TEF Lessons for Members and Citizens Lesson 2

TEF Lessons for Members and Citizens Lesson 2 Signs of the Times: Connecting Student Achievement, Wealth and Taxes 2– 1

Objective: Participants will examine the connections between student achievement, wealth and taxes. 2– 2

As a group can we agree that we will: 1) Respect and value differences of opinions and varying levels of content knowledge 2) Be fully attentive 2– 3

SIGNS OF THE ECONOMIC TIMES 2– 4

The Vicious Cycle… School Employees are being held accountable, 2 -5

The Vicious Cycle… School Employees are being held accountable, While their capacity is being reduced, 2 -6

The Vicious Cycle… School Employees are being held accountable, While their capacity is being reduced, Posing greater hurdles for student achievement. 2 -7

The Vicious Cycle… School Employees are being held accountable, When schools fail, critics will call for privatization. While their capacity is being reduced, Posing greater hurdles for student achievement. 2 -8

In these troubled economic times, coupled with a high stakes testing environment, the call to close the achievement gap does not recognize poverty’s impact on student achievement. 2– 9

The 10 Chairs Who owns how much wealth? 2– 10

2009 Top 1% Bottom 99% 11

Wealth and the Achievement Gap 2 -12

The WEALTH (or asset) Building Train 2 -13

• We armed with the knowledge of the relationship between wealth and student achievement… • We’ve acknowledged the boosts and barriers to wealth… • Where do we go from here? 2 -14

“Closing the gap…. []…doesn’t just require better schools. It requires social and economic reforms that would give children a more equal chance to succeed in schools. ” Class and Schools: Using Social, Economic, and Education Reform to Close the Black-White Achievement Gap, Richard Rothstein (Economic Policy Institute and Teachers College, Columbia University, 2004) 2– 15

“Unfortunately, the trend is to shift most of the burden to the schools, as if they alone can eradicate poverty and inequality. ” Class and Schools: Using Social, Economic, and Education Reform to Close the Black-White Achievement Gap, Richard Rothstein (Economic Policy Institute and Teachers College, Columbia University, 2004) 2– 16

MAKE THE TEF CONNECTION When they lack the capacity to deliver those results… When tax structures are out of sync with the economy… Schools are being held accountable for results… Accountability School Capacity When funding is inadequate and inequitable… School Funding Economy & Tax Structure 2 -17

MAKE THE TEF CONNECTION When they lack the capacity to deliver those results… When tax structures are out of sync with the economy… Schools are being held accountable for results… Accountability School Capacity When funding is inadequate and inequitable… School Funding NOT EVERYONE Economy & Tax Structure IS AWARE. Public Support 2 -19

Through TEF, the NEA is advocating: Tax structures that are fair and broad-based (removing barriers to wealth accumulation) to create the conditions for student success! 2– 20

Through TEF, the NEA is advocating: A level economic development playing field with increased investment in public education for greater economic returns. Request TEF Lesson 6 to find ou more about this topic! 2– 21

Through TEF, the NEA is advocating: Adequate and equitable funding for all students. 2– 22

REFLECTION 1. What stands out in your mind from today’s lesson? 2. What does this mean for you? For your students? 3. How might you act on this knowledge or awareness? 2 -23

TEF Tools and Resources TEF Website: http: //www. nea. org/tef 1 Publications Studies supporting TEF concepts: • The Effects of State Public K-12 Expenditures on Income Distribution • K-12 Education in the U. S. Economy • Protecting Public Education from Tax Giveaways to Corporations. • School Funding, Taxes and Economic Growth • TEF Series Why invest in education makes sense: Enriching Children, Enriching the Nation Corporate abuse: The Great American Job Scam - corporate tax dodging and the myth of job creation. Your Tax Dollars At Work…Offshore - foreign outsourcing firms are capturing state government contract. No More Secret Candy Store - A grassroots guide into investigating corporate subsidies. 2 State-Specific Data Sources States Facing Budget Shortfall – Center for Policy and Budget Priorities (CBPP) reports state fiscal profiles. State-by-state tax news and policy analysis provided by the Institute of Economics and Policy Analysis (ITEP). Economic Policy Institute’s (EPI) new report analysis rank states by overall unemployment as well as the change seen since the start of the recession in December 2007. Enriching Children, Enriching the Nation show state returns in budget, salary, crime reduction by investing in Pre-K thru 12. Find out how much Wal-Mart is costing your state in subsidy deals, healthcare cost, and property tax appeals. Combined Reporting, How Does Your State Stack. Up? Institute on Taxation and Economic Policy (ITEP) This reporting requires multi-state corporations to report the income earned by both the parent corporation and all of its subsidiaries and to determine their income tax liabilities on that basis. Good Jobs First state-by-state corporate subsidy websites. 3 State affiliates in TEF Action A few examples… This video address from Alabama EA President, John Wright. Alabama EA sheds light on corporate tax avoidance in Alabama Detroit News, Friday, July 25, 2008 MEA Press Release: Drop-outs One Too Many, April. 4, 2008 Honolulu Advertiser, Dec, 2006 Honolulu Advertiser, Feb. 2007 Iowa State EA News Article Kentucky EA - School Funding Statement. Michigan’s Business Tax Incentives: A study commissioned by MEA and NEA to improve the quality of the debate on business tax incentives. Mississippi EA op-ed piece. State Affiliate TEF Websites: Colorado, Illinois, Michigan, Mississippi, New Jersey, Oklahoma 2– 24

TEF Tools and Resources TEF Website: http: //www. nea. org/tef 4 Customizable Tools Community Organizing • Business Outreach Sample Political Action Tools • • 5 Other Useful Links 6 Introducing a New TEF Interactive Tool NEA Information on establishing a social networking site to use as an organizing tool. Others are: (http: //www. ning. com/ ) and Corporate Legislation TEF Model Legislation (http: //www. groupsite. com/) http: //www. faireconomy. org/tfoc to locate your state’s tax fairness organizing collaborative. These groups are located in 21 states. www. nea. org/tef 2– 25

Other Resources 7 On Taxes… Videos PBS Now, "Taxing the Poor" ((26. 03) Wal-Mart Subsidies (7: 48) Warren Buffett's Tax Rate is Lower than His Secretary's (4: 39) TAXES: Warren Buffett - Rich Taxed Too Little, Poor Too Much (5: 17) Eye To Eye With Katie Couric: Buffett's Tax Code (CBS News) (1: 40) 8 On Economic Policies Videos U. S. PIRG on Countdown. Olbermann talks about U. S. PIRG's report "Tax Shell Game. ” Free Lunch, Corp Welfare, Bill Moyers and David Cay Johnston (9: 49) David Cay Johnston - A History of Government Subsidies (3: 08) 9 Funding for Schools Access Quality Education: School Funding Litigation A National Network of Advocates Involved in Education Finance Litigation, Abbott vs. Burke is the New Jersey Supreme Court ordered a set of education programs and reforms widely recognized to be the most fair and just in the nation. David Cay Johnston - Are Government Subsidies Unfair? (4: 43) David Cay Johnston - A Moral Argument for Progressive Taxes (3: 04) 2– 26

“Our lives begin to end the day we become silent about things that matter. ” — Martin Luther King, Jr. The Call to Action! 2– 27