to fund education

Arizona Daily Star
Jun 7, 2000
by John Munger

GUEST COMMENT

Gov. Jane Hull has made a proposal for providing additional funding to education at all levels.

It requires approval of a 0.6-cent increase in the state sales tax that would raise an estimated $445 million the first year.

Hull further proposes the increase be accomplished by the Legislature, referring the issue in special session to a vote of the people during this November's general election.

No one likes tax increases, and we in the business community always cast a cold eye at any plan to raise them. But in this case, we think Hull's plan is necessary, and even wise. Here's why.

Every indicator of which we are aware shows Arizona has become substandard in its support of education.

Whether it is our 48th place ranking in funding K-12, or the sad state of our support of university faculty salaries and high-tech initiatives, Arizona is coming up short when compared with other states.

We are entering a new economic world - the world of the "new economy." This is not the place for a dissertation on that subject, but let us say the economy will be driven by knowledge-based services and the application of high technology.

Quality education at all levels is key to developing the skilled work force essential to successful participation in the new economy, and the universities are an especially crucial factor in the equation that makes for successful entry into - and survival in - the new economy.

Other states realize these truths and are investing heavily in education, especially at the university level where top-quality faculty and cutting-edge, high-technology programs are essential for getting in and staying in the new economy game.

Here are a few examples of what the competition is either seriously proposing or implementing.

* California: $300 million over four years (for three institutes for science and innovation)

* Illinois: $1.9 billion over five years (to develop basic science and technology infrastructure)

* Michigan: $1 billion over 20 years (in biotechnology, for basic research and commercial development)

Arizona is not keeping up. We not only lack the funding of proposals similar to these, but we are failing further behind in other ways.

At the University of Arizona, President Peter Likins reports that 74 top-flight faculty members have recently been lured away to universities in other states. That is a shameful statistic.

It is much more disappointing to see the response of the House of Representatives majority to Hull's sensible plan. Their proposal would provide additional K-12 funding by cutting many other state agency budgets, including the universities.

The University of Arizona would be reduced by $13.1 million, while the university system as a whole would be butchered by $30.9 million. This House proposal is a sorry reminder that some of our elected officials just don't get it. They do not understand the situation we are in. This move would cripple the economy of Arizona.

We in the Tucson business community are convinced this issue is not about academic egos or institutional pride. It is about the state of Arizona making the investments necessary to succeed in the next stage of the global economy. It is about the economic well-being of every citizen of Arizona.

We can either do what is necessary or become an economic backwater. The matter is just that serious.

We would like to say the necessary investments in education can be made out of the existing state tax revenue stream, but we are convinced that this is not possible.

Court-mandated pledges to repair and build new K-12 facilities, along with the needs of everything from mental health to criminal justice and the environment, have exhausted the existing revenue base.

Nor is tobacco settlement money the answer, since the governor is prudently calling for it to be allocated to the myriad needs of health care.

We, the last group normally to embrace a tax increase, embrace this one. It will pay us back many times over.

We call on the Legislature to end the quibbling and support Hull's plan in her special session, if the required votes are committed.

We also call on our friends and colleagues in Maricopa County, and elsewhere in the state, to join with us in carrying this message to the governor and the Legislature.

John F. Munger is the Education Task Force chairman of the Southern Arizona Leadership Council, an organization of more than 50 business leaders. He is also a former member of the Board of Regents.

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