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EARMARKING OF LOCAL AID Of Almn4m-efts mot . vstan TEL. (617) 722-1650 LINDA J. MELCONIAN 2N0 HAMPDEN-HAMPSHIRE ROOM 818 COMMITTEES: DISTRICT JUDICIARY INSURANCE QISTRICT OFFICE: HUMAN SERVICES AND 375 WALNUT STREET EXT. ELDERLY AFFAIRS AGAWAM. MA 01001 COMMERCE AND LABOR TEL. W13) 786.6033 STATE ADMINISTRATION March 13, 1984 Ms . Ursula Retzler Clerk of the Council Town of Agawam 36 Main Street Agawam, MA 01001 ■ Dear Ms . Retzler : It is my understanding that my letter of March 7th, recently addressed to the Agawam Town Council, included an incorrect state- ment concerning the Council ' s position on earmarking. I would like to apologize for this error and inform you that I am aware that the Council voted 13-1 to oppose the earmarking of local aid for specific education requirements . I would also like to inform you that I am opposed to this concept as I have indicated on serveral public occasions . I will support earmarking only if a it amount of local aid is guaranteed for disbursement ' to cities and towns . In my opinion, the threshold amount which can be categorized as "substantial" is $250 million. Until we reach this level of local aid I will oppose any efforts to earmark. ' Once again, I thank you for expressing your views on this important matter . I will continue to keep these views in mind should this come before the Senate for consideration. With best wishes , Sincerely, a ' LINDA J/MELCONIAN State Senator >e� LJM:dkc fV � 16 ! 5 r . Poste LINDA J. MEtCONIAN TEL. (6171 722-1660 ' 2NO HAMPDEN-HAMPSHIRE ROOM 518 COMMITTEES. DISTRICT JUDICIARY INSURANCE DISTRICT OFFICE: HUMAN SERVICES AND 975 WALNUT STREET EXT. ELDERLY AFFAIRS AGAWAM, MA 01001 COMMERCE AND LABOR TEL. (413) 786-6033 STATE ADMINISTRATION March 7, 1984 Ursula Retzler Clerk of the Council Town of Agawam 36 Main Street Agawam, MA 01001 ' Dear Ms. Retzler and Town Council Members: Thank you for writing and communicating the recent Council vote reflecting overwhelming support for Earmarking of Local Aid. I appreciate hearing from the Council on this important issue and will keep the Council ' s views in mind when this issue comes before the Senate. IWith best wishes , Sincerely,. LINDA J. MELCONIAN State Senator L JM/nimh c �Q TOWN OF AGAW AM 36 MAID STREET AGAWAM, MASSACHUSETTS 01001 Tel. 413-7 86-0400 ATEU Mph February 22 , 1984 Senator Linda Melconian State House Boston, 14A 02133 Dear Senator Melconi.an : Please be advised that the Agawam Town Council has supported the attached resolution by a vote of thirteen ( 13 ) in favor , one ( i ) opposed and ( 1 ) absent , regarding the Earmarking of Local Aid. Sincerely, Ursula Retzler ' Clerk of the Council Enclosure cc : Town Manager)with enclosure Town Clerk } " Council Members) " i f RESOLUTION of the Agawam Town Council WHEREAS , it has come to the attention of the Agawam Town Council that attempts may be made by the Governor and/or the Legislature (1 ) to earmark local aid for communities for specific school de- partment budget items or ( 2 ) to earmark portions of local aid for communities if communities do not meet state requirements or (3) to earmark portions of local aid for communities to fund new educational programs mandated by the state ; and WHEREAS it is the P g position of the Agawam Town Council that it is the Town Council ' s responsibility to determine the allocation of all funds to be spent by the Town of Agawam based on the principie`, of home rule , responsiveness to individual community needs , and the direction of the voters with respect to the re- sponsibility for school budgets ; NOW, THEREFORE , Town Council of the Town of Agawam hereby states its opposition to such earmarking of local aid and directs the Council Clerk to inform the State Senator and State Representative representing the Town of Agawam of our position by copy of this Resolution. Approved by the Town Council of the Town of Agawam this 21st day of February , 1984 by vote of thirteen (13) in favor one {1) opposed, one ( 1) absent . p A" M r HOUSE OF REPRESENTATIVES STATE HOUSE. 80STON 02133 t!= 31 V , WILEIAM G. ROBINSON !on D.Scarbarough Republican Floor Leader Adminislrat;ve Assistant 722-2100 December 28, 1983 Dear Municipal Official: must hrincr to vour attention a �7atter which c-ould create serious -'roblems i7or VOL: as a local official. Governor Dukakis is finalizing his ';=Y''85 Local Aid Proposal and i.t contains several provisions which seriously threat€•n municipal management. The proposal is underfunded and contains a ci:nning method of earmarking. The iirst problem is contained in the Governor's education initiatives. These initiatives are clearly earmarking. They ;dace stipulations on ;ioiti your local aid can be spent. 