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Kitzhaber pushes school plan Governor urges ballot measures linking education funds, economy By Peter Wong of the Mail Tribune Gov. John Kitzhaber says his tax proposals will offer voters a choice between stabilizing aid to Oregon's public schools and slashing taxes and jeopardizing that state aid. "We have to stop playing Russian roulette with our kids," he said Thursday at an appearance at Rogue Community College in downtown Medford. The Democratic chief executive began a push for two proposed ballot measures, which he and co-sponsors planned to file with the secretary of state this morning. One would require the Legislature to guarantee enough aid so districts can educate students to achieve state academic standards. The other would set up a special fund to stabilize aid if a downturn in the economy reduces state income tax collections. "Because our schools are so dependent on the income tax, they are vulnerable to an economic downturn, forcing them to make drastic cuts," he said. "We cannot afford to lose a generation of young Oregonians because of a fluctuating economy." The state budget now accounts for 70 percent of local school operations, up from 30 percent a decade ago, as a result of a series of property tax limits that voters have approved. If Kitzhaber and his allies gather the 89,048 signatures required for each measure, bypassing the Legislature, the proposed constitutional amendments would go to voters in the 2000 general election. Kitzhaber's two proposals put him at odds with measures already referred to voters by the Republican majorities in the Legislature, and another potential measure by his 1998 Republican opponent, Bill Sizemore. But Kitzhaber said he would welcome such a debate if all qualify for the 2000 general election ballot. "They represent a basic philosophy that there is no place in our society for public institutions, that we do not need to invest in our schools or people," Kitzhaber said. "That is not how business works, how families work, or how Oregon should work. "My experience with Oregon voters is that it is pretty hard to confuse them." Kitzhaber proposes to use a portion of excess income tax collections, known as the "kicker," as one of the sources for the stabilization fund. Legislative Republicans have referred measures to voters next year to lock the "kicker" in the Oregon Constitution and increase the maximum deduction for federal income taxes on state income-tax returns. Another ballot measure proposed by Sizemore would allow a full deduction of federal income taxes on state returns. Stan Bunn, the Republican who was elected as the nonpartisan state schools superintendent last year, spoke for Kitzhaber's proposals. "After looking at all the proposals, I am solidly behind and will aggressively work for the proposals put forth by the governor,'' said Bunn, whose daughter, Kristina, is a student at RCC. But state Rep. Rob Patridge, R-Medford, took issue with them. "I see nothing in there that is going to improve the amount of money that goes into education," Patridge said afterward. "I wish the governor would have worked diligently with the Legislature during the past session, because these types of measures could have been passed -- and they do not need to be constitutional amendments." Unlike an earlier version, Kitzhaber does not propose to use all of the "kicker," which is triggered when income tax collections exceed forecasts by more than 2 percent. His proposal would set a lower trigger of 0.5 percent, but half the excess would be rebated to individual and corporate taxpayers, and the other half would go into the stabilization fund. Even without the excess money from the "kicker," Kitzhaber said, the other sources could produce just under $200 million for the fund every two years. At that rate, it would take a decade or more for the fund to reach its cap of 10 percent of the state general-fund budget. The 1999-2001 budget is about $11 billion. Though Kitzhaber's second ballot measure appears to be less controversial, the proposed constitutional amendment still would require the Legislature to approve enough state aid so that schools could educate students to achieve the state academic standards established in a 1991 law. Earlier this year a panel came up with a formula to determine the amount of aid required for districts to educate students to the standards, and Kitzhaber said he will name a commission to determine an amount for the 2001-03 budget. Mail Tribune Copyright � The Mail Tribune 1999, Medford, Oregon USA