Gov. Mary Fallin on Thursday signed legislation to increase teacher pay through higher taxes on oil and gas wells, cigarettes and fuel, and capping the itemized deduction on state income taxes.
Questions remain about the April 2 walkout and what, exactly, the new laws mean.
How will Oklahoma stack up in terms of teacher pay?
The minimum salary for a first-year teacher will be $36,601, a $5,001 increase. Raise amounts increase with experience—a 25-year teacher would see a bump of $7,700. The amounts are built into the minimum salary schedule and are not a one-year stipend.
The average increase under the new pay scale would be $5,920 next school year. Add that to our average salary of $45,276 and our new average would be about $51,000 (though it could differ slightly depending on how many teachers are on each step in the scale, and how many hold advanced degrees). The U.S. average is $58,353 (in 2015-16, according to the National Educators Association). Texas’ average is $51,890, but in the Fort Worth-area many districts start at $50,000 or more.
Teachers who work in districts that pay above the minimum salary schedule also will receive equivalent raises, based on years of experience.
Are teachers still planning to walk out on Monday? How about Tuesday and beyond?
Teachers will be rallying at the capitol Monday; Tuesday is more of an unknown. Before this week’s legislative action, most school districts planned to close Monday and stay closed indefinitely. But on Thursday, some began rolling back those plans. Western Heights Public Schools, for instance, notified its parents it would be closed Monday but open Tuesday. Bartlesville Public Schools, a leader in the walkout movement, was undetermined as of Thursday. Early results of survey of teachers found about a third would still walk out without their school’s support, but more than a third of teachers were unsure what they would do. The survey is being conducted by the Facebook group Oklahoma Teacher Walkout – The Time Is Now!, which has more than 72,000 members.
Gov. Mary Fallin signs legislation to increase teacher pay March 29 as legislators look on.
How will the pay raises be funded?
The Legislature has passed the $2.9 billion common education budget and the funding mechanism for pay raises. House Bill 1010xx increases the gross production tax on oil and gas wells to 5 percent for the first 36 months, after which they will revert to 7 percent; levies a $1-per-pack tax on cigarettes and little cigars; and adds 3 cents a gallon to gasoline and 6 cents a gallon to diesel fuel. The House on Thursday approved a separate bill that removed the $5-per-night hotel-motel tax, which was necessary for the Senate to send the bill to the governor and not have a second vote on the major revenue package. Other legislation lowers the amount of itemized deductions allowed on a state income tax return to $17,000.
Passage of Teacher Pay Hike Hailed, But Rumblings Continue
The Legislature on Wednesday night performed what many thought even days ago was unthinkable: The Senate voted to send a more than $400 million tax bill paying for a teacher pay hike to Gov. Mary Fallin’s desk.
The Senate secured the exact number of votes needed to meet the three-fourths majority required for passage, and Fallin indicated she will sign it. The package would increase taxes on cigarettes and motor fuel and raise the gross production tax for oil and gas from 2 percent to 5 percent during the first 36 months of production.
A controversial $5-per-night hotel tax is also included, but GOP leaders said they plan to repeal it in a separate bill Thursday.
After a suspenseful 15-minute period Wednesday night, when the vote seemed close to failing, Sen. Anastasia Pittman, D-Oklahoma City, provided the needed vote to put it over the edge.
Minutes later, the Senate handily passed the $353 million teacher pay package, which will fund an average annual teacher raise of $6,000. Lawmakers were soon joined on the floor by Fallin, who vowed to sign both measures as soon as possible.
Senate leaders and Fallin called the day “historic”, as both chambers approved a major tax increase for the first time in decades.
Despite the votes, a teacher walkout and rally are still expected to occur on Monday, bringing thousands of teachers to the State Capitol.
The Oklahoma Education Association applauded the Legislature’s action but said that “lawmakers have left funding on the table” and “there is still work to do.”
The OEA released an agenda for teachers to protest inside and outside the State Capitol starting 9 a.m. Monday. The group said this will continue beyond that day “unless there’s legislative movement.”
But whether rank-and-file teachers and school districts across the state heed the call is in question.
Fallin said after the vote that she is worried about students missing the instruction they need and meeting test deadlines. “It’s up to teachers to decide” what to do next, she said.
“But I hope they can come up here and say, ‘Thank you,’ on Monday and go back to the classrooms,” Fallin said.
Some legislators signaled they want to see more done for school funding this session. Senate Minority Leader John Sparks, D-Norman, said the approved plan “should not be a one-time deal.
“The job is not done. We will continue working tomorrow and for the remainder of the legislative session to properly fund education in Oklahoma,” he said.
Whether Republicans have the appetite for another big tax push this session is unclear. There are about two months left in this year’s regular session.
Senate leaders said they still must vote Thursday on raises for school support staff and state employees. Lawmakers also must pass a budget for the upcoming fiscal year and close a $167 million revenue shortfall that was identified at the start of the session.
The impact of Wednesday’s votes on election campaigns also must be sorted out in the coming days and weeks.
Restore Oklahoma Now, which is organizing a state question to raise the gross production tax to 7 percent for all wells, said it will now reassess whether to move forward on the effort.
“What our organization will do if the Legislature passes a significant pay plan for teachers is a matter of speculation, but no decisions have been made,” the organization said in a statement. “The RON organizers will make their decision whether to pursue the petition signatures and a full-blown campaign this fall based on a number of factors.”
Another possibility is that Wednesday’s vote could spur a group to place a different state question on the Nov. 6 ballot.
Former U.S. Sen. Tom Coburn, R-Oklahoma, announced before the Senate’s vote the formation of Oklahoma Taxpayers United!, which plans to fight tax increases passed by the Legislature.
Among the options being explored is a veto petition that would repeal the tax increases.
Brooke McGowen, a member, said the group also plans to recruit and encourage candidates to challenge Senate lawmakers who support the tax increases.
“It is our hope challengers are ready to oppose them and the rest of the 51 (House) Republicans who supported the largest tax increase in the past 25 years,” she said. “Any willing candidates out there, we are ready to speak with you.”
Oklahoma Watch is a nonprofit, nonpartisan media organization that produces in-depth and investigative journalism on a range of public-policy issues facing the state. For more Oklahoma Watch content, go to www.oklahomawatch.org.
