Tape No. 98-1, 98-2, 98-3
LEGISLATIVE OVERSIGHT COMMITTEE
ON RESTRUCTURING EDUCATION
MINUTES
Meeting of June 3, 1998
The Legislative Oversight Committee on Restructuring Education met at 10:10 a.m. in room 10 of the State House, Montpelier, Vermont.
MEMBERS PRESENT: Reps. John S. Freidin, Chair; Paul A. Cillo; Martha P. Heath; Karen M. Lafayette; Sens. James H. Greenwood; Helen S. Riehle; Cheryl P. Rivers; Jeb Spaulding
STAFF PRESENT AT VARIOUS TIMES: Bill Russell, Emily Tartter, Anne Winchester and Rachel Levin of the Legislative Council; Steve Klein, Catherine Benham, Mark Perrault and Doug Williams of the Joint Fiscal Office.
Representative Freidin called the meeting to order at 10:10 a.m.
Staff distributed two 5/28/98 memos from Demis Martin, Assistant to the Legislative Committee on Administrative Rules, to Susan Boyd of the Department of Education, addressing the following final proposed rules: 98P009 relating to Sliding Scales Calculation approved at its 5/27/98 meeting and 98P011 relating to Allowable and Extraordinary Transportation Expenditures approved at its 5/27/98 meeting with a modification to section 9305.2 of the rule; as well as a 5/21/98 list of Vermont Economic Progress Council appointees made by the Governor.
Staff noted that the following Department of Education proposed rules had been sent to Committee members prior to the meeting: final proposed rules from the Department of Education on the Sliding Scales Calculation, Allowable and Extraordinary Transportation Expenditures, two documents relating to a proposed rule on Vermont School Quality Standards, a proposed rule relating to Full Time Equivalent Enrollment of Pupils, a proposed rule for Reporting Students for whom English is not the Primary Language, and a final proposed rule regarding Australian Ballot Budget Votes Under Act 60.
Rep. Freidin then reviewed the responsibilities of the committee, referencing Section 90 of Act 60 which sets forth the relevant language that pertains to the committee. He specifically reviewed the committee's responsibilities of reviewing and advising on agency and departmental rules and policies as well as the report to the General Assembly due on or before December 1 on the implementation of the act.
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Rep. Freidin asked Bill Russell, Chief Legislative Counsel, to distribute and review with the committee two 5/11/98 documents entitled, Legislative Oversight Committee on Educational Restructuring Activities Prepared by the Legislative Council. Bill Russell reviewed the documents and said that Anne Winchester, Emily Tartter and Rachel Levin would be joining him and the Joint Fiscal Office in staffing the committee.
Rep. Freidin briefed the committee on memos he had sent to the Speaker of the House, the President Pro Tem of the Senate, Secretary of Administration Kathy Hoyt, Commissioner Ed Haase, Commissioner Marc Hull, Director of Property Valuation and Review Bill Johnson and State Board of Education Chair Diane Wolk, requesting the committee be notified of appointments to committees and commissions as well as proposed rules. He then reviewed the documents staff distributed or sent to committee members, noting that biographical information on the appointees to the VT Economic Progress Council was being photocopied and would be provided to the committee.
1. APPROVAL OF 12/16/97 MINUTES
Sen. Rivers made a motion to approve the minutes of the 12/16/97 meeting. The motion passed unanimously.
2. REPORTS ON SCHOOL BUDGETS AND SETTING LOCAL PROPERTY TAX
RATES
Bill Talbott, Chief Financial Officer for the Department of Education, reported on the school budgeting process saying that the Department of Taxes and Department of Education will be jointly sending the towns documents explaining the amount of money to be raised. In response to questions from the committee, he discussed the number of budgets that had passed and said that the number of budgets defeated had been less in the current year than the past. The committee requested a summary in writing. Bill Talbott said that he and Jeff Francis of the Vermont Superintendents Association would work together to provide the committee with the information.
Rep. Heath then referred to a Property Valuation and Review draft document entitled, Setting Tax Rates for the 1998 Tax Year, noting that she hoped there would be a straightforward form sent to town offices. Rep. Freidin requested that PVR's final form sent to towns also be sent to the committee.
3. EDUCATION DEPARTMENT RULES
Rep. Freidin asked Bill Reedy, General Counsel, Marge Petit, Deputy Commissioner and Bill Talbott, CFO of the Department of Education to review the following rules with the committee. He said that there would be time at the end of the meeting for the committee to discuss the process for consideration of these rules as well as future rules.
