Editor’s note: This is the first of a two-part series regarding the new education law that was recently signed by Gov. Mike Parson. Part two will run in the next print edition.
Missouri Governor Mike Parson signed a new education bill into law on May 8, the thrust of which is set to increase minimum teachers’ pay in Missouri, along with other financial incentives. But area administrators have some serious questions concerning the new law.
At the heart of the issue is the matter of teacher pay, where Missouri ranks second from last in starting teacher pay, according to the Missouri National Education Association. The matter, along with other educational funding issues, was discussed throughout the session and the Senate put all the items together into bill SB 727. That is the bill Parson signed into law.
Local schools’ concerns
“Obviously, I am extremely disappointed with the passage of SB 727,” Twin Rivers RX School District Superintendent Rob Brown stated. “The state has taken local control away from school districts and implemented their mandates on salary schedules. I have zero issues with elevating teacher salaries, it’s been a long time coming, the state of Missouri has repeatedly been near the bottom nationally in educational funding.
“But, there is no permanent means in place, no assurances to provide the funding of a minimum teacher salary of $40,000. If and when changes to funding occur in 3-5 year, how are local rural districts going to afford their payroll? This is basically an unfunded mandate.”
Along with Brown, Poplar Bluff R-I School District Superintendent Aaron Cornman shared similar concerns, and even sent a letter to the governor’s office.
“Everyone will agree that teachers need an increase in compensation, but an unfunded mandate of this magnitude could potentially cause severe financial hardship to local school districts,” Cornman wrote in his letter. “Most school districts already spend, on average, approximately 80% of operating funds on salaries and benefits. The matrix utilized by state economists has predicted that revenue growth for the state will plateau and has further predicted that Missouri will see .2% revenue growth next year.”
Likewise, Neelyville R-IV Schools Superintendent Heather Black is worried how the funding will affect smaller school districts.
“Smaller districts like ours have a different set of circumstances to deal with that larger districts don’t have,” Black remarked. “No decisions have been made yet as to how we’re going to specifically increase the teacher pay this next school year; but we know there is a timeline given for every school district to comply. So we’re compiling data at this time to better figure how to proceed.”
What the law does
The new education law signed does the following:
• Permanently raise starting teacher pay to at least $40,000 per year.
• Increases salaries for teachers with a master’s degree and 10-plus years of experience to a minimum of $48,000 per year by 2027.
• Increases all Missouri teachers’ salaries by the January Consumer Price Index report, with a cap of 3% annually.
• Increases state funding for early childhood education programs.
• Increases the funding limit and expands access to Missouri’s Empowerment Scholarship Accounts.
• Incentivizes school districts in municipalities larger than 30,000 inhabitants to have 5-day school weeks.
• Establishes the Elementary Literacy Fund.
• Increases the Small Schools Grant funding program from $15 million to $30 million annually.
• Protects retirement benefits for educators who continue teaching after retirement.
• Establishes the Teacher Recruitment and Retention State Scholarship Program.
Economic uncertainty
“To make matters even more precarious for the state, for the first time in five years, the school foundation formula is scheduled to increase — $120.6 million for the 2024-25 school year and an additional $300 million for the 2025-26 school year,” Cornman noted. “All told, the foundation formula is scheduled to increase by $420.6 million over the next two years alone. These numbers, if come to fruition, would be greatly beneficial for school districts; unfortunately, no one can predict if the state economy will grow in correlation to the projections. Therefore, districts cannot ‘count on’ that projected increased revenue and of course, those formula increases are separate and apart from the additional $467.6 million promised in SB 727. When all combined, the state will need to find an additional $887 million for public education, and when compared to our struggling state economy, this seems highly unlikely to be achieved leaving school districts holding the financial ‘trick bag.’”