Governor’s proposed budget raids K-12 school funds to grow DHS again

by Dan Lucas

As school districts across the state brace for more budget cuts, state K-12 school funds are again being raided to grow DHS.

For the second consecutive budget cycle, the State School Fund (K-12) is being raided to give to the Dept. of Human Services (DHS). Since the last budget cycle, DHS has been split into DHS and the new Oregon Health Authority (OHA). Last budget cycle, $150 million was taken from the schools and DHS grew by $330 million. In the Governor’s proposed budget released yesterday, $225 million more would be taken from the schools and the DHS & OHA General & Lottery Funds would grow by $333 million more.

This shift towards human services and away from education was noted in Governor Kulongoski’s 2010 Governor’s Reset Cabinet Final Report.

DHS grew by $4 billion in the 2009-11 budget ($330 million in General & Lottery Funds, $600 million in Other Funds, and $3.1 billion in Federal Funds). $150 million was taken from the State School Fund to be able to increase the DHS budget.

In Gov. Kitzhaber’s current proposed budget, the State School Fund is again raided, this time for $225 million, to help replace $1.2 billion in DHS & OHA Federal Funds that are going away. Although $1.2 billion in Federal Funds are going away, the DHS & OHA budgets proposed are still $3.6 billion more than they were two years ago.  (The total DHS & OHA All Funds budget is still $3.6 billion more than the 2007-09 actuals, and the Federal Funds DHS & OHA budget is $2 billion more than the 2007-09 actuals.)

The $225 million that Gov. Kitzhaber’s proposed budget takes from the schools helps to increase the DHS & OHA General & Lottery Funds by $333 million – almost the exact amount those DHS funds grew in the previous budget.

The State School Fund isn’t the only cut being proposed – the largest All Funds agency budget cut in the Governor’s proposed budget is the Employment Department: despite unemployment that’s been stuck at over 10% for two years, they are facing a cut of $2.7 billion and 274 employees. The budget notes “The reduction is largely due to an anticipated decline in payment of unemployment insurance benefits. The decline in benefits is expected to occur as a result of several factors, including the end of federal extended and emergency benefit programs, increasing numbers of the long-term unemployed exhausting their benefits, and employers slowly beginning to increase hiring.”

Governor’s proposed budget raids K-12 School funds to grow DHS again (full article with sources and charts)

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Posted by at 05:30 | Posted in State Budget | 54 Comments |Email This Post Email This Post |Print This Post Print This Post
  • Notfromhere

    DHS is key to Oregon’s success as a state that attracts deadbeats. I should know as I am one. I used to live in Armenia, where being poor is really tough. Here is not so bad. Not so bad at all. I get free everything in Oregon just by showing up. Never have to prove anything. Free unemployment monies, free health care, free schooling, free housing, free food, free counseling, free transportation, free dental, free vision, free chiropractic, etc., etc.

    You peoples have no idea how nice you have it here in land of milks and honey. I have never seen so many poor people with houses, cars, TVs, even VCR or DVD or even cable. The food here is tops. No one I know pays for anything. So this John man, whoever he is, he friend to me and mine. For sure.

    Plus, now I will get in-state tuition if I decide to go to school, which I may do soon as my unemployment is set to run out in another two years. I get college loan and spend all the money and never go to class and never graduate from nothing. I can use the money for new laptop and play many online games with my Facebook account like the farming one, which I used to actually do in homeland, so I am good at this. I already have 34 virtual tractors for my many plots. I may sell a couple and use money to get more land to grow cotton.

    There is nothing better than Oregon for a poor person. We are treated like kings. We do nothing but complain, and then get even more. I told my gambling counselor last week that I was thinking of hitting the video poker again and she bought me a Starbucks big and tall with her state credit card. I promised not to go, but did buy some lottery tickets with the money I got from selling some of the food I got for free with my food stamp magic card.

    Who cares about this K is 12, or whatever you calling it. I need help that is due to me and I am priority, as otherwise, if not taken care of, I cause many problem. You watch.

  • Notfromhere

    DHS is key to Oregon’s success as a state that attracts deadbeats. I should know as I am one. I used to live in Armenia, where being poor is really tough. Here is not so bad. Not so bad at all. I get free everything in Oregon just by showing up. Never have to prove anything. Free unemployment monies, free health care, free schooling, free housing, free food, free counseling, free transportation, free dental, free vision, free chiropractic, etc., etc.

