Control over spending on education gets closer look

By Derrick DePledge
Advertiser Education Writer

Beyond the sound bites and furor in the contentious debate over education reform, Gov. Linda Lingle's supporters and Democratic leaders are getting closer to defining just how much power — and money — should get turned over to public schools.

Both sides have said they are committed to giving greater authority over budget and curriculum to school principals, but they are only just starting to work through the practical details of what that might mean.

In memos now being circulated at the Capitol, specific outlines are beginning to emerge on which types of state education spending can be controlled by schools, and which would likely remain with the state Department of Education.

With both the state House and Senate moving closer to a new student spending formula that would provide money to schools based on student need instead of enrollment, the biggest question will become exactly how much of that money will get to schools, and how much schools will directly control.

90 percent figure floated

Lingle has called for giving schools control over 90 percent of operations money, while Democrats have not settled on a precise figure, but support much more than the marginal amount controlled by schools today. The governor and her supporters have used this difference to criticize Democrats as insincere about local control, but, in reality, neither side has precisely spelled out what kinds of things would go to schools.

Using DOE budget figures, Laura H. Thielen, a member of the state Board of Education and the governor's education advisory committee, maintains that at a minimum, 73 percent of operations money should be controlled by the schools.

Thielen then estimates that schools could reach 90 percent control if principals had the power to choose which school support services they want to purchase from the state or instead keep that money for use at their discretion at the school level.

The Hawai'i Business Roundtable, in its blueprint for reform, also recommends that 90 percent of operations money be controlled at the school level, both so principals would have power and so schools would get "relevant, quality and timely service."

Without iron-clad language in the law to get to 90 percent, Thielen said, Democrats and the DOE would still be able to resist giving power to schools. "If it's not down there in writing," she said, "it ain't the law."

Democrats, those familiar with the reform process say, are exploring a commitment to place 73 percent to 76 percent of spending under control of schools, with the intent of possibly increasing that share when more is known about how the DOE and individual schools handle the new formula.

While that option lacks the political appeal of Lingle's stand — and may be dismissed by the governor's ardent supporters as half-hearted — it does take into account widespread feelings among educators that the transition to a new formula is a complicated undertaking that could take time to perfect.

In Edmonton, Alberta, the governor's model for reform, it took years before schools got 90 percent control, and U.S. school districts that have tried to follow Edmonton have stopped well short of that goal.

'Buzzwords fool public'

One memo Democrats are studying estimates that 16 percent of DOE spending may not be able to be readily absorbed into the new formula — such as money for debt service, student transportation and workers' compensation.

An additional 7.6 percent of spending that may be difficult to immediately add to the formula, according to the memo, involves such items as food services, custodial services and the response plan under the federal Felix consent decree for special education students.

Thielen said she would have to see the Democrats' position before she comments, but others involved with the reform process said a commitment to get at least 73 percent of spending control to schools would be significant.

Several Republicans also said Tuesday, during a House floor debate, that the new spending formula in the Democrats' reform package represents significant change, which may make it harder for Lingle to continue to argue that all the Democrats are proposing is "fake reform."

But Republicans still describe the Democrats' overall package as a defense of the status quo and, like the governor, believe reform will not work without splitting up the DOE into local school districts with elected boards.

"The Democrats' bill has buzzwords that fool the public like 'weighted student formula' and 'spend the money on schools,' but when you analyze the bill, it protects the existing top-down system," said state House Minority Leader Galen Fox, R-23rd (Waikiki, Ala Moana, Kaka'ako).

Republicans said the Democrats' proposal to require new school councils at every school, and to give the councils authority over budget and curriculum, would only weaken principals. Republicans also criticized Democrats for waiting for more study to put principals on performance-based contracts.

"It sounds good," state Rep. Guy Ontai, R-37th (Mililani, Waipi'o), said of the new councils, "but I think our principals deserve some elbow room."

Some House Democrats said there was discussion within the caucus about killing all their education-related constitutional amendments this week so lawmakers could concentrate on broader reform ideas without the constant pressure to talk about local school boards, which they have now blocked twice this session.

But leading Democrats favor amendments to expand the BOE from 13 to 17 voting members and to give the state board more autonomy, similar to the University of Hawai'i Board of Regents. Both amendments were approved Tuesday and passed to the Senate.

State Rep. K. Mark Takai, D-34th (Pearl City, Newtown, Royal Summit), said it was clear that Lingle and the Republicans would campaign for a ballot question on local boards no matter what the Democrats did.

Yesterday, Lt. Gov. James "Duke" Aiona, speaking to a Native Hawaiian group about reform, said the administration has no intention of backing down. "I promise that the governor and I have not given up this fight," he said.

Reach Derrick DePledge at ddepledge@honoluluadvertiser.com or 525-8084.