Money Grab
Florida teachers trying to get any raise at all in the last decade since the Great Recession

The idea is simple and straightforward: take back the terrible teacher tax.

Make no mistake, every teacher in Florida is being taxed in multiple ways for choosing this profession. But the most pernicious of all these taxes is how the Florida Legislature, under the direction/request of then Governor Rick Scott in 2011, forced all state workers to contribute 3% of their gross earnings to the Florida Retirement System (FRS).

Much like the picture above, this was nothing more than a money grab from some of the lowest paid employees all across the Sunshine State.

At the time in 2011, the Florida Legislature was facing a $3.6 billion dollar revenue shortfall, and taxing the state workforce instantly generated $2 billion dollars. How much of that money actually made it into the FRS accounts? My bet would be on zero dollars. My guess is that this money continues to disappear into the black hole that is the general fund, which makes all the penny pinching when it comes to public education that much more insulting.

Say it with me, dear legislator, the lack of funding hurts all choices.

We cannot deny that, as an institution, the Florida Legislature has failed to invest in our children and their future. We now rank 45th in overall spending, 48th in teacher pay, and 50th–dead last–when measured as inflation-adjusted spending since the end of the Great Recession. All despite the facts that we have: 1) a ONE TRILLION dollar economy; 2) the 4th largest economy in the United States; 3) and the 17th biggest economy on the planet…

FLPE Spending
Way to be, Florida…

All of this underscores the need to repeal the teacher tax that has been foisted onto us. When I was hired into a permanent position in 2004, it was understood that my paltry pension was a “perk” that I would receive for serving the needs and interests of the next generation of Florida’s citizenry. While the 2011 legislation could have effectively grandfathered in the current teacher workforce, the legislators at the time thought it would better to tax us all.

And what kind of return will I get on my investment? Not a particularly good one. Since 2013–the first time our W2s reflected the FRS tax–through 2018, I have been robbed of $10,329.09, and my wife lost $9,941.60. For those keeping score at home, that adds up to over $20,000, but likely would be more than $23,000 because the state collected the funds in 2012 while the FEA lawsuit wound its way through the courts before ultimately losing. If this continues until we retire at the end of our 30 years, we will easily pay $100,000 or more into FRS.

As an individual who prioritizes saving and investing, I guarantee that had the Florida Legislature not been picking teacher pockets, my return on those dollars would be much higher than any return I could have received from FRS (the same $20K would be worth $34K now had it been put into the market). In an email I sent to nearly each member of the Hillsborough legislative delegation yesterday, I wrote the following:

Florida’s teachers deserve better than this, plain and simple. Our pay is pathetic when measured against our college peers, and the FRS multiplier of 1.6 is ghastly and should be at least 2.0, which even Representative Byron Donalds intimated when he said “the real first responders are the school staff that love our children.” When committee work begins, I urge each of you to consider repealing this terrible tax on teachers. We work too hard and are paid too little. Something must be done, and hopefully there will be forthcoming legislation to eradicate this economic injustice being perpetuated against the very people who seek to serve others and spend their days ensuring that their students get a “world-class education” despite the lack of resources and personnel to actually deliver what our children and their future deserve.

So now it’s your turn, dear reader. Let’s flood the inboxes of our legislators with this idea. Giving every single educator a 3% raise would help, even if it doesn’t go far enough. What? Don’t know how to email your local legislators? It’s easy! For your House of Representatives member, it is “firstname.lastname@myfloridahouse.gov; for your Senate member, it’s “lastname.firstname@flsenate.gov.” But if we really want to get some traction, I would suggest we all specifically email the Education Committee members and their staffs in each branch. Click on the link below for each respective branch, and continue to email your legislators as often as you can. They cannot ignore us forever!

House of Representatives Education Committee Members

Florida Senate Education Committee Members

Please read and share this important post with fellow educators. Pull out your W2s, total up how much has been robbed from your family, and be sure to include the numbers in your emails to our legislators. Until they talk to actual teachers, they will never know!

#WhenWeAreSilentWeAreComplicit

3 Percent
It may not be a big number, but it’s more than most of us have gotten at any point in since the Great Recession began. Don’t we deserve better than this?

 

 

IMG_0153
What Every Florida Legislator Should Feel For Letting It Get This Bad…

Dear Fellow Floridian:

Click Play.

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Have an awesome weekend, everyone!

*Correction* – in 2014 there were three A-rated districts (not four); the 800% increase has resulted in 24 “A-rated” districts currently in 2019.

P.S. – Don’t forger to download, display and share your #InfographicOfShame!4544F7E3-3701-41B7-A509-9F2CD4445295

The above video contains my complete comments on the lack of taxation. Please watch for context for what is detailed below.

It is no secret that school districts all across the Sunshine State have been forced to squeeze blood from a stone by the Florida Legislature for over two decades, and especially since the Great Recession. As noted in the first “Numbers Don’t Lie” piece, Florida went from 27th in per-pupil spending in 1998 to 44th in 2018. Had we kept pace with inflation alone from 20 years ago, Florida would need to spend $9,913 per student. Instead, we currently spend $7,408.

But it’s far worse than simply not keeping pace with inflation. When Ernest Hooper and I were interviewing candidates at the Tampa Hob Nob a few weeks ago, HD64 Rep. Jamie Grant–by his own admission–stated that the three areas of the economy that have actually outpaced inflation were health care, higher education and K-12 education. This effectively compounds the problem, because not only has the Florida Legislature refused to make a meaningful investment in public education, their decision to be parsimonious has made the reduced spending power of those scant dollars that much more signficant (assuming his statement is true).