    You peoples have no idea how nice you have it here in land of milks and honey. I have never seen so many poor people with houses, cars, TVs, even VCR or DVD or even cable. The food here is tops. No one I know pays for anything. So this John man, whoever he is, he friend to me and mine. For sure.

    Plus, now I will get in-state tuition if I decide to go to school, which I may do soon as my unemployment is set to run out in another two years. I get college loan and spend all the money and never go to class and never graduate from nothing. I can use the money for new laptop and play many online games with my Facebook account like the farming one, which I used to actually do in homeland, so I am good at this. I already have 34 virtual tractors for my many plots. I may sell a couple and use money to get more land to grow cotton.

    There is nothing better than Oregon for a poor person. We are treated like kings. We do nothing but complain, and then get even more. I told my gambling counselor last week that I was thinking of hitting the video poker again and she bought me a Starbucks big and tall with her state credit card. I promised not to go, but did buy some lottery tickets with the money I got from selling some of the food I got for free with my food stamp magic card.

    Who cares about this K is 12, or whatever you calling it. I need help that is due to me and I am priority, as otherwise, if not taken care of, I cause many problem. You watch.

    • Anonymous

      This is very disturbing. Granted, it is unlikely that many more than the few regulars to the site will see this, nonetheless, that somebody would take even ten minutes to create this useless narrative makes me a bit sad.

      Sure, there a people who abuse the system, but this sort of bald cynicism and veiled and amorphous hatred transcends political ideology. As a fiscally conservative young person who would very much like to see reason eventually prevail in this state with regard to economic responsibility, when I see “non-liberal” points-of-view represented in the manner above I am left with little hope (i.e. posing as clever satire, but failing pathetically). The unsophisticated attitude(s) expressed above are perceived by a large majority of emotionally healthy voters as, at best, idiotic and insensitive; mock that reality as many of you may, but understand that it is exactly why Republicans cannot win elections in Oregon.

      Who writes this stuff? Jerry Dawson? If so, Jerry, please just go away. You’re really not helping anything. What else is new though, right?

      • Joe. S

        If you think that little dity is satire,go to Winco in Springfield and check out all the illegals with Oregon Trail cards.

      • DHS Attracts Losers

        Sorry – but as the spouse of a DHS caseworker you need to take off your blinders. Oregon is a magnet for all sorts of society’s losers. Way too many state workers do little or nothing to actually verify legal status and residence requirements. And DHS management “grow” these programs by limiting the amount of funds going for fraud investigations and enforcement.

        • Anonymous

          What? Try again.

        • Anon

          As a DHS program manager who tries to cut back on entitlements but is continually shot down by administrators, let me second the above from the DHS spouse.

      • Mike

        Yes it’s satire – however, doesn’t satire begin on a note of truth? I volunteer in the homeless community. As an icebreaker I often ask, “Where are you from”? Rarely do I hear the Northwest. Most often people come from states which seem to have little to offer the homeless. Portland’s problem ~ in my opinion ~ is they care so much for the homeless that PDX has become the benchmark by which homeless people guage a well run program; sort of teh defacto gold standard of homeless care. I don’t belive PDX wil ever end homelessness in the metro area as we will always have those who come to PDX becasue they have heard it is a far easier life here then where they came from. This leaves those of us who still have jobs to pay the DHS tab for those who come here with broken lives. I see Oregon DHS (generally) as a dilligent group of civil servants. They have done and excellent job at building a benefit kingdom for the impoverished. Wit hjobs leaving adn taxes risiing.I’m now concerend at becoming one of those I currently volunteer to serve.

        • Anonymous

          Sure it does. My point was not to defend the growth of DHS (far from it), but rather to point out the fact that comments such as the one that started this thread are sadly representative of how conservatives are perceived in this state (read Multnomah and Lane counties) – as mean-spirited and heartless, not clever or compassionate. In other words, the comment was far from clever, and is very obviously mean-spirited. As long as idiots like the writer of the above comment are waving the conservative banner conservative thought will be forever marginalized in the minds of left of center voters – the ones who decide elections in Oregon.

