrepresentation of the facts. You know good and well that there is so much more to it than that...There are several other terms of the agreement that do more good than harm. These things help me draw my conclusion that this letter is a feeble attempt at making sure the folks that are uneducated on this subject become angry, remain uneducated and they will hopefully not direct their concerns to you and your peers at the state level for the huge part they have played over the years, in helping to create the catastrophe that we are dealing with in Franklin Township. For someone in your position to attempt to place the blame of this situation solely on the shoulders of Dr. Bourke and the current school board members in completely thoughtless. I have been close to this situation for the last 7-8 years and know (as well as I hope you do) that there are several factors that have lead us to this point. (State, local, school corp, unprecedented growth, tax caps, housing bubble, flawed funding formula, lack of commercial development, overall economy, previous admin., overspending, apathy) While it would be hard to get the entire public in Franklin Township to sit still long enough to allow someone to give them all of the facts... I take great exception to the fact that you have used this situation to try to gain votes from the people that don't know all of the facts. If you are looking to appeal to the uneducated voter, that is your choice..., it is a gamble. I can tell you with great certainty, based on feedback that I have been involved in for the last 24 hours, that you have lost numerous votes from educated members of this township and I am one of them.
This is another reason that I am also a huge advocate for TERM LIMITS!!!
Respectfully,
Todd Colip