A legislator in New Jersey's 12th District, covering parts of Monmouth and Mercer Counties

Wednesday, March 15, 2006

Derailing the School Administrators' Gravy Train


I am very disappointed about the results of a State Commission of Investigation (SCI) probe that uncovered widespread abuses and secretive deal-making on salary and benefits for school administrators across New Jersey.

We have to be careful not to use this information to paint all school districts with a broad brush since the study focused on only about 10 percent of NJ’s school districts. That being said, the results are alarming.

In an era when schools are under increasing pressure to stretch every dollar, administrative compensation has gotten out of control. It is state government’s responsibility to rein it in, and to ensure that accurate disclosure is being made to the taxpayers.

There are several issues that need to be addressed legislatively. First, we need to look at capping compensation and perks, and the pension padding that costs taxpayers dearly. When we see administrators’ compensation surpassing, even doubling, that of any other public employee, we know that things are out of control. Some of these administrators are taking home double or triple the compensation that the Governor and Commissioner of Education are making.

It is the height of hypocrisy for administrators to be highlighting the valid need for more funding, while living the life of Riley at the public’s expense.

Second, it’s clear that more stringent reporting requirements are needed since the true value of these packages is being hidden from the public. Base salaries are being reported, without information on the extra buybacks and perks being given to administrators.

We’ve allowed a free agency market in which administrators prosper - one which would make professional athletes blush. Meanwhile, teachers are the backbone of our education system, but their salaries have increased by less than half that of administrators.

I am working on legislation to address this problem. I hope to accomplish the following:

- Enhance public disclosure laws so the public is aware of the true value of administrative pay packages;
- Establish and enforce strict limits on benefits for highly-paid administrators, such as selling unused sick or vacation time prior to retirement (this will prevent a disadvantage for schools that can not are not offering these golden parachutes);
- Enforce adherence to pension calculation limits;
- Grant greater authority to the state Division of Pensions to ensure manipulation is not taking place;
- Strengthen the oversight and accountability practices of both the state Department of Education and local school boards; and
- Limit the duration of automatic contract renewals.

This particular gravy train has made it too far in New Jersey. It’s time to derail it, and it’s the responsibility of the Legislature to do so.

4 Comments:

Blogger STP said...

All good ideas, but get at the property tax issue as it relates to the school's share of local taxes and these would be good places to begin:

1. Tie school vote to primary.
2. If the budget is defeated, make it tougher for schools to appeal cuts by the governing body. Right now, it is a joke how weak a position the gb's have in honestly cutting. The state gives it all back.
3. Significantly reduce the number of principals and administrators in school districts. Consolidation could help this in a big way.
4. And while we are discussing consolidation, why do we have school districts with no schools? Why do we have so many districts that are too small to warrant their own systems?

Schools make up over 60% of property taxes, and the above are a big reason why.

7:05 PM

 
Anonymous Anonymous said...

Mike,

I applaud your interest in reducing taxes and addressing the local tax payer. I truly wish someone would please release all the information and not just headlines to produce shock value, I wish someone would finally be honest and deal with the problem. The reality is those individuals were not paid salaries on an annual basis at those levels. A great deal of what was reported was compensation packages to deal with things like accumulated sick days which were given to the unions in contract negotiations in previous lives. Numerous municipalities have unfunded liabilities in this form not only in the schools. The districts which have abuses are the ones which have been flooded with funded from the state in a poorly managed way. Trenton must stop hiding behind the courts and Abbot, let's make the problem transparent and fix it for the future of New Jersey. One other thing if no one has told you. In order to meet the restrictions of S1701 we are forcing districts to retire good solid experienced teachers and replace them with lower paid ones. This shifts the burden to an already troubled pension problem and we get inexperienced teachers. Trenton needs to embrace reality and think through decisions like S1701 and there unwanted consequences.

7:30 PM

 
Blogger Christopher said...

The residents and voters in respective municipalities have voted to approve school budgets that are often irresponsible. Unions have often funded "vote yes" campaigns, and residents who vote against school budgets have been labeled as "against children," among other things.

Increased and more detailed disclosure is critical. People need access to the proposed budget even if they don't have time to attend board of education meetings. Few people turn out for school elections, and I fear that many who do are inadequately reformed. Legislation and strict disclosure rules could help ensure that voters actually know what they are voting for (or against).

It's also important to recognize that a rather small sampling of registered voters actually turn out for school elections. The few people who do show up to vote have brought us to where we are today. High property taxes and fiscal mismanagement by school districts are the rule and not the exception. School voting should take place during the general or primary elections.

Also, in the spirit of better disclosure, the state needs to make sure voters know how the process works and what happens when a budget is rejected. How does the district go about mollifying concerns voiced by voters, at what point does the state step in?, etc. There have been incidents where residents in disagreement with proposals regarding certain expenditures have been falsely told by school districts that if budgets, or other proposals are voted down, the state will step in and the board will get what it wants anyway.

9:07 PM

 
Anonymous Anonymous said...

So,whatever happened to Gov Corzine's campaign pledge to support a property tax convention? I realize the budget crisis takes precedence over everything else, but nary a word from anyone about the convention. Is it already a dead issue or is there hope yet? We seniors are really struggling to stay afloat in this state. The outrageous property taxes are chocking the life out of us.

4:19 PM

 

Post a Comment

<< Home