Governor Kitzhaber Releases 2015-17 Budget for Oregon with 50 Percent Allocated to Education

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On Monday Governor Kitzhaber released his 2015-17 balanced budget, focused on investing in children and families, creating good jobs, and building statewide prosperity. Governor Kitzhaber said that over the past two budget cycles, the state has reduced the cost of medical care by focusing on the health of patients, not the procedures preformed; Oregon has eliminated the need to build new prisons by improving the safety of our communities and taken steps to reduce the long-term costs of our public pension system. These reforms have created an opportunity to invest in our children, communities and rural economies.

Education accounts for 50 percent of the budget’s General Fund with $9.4 billion going to schools, community colleges, and universities. “This budget fulfills the commitment to free, full-day kindergarten for every Oregon child, a crucial investment in the goal that all children read at grade level by 3rd grade,” said Governor Kitzhaber.

House Republican Leader Mike McLane (R-Powell Butte) issued the following statement in response to Governor Kitzhaber’s proposed 2015-17 budget:

“The Governor’s proposed budget for the next biennium is an ambitious one for the next Legislature to consider, increasing overall spending by nearly $2 billion than the previous budget and based on assumptions of strong economic growth in the future. After the hundreds of millions of taxpayer dollars lost on the failed Cover Oregon and Columbia River Crossing projects, we approach this current budget proposal with caution and concern – for the considerable increase in spending and for the need for proper oversight and accountability of our state resources that’s been severely lacking in recent years.

“While the increased focus on education is welcome, we need to ensure that our resources are leading to better outcomes for our students and families. Simply throwing more money at the problems is not going to solve them. Targeted, thoughtful funding that gives our teachers more control in the classroom and our students more flexibility in learning will better prepare future generations of Oregonians for college and careers. A strong social safety net to protect our most vulnerable residents is necessary, but we would like to see a budget that focuses more state resources on helping connect Oregonians with stable employment and family-wage jobs.

Oregon’s high unemployment rate is no longer acceptable. Strengthening our employment programs and helping Oregonians receive the training and skills they need to find employment should remain a top priority for this legislative session.

“Oregonians deserve a budget that delivers essential services efficiently to all regions of the state – urban and rural alike. There are elements of promise and areas for compromise in this proposed budget, and House Republicans will continue to advocate strongly for the interests of all Oregonians as we work with the Governor and our legislative colleagues in the next session.”

Oregon House Speaker Tina Kotek (D-Portland) in reaction to the release of the Governor’s Recommended Budget said, “I share the Governor’s commitment to expanding opportunity for every Oregonian through investing in our schools and colleges, promoting economic growth across the state, and making sure that basic services meet the needs of every community.

“Now, the Legislature begins the task of examining the details in the budget, ensuring Oregon’s priorities are fully funded, and continuing to build upon the post-recession reinvestments currently underway.”

“Today, because Oregonian’s worked together, our state is on track to eliminate the state’s structural deficit by 2021,” said Governor Kitzhaber. “And by the 2021-23 biennium, Oregon will have attained— for the first time — a budget surplus. This allows us to use strategic investments to align state resources with the goal that by 2025 every Oregon student has a diploma and the skills they need to find a rewarding job, ensuring that prosperity reaches every corner of the state.

“The 2015-17 budget demonstrates our commitment to reduce poverty; create opportunities for people to transition off public assistance into living wage jobs; and support their families.”

The presidents of Oregon’s Public Universities (Jay Kenton, Eastern Oregon University – Chris Maples, Oregon Institute of Technology – Ed Ray, Oregon State University – Wim Wiewel, Portland State University – Roy Saigo, Southern Oregon University – Scott Coltrane, University of Oregon – Mark Weiss, Western Oregon University) issued a joint statement:

“Today we learned that Governor Kitzhaber has recommended a two-year higher education budget of $626 million. We commend the Governor for his efforts to end a decade of cuts to Oregon’s universities. All Oregonians deserve a fair shot and while this budget is a step in the right direction it will not do enough to control tuition, expand access, and position Oregonians for a lifetime of opportunity.

“Oregon’s universities are key to the economic health of our state. Jobs are driven by growth in Oregon’s industries, and they demand a diverse pool of college graduates. Oregon needs to rebuild a strong middle class with a workforce that is trained for today’s economy. This isn’t free. Restoring funding to pre-2007 levels allows us to reach the student outcome mandates from the Legislature and Governor in the 40-40-20 goal.

“We are committed to working with the Governor and the Legislature to increase this budget for our students, and for more degrees, jobs and companies in Oregon.”

Governor’s Balanced budget and Budget brief available at: budget.oregon.gov

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Founded in 1994 by the late Pamela Hulse Andrews, Cascade Business News (CBN) became Central Oregon’s premier business publication. CascadeBusNews.com • CBN@CascadeBusNews.com

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