Jefferson Parish Public School System

1. Raising the Pay Raise Tax Bar: BGR’s Contributions to Improving a School Property Tax Proposition

2. Jefferson Parish Public School System • Largest public school system in Louisiana, with more than 51,000 students and an almost $500 million General Fund budget • Almost 7,000 employees (3,400 teachers) • 82% of students come from low-income households, 18% have special education needs and 14% have limited English proficiency

3. The 2017 Proposition • Across-the-board raises for all employees • Required 8.45-mill rate • Would raise Jefferson Parish’s total school property tax rate by almost 37%

4. The Logic Behind the 2017 Proposition • The school system was losing a lot of teachers • The school system had the lowest starting teacher salary in the area • The proposed pay raises would make the school system’s salaries more competitive with other area districts • More competitive pay would improve teacher attraction and retention

5. BGR Findings on the 2017 Proposition • Hastily developed by one school board member, without comprehensive analysis of employee pay • The school system was losing a lot of teachers • Most of the teachers leaving were early career teachers (<=2 years) • The school system had the lowest starting teacher salary in the area • The school system’s average teacher salary was already competitive with average teacher salaries in other area districts • Pay raise was the school system’s only strategy to address teacher retention

6. BGR Recommendation on the 2017 Proposition AGAINST. The School Board has rushed into this millage proposition without a comprehensive benchmarking analysis to determine whether the pay increases are fair, reasonable and appropriately scaled to the labor market. Instead, the School Board approved across-the-board, fixed-dollar pay raises that apply categorically, without adjustment for variables such as current salary, job classification, performance or length of service. It has also shown little evidence of a problem retaining employees other than early-career teachers.

7. The 2017 Election Voters reject pay raise tax proposition by 500 votes.

8. Post-Election Reflection “I think BGR got it right.” --Larry Dale, school board member

9. Developing the 2019 Proposition • New superintendent hired in spring 2018 • Four new school board members elected in fall 2018 “As we considered the new proposal, we were very thoughtful to overcome all BGR’s concerns of the previous plan. In fact, we downloaded a copy of their findings of the flawed plan and meticulously overcame each and every concern.” --Dr. Cade Brumley, Superintendent

10. The 2019 Proposition • School Board approved a new pay plan, contingent on passage of proposition. • Raise teacher starting salary by $4,801 • Reduce amount of annual step raises • Stipends for teachers in highest need areas • Required 7.9-mill rate • Would raise Jefferson Parish’s total school property tax rate by about 34%

11. Projected Pay Plan Costs • Total cost of $33.3 million, but only $28.8 million needed from proposed tax. Remaining $4.5 million from current revenues made available through new budgeting efficiencies.

12. The Logic Behind the 2019 Proposition • The school system was losing a lot of teachers – mainly early career teachers • The school system really struggled to fill teaching positions in certain content areas and at schools with particularly high percentages of low-income or ELL students • Student achievement was falling • Highly effective teachers improve student achievement • The new pay plan would improve teacher attraction and retention in the highest priority areas by directing the largest pay raises to those areas

13. Jefferson Parish Teacher Retention

14. BGR Framework for Analysis of Dedicated Taxes • Because dedicated tax revenue cannot be redirected to other purposes, no matter how great the need… • Dedicated tax propositions demand special scrutiny and a framework for analysis to match • Is the tax really the best use of the entity’s finite taxing capability?

15. Is the tax necessary? • Tax would boost early career teacher salaries to regionally competitive levels and provide stipends to teachers exhibiting high performance or filling high priority needs • School System’s own experience in attracting and retaining teachers, combined with national research findings, indicate that pay raises and stipends could help reduce recurring teacher deficiencies • The School System has implemented spending efficiencies, but its current revenue sources are not sufficient to cover the large recurring expenditures that the new pay plan would require

16. Is the tax appropriately sized? • The School System arrived at the 7.9-mill rate by calculating how much the new pay plan would cost if implemented in the 2019-20 school year with all current staff in place • Although impossible to determine the exact amount of raises required to achieve sufficient teacher attraction, retention and quality, the proposed plan would strengthen the School System’s competitive position in the job market • The plan strategically targets revenue to areas of greatest demonstrated needand limits raises for later career teachers whose current salaries are more competitive with those of other area districts

17. Largest Raises for Early Career Teachers

18. Will the tax revenue be well spent? • School Board will use the revenue to implement the pay plan it has already approved - ensures that almost three quarters of the new tax revenue would go towards improving teacher attraction, retention and quality • School Board adopted a five-year strategic plan that commits the school system to rapid academic growth. Plan provides teacher support to complement the pay increases. The tax revenue stands a greater chance of making a positive impact as part of the school system’s structured effort to transform its professional culture and improve student achievement. • Overall, multiple indications that the tax revenue would be well spent

19. Overcoming Key Deficiencies of 2017 Proposition The 2019 proposition • Developed using a thorough analysis of staffing needs and compensation disparities • Directs proposed millage revenue to address highest-priority needs • Takes into account savings from budgeting efficiencies • Part of comprehensive strategic plan to improve academic performance BGR Recommendation: For

20. The 2019 Election 72% of voters approve the pay raise tax.