Bartholomew Consolidated School Corp. officials questioned state legislators at Monday’s Third House session about their intentions to fund teacher salary increases in the future as the school corporation pursues an operating referendum for that purpose on the May 5 primary ballot.
Chad Phillips, BCSC assistant superintendent for financial services, asked the panel of state lawmakers if there was a possibility that the Indiana General Assembly might increase funding for teacher salaries and student safety on their own initiative in the near future.
The question was in response to some feedback BCSC officials have received, including comments from local residents concerned about being double-taxed if the local referendum is approved — a local increase and a state increase if state lawmakers approve raises.
If voters approve the referendum on the ballot, around $7.8 million per year in additional property tax revenue will be raised to fund teacher and support staff salary increases and student safety.
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State Sen. Greg Walker, R-Columbus, said a double-tax is not likely to happen. If state income rises above a certain amount of excess collections during the next biennial budget, one half will go to taxpayer refunds, while the other half will go to the unfunded liability in teacher’s pensions, Walker said.
“The legislators made it clear that the state will not likely be taking action in the coming sessions that would provide anywhere near the increase in funding that the proposed referendum would provide,” Phillips wrote in a statement released shortly after the Third House session at Donner Center. “It will likely continue to be the 1-2% increase that has been the norm.”
State lawmakers will want to keep enough money in reserve to provide up to 50 days of operating capital, while at the same time maintain tax rates low enough to lure new companies to Indiana, Walker said.
During the biennial budget passed in 2019, Indiana lawmakers were able to give what State Rep. Ryan Lauer, R-Columbus, called the largest increase in history to education. BCSC went from receiving a base amount of $66 million in 2012 to $75 million this year — and $78 million next year, Lauer said.
Former BCSC superintendent John Quick explained how the recession forced the corporation to cut $3 million from its budget 10 years ago.
“So in 2010, we didn’t replace 20 teachers and one administrator,” said Quick, who said the $300 million financial hit to all Indiana schools in 2010 as a result of the recession created a new funding base. The pre-recession base was never re-established statewide, he said.
While there have been funding increases, Phillips says significant changes from 2012 to 2020 need to be considered that include:
712 more BCSC students, which is the equivalent of adding another large elementary school.
Health insurance costs paid through the general fund grew more than $3.4 million.
Starting teacher salary increased more than 9% (from $35,780 to $39,065).
And when all factors are considered, the state support for BCSC only grew an average of 1.17% annually over the past eight years, Phillips said.
However, Lauer insists Indiana schools are doing better financially than a number of our neighboring states, which he describes as “sunk.”
“They can’t pay teacher pensions, and they can’t pay road construction projects,” Lauer said. “Indiana is a stark contrast where we’ve had positive numbers and the economy is doing well.”
Sandy Watts, a 35-year BCSC educator, said there has been a decrease of about 300,000 teachers nationwide. “We need to put students and teachers first,” Watts said.
Columbus city councilman Tom Dell also asked the lawmakers to increase teacher pay and reduce classroom size.
Besides Lauer, Lucas and Walker, Sen. Eric Koch, R-Bedford, was also at the Third House session, as well as more than 60 people in the audience.
The final Third House session will be 7:30 a.m. March 9 at Donner Center in Columbus. The 2020 Indiana General Assembly must conclude this year no later than March 14.
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This is the amount of growth in state financial support to Bartholomew Consolidated School Corp. for the past eight years:
2012 – $65,207,288
2013 – $65,996,720. Increase: 1.21%
2014 – $67,827,573. Increase: 2.77%
2015 – $68,124,369. Increase: 0.44%
2016 – $70,157,255. Increase: 2.98%
2017 – $71,191,154. Increase: 1.47%
2018 – $73,174,450. Increase: 2.79%
2019 – $74,125,324. Increase: 1.30%
2020 – $75,000,000. Increase: 1.18%
Average annual amount of increase from 2012 to 2020: 1.77%
Source: Bartholomew Consolidated School Corp. assistant superintendent and financial officer Chad Phillips
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The final Third House session will be 7:30 a.m. March 9 at Donner Center, 739 22nd St.
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