Amendment 59 -- Education Funding and TABOR Rebates

This initiative would 1) set aside money up to a certain threshold in a savings account within the State Education Fund for preschool through 12th grade (P-12) education and limit when the savings account money can be spent, 2) allow certain transfers from the general fund to the State Education Fund after required transfers to the Highway Users Tax Fund are made, 3) eliminate the inflationary increase in P-12 education spending currently required by the Amendment 23 provision, and 4) eliminate TABOR rebates (when the state collects more money than is allowed) putting the money in the State Education Fund. The first two provisions listed above would take effect in the 2009-10 fiscal year, but the other provisions would only take effect in the 2011-12 fiscal year.

Required CONSTITUTIONAL change -- CHANGES Section 17 of Article IX and ADDS a subsection to Section 20 of Article X

Recommendation: yes
Amendment 23 and the TABOR rebates have handcuffed the general assembly in its ability to budget for our state. This amendment would get rid of both of those handcuffs. It also allows the state to set aside money for education in an economic downturn. Because P-12 education is the biggest chunk of the state budget and we are taking away Amendment 23’s provisions of guaranteed funding, it is reasonable for the TABOR rebates to go into the State Education Fund. Although taxpayers might be unhappy about not getting future rebates, revenue collection (e.g. taxes) is still constrained by TABOR. Meanwhile, the hope is that the P-12 education system in our state will improve.


Website for Yes side (Savings Account for Education Initiative)
http://www.coloradosafe.org/

Website for No side (Strike a Better Balance)
http://www.strikeabetterbalance.com/


Amendment 59 (Approved ballot title below)

Education Funding and TABOR Rebates

SHALL THERE BE AN AMENDMENT TO THE COLORADO CONSTITUTION CONCERNING THE MANNER IN WHICH THE STATE FUNDS PUBLIC EDUCATION FROM PRESCHOOL THROUGH THE TWELFTH GRADE, AND, IN CONNECTION THEREWITH, FOR THE 2010-11 STATE FISCAL YEAR AND EACH STATE FISCAL YEAR THEREAFTER, REQUIRING THAT ANY REVENUE THAT THE STATE WOULD OTHERWISE BE REQUIRED TO REFUND PURSUANT TO THE CONSTITUTIONAL LIMIT ON STATE FISCAL YEAR SPENDING BE TRANSFERRED INSTEAD TO THE STATE EDUCATION FUND; ELIMINATING THE REQUIREMENT THAT, FOR THE 2011-12 STATE FISCAL YEAR AND EACH STATE FISCAL YEAR THEREAFTER, THE STATEWIDE BASE PER PUPIL FUNDING FOR PUBLIC EDUCATION FROM PRESCHOOL THROUGH THE TWELFTH GRADE AND THE TOTAL STATE FUNDING FOR ALL CATEGORICAL PROGRAMS INCREASE ANNUALLY BY AT LEAST THE RATE OF INFLATION; CREATING A SAVINGS ACCOUNT IN THE STATE EDUCATION FUND; REQUIRING THAT A PORTION OF THE STATE INCOME TAX REVENUE THAT IS DEPOSITED IN THE STATE EDUCATION FUND BE CREDITED TO THE SAVINGS ACCOUNT IN CERTAIN CIRCUMSTANCES; REQUIRING EITHER A TWO-THIRDS MAJORITY VOTE OF EACH HOUSE OF THE GENERAL ASSEMBLY OR, IN ANY STATE FISCAL YEAR IN WHICH COLORADO PERSONAL INCOME GROWS LESS THAN SIX PERCENT BETWEEN THE TWO PREVIOUS CALENDAR YEARS, A SIMPLE MAJORITY VOTE OF THE GENERAL ASSEMBLY TO USE THE MONEYS IN THE SAVINGS ACCOUNT; ESTABLISHING THE PURPOSES FOR WHICH MONEYS IN THE SAVINGS ACCOUNT MAY BE SPENT; ESTABLISHING A MAXIMUM AMOUNT THAT MAY BE IN THE SAVINGS ACCOUNT IN ANY STATE FISCAL YEAR; AND ALLOWING THE GENERAL ASSEMBLY TO TRANSFER MONEYS FROM THE GENERAL FUND TO THE STATE EDUCATION FUND, SO LONG AS CERTAIN OBLIGATIONS FOR TRANSPORTATION FUNDING ARE MET?

Yes ________________ No ________________


To see the full text of the proposed measure, click here, then click on “2008 State Ballot Information Booklet” at the top of the page.