University of Maryland College Park                                           Office of Executive Programs

Newswire Week 12 (12/16-12/22)

 

LOCAL

Glendening sends proposed capital budget to Ehrlich

The Associated Press State & Local Wire _ December 20, 2002, Friday

http://wire.ap.org/public_pages/WirePortal.pcgi/us_portal.html

 

Gov. Parris Glendening has turned over to his successor a proposed capital budget that he said stays within spending guidelines while maintaining his commitment to public school construction.
The governor's plan calls for spending a little over $1 billion to buy land and construct and renovate buildings during the fiscal year that begins next July 1. It includes $150 million to help counties and Baltimore pay the cost of building and maintaining public schools. The governor also proposed spending $197.7 million for land and buildings for public colleges and universities.
Glendening also included about $117 million for land preservation programs that were a top priority during his eight years in office.
Chuck Porcari, the governor's spokesman, said Glendening and Gov.-elect Robert Ehrlich discussed the plan Wednesday before it was forwarded to Ehrlich's staff.
"The governor characterized it as a very cordial and productive meeting," Porcari said.
There was no immediate response from Ehrlich's staff about Glendening's plan. Ehrlich can make whatever changes he wants to reflect his own priorities before submitting the budget to the legislature.
Porcari said the capital budget "fulfills the governor's promise to fully fund school construction and other priority capital projects."

 

ACROSS THE NATION

Tennessee

School construction demands accountability

The Commercial Appeal (Memphis, TN) _ December 18, 2002 Wednesday_Editorial

http://newgomemphis.com/newgo/core/archives.htm

 

Several Memphis Board of Education members continue to defend the current formula that distributes tax money to the city and Shelby County school districts for capital projects. They say the state-mandated formula, which is based on relative pupil attendance, provides an essential guarantee that the city system can meet its vital school construction and maintenance needs. 
That position entitles taxpayers, parents and local officials to ask in return: How accountably and efficiently has the school board spent capital money? The apparent answer: not very.
The Commercial Appeal reported this week that the board has agreed to spend as much money per square foot to make limited repairs to two city schools as many districts across the Southeast spend to build schools from the ground up. The newspaper cited a credible industry consultant who said the $14.9 million the board plans to pay to replace air-conditioning and heating systems at Longview Middle School and Whitney Elementary School is more than twice as much as the work should cost. Board members have challenged the newspaper's analysis rhetorically, but have done nothing substantive to refute it. Schools Supt. Johnnie Watson, whose staff also concluded the contract for the two schools costs too much, has distanced himself from the board's decision.
The city board already spends twice as much per square foot as its county counterpart to build schools. All of which suggests County Mayor A C Wharton is on the right track when he proposes replacing the automatic aid distribution formula with a mechanism that would respond to the demonstrated construction needs of the city and county systems.
Both districts should get the money they truly require; neither should be expected to cut corners on construction and maintenance. But their boards should have to make the case before, not after, they get the money.
Hubon 'Dutch' Sandridge, who chairs the city school board's construction committee, seemed to reflect the sentiments of his colleagues when he said they had no choice but to award the expensive heating and cooling contract to the sole bidder, Honeywell International. He told The Commercial Appeal: "If no one else bids the job, then that's it. Boom, that's all you have."

Arizona

Lawmakers withhold inflation boosts for school building work

The Associated Press State & Local Wire - December 19, 2002, Thursday

http://wire.ap.org/public_pages/WirePortal.pcgi/us_portal.html

 

Lawmakers preparing to wrestle anew with budget shortfalls voted Thursday against adjusting school construction and maintenance for inflation despite the threat of a possible lawsuit.
The Joint Legislative Budget Committee, an oversight panel, voted to leave unchanged per-square cost factors used to calculate state funding given to school districts to build and maintain schools.
The threat of a possible lawsuit came from an attorney who represented school districts whose lawsuit challenging inequities in local school funding prompted the Legislature to create the statewide Students First school building program in 1998. The Students First law requires the Legislature to annually adjust the cost factors.
"Unless and until the law is changed, JLBC has no discretion and must make an annual adjustment," attorney Tim Hogan said in a letter to committee members.
The School Facilities Board's recommended 4.8 percent inflation adjustment from a construction cost index would cost an estimated $9.4 million in the next fiscal year.
Rep. Laura Knaperek, R-Tempe, urged colleagues to not make an adjustment so that lawmakers reporting for the 2003 regular session can consider all cost-cutting options.
"Every dollar that we are spending here is going to hurt something somewhere else so it just leaves me with this uncomfortable feeling," Knaperek said, "All the next legislature to look at the big picture."
The state still faces a $300 million shortfall in the current fiscal year despite $200 million of spending cuts and other changes made during a November special session. Lawmakers also face a projected $1 billion shortfall in the next budget.
Ed Boot, the Facilities Board's acting director, said the Students First law still permits the agency to provide extra funding for construction projects on a case-by-case basis if warranted by circumstances.
No adjustment means fewer schools can be built within the funding provided under the formula, Boot told the lawmakers.
"That will occur. I'm prepared to deal with that if that is the committee's choice," Boot said.
Hogan said later he would consider "taking legal action against them to enforce their obligation."
"They wrote this law. They made the law and they keep on breaking it," he said in an interview.
Hogan won rulings by a judge that lawmakers twice acted illegally by suspending state payments for building maintenance. The state is appealing both decisions.

Wyoming

School construction

Wyoming Tribune-Eagle _ December 20, 2002 Friday

http://www.wyomingnews.com/archive.asp

 

State Rep. Tony Ross, R-Cheyenne, is sponsoring a bill that is sure to anger many Wyoming property owners. But the reality is that Mr. Ross is doing want needs to be done.
He is sponsoring House Bill 37, which calls for a two-mill levy on the assessed valuation of property in this state for the sole purposed of school capital construction. Wyoming lawmakers need to find a way to help fund about $500 million worth of school capital construction (that could rise as high as $1 billion if bonding is used). That's because they've been ordered to do so by the Wyoming Supreme Court.

 

Articles compiled by Sujin Bae

Graduate assistant for the School Construction Funding Project

Van Munching Hall University of Maryland, College Park, MD 20742-1821

poissone@wam.umd.edu