Tag Archives: Indiana

Indiana–Always Last

The Hill recently reported on a number of states where 2018 will see raises in the minimum wage. Indiana, of course, was conspicuously absent from their list.

The lowest wage workers in 18 states will get a boost in their paychecks starting on New Year’s Day, as minimum wage hikes take effect.

Many of the wage hikes are phased-in steps toward an ultimately higher wage, the product of ballot initiatives pushed by unions and workers rights groups over the last few years.

The minimum wage in Washington state will rise to $11.50 an hour, up 50 cents and the highest statewide minimum in the nation. Over the next three years, the wage will rise to $13.50 an hour, thanks to a ballot measure approved by voters in 2016.

Mainers will see their minimum wages rise the most, from $9 an hour to $10 an hour, an 11 percent increase. Voters approved a ballot measure in 2016 that will eventually raise the wage to $12 an hour by 2020.

Arizona, California, Colorado, Hawaii, New York, Rhode Island and Vermont will see their minimum wages increase by at least 50 cents an hour. Smaller increases take effect in Alaska, Florida, Michigan, Minnesota, Missouri, Montana, New Jersey, Ohio and South Dakota.

Our overlords at the Indiana Statehouse like to brag that keeping Indiana a “low wage” “right to work” state means we are attractive to businesses looking to relocate. What they don’t seem to understand is the flip side of the equation, beginning with the state’s inability to provide the quality of life amenities (not to mention smooth highways)  that appeal to businesses proposing to relocate. Higher wages would generate more tax dollars. Higher wages would also reduce the number of people who–despite working full-time–must depend upon social welfare programs funded by tax dollars simply to make ends meet.

I have posted before about the ALICE study, conducted a couple of years ago by Indiana’s United Ways. That study found

  • More than one in three Hoosier households cannot afford the basics of housing, food, health care and transportation, despite working hard.
  • In Indiana, 37% of households live below the Alice threshold, with some 14% below the poverty level and another 23% above poverty but below the cost of living.
  • These families and individuals have jobs, and many do not qualify for social services or support.
  • The jobs they are filling are critically important to Hoosier communities. These are our child care workers, laborers, movers, home health aides, heavy truck drivers, store clerks, repair workers and office assistants—yet they are unsure if they’ll be able to put dinner on the table each night.

Here in Indiana, we don’t seem to find ALICE poverty problematic or immoral, despite the fact that virtually all of us who are more privileged depend upon the services these people provide.

Even more immoral, in my humble opinion, is having my tax dollars effectively paying a portion of the wages of Walmart, McDonalds and other big employers’ workers. As I have previously posted,

Walmart generates nearly $500 billion in revenue annually; over the past five years, its yearly profits have averaged $15.5 billion dollars, and the family that owns it has a net worth of $129 billion dollars.

Despite its obvious ability to do so, the company declines to pay its employees a living wage, instead relying upon government programs–taxpayer dollars– to make up the difference between its workers’ paychecks and what they need to make ends meet. In essence, when a Walmart employee must rely on food stamps or other safety-net benefits, taxpayers are paying a portion of that employee’s wages.

Walmart (including its Sam’s Club operation) is currently the largest private employer in the country–and one of the largest recipients of corporate welfare. Walmart employees receive an estimated $6.2 billion dollars in taxpayer-funded subsidies each year. Money not paid out in salary goes directly to the shareholders’ bottom line.

The Indiana legislature declines to offer even a modicum of help to the third of Hoosiers who are working for below-subsistence wages, but they are evidently happy to continue subsidizing the wealthy.

The Hoosier bottom line.

Choice And Consequences

As regular readers of this blog know (and as yesterday’s post confirmed) I am not a fan of school vouchers. My concerns range from the philosophical to the practical, and the emerging research has confirmed most of the practical ones.

One consequence of voucher programs that is rarely, if ever, addressed (although, I will immodestly point out that I have addressed it): the unfair impact on small towns. Vouchers were first promoted as a way to allow poor kids to escape failing inner-city schools. (Ignore, for now, the fact that in Indiana, at least, most vouchers are being used by white kids who are leaving non-failing schools for religious ones…).

Most small towns don’t have enough students to support an alternative to the public school. Since most private schools accepting vouchers are in cities large enough to have inner-cities and multiple schools, and since they are receiving tax dollars paid by people throughout the state, small towns are effectively subsidizing private schools in more metropolitan areas.

Recently, I came across an illustration of this inequity. It’s a story from Stinesville, Indiana, a town I will readily admit I’d never heard of, although I was born (and will undoubtedly die) in Indiana.

With the largest private school voucher program in the country, and a charter sector that has grown “explosively,” Indiana is a poster state for the kinds of education policies pushed by President Trump and his Secretary of Education, Betsy DeVos. But for small rural communities, the growth of school choice over the past six years is now forcing another choice: whether to close the public schools that are at their heart as competing schools pull students and money away. As vouchers and charters were sold to voters, the cost to small towns like Stinesville, IN, where officials voted this week to shutter the elementary school, was left out of the sales pitch.

The article reports on a school board meeting held just last month, at which the decision to close the school was the agenda item.

On this night, October 18, 2017, despite the sleepy look of the downtown street, there is nothing sleepy about school’s parking lot. It is packed. Inside, the gym is full of people, filling the folding chairs that have been set on the floor, and squeezing into the bleachers. Many are wearing red. There are parents with young children, teenagers, and plenty of older people too.

The superintendent explained why he advocated closing Stinesville Elementary School and busing the children to Ellettsville, population 6,600, six miles away: declining enrollment, declining funds and escalating costs.

So what does this have to do with vouchers? The article explains.

As the voucher and charter programs were explained and advertised as “school choice” to the public, one corollary fact was not included: Indiana residents might lose a choice that many of us have taken for granted for decades—the ability to send our kids to a local, well-resourced public school. The kind of school that serves lunch and participates in the federal school lunch program. The kind of school that provides transportation. The kind of school that has certified teachers and a library and is in a district obligated by law to accept all children in the attendance area, including those with profound special needs, and to provide them a free and appropriate public education….

Governor Daniels cut $300 million from the state budget for K-12 in 2009, during the recession. That money was never replaced even as the economy began to recover. Indiana voters wrote tax caps into the state constitution through a referendum in 2010, weakening the ability of local governments to provide services.

Since 2011, public dollars being diverted from the public school system to charters and vouchers have ballooned. By the end of 2015, according to an analysis done by the Legislative Services Agency at the request of Democratic state representative Ed Delaney, $920 million had been spent on charters and vouchers. From its inception in 2011 through the 2016-2017 school year, the voucher program cost Indiana taxpayers $516.5 million.

The article documents the dollars diverted to religious schools from Stinesville’s public school, which had been ranked as one of the state’s most effective, and references research on the negative effects suffered by small communities that lose their schools.

I notice that proponents of “school choice” never discuss these issues.

 

It Really Isn’t About the Quality of Education

No one who watched Mike Pence dramatically expand Indiana’s voucher program at the expense of the state’s public schools, and certainly no one who has followed the appointment and appalling performance of Secretary of Education Betsy DeVos, could come away thinking “Boy, those people really care about education!”

Despite their rhetoric, Pence, DeVos and a number of other proponents of “educational choice” have a decidedly religious agenda. DeVos has been quoted as saying that vouchers will usher in “God’s kingdom.” Pence’s voucher program hasn’t improved educational outcomes, but it has financially benefitted the religious schools that participate.

And the religious schools that do participate in Indiana’s voucher program have seen to it that some children don’t even have that much-touted “choice.” As Chalkbeat recently reported,

When it comes to school choice, options are more limited for Indiana’s LGBT students.

Lighthouse Christian Academy in Bloomington recently made headlines for promising students an excellent, “biblically integrated” education — unless they identify as lesbian, gay, bisexual or transgender. The school also received more than $650,000 in public funds last year through the state’s voucher program.

In Indiana, over 34,299 students used vouchers to attend a private school last fall, making it the largest such program in the country. It’s also a program that U.S. Education Secretary Betsy DeVos has applauded — which means Indiana offers a helpful glimpse at how a DeVos-led national expansion of vouchers might shape up.

Our investigation found that roughly one in 10 of Indiana’s voucher schools publicly shares a policy suggesting or declaring that LGBT students are not welcome. Together, the 27 schools received over $16 million in public funds for participating last year.

Many private, religious schools are also accredited by a group that provides advice about how to turn away LGBT students. Given that nearly 20 percent of schools do not publicize their admissions policies, the true number of schools with