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Funding under voucher expansion worries admins
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MONROE - Area school administrators are grappling with how state funding of their districts could be affected under a proposed expansion of the voucher school program.

Gov. Scott Walker has proposed expanding the voucher school program by $73 million across the state as part of his 2013-2015 budget. Under the voucher school program, parents receive a voucher to pay for their child's tuition at a private school. The Milwaukee voucher, or school choice, program began in 1990 to give low-income students the ability to attend private school. It has since been expanded to include Racine County and, if Walker's proposal is approved, would be extended to include school districts that have at least 4,000 pupils and two schools ranked as failing or not meeting state expectations. There are currently nine other school districts in the state that meet those requirements, including Madison and Beloit.

Supporters of a voucher school expansion maintain the programs strengthen public schools by giving parents a choice in their child's education, promoting competition that will help under-achieving public schools perform better, and saving taxpayer dollars.

But opponents, including the Wisconsin School Administrators Alliance, say the program siphons money away from public school districts that are already financially stressed. Figures from that group show Milwaukee and Racine private schools received $157.8 million in voucher program payments in 2012-13. The state budgetincludes an additional $18.4 million to voucher schools in 2013-14 and an additional $54.7 million in 2014-15 to cover a proposed increase in the per-student payments for voucher school programs.

They point to figures that show voucher school programs receive $6,442 per student in state aid annually, compared to the $4,900 average districts across the state receive per pupil. In Walker's proposal, the amount paid for voucher students would increase to $7,050 for kindergarten through eighth grade students and $7,856 for high school students.

Voucher school programs won't have an immediate effect on enrollment in Monroe, Business Manager Ron Olson said, who agreed with the assessment that voucher school programs funnel funding away from public school districts.

But there could be ramifications from decreased state aids to public schools. Walker has proposed a 1-percent increase in aid for public schools with a zero percent increase to the revenue limit, the amount local school districts can levy.

The Monroe school district received $6,177 per student for this school year, Olson said. The state gave public districts a $50 per pupil increase in funding for this school year, following a cut of $550 per student the previous year. But Olson said the $123,000 bump Monroe received was a one-time increase and will not roll over to 2013-14.

The district operated with a $1 million deficit this year, and, Olson said, if the district receives a zero percent increase to anything less than a $50 per student increase, it will be in a budget hole.

Brodhead School District Superintendent Chuck Deery said his district has lost $1 million in state funding the last two years.

"I don't think this is any secret that it's a way to get in the door and they will be able to expand it (voucher programs) statewide," Deery said. "I believe it will direct money away from public schools to private schools."

Deery said Brodhead is projecting an $830,000 deficit for 2013-14. In April, voters in Brodhead approved an $800,000 referendum over three years that will help cover most of the projected deficit. However, district leaders still may face a deficit if the $50 per student funding isn't restored or increased.

"The reason we went to a referendum is we were at the end of the road of what we could cut," he said.

Black Hawk Superintendent Willy Chambers said if the $50 per student funding isn't awarded again, the district will start 2013-14 with $100,000 less in revenues.

"The reality is the sum of the money that comes off for that (voucher expansion) comes off the top of state aid and all public schools will get less state aid," Chambers said. "There will be a need in the next three years for property taxes to increase to compensate for that."

Chambers said the district is planning on maintaining current staff, but with declining enrollment, it's something they will review in coming years. After next year, Chambers said, Black Hawk is projecting to have eight to 10 less students. The district already opted to close the middle school in Gratiot last year as part of $340,000 in savings.

"We will plan the budget with a zero-percent increase," Chambers said. "We have been holding off for the state budget. I don't think it will be done in time."

Some lawmakers have proposed an increase in the revenue limit of $150 per public school student. Rep. Janis Ringhand, D-Evansville, opposes the voucher school expansion and is hoping a compromise can be reached between a revenue limit freeze and a $150-per-student increase before the budget is voted on, which she estimates will be by July 1.

"It's at least something," she said of a possible increase. "It's getting tougher for them (school districts) to operate without an increase. We have to take a look at that."