          • Notfromhere

            I not sure who you are, as what is anyonymous? Anyway, for afraid to say who you are sure you say mean things to me. I told truth. Not called anyone names like you. In Armenia we tell all to never call names to other peoples as it never helps anything.
            I tell truth about Oregon and get names called to me. How sad Mr. Anonymous, very brave man.

          • Anonymous

            Well, I can only aspire to your level of “bravery”, Notfromhere (last name Johnson?). You are a fine example of unreserved speech, he who first imagines a broadly drawn, unimaginative caricature of an immigrant with an equally outrageous and absurd sense of entitlement, and then becomes that character for the education of your fellow citizens. Brave man you are. Very impressive.

  • Bob Clark

    So, now the schools turn around and ask for hikes in local property taxes. The state stiffs education to continue growing its welfare state bureaucracies, DHS and OHA. Schools turn around and say: your money ,or your children don’t get taught. I call this bad governance, and not much of a change from the last governor.

    • Christiana

      That is because it isn’t. Dudley may not have been perfect but at least he was a change.

  • Bob Clark

    So, now the schools turn around and ask for hikes in local property taxes. The state stiffs education to continue growing its welfare state bureaucracies, DHS and OHA. Schools turn around and say: your money ,or your children don’t get taught. I call this bad governance, and not much of a change from the last governor.

  • Rupert in Springfield

    Wow – what a shocking strategy. Take from the schools budget, then go for a tax increase for schools because people are more inclined to raise taxes for schools, not welfare.

    This is play number one from volume one of the Democrat playbook.

    Is the stupid party ready with a counter of any kind? I doubt it.

    Look for a tax increase to “support our kids” real soon.

    Look for Republicans to act befuddled when this switcheroo garbage runs circles around them for the millionth time.

  • valley person

    Raids K-12 funds? That is news. 90% of state funding for schools is from the general fund, which is not dedicated in advance to any particular use. So what was raided exactly?

    If you are talking about the “Common School Fund,” which includes revenues generated from the division of state lands dedicated to schools, that amount is only around 10-50 million a year and can’t be programmed for other uses.

    • Steve Plunk

      Uh, the general fund portion previously dedicated to schools is suffering in order to get more money to HHS. What part don’t you understand? Throwing in the Common School Fund is just one more of your attempts at misdirection. Fail.

      • valley person

        What I don’t understand is how the Governor can “raid” the general fund. I understand how you might disagree with his priorities for that money, I just don’t see how you can characterize it as a “raid.” Had he tried to program Common School Fund money for other purposes, then calling it a “raid” would be defensible. The general fund is there to be re-allocated each and every 2 years.

        • Steve Plunk

          Now you’re just playing word games. If the Republicans talked of shifting money from one priority to another within the general fund opponents would certainly use the term ‘raid’. I would also expect the terms ‘slash’, ‘draconian’, and ‘most vulnerable’ to be used.

        • Steve Plunk

          Now you’re just playing word games. If the Republicans talked of shifting money from one priority to another within the general fund opponents would certainly use the term ‘raid’. I would also expect the terms ‘slash’, ‘draconian’, and ‘most vulnerable’ to be used.

          • valley person

            Its not me playing word games. Its those using the term “raid” that are doing so. I’m just pointing it out.

    • Anon

      My God, you are an idiot. OK, let’s put this in terms you can understand. You get $200 in TANF cash because you are a welfare bum. You get this on top of your food stamps, your subsidized housing, your unemployment, and every other entitlement you get. Your food stamps are supposed to only be spent on “food” (that is another debate, just go along with me here). Your housing benefit is used to keep your rent low. Your unemployment pays your rent and your car payment. But that TANF money, that is unallocated and can go into your “general fund.” Now, every month, you spend $100 of your TANF cash on pot and the other $100 on video poker. Now your pot dealer tells you he is raising his rates, and the same amount of pot you had been smoking will now be $150 each month. That will leave you with only $50 for video poker. So, as you can see, your dealer is taking more of your TANF money for pot, and robbing you of your video poker. Now you are going to need to tell DHS to give you more TANF money. See how this works?