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a. School Quality Standards; Sec. 3, 4 and 13 of Act 60, Sec 96 of Act 71
Deputy Commissioner Petit said that the Act directs the State Board of Education to continually update standards for performance. She then reviewed the School Quality Rules, saying that what was being done was implementing and updating the standards set forth in VERMONT'S FRAMEWORK OF STANDARDS AND LEARNING OPPORTUNITIES. The Committee asked questions relating to the timetable for implementation, action plans, training costs, evaluation and relation to technical education legislation as well as other issues. Bill Reedy said that this was only the beginning of the process and that there would be hearings going on during the month and that he would provide the committee information on the process and the hearing dates. The committee then gave the Department preliminary feedback on the proposed rule.
b. Definition of Full-Time Equivalent Enrollment of Pupils; Sec. 18 of Act 60
Bill Reedy explained that the issue related to how EEE and pre kindergarten pupils were counted and how it related to the block grant. Bill Talbott answered some of the committee's questions relating to the number of existing and potential pupils as well as the amount of reimbursement. The committee said that it needed more factual information before it could have a thorough discussion about the proposed rule. In response to a question from Rep. Freidin, Bill Reedy said that there was no reason the committee could not have more time for discussion and that the proposed rule could go before the Administrative Rules Committee on another date.
The committee discussed the information it would request from the Department of Education relating to the above two rules.
c. Students for whom English is not the Primary Language; Sec. 18 of Act 60
Bill Reedy reviewed the proposed rule with the committee.
d. Uniform Australian Ballot Budget Language; Sec. 26 and 27 of Act 60
Bill Reedy explained the proposed rule and the criteria set forth and then answered questions from the committee. The committee recessed for lunch and reconvened at 1:15 p.m.
4. REPORT ON REVENUES AND IMPACT ON EDUCATION FUND
Steve Klein, Chief Fiscal Officer and Doug Williams, Deputy of the Joint Fiscal Office reviewed a 6/3/98 memo from Doug Williams to Rep. Freidin, Chair of the Committee addressing May Revenue Collections. They said they would be preparing an updated balance sheet for the July meeting.
5. PRESENTATION OF INFORMATION ON CHERRY SHEETS, SEC. 95, ACT 60
Catherine Benham and Mark Perrault of the Joint Fiscal Office and Bill Talbott distributed and discussed a 5/28/98 memo from Steve Klein, Mark Perrault and Catherine Benham of the Joint Fiscal Office to the Committee on Consolidated Balance Sheets.
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6. UPDATE ON SENDING OUT PREBATE CHECKS
Sean Campbell, Deputy Tax Commissioner distributed and discussed a 6/3/98 memo to the Oversight Committee addressing School Property Tax Reduction Payment. Bob Gross of the Department of Taxes answered some of the committee's questions on rebate history and statistics.
Rep. Freidin asked Deputy Commissioner Campbell and Bill Johnson, Director of Property Valuation and Review to brief the committee on how the Department was instructing selectboards on how to set the tax rates. They distributed a 5/28/98 Vermont Department of Taxes Act 60 Update on Locally Voted Exemptions and Stabilization Agreements and a 6/4/98 revised draft document clarifying the previous document which was issued 5/28/98. The committee commented on the draft.
Bill Johnson distributed a 6/1/98 memo to Board of Listers regarding Hydroelectric Facilities and an attached data sheet for completion.
7. TAX DEPARTMENT RULE RELATING TO APPRAISALS
Deputy Commissioner Campbell distributed a 6/3/98 memo from Charles Merriman, Attorney for Property Valuation and Review, to the Committee regarding a Draft Rule on Reappraisals.
Rep. Freidin asked the committee how it would like to proceed.
8. UPDATE ON CONSTITUTIONAL CHALLENGES TO ACT 60
Molly Bachman, General Counsel for the Department of Taxes reviewed the six challenges to Act 60 which had been filed, noting that two challenges had been dismissed, two were currently in Superior Court and two were pending before the Vermont Supreme Court.
9. COMMITTEE DISCUSSION ON HOW TO CONSIDER FUTURE RULES;
MEETING SCHEDULE
Rep. Freidin asked the committee how it would like to proceed on the discussion of the current and future rules.
Sen. Rivers made a motion to express approval of the draft rules for Students for whom English is not the Primary Language and Uniform Australian Ballot Budget Language. The motion passed unanimously.
Concerning the draft rules on School Quality Standards and Definition of Full-Time Equivalent Enrollment of Pupils, Rep. Freidin said he would write a letter to the Commissioner of Education requesting additional facts and would send copies of the letter to committee members.
The committee decided to hold a meeting to receive additional testimony and to continue their discussion of these rules, as well as the Department of Taxes proposed rule on reappraisals.
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The committee agreed to meet on Wednesday, June 24 and Thursday, July 16, beginning at 9:30 a.m. at the State House.
The Committee adjourned at 4:00 p.m.
Respectfully submitted,
Rachel Levin