Saving Small Schools and Lowering Property Taxes

Susan Bartlett on Education and Lowering Property Taxes from Susan Bartlett on Vimeo.

Where is the biggest waste/inefficiency in state government, and what will you do about it as governor?

Vermont has failed in the past to keep up with technology that leads to efficiency in the work place. Over the past several years we have made a conscious effort to correct this situation. In this past budget, even in these difficult times, we have made investments in technology that will eliminate redundant records and allow for better, faster exchange of information within state government. As governor I will make sure that we continue to make these investments as they are needed.

A business the size of state government needs managers who work with employees all of the time to encourage ideas that lead to efficient, effective government. There is not better place to get these ideas than the state workforce. As governor I would make certain that all managers and state employees understand that this is a goal for everyone in their everyday work and reward and encourage creative thinking that leads to better programs.

That said, I believe the only way to truly identify what is waste and what is inefficient in state government is through a process similar to Challenges for Change. Each program in government should meet with the advocates for their programs and people who use the services that the programs provide, and agree upon a set of outcomes for those programs. Then the same group needs to decide how they will measure the outcomes. This process has the effect of having all of the people involved in programs, both providers and consumers, set the priorities for the programs and how to measure those outcomes. The next step is to go through each of the programs involved and see if the programs address the outcomes they have agreed upon. If they don’t, then why should we continue to do those programs? One of the issues for government is that many programs are started, but few are eliminated. Now is the time to stop programs that do not meet the goals we chose.

The above process does not have to be overly time consuming and because it is an inclusive effort, it can be a very positive process. In these difficult times, it is much better to find the positive outcomes we all want and work together towards supporting those programs, than arguing about reductions. This means that there may well be programs that will be terminated, but those dollars can be saved or be redirected to services that address outcomes that can be measured. This is all a necessary part of right-sizing Vermont government.

Addressing the next $120 million budget deficit

In order to deal with another year and another substantial deficit, as Governor I would ask legislative leaders to meet with the current administration, me, and the staff I would be appointing to budget writing assignments. It will take all the knowledge we have to develop a budget for the upcoming year.

For several years I have been focusing on the area of corrections for savings. We currently spend almost $140 million a year on this part of the budget. We know that we incarcerate a high percentage of non-violent offenders. Our goal needs to be to help Vermonters with substance abuse deal with their issues and become productive members of society.

This will take years to accomplish. For example; we currently have budgeted for 700 out of state prisoners. Each one costs us $23,000 a year. If we were to bring home all 700 of those prisoners, we would save $16 million. That is a great deal of money, but what would we do with all those prisoners? It will take years and a big investment to develop the programs we need to rehabilitate these Vermonters and to find housing and jobs for them so they do not return to a life of crime. But at least we are beginning to make these changes.

I would ask that each program in government meet with the advocates for their programs and people who use the services that the programs provide and agree upon a set of outcomes for those programs. Then the same group would decide how they would measure the outcomes. This process has the effect of having all of the people involved in programs, both providers and consumers, set the priorities for the programs and how to measure those outcomes.

The next step would be to go through each of the programs the state provides and see if the programs address the outcomes that have been agreed upon. If they don’t, then why should we continue to do those programs? One of the issues for government is that many programs are started but few are eliminated. Now is the time to stop programs that do not meet the goals we chose.

This process does not have to be overly time consuming and because it is an inclusive effort, it can be a very positive process. In these difficult times, it is much better to find the positive outcomes we all want and work together towards supporting those programs, than arguing about reductions. This means that there may well be programs that will be terminated, but those dollars can be saved or be redirected to services that address outcomes that can be measured. This is all a necessary part of right-sizing Vermont government.

I do not believe it is right to ask Vermonters to pay more taxes until government as a whole goes through the above process. Our state revenues are at about the same level that they were in 2005. We must get our spending back to those levels.

A Moderate Approach to the Budget

"I've balanced the budget for 16 years."

"The thing about being the moderate is you get beaten up by both sides. I'm pretty resoundingly, every year, beaten up by both sides. I think that proves my point that I'm the moderate."