'Here are three separate _proposals which will severely tie the hands of local officials. :although Secretary of Administration and Finance Frank Keefe only provided sketchy details of tine ,proposals, he ;lid refer to t�tia of the proposals as the school entitle.s?ent n rocyram and the school hudget maintenance requirements. 'Ihe proposals would allow the state to earmark a certain of -our local aid for education if your school department does not meet certain state requirements . An example is the budget maintenance program. If your community does not expend 85% of the state�cide average for per pupil expenditures, "en the state can require that a portion of your local aid will be earmarked for. education. :another proposal would allow the Commissioner of Education to earmark portions of your local aid ii your schools do not meet state standards. he final proposal would allow the state to earmark portions of your local aid ' to fund any new educational initiatives that the state may require •-our schools to adopt. 'These proposals are a clear step towards outright earmarking. The second problem concerns the level of funding. During the campaign, Governor Dukakis promised to allot 40% of the growth taxes to Local aid. Last Tuesday, Secretary Keefe announced that his projections place the 40% zt $156 million. I propose to you that his estimate is low. My conservative estimates show it to be at least $168 million. Although the proposal lacks specific details, Secretary Keefe clearly enunciated the Administration's opinion on local aid. The Dukakis Administration, according to Keefe, ))elieves that local aid is o gi--t `-ror the state and -hat the state has every right to dictate how these funds will be spent. I find this attitude and the entire proposal dangerous. I strongly urge you to contact your representative in the House and Senate promptly and perhaps together we can kill this proposal quickly. ^yy Sine ely, n C!" OO . liam b on House Republican Leader WGR/bgs Massacbusetts I Association 1311emont Street ■ Boston,MassachuseMs 02111- (617)426-7272 ' LEGISLATIVE ALERT ON EARMARKING An aggressive effort is being made by teachers, school committees and other education interests to earmark a portion of local revenues next year for schools. A similar effort was made last year in the State Senate and it was only because of a strenuous effort by the members of the House and the MA that the bid to earmark local aid was not included in the final state budget. This year the Governor has indicated his sympathy for the earmarking concept. The earmarking proposal filed this year by the School Committee Association requires communities to use for schools in M4, the same percentage of their available funds and new local aid as the school budget represented of the whole municipal budget in FY83. Thus, if a community in FY84 devoted 60% of its budget to school spending, it would be required under the earmarking proposal to spend at least the same percent of its budget in the next fiscal year Plus 60% of any new local aid. In essence, the proposal requires every community to spend more than what may be necessary for schools regardless of local conditions such as declining enrollment, and without concern for the drain placed on general government budgets which must pay escalating "fixed costs" such as health insurance and worker's compensation. OBJECTIONS TO EARMARKING The fundamental reason the MMA opposes earmarking is that it takes the decision on school spending out of the hands of local appropriating authorities. It is a state mandate that dictates how much every locality must spend on the largest single item in most municipal budgets. In addition, we believe that state allocation of school budgets will lead to increased state control of local school policy. 11 Earmarking is inherently unresponsive to local needs. Some communities may have rapidly declining enrollments and be closing their schools. They may not need to spend the amount of money for education that would be required under ' earmarking. on the other hand, communities with expanding school population may need more money in their school budgets than earmarking would provide. Yet, the political reality is that the spending floor under earmarking will likely become the ceiling as well. Proponents of earmarking are saying that school budgets have been "ravaged" ' in the first two years of Proposition 2�. It is true that in FY82--the first year of "2h"-------school budgets were cut statewide. But these cuts were rough- ly proportional