‘Stability and predictability’ needed for school funding, Branstad says

DES MOINES - 'Stability and predictability” were chosen over an extra $55.7 million for Iowa's public schools.

Gov. Terry Branstad on Monday defended his decision to veto a one-time allocation for the state's 338 public K-through-12 school districts that had been approved in a legislative compromise. His Monday news conference was the first chance reporters had to ask the governor about budget vetoes he announced Thursday.

The $55.7 million was designed to supplement the lower-than-average 1.25-percent increase in general school funding for the 2015-16 school year.

The governor struck down the funding, sticking to his budgeting principle that one-time allocations should not be used to fund ongoing expenses such as annual educational costs.

'I've been crystal clear about not using one-time money for ongoing expenses from the day that I came back as governor (in 2011),” Branstad said.

School officials warned the 1.25 percent increase will lead to staff layoffs, larger class sizes and reduced programming.

'We need to have stability and predictability,” Branstad said, adding once again that he was 'disappointed” lawmakers did not set a second year of school funding, as state law demands.

Senate Majority Leader Mike Gronstal, D-Council Bluffs, called the veto 'ridiculous,” and House Minority Leader Mark Smith, D-Marshalltown, on Monday called for a special session of the Legislature so lawmakers can override Branstad's veto. Such action would require the support of two-thirds of lawmakers in both chambers, meaning Democrats would need support from Republicans to override the Republican governor's action.

'It's time to end the impasse and avoid cutbacks at local schools,” Smith said in a statement.

After Branstad's vetoes, the state budgeted $7.2 billion for fiscal 2016, or roughly 96 percent of the $7.4 billion that was available. Left over is roughly $352 million of ending balance.

In his defense, Branstad also continued to champion the money the state has dedicated to educational causes, such as a teacher leadership program and early childhood learning.

That money can be used only on those programs; the general increases pay for staff salaries, programming and resources.

'While this compromise was inadequate, we recognize it would have provided a small degree of relief to some school districts and community colleges,” Iowa State Education Association President Tammy Wawro said in a statement. 'That the governor could not even provide this is a further illustration of his lack of commitment to public education.”

The $55.7 million was a compromise between leaders in the Republican-controlled Iowa House and the Democratic-controlled Iowa Senate. Democrats wanted more school funding than the 1.25 percent increase, and Republicans said the state budget could not afford any more. They settled on the base increase plus the one-time $55.7 million.

The governor's staff sat in on those negotiations. Branstad said his budgeting principles were made clear to legislators.

'My staff made it clear that was my position. It was made abundantly clear to them that that's been my position, and it has been made crystal clear time and time again over the past five years,” Branstad said. 'I always reserve judgment on legislation until I see it in its final form. But I also try to be clear as I can be as to what's acceptable and what isn't.”

The Legislature likely will return in 2016 with the same makeup and leadership. Asked how the education funding debate can improve next year, Branstad said the best way is to create more available funding by growing the state's economy.

'The key is to grow the Iowa economy and bring more business and jobs here, and higher income to the state, I think, goes a long way toward reducing those problems,” Branstad said.

Branstad also said he hopes the state budget will not be as tight in the future as it was for the fiscal year that started on July 1, which included significant funding dedicated for the teacher leadership program and property tax relief.

'As you look in the outer years, the situation is better, provided the economy grows,” Branstad said.