February 29, 2008, the Burlington Free Press, by Nancy Remsen
MONTPELIER -- Supporters of repealing a controversial school budget constraint mechanism enacted last spring scored a political win in the House on Thursday -- but stand little chance of ultimate victory.
That's because Senate leaders have shown scant interest in joining the fight for repeal, and Gov. Jim Douglas has promised to reject any legislation that would repeal what is known as the two-vote provision. When he says "reject" he means veto.
The House, Senate and Douglas administration compromised on the two-vote measure in the final hours of the 2007 session. Now Democratic leaders and Progressives in the House have changed their minds. They say it would be too confusing for voters.
The mechanism would work like this when it becomes effective in 2009: School districts that spend more per student than the statewide average and want to increase their budgets by more than the rate of inflation plus one percentage point would have to split their budgets and seek voter approval of each piece. One vote would be on the proposed spending up to inflation plus one percentage point and the second vote would be on the rest of the spending package.
Supporters of repeal say they still want to pressure school districts to control spending. Rep. Johanna Donovan, D-Burlington, offered the alternative endorsed by the House Education Committee. It's the same high-spending penalty the House passed last year, but the Senate ignored.
This alternative toughens an existing penalty. If districts' per pupil spending is more than 125 percent of the previous year's statewide average, local taxpayers pay a tax "penalty." For every extra dollar spent, taxpayers pay another dollar that's sent to the state's education fund. Under the change that received preliminary approval Thursday, the penalty threshold would kick in at 123 percent next year and at 120 percent in 2012.
"The high-spending threshold is a simpler, fairer way to achieve cost containment," Donovan argued.
House Republican Leader Steve Adams of Hartland criticized House Democrats for flip-flopping on the deal reached with the governor and a promise made to Vermonters to reduce their property tax burden.
"We have taken a step back," he said. Adams said he voted against the two-vote provision last spring because it didn't do enough to control costs and provide property tax relief. Thursday, however, he voted against repeal.
"For me, the issue isn't whether it's the threshold or two-vote," Adams said. "It's lack of leadership on property tax reform."
House Education Committee Chairwoman Janet Ancel, D-Calais, argued the cost-containment merits of the tougher spending penalty on the House floor.
"What we are proposing now isn't a retreat. It's a more effective way to do it," she said. "It builds on a proven mechanism."
The House voted 99-38 to support the repeal and replace measure. It comes up for a final vote today.
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