By State Sen. Greg Goggans
The 2011 Budget and Higher Education
I want to thank all my constituents for your phone calls, letters, and emails to my office on your concerns for our current budget crisis, especially when it comes to education funding. As the General Assembly is considering ways to fill over $1 billion in revenue shortfalls, I share your concern for the investment into education. With over 60 percent of revenues going toward our schools (K-12 and the Board of Regents), it is essential we find ways to reduce spending without sacrificing the quality of our children’s education.
The state budget for Fiscal Year 2011, which includes state funding for the Board of Regents, is currently being considered by the House of Representatives. Understanding the importance of our higher education system for all facets of the state, I would like to share the process for how this bill moves to the Senate.
The determination for total state funding begins with the governor. It is the governor alone who decides the maximum amount the legislature may appropriate. The legislature cannot spend a single dollar in excess of the governor’s revenue estimate. Additionally, the Constitution requires a balanced budget. Unlike what happens in Washington D.C. the state of Georgia is prohibited from spending money we do not have.
Once the governor establishes the revenue limit, a budget is offered in the State House of Representatives to reflect the governor’s spending policy. The House can make changes to where and how the money is spent, but cannot increase the total amount spent. Once a budget is passed from the House of Representatives, the Senate takes it into consideration for further changes. But again, no possible increase in the total funding amount may be considered.
The current budget situation reflects the historic 25 percent revenue decrease we have experienced during the last two years. Part of this revenue reduction has been offset by a reserve fund of $1.8 billion the General Assembly wisely created during the years of 2004 through 2008. Unfortunately, the reserve fund is now gone and the General Assembly has had to make significant cuts in state spending.
There are 31 departments for state funding and every one of them has received a reduction in revenue since the beginning of FY2009. The changes in revenue reduction per department have ranged from 30 percent for the Department of Natural Resources to just 2 percent for the Employee Retirement Department. The median department reduction is about 18 percent.
The Board of Regents, which includes Georgia’s colleges and universities, has had funding changes over the last 6 years. Here are the percentage changes in funding:
• FY2006 $1.82 Billion with a 4.94% increase from FY2005
• FY2007 $1.93 Billion with a 3.28% increase from FY2006
• FY2008 $2.14 Billion with a 6.38% increase from FY2007
• FY2009 $2.04 Billion with a 3.76% decrease from FY2008
• FY2010 $1.99 Billion with a 2.64% decrease from FY2009
• FY2011(proposed) $1.76 Billion with an 11.3% decrease from FY2010
Based upon the percentage reductions among the 31 departments of state government, the Board of Regents reduction is the 8th smallest between FY2009 through FY2011. The proposed budget for the Board of Regents is very similar to the funding amount for FY2006.
We will continue to monitor the progress of the budget as it moves through the House of Representatives and do all we can to protect education funding. We recognize that all departments will see reductions; however, it is also important to realize some areas of government are more important than others.
Please remember to contact me in my office on the issues that are affecting you and your area. I am here to represent you and it is an honor for me to work on your behalf. As always, I’d like to thank members of the Senate staff, who contribute regularly to my column.
Sen. Greg Goggans represents the 7th Senate District, which includes Atkinson, Bacon, Berrien, Clinch, Coffee, Echols, Lanier, Pierce and Ware counties and a portion of Cook County.
PRESS RELEASE
For Immediate Release:
March 5, 2010
For Information Contact:
Matt Colvin, Broadcast Specialist
matthew.colvin@senate.ga.gov
404.656.0028