to schools' share of total municipal budgets, and many departments such as public works, libraries, recreation, and human services were cut far more drastically. Preliminary data for FY1983 show that school spending is rising in FY1983. Perhaps the most significant statistic of all is that even in FY1982, when school bud is declined, because ofenrollment declines, per pupil expenditures actually increased bX a small amount. LEGISLATIVE ALERT -2- February 11 , 1983 Proponents are also attempting to make this into a pro-education vs. anti-education issue, or pro-equality vs. anti-equality. The 1MA's position is that schools are among the most important responsibilities of cities and towns; that municipal governments take this responsibility seriously. The question raised by earmarking is whether individual municipalities or the state should Rave the power to appropriate the largest item in most municipal budgets. In , addition, what is being forgotten in this discussion is that because of the cap on all municipalities, money allocated by the state for school spending will inevitably have to come out of other departments. In order to counter the efforts already being made by the education interests, we urge you as soon as possible, to: 1) Call or write the Governor's office (State House, Boston, 02133, 727-3600) to register your concern over earmarking and its effect in your community. 2) Contact your State Representative and Senator and inform him or her of why you are strongly opposed to earmarking. 3) Discuss the earmarkinS issue and its effect on other municipal departments, (such as human services, public works, libraries, public safety and recreation) with municipal department heads and municipal workers. 4) Discuss earmarking and its effect on your community publicly, before the media that cover your community, at a board meeting or committee meeting and if possible, invite members of other departments in your community to be present so that they can outline the effects on the services they provide, of earmarking for school spending. The general public, the consumers of these services, could be encouraged to call or write the Governor and their legislators. We will k ep you informed about the earmarking debate as it continues. )Executive cere ly, ' es W. Seg 1 Director JWS jrr ' enclosure � PERCENTAGE CHANGE - IN � MUNICIPAL SPENDING � BY DEPARTMENT i Department FY 1982 FY 1983 � POLICE —2S% +3.0% FIRE 46% +2.3% � SCHOOLS —BS°/a +3.7% 1 1 PUBLIC WORKS —8,8% +4.1 % 1 � LIBRARIES —11 .8% +2.3% 1 RECREATION —21 .3% —1 .3% i Source: wMn Surveys for w 1982 and w isea — IffQfCtS"0P POICA KL '*m m COMMITMENT, MASS. vs. U .S. AVERAGE +zs% FY 980 +z2io + 17% U.S. AVERAGE: PEA- TEACHER TEACHER- PUPIL SALARIES PUPIL SPENDING RATIO VERTICAL BARS REPRESENT MASS. DEVIATION FROM U.S. AVERAGE Sources'. National Education Rsaacialion', U.S. Census Bureau RESOLUTION of the Agawam Town Council WHEREAS , it has come to the attention of the Agawam Town Council ' that attempts may be made by the Governor and/or the Legislature ( 1) to earmark local aid for communities for specific school de- partment budget items or (2 ) to earmark portions of local aid 1 for communities if communities do not meet state requirements or ( 3) to earmark portions of local aid for communities to fund new educational programs mandated by the state ; and WHEREAS , it is the position of the Agawam Town Council that it is the Town Council ' s responsibility to determine the allocation of all unds to be spent by the Town of Agawam based on the ' princip of home rule , responsiveness to individual community needs , ald the direction of the voters with respect to the re- sponsibility for school budgets ; NOW, THEREFORE, Town Council of the Town of Agawam hereby states its opposition to such earmarking of local aid and directs the Council Clerk to inform the State Senator and State Representative representing the Town of Agawam of our position by copy of this Resolution. Approved by the Town Council of the Town of Agawam this day of February, 1984 by vote of in favor opposed. 1 1 1 F AG,q TOWN OF AGAWAM a,6 ail ;,'►�' 36 MAIN STREET AGAWAM, vIASSACHUSETTS 01001 Te1. 413-786-0400 ��ATED Mpy February 22 , 1984 ' Michael. Walsh State Representative of the 3rd Hampden District State House Boston, MA 02133 1 Dear Mr . Walsh : ' Please be advised that the Agawam Town Council has supported the attached resolution by a vote of thirteen ( 13) in favor , one ( 1 ) opposed and ( 1) absent , regarding the Earmarking of Local Aid . Sincerely, Ursula Retzler ' Clerk of the Council ' Enclosure cc : Town Manager Town Clerk ' Council Members 1