Larger School Districts and Education Spending

Larger districts will offer more educational opportunities for children and save money. We need work together to reduce spending on education.

"Half our budget deficit next year, $60 million, is the general fund contribution to education. If we meet that obligation, we are breaking the back of other general fund services. To not meet them, and this is the no-win situation, is breaking the back of the property taxpayer."

Addressing Property Taxes

It is obvious that education is a hot topic in most of our communities.  Many school boards worked hard to deliver a level funded or lower budget than last year.   Staff reductions were made and programs were cut; and still tax rates went up.  Voters are angry and frustrated.  How can we have a system that penalizes communities that are doing all the right things to contain costs with a higher tax rate? 

The culprit is the Common Level of Appraisal or the CLA.

The CLA is the part of Act 60 and Act 68 that is designed to make sure that all taxpayers and communities are treated in an equitable manner.  It is the means by which the school tax on a $210,000 home is the same no matter which community the home is located, as long as the school spending is the same.  I believe that it is the CLA that disconnects voters from their school budgets, not income sensitivity.  It is the CLA that is causing tax rates to rise, when school spending is dropping.

I have been talking with the Finance Committee for several years about working to find a solution to the problems with the CLA formula.  So far no one has come up with a solution.  It is my understanding that there are some issues with “freezing” the CLA where it was last year, but I find it hard to believe that it could be more of a problem than we have now increasing it! 

I am going to ask the Finance committee once again to see if we can at least get a short-term fix for this problem.  I do have a longer term fix.

When Act 68 passed, I worked with Representative Richard Marron from Stowe to put a new system of property evaluation in place.  Rep. Marron was then the Chair of the House Ways and Means Committee, and he did a great deal of work with the state of Maryland to understand their system. 

They have a 3-year rolling, on-going statewide appraisal system.  One year it is primary residences, the next year business property and the third year all other property. This system keeps property up to date and I believe it would serve to get rid of the complex CLA formula.  I still believe that this is a good idea and I’m trying to get folks to consider it again.  

My plan for Vermont envisions hiring professional appraisers to work for the state tax department, performing the ongoing work in each county.  We would keep our local listers doing the work that they currently do.  With professional appraisers, I believe there would be more consistency in the property evaluations eliminating the need for the CLA. 

This system would save money for the towns, which constantly have to reappraise.  There would still be an appeal process for taxpayers who felt they had an unfair evaluation. 

I believe that this system will keep evaluations up to date in every part of the state, is easy to understand and meets the requirements of treating taxpayers in a fair and equitable manner.  It may even reduce property taxes.

It sure would be better than watching property taxes increase while school boards cut services.

A Progressive Tax Structure for Vermont

Two years ago the legislature decided that what was needed was a comprehensive study of the revenues package that funds Vermont state government. Three people were appointed and staff was hired to have them take the necessary time to research and study what Vermont currently has as a revenue structure, what is working, what the impacts of various changes are and what a comprehensive revenue package for our state should look like. We very intentionally set the date for the report for after the 2010 election. What we all know is that the next governor and legislature can look forward to a comprehensive piece of work that can lay the foundation for a new structure.

With that said here are the general principles of a Bartlett administration. I believe in a progressive system of taxes and revenues; when you earn more, you have the ability to pay more. Individuals, groups or companies that use certain state services should help defray the costs of the services they consume; you need a permit to sell ice cream, you should pay for the cost of delivering that permit. For a number of years I have been interested in the idea of capping the amount of income tax individuals pay after age 65 and that should be a progressive system. As we move towards health care reform I believe that everyone has to be in and everyone has to pay. A Bartlett administration would want tax policy that supports the growth of our small businesses and encourages the growth of good paying jobs throughout Vermont.

