The Tax Shift is Back

Florida satae Sen. Paula Dockery pressed Sen. Stephen Wise on how the teacher Merit Pay plan was going to be paid for. Wise stumbled and eventually admitted that the Florida legislature wasn't going to budget a penny for merit pay.

Sen. Paula Dockery, R-Lakeland, pressed Wise on where the money would come from, and if the $700 million the state is receiving as part of federal stimulus money and part of the Race to the Top program would leave the state's education funding in the lurch after the federal money dries up.

"We need to be accountable to taxpayers. How far will the $700 million go?" Dockery asked.

Wise said that state statutes already require school districts to create their own year-end tests, and that money for the creation of new tests and for raises included in the bill would come from state's traditional funding mechanism for local school districts, the Florida Education Finance Program (FEFP).

What Wise did with his bill is what I have called in the past a tax shift. Here is what I wrote about how former Gov. Jeb Bush forced local communities to raise property taxes to make up for the state's education cuts.

Wayne Garcia has noted that Floridians are displeased with higher taxes (see here and here.) Voters have reason to be. What Garcia fails to mention is this is a tax shift. By that, I mean local communities are forced to make up the money they would have gotten from the state. In 2005, Florida adjusted spending to $6,492 a year for each student. That was $1,200 less than the national average.

Jeb Bush has refused to adjust taxes to properly deal with growth and inflation. This had more to do with electability than ideology. Bush saw his father not get re-elected by breaking his "no new taxes" pledge. Sure Jeb has a distain for teachers' unions and public education. He's not honest enough to admit it. He knows he would have never done a second term. His vouchers program is so unpopular that only 700 students paticipate. He believes in the FCAT so much that he refused to have private schools tested. Bush has also manipulated graduation rates (see here and here.)

The Palm Beach Post also noted this in an op-ed.

In other words, school districts that already face budget cuts for next year - about $53 million, in Palm Beach County's case - will have to find money for a program they didn't want. If the districts don't find the money, the Legislature will blame them for failing to support good teachers, blocking education reform and undermining Florida's economic future. Or worse.

It's typical Tallahassee, which supports public education right up the point of paying for it.

Republicans in the Florida legislature force counties to raise property taxes and then tell voters what fiscal conservatives they are. It is disgusting.

Steve Wise's Idea of Reform

Former Hillsborough County Supervisor of Elections created controversy for using tax dollars to place his name and image on material. Michelle Patty was a former critic of Johnson. The Supervisor used tax dollars to pay Patty more than $16,000. Patty went around the Tampa black community handing out "Vote for Buddy" yard signs. All these actions were seen as an election official using tax dollars to get re-elected.

Sen. Charlie Justice sponsored SB 216. The bill would help put an end to such practices.

Campaign Financing/Local Government Expenditures [GPSC]; Defines the terms "local government" and "public funds." Prohibits a local government from expending, and a person or group from accepting, public funds for a political advertisement or electioneering communication concerning an issue, referendum, or amendment that is subject to the vote of the electors. Provides an exception for certain electioneering communications. Clarifies restrictions with respect to local officials.

Republican Sen. Steve Wise attempted to sneak in an amendment to restart the defunct Leadership fund. This would allow party leaders in the House and Senate increase their power by holding money over the caucus. Wise choose his words poorly. Leadership funds were banned. Wise striked "Leadership" from the record. The new term was Caucus accountability fund.

Caucus accountability Leadership fund.—

(1) For purposes of this section:
(a) “Caucus accountability Leadership fund” means accounts comprised of any moneys contributed to a political party, directly or indirectly, which are designated to be used at the partial or total discretion of a leader.
(b) “Leader” means the President of the Senate, the Speaker of the House of Representatives, the majority leader and the minority leader of each house, and any person designated by a political caucus of members of either house to succeed to any such position.

(2) Notwithstanding any other provision of law, caucus accountability leadership funds are authorized prohibited in this state. No leader shall accept any leadership funds.

(3) This section applies to leadership funds in existence on or after January 1, 1990.

Justice was able to defeat Wise's amendment. It's hysterical Wise would put this into a reform bill. The current legislature is doing some wacky stuff in the closing days.

Correction: the leadership funds would not come from tax dollars. The money would be from contributions. I used Buddy Johnson as an example. I have heard that Johnson was the inspiration for Justice's bill. The leadership funds would work like PAC money. The Majority and Minority leaders in the Senate and House would decide who receives these funds. This was seen as Wise attempting to increase his influence for when he became the Republican Senate leader.

The Justice bill would forbid tax dollars to be used to benefit a local candidate or voter amendment. The Wise amendment attempted to allow House and Senate leaders to set up leadership funds. These funds would be considered political contributions.