Rep. Balboni: Beware of expanding NH school voucher program with no financial oversight
We expect our local and state government to be making fiscally responsible decisions. Rye residents are understandably frustrated by the recent 28% increase in our town tax bills and want to know why the town expenses have increased so much. Like most towns, our budget and warrant articles are prepared by our town government officials and scrutinized by both the select board and the budget committee. At our deliberative session our residents questioned whether all proposed expenditures were appropriately detailed and justified. We want to know how much that new fire truck is going to cost before we put that warrant on the ballot.
NH residents should demand that their state government is doing the same because that is not the case. Last Thursday, by a margin of just one vote, the State House Republican-led House of Representatives passed HB 1665 which raised the household income eligibility cap for Education Freedom Accounts (EFAs) from 350% to 500% of federal poverty guidelines. (Democrats were united in opposition). '
This means that families making up to $156,000 annually will be able to receive taxpayer money to send their children to private or religious schools or on home school programs! How much will that cost NH taxpayers? No one knows for sure! The financial note on the bill admitted that the costs were “indeterminable”. This year we are spending almost $24 million dollars to provide educational vouchers to over 4500 students. If this legislation is signed into law over 60% of NH families of school age children would be able to qualify for the EFA program. Reaching Higher NH has estimated that this could cost NH taxpayers over $66 million dollars per year!
Here are some facts about the EFA program:
● Almost three quarters of students who receive EFAs were home schooled or attending private or religious schools. Only 27% of these students left public schools.
● Families only need to qualify once. The family does not need to re-apply if another child in the family wants to take advantage of the voucher program. These funds are guaranteed annually until the student graduates 12th grade. Even if the family wins the lottery or inherits millions of dollars, the state is on the hook for their child’s education!
● The funds are cumulative. Any remaining funds in the accounts are carried over to the next year.
● The average EFA voucher is $5,300 per student. That state money comes out of your local school’s budget.
● There is no cap on the number of students who can receive EFAs. Any student who meets the criteria can get one. The state has spent more than the budgeted amounts for EFAs every year since the program’s inception.
● The program lacks transparency or accountability. EFAs are administered by The Children’s Scholarship Fund, a NY-based private company that pockets up to 10% of the money. This company determines which students are eligible and manages the distribution of funds. Money can be used for tuition or virtually anything that can bedescribed as an educational expense (gym memberships, piano lessons, museum passes).
● We do not know if EFA students have met learning goals. They are not required to take the standardized tests that public school students must take to assess their performance. Taxpayers fund this with no accountability.
● There is no evidence that EFAs save school districts money as supporters claim.
The EFA program was sold to the public as a way to provide more educational opportunities to lower income families. The curtain has fallen and it is clear that the proponents of the education voucher program have one clear goal: Universal Eligibility paid by local property taxpayers. Two other bills failed on Thursday by a slim margin that would have done just that. And more are coming to the House floor this Thursday. HB 1652 even adds an option for a local EFA program that would force local taxpayers to match the $5,300 voucher with local tax dollars! Do you think that we should be using our tax money to pay tuition for students to attend Phillips Exeter or St. Patrick’s Academy?
Normally, all bills with financial notes are forwarded to the House Finance Committee for a more thorough review of the financial impact to the budget. This is an extremely important step for legislation with such a large unbudgeted mandate. However, the committee chairman, Kenneth Weyler (R-Kingston) waived review of HB1665, fast tracking the bill to the Senate Chamber, bypassing any financial review. That’s like your town manager and select board telling the budget committee that they don’t need to see the details of the bids for that fire truck. Is this fiscally responsible?
We should all be concerned about what is happening at the state level and holding our representatives accountable. All educational expenditures, including EFA’s, come out of the Education Trust Fund. There are two pending lawsuits which could substantially raise the amount of money needed for public school funding and the statewide education property tax (SWEPT). House Democrats are focusing attention on solving those issues while the House Republicans are throwing tax money at a program that diverts much-needed funding away from our public schools. Taxpayers deserve better!
Democrat Peggy Balboni represents Rockingham District 38, Greenland, North Hampton and Rye, in the New Hampshire House and is a member of the House Education Committee.
This article originally appeared on Portsmouth Herald: Rep. Balboni: Beware of expanding, expensive NH school voucher program
