Schools budget passes Senate

Published 5:00 am Thursday, June 27, 2013

SALEM — The Oregon Senate approved two key measures Wednesday, a public schools budget and a tax on hospitals, clearing the way for adjournment and lifting the pressure on lawmakers to strike a deal that could send more money to the primary and secondary schools.

Senators rejected the K-12 budget on June 17, when a Democrat from Eugene, Chris Edwards, joined Republicans to vote against the measure in a last-ditch effort to pressure lawmakers to raise taxes and make steeper cuts to the state’s public pension system. Republicans have pushed for further cuts to the Public Employees Retirement System, while Democrats have hoped to raise taxes. At one point, a deal could have funneled as much as $7 billion to state schools.

The $6.55 billion K-12 budget passed the Senate, 22-8. Schools would have an additional $200 million in spending power by cuts already made to PERS. The school budget now heads to the House.

Republicans blasted the public school budget Wednesday as a “missed opportunity.” Several lawmakers, including Sen. Tim Knopp, R-Bend, said the budget would mean more cuts for their local school districts and continued large class sizes.

“This is a budget I cannot support, because I did not come to the Oregon Senate to vote for inadequate,” Knopp said.

But Democrats, overall, struck a different tone.

Sen. Arnie Roblan, D-Coos Bay, a former high school principal, said his district will have full-day kindergarten next year with the proposed budget. It moves the state in the right direction, he said.

“This budget is an outstanding budget. … Do I wish we had some opportunity to do more? Absolutely,” Roblan said.

Edwards, who voted against the measure again Wednesday, said he hopes the House will continue to look for solutions.

“I’m just asking them not to give up,” Edwards said. “Because kids are depending on them.”

Senate Republican Leader Ted Ferrioli, R-John Day, said passing the K-12 budget would likely produce “chirpy little press releases … proudly claiming victory.” He acknowledged it was the largest K-12 budget in the state’s history, but said the revenue would be eaten up by costs associated with PERS.

“We’ll move forward today,” he said, “in a legislative session that will be characterized as ‘one grand missed opportunity.’”

Senators also approved a hospital tax, which is matched by federal funds and then returned to the hospital. Normally a noncontroversial measure, it became a key part of the debate earlier in the session when Senate Republicans threatened to hold it hostage in return for more public pension savings. It passed Wednesday, 25-5, and goes to Gov. John Kitzhaber for his signature.

Although the Legislature was set to adjourn Friday, constitutionally it may remain in session until July 13. Some seem hopeful that more money could be funneled to schools.

Sen. Ginny Burdick, D-Portland, a key player in any possible deal, said she plans on hearing a revenue and PERS package in her committee today.

House Speaker Tina Kotek, D-Portland, said she is still willing to negotiate.

“I remain committed to finding a path to an equitable package of modest revenue increases and additional PERS savings so we can do even more for education,” Kotek said in a statement. “I came to the table early on to try to reach a reasonable agreement; it has been lonely sometimes, but I’m still here.”

The chance for a deal is not dead. But the odds appear increasingly less likely.

“You could say we have a zombie PERS deal,” said Tim Raphael, the governor’s spokesman. “It’s pretty beat up, but it’s clearly undead.”

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