      • valley person

        Back at you bro. You get $50 billion in bailout money because you are a bank investment trader that took ridiculous, maybe illegal risks with depositors money writing time bomb mortgages so you could collect the fees and sell the paper to unsuspecting investors tricked by phony ratings. You get bonuses on top of your inflated salary, the more you get based on the more people you rip off. You pay squat in taxes because you can afford a real smart attorney who knows how to hide your assetts in the Cayman Islands. Some of those investments help open factories in China that put the same poor slobs out of work that signed your phony mortgages in the first place. You lobby your Republican friends to cut off this guys unemployment checks, deny him food stamps, and basically tell him to go pick fruit for a living. You cocaine dealer is doing fine despite the multi billion dollar waste known as war on drugs, which you don’t give a rip a bout because you don’t pay taxes anyway. The dude that got laid off due to your tax sheltered investment in China has to join the military just to get a paycheck. He gets shipped off to Iraq to find non existent WMDs, gets his ass shot, comes home, is discharged, and gets to walk with a limp the rest of his life. You take some of your tax sheltered money and elect republicans who cut this guys VA health benefits and hand him a voucher that if he is lucky buys him care at a skid row clinic. He ends up living under a bridge. One day he pulls a knife on you and you shoot him 15 times with your concealed handgun. You sprayed 30 rounds and also hit a few bystanders, but that’s ok because your Republican state legislature made shooting bystanders legal as long as you are defending yourself.

        You are proclaimed a hero, given a medal by the new republican governor. You are on all the talk shows. You light up a cigar, have a martini, and wonder why everyone else is not as successful as you.

        .

        • Steve Plunk

          That was such a stereotypical leftist rant I find myself breathless. The range of dissatisfaction was impressive. Bailouts, WMDs, neglected veterans, China, gun control, and so many others I can hardly contain myself. To bad it’s nonsensical tripe.

          • valley person

            Sterotypical? I thought it was pretty creative. Anyway, the “rant” was a counter to anon. It was intended as satire. Did you find anons words of wisdom a rant? Nonsensical tripe? Did it leave you breathless? Or did you find yourself nodding in agreement? Just asking.

        • Notfromhere

          I think Mr. O gave the bailout. He is good man.

          • valley person

            You think wrong. The bailout was done by Mr Bush.

  • We are hiring more DHS workers as we speak and the starting salary is from $5671 to $8365 per month not counting benefits. So on the low side we start them at $36 per hour. There are so many stories of abuse of the people they are supposed to be helping. This is awful. The best thing we could do for people is allow them to start businesses without all the red tape so they can have a life! The little girl lemonade stand shut down, the man fined for cleaning gutters. Give a person a fish and you feed them for a day. Teach a person to fish and you feed them for a lifetime. Education is the only thin government does that is an investment that will pay back in the future, the thing most important to the average Oregonian and the first thing they threaten to cut.

    • oregonnative

      The whole aim of pratical politics is to keep the populace alarmed ( and hence clamorous to be led to safety) by menacing it with endless series of hobgoblins, all of them imaginary.

    • Notfromhere

      I am glad these peoples make so much money – this way they pay a lot of taxes to go to my peoples who choose to not work.

    • Disillusioned Smith7

      I agree with you 100%. “The best thing we could do for people is to allow them to start businesses without all the red tape”. Unfortunately, this is now a problem in the state of Oregon. I use to pay monthly payroll taxes to the state as an S Corporation. Now, I pay them nothing since the passage of measures 66-67.
      The state lost a lot of existing small businesses. Now they have to start over and try to get new small businesses to form.
      —good luck state of Oregon … you’re going to need it.

  • Rupert in Springfield

    Were Kitzhaber a Republican – A draconian raid on our kid’s future. Schools serving mostly minority and poor communities expected to be hardest hit. The governor is making clear he believes Oregon’s children should sit at the back of the bus.

    • Steve Plunk

      It’s like fish in a barrel, eh Rupert. The Kitz has already stepped on a land mine with this one.

      • valley person

        What land mine? He proposed a realistic budget. Where is the kaboom?

  • I’m curious if your 2009-11 numbers included the “administrative actions”.

    http://www.oregon.gov/DAS/BAM/0610AgencyAllotmentReductions.shtml

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