On Friday, Governor Doug Ducey released his proposed Executive Budget for fiscal year 2018. Ducey said his budget prioritizes K-12 education.
FY 2017 Budget Forecast:
The Executive forecasts a current fiscal year structural surplus of $5 million and an ending cash balance of $119 million.
MAJOR GENERAL FUND BUDGET ISSUES, FY 2017 | |
| K-12 Education: 1% Cap | $ 19.8 million |
| Dept. of Child Safety (DCS) | 8.0 million |
| DES: Prop. 206 | $ 7.7 million |
MAJOR GENERAL FUND BUDGET ISSUES, FY 2018 | |
| K-12 Education | $ 96.4 million |
| University Capital Investment Program | $ 36.8 million |
| Health Insurance Trust Fund | $ 30.0 million |
| School Facilities Board: Building Renewal Grants | $ 17.2 million |
| University Capital and Operational Funding | $ 15.0 million |
| DES: Adult Protective Services | $ 3.0 million |
| DES: “Safety Net” | $ 2.8 million |
| Water Resources: Drought Contingency Plan | $ 2.0 million |
| Forester: Post-Release Fire Crew | $ 1.5 million |
| DPS: Sexual Assault Kit Testing | $ 1.2 million |
| DCS: Kinship Stipend | $ 1.0 million |
PROJECTED ENDING BALANCES |
| FY 2018 | $ 17 million | FY 2019 | 27 million |
“In poll after poll, the people of Arizona have been very clear that more resources are needed in order for Arizona kids to be successful. The governor’s State of the State address raised hopes about his level of commitment to education, but the devil is in the details,” said Senate Democratic Leader Katie Hobbs and House Democratic Leader Rebecca Rios in a statement released Friday.
“He promised to finally invest in teacher retention and recruitment, but his budget offers teachers a raise of just four-tenths of a percent a year, which doesn’t even keep pace with inflation. For new teachers starting at low-income schools, this budget does present opportunities. But for our most loyal teachers who have stuck with our schools through years of budget cuts and no raise, this is hardly a vote of confidence,” continued Hobbs and Rios.
“We know we see a return when we invest in kids. The same can’t be said for the additional $107 million in state revenue we’ll lose to unaccountable corporate tax credits, or the corporate STO credit that grows by 20 percent each year, or letting our roads fall further into disrepair,” concluded Hobbs and Rios.
Ducey said the proposed budget “responsibly utilizes the resources we have available to invest in education and expand opportunities for everyone in our state, including our most vulnerable citizens. Because of the responsible decisions made over the past two years and the support from voters to end the education lawsuit, we are on firm financial footing and have the ability to invest real dollars in areas where they matter.”