I have been a supporter of Challenges for Change and moving all of state government to an outcome based, measurable system of government. Once we all understand clearly what we are getting for our dollars, then we can have a conversation about how much we need to be spending; where are we spending enough, where do we want to spend less, where do we may want to spend more. I believe that once this is done and Vermonters see what their tax dollars are buying there will be a very different conversation regarding the revenues of our state. With an outcomes based system and the information from the revenue study group, the next administration and legislature can redesign our revenue system and have it truly reflect the values of Vermonters.

Education Spending and Quality Goals

High quality educational opportunities are the key to the future

Well-educated citizens have the knowledge and confidence to invent new products, start new businesses, be great employees, and to be active participants in their communities, be it as a basketball coach, a volunteer firefighter, a select board member, or a member of a local theater group. We owe it to our students to prepare them to compete in our rapidly changing world.

Act 60

Act 60 has worked to equalize spending among Vermont's communities, thereby compiling with the Supreme Court's Brigham decision and ensuring that all children have the same access to education, regardless of a town's property wealth. However, changes must be made to the Common Level of Appraisal (CLA) to make our educational funding formula less confusing. I favor replacing the system with a statewide, three-year rotating professional appraisal.

Vermont must reduce spending statewide in order to reduce local school taxes

Vermont is among the highest per pupil spending in the country, and Vermonters are frustrated by rising property taxes. It is important to understand that school taxes are determined not only by what we spend, but by what is spent across the state on education as a whole. In order to reduce taxes at the local level, we need to take a system-wide approach to reducing spending.

We can control spending and enhance educational opportunity in Vermont

Here is what I would support as Governor:
Larger School Districts - Vermont should have 16 school districts (as opposed to the current 307). The path to getting to larger districts needs to be paved by requiring all districts to implement best practices in administration over two years with the goal of creating larger districts in five years.


Minimum-Maximum Class Sizes - Each district would adopt a minimum-maximum class size policy. This would mean greater job security for teachers, increased flexibility for staff planning, and reduction in costs associated with the hiring process. In addition, it would keep investments made in professional development within each district, increase capacity and help preserve some of our smaller schools.

Critical Evaluation of Special Education - Our schools and our property taxes have become the deep pockets of special education/social services. We need to have our department of education define what truly belongs as an educational cost and what is a "social cost. I believe it is correct to have education taxes pay for educational costs, and the general fund pay the social costs.

Teacher Support and Training - I believe that the most significant progress toward the success of all children happens in classrooms with excellent teachers who base their work on research proven instruction and educational practice; for example, differentiated instruction as a method of teaching and workstations as a strategy to help all students to learn.

Read the detailed policy paper.

A Progressive Tax Structure for Vermont

Two years ago the legislature decided that what was needed was a comprehensive study of the revenues package that funds Vermont state government. Three people were appointed and staff was hired to have them take the necessary time to research and study what Vermont currently has as a revenue structure, what is working, what the impacts of various changes are and what a comprehensive revenue package for our state should look like. We very intentionally set the date for the report for after the 2010 election. What we all know is that the next governor and legislature can look forward to a comprehensive piece of work that can lay the foundation for a new structure.

With that said here are the general principles of a Bartlett administration. I believe in a progressive system of taxes and revenues; when you earn more, you have the ability to pay more. Individuals, groups or companies that use certain state services should help defray the costs of the services they consume; you need a permit to sell ice cream, you should pay for the cost of delivering that permit. For a number of years I have been interested in the idea of capping the amount of income tax individuals pay after age 65 and that should be a progressive system. As we move towards health care reform I believe that everyone has to be in and everyone has to pay. A Bartlett administration would want tax policy that supports the growth of our small businesses and encourages the growth of good paying jobs throughout Vermont.

I have been a supporter of Challenges for Change and moving all of state government to an outcome based, measurable system of government. Once we all understand clearly what we are getting for our dollars, then we can have a conversation about how much we need to be spending; where are we spending enough, where do we want to spend less, where do we may want to spend more. I believe that once this is done and Vermonters see what their tax dollars are buying there will be a very different conversation regarding the revenues of our state. With an outcomes based system and the information from the revenue study group, the next administration and legislature can redesign our revenue system and have it truly reflect the values of Vermonters.