Thursday, January 13, 2005
On this day:

Let the Games Begin

The State Education Trust Fund is awash with new revenue due to the economic upturn, and all parts of the state's education establishment are scrambling to make sure that their piece of the pie is as large as possible. The state's K-12 public school teachers, represented by the Alabama Education Association, want a 7 percent raise. The 15 4-year universitities are demanding the same for their faculty and staff. The 2-year colleges want a 7 percent increase in funding.

Meanwhile, Governor Riley is considering raining on all their parades by proposing to divert some of the SETF's surplus revenue into the state's General Fund. The General Fund, which provides support for such non-education programs and functions as Medicaid and corrections, has failed to generate enough new revenues to meet projected cost increases.

AEA lobbyist Paul Hubbert and His Loquacity Senator Roger Bedford (D., Russellville) have already voiced strong opposition to unearmarking revenue from the Education Trust Fund. Therefore, it is doubtful that such an option could garner enough support to pass in the Legislature.

However, if Gov. Riley and the Republicans in the legislature play their cards right, they could turn this into a winning campaign issue for next year's elections. By portraying the choice as one between unearmarking education revenues versus a substantial tax increase for the General Fund, they may hit on an issue that will propel them towards their goal of winning control of at least one legislative house. Having the Democrats unite behind tax increases in order to avoid unearmarking education revenues would be a winning issue for Republican legislative candidates. It would also help Governor Riley overcome the political disaster of his support for the tax and accountability package that was rejected overwhelmingly by voters in 2003.

Keep watching this one...it could get interesting.