Oklahoma's Educational Funding Problem Is Real

Oklahoma's teachers are heading to the state capital in Oklahoma City to protest state government's lack of educational funding over the past three decades. Many of the sharpest, most dedicated people I know are public school teachers. They have a difficult, often thankless job. In my estimation, Oklahoma teachers do need additional state funding to make their classrooms conducive to learning and their careers capable of supporting a family. In their shoes, most Oklahomans would not do differently than what Oklahoma teachers are doing today.

I also know many politicians in Oklahoma and have great respect for their dedication to our state. One, a former speaker of the house, recently showed me the state "checkbook register." Similar to a household budget, the state keeps a simple summary of annual expenses and revenue. It's stunning to see that the vast majority expenses for the state of Oklahoma are federally mandated subsidies for medical care and food. Oklahoma state government spends 39% of its budget on health and social services and 21% on education. Next time you drive by a nursing home or hospital, remember that Oklahoma's state government is spending billions on health care and social services for the poor and needy.

I'm not advocating for or against our state welfare subsidies. I'm just pointing out that for every classroom requiring funding, there's a sick, dying, or hungry person in Oklahoma for whom the state is responsible according to the federal government. Sometimes the medical bills for one person's weekly stay in the hospital take more from the Oklahoma treasury than one educational classroom takes annually.

In looking at the state's checkbook register, it's clear that almost every state agency funded by state revenue (e.g., taxes) has seen little or no increase in funding over the past two decades due to skyrocketing health care costs. Unlike the federal government, Oklahoma's state constitution requires the annual budget to balance.

Oklahoma politicians are not malicious. On the contrary, most politicians I know in Oklahoma are good, capable men and women. But they can't do what Houdini did. They can't make revenue appear in the state treasury by magic. They must either increase taxes or cut expenses.

That's why all Oklahoma state agencies are suffering.

For example, every district attorney's office in Oklahoma shows a net decrease in per capita revenue over the past two decades, though there has been an increase in workload. Likewise, the Oklahoma Department of Corrections has more inmates than ever, but the department's budget shows a net decrease in per capita revenue. The same pattern is seen in almost every state department and agency in Oklahoma.

The state checkbook register shows that the one area of huge increase during the past two decades is health care costs. The state treasury spends hundreds of millions more annually for health care costs for the indigent in 2018 than it did in 1990. These costs include long-term care (nursing homes), critical care (hospitals), and programs for preventative medical care.

Oklahoma's health care costs have put our state agencies into crisis mode. There's not enough money to go around. And there are no easy answers. On this day when many on social media are blaming either politicians or teachers, I'd like to propose that neither is to blame.

We have a moral issue.

The federal government, which is over twenty trillion dollars in debt, is mandating that a state - which by constitutional law cannot go into debt - completely fund the rising health care costs for the needy.

The state of Oklahoma has only four options:

1. Oklahoma can change the state constitution and put today's expenses on the backs of our children and grandchildren as does the federal government. 

2. Oklahoma can increase taxes on every Oklahoman to increase revenue to pay for rising health care costs for the poor and indigent and adequately fund state agencies.

3. We can audit the rolls of those receiving health care and welfare subsidies and raise the floor of qualification for such subsidies, an option that can only occur in 2019 when Obama care mandates end.

4. We can privatize state agencies and/or reduce the size of state agencies.

The first option is immoral.

The second option is difficult because Oklahomans voted for an initiative petition in the early 1990's that made it exceedingly difficult for politicians to raise taxes (e.g., a super-majority vote is required).

The third option is coming. Oklahoma, the most conservative state in the union, does not carefully audit the health care rolls, something that even the state of Illinois does, to ensure those receiving state funds actually should receive them. The state budget by 2020 should reflect increased revenue through a more careful audit of Oklahoma's health care rolls.

The fourth option is a political nightmare. It could happen, but it requires leadership on the local and state level. Innovative change usually occurs out of necessity.

Today as the teachers gather in Oklahoma, this Oklahoman understands that neither the teachers nor the politicians are the bad guys.

The federal government is playing a different ballgame than we do in Oklahoma:

The feds propose what they can't pay, mandate what they can't manage, and force what they can't fund. 

At least we in Oklahoma balance our budget.

And like families who must make tough decisions when the bank account shows there's little money left, the state of Oklahoma is facing some tough times.