Hillsborough County is not the only county seeking tax referenda. It’s happening all over the state, which John Romano wrote about recently in the Tampa Bay Times. Going back to this past March, citizens of various counties are 12 for 12 in voting for some type of tax referendum to support their schools. Clearly voters are starting to understand that Tallahassee has gotten us all into these messes because of its ideological zeal for reducing taxes.

IMG_2267
The Great Taxation Paradox: No one wants to pay, yet we need the services they provide.

People who stand against the tax referenda do so for two principal reasons: 1) they claim “we’re taxed too much already”; 2) they believe Hillsborough County Public Schools has mismanaged its funds. Let’s examine these claims in detail:

“We’re Taxed Too Much Already”

Regarding the first claim, this is typical response from just about anyone when the subject of raising taxes is mentioned. The facts, however, do not support this claim. If anything, we are taxed too little in a state that is experiencing such rapid population growth. The lack of taxation is directly linked to: the unwillingness to investment in public education by the Florida Legislature, resulting in students and staff sweating in schools; the traffic congestion we get caught up in on a daily basis; why Hillsborough County Sheriff’s Office has one of the lowest deputy-to-citizen ratios in the state, etc. Simply put, there’s not enough money to go around.

Mitch Perry’s excellent piece in The Florida Phoenix last month detailed why so many counties are seeking various school and transportation referenda and, most notably, linked this report that highlights two key facts that were addressed during my comments to the school board:

1. Florida ranks 49th out of 50 states when it comes to “tax burden” (i.e. per-capita tax revenue generation).

2. Hillsborough County ranks 52nd out of 67 counties in Florida, which means we have the 15th lowest tax burden in the second lowest state in the U.S.

To say that “we are taxed too much already” is a preposterous statement that clearly ignores these facts and traffics in hyperbole when one considers the actual numbers.

HCPS Mismanages Its Funds

When it comes to the second claim about HCPS mismanaging its funds, it must be addressed in two parts. First, there are the optics of some of the board’s more questionable spending decisions over the last three years. Many critics often cite spending nearly a million dollars on the Gibson Report, nearly a million dollars for new school board offices/relocation of Human Resources from its original location to the Instructional Services Center, remodeling/refreshing the audio-visual equipment in the board room, etc. All told these items add up to perhaps $3 million across the last three years, which amounts to approximately 0.00033% of its total annual budget per year.

This is clearly a case of picking out a few trees while missing the entire forest.

Fiscal Stewardship
It took many painful cuts to get to this point, but Hillsborough citizens should be reassured that HCPS is doing its best with what little funding it receives from both state and local sources.

In truth, however, Hillsborough County Public Schools has done a great job of reigning in its deficit spending during the same period. This fact is all the more amazing when one considers the significance of this in light of continually declining purchasing power when dollars are adjusted for inflation. Many citizens of the county, for instance, may not realize that there has been a sharp reduction in “PECO” funding (Public Education Capital Outlay, the source that pays for installation and maintenance of HVAC systems, building and repairing schools, upgrading technology, etc) for several reasons:

1. At the onset of the Great Recession in 2008, the Florida Legislature–the governing body that effectively caps the tax rates that can be applied by school boards–reduced the millage rate from 2.0 to 1.5. Despite the economy recovering and now thriving, Tallahassee has never raised the millage rate back to pre-recession levels.

2. In addition to the millage rate never being restored, outgoing Speaker of the House, Richard Corcoran, famously quipped “Hell, no” in 2017 when asked if the Legislature would leave tax rates alone and allow rising property values to raise additional funds for education. Despite the Senate being okay with such a sensible compromise, the Grover Norquist anti-tax zealots in the House held firm and rolled back the rates even more.

3. Much of the revenue generated for PECO comes in the form of utilities taxes, including landline telephones, which hardly exist outside of businesses any longer. Therefore, a lot less money is going into those particular coffers at the state level.

Put this all together and what we get is a perfect fiscal storm that looks like this chart.

Capital Funding History
And people wonder why there is no money to fix A/C or otherwise repair our schools

While no one ever likes paying taxes, I would argue that there is a cost of paying too little. Having lived in Florida for just over 20 years now, I have watched our schools deteriorate and our roads fall apart while simutaneously becoming more clogged thanks to two decades of rampant, unchecked sprawl that has had little oversight and even less funding devoted to overcoming these challenges. I would highly encourage anyone who is reading this and lives in Hillsborough County to share this information with friends/family and vote for both of these referenda so that our citizens no longer have to live with the disastrous decisions being made by the Florida Legislature.

Furthermore, especially when it comes to the school district referendum in particular, please bear the following in mind: 1) the referendum can only be used for capital expenses; 2) there will be an oversight committee comprised of six citizens who have no connection to the district and will oversee how the money is spent on projects; 3) for the average Hillsborough citizen, the additional tax will mean about 17 cents per day. Undoubtedly, there will be naysayers who still want to vote no for their own personal reasons regardless of these facts. To them I paraphrase Voltaire by saying we cannot let the perfect be the enemy of the good.

Our students, our schools, and our future depend on it.

Referendum Details
For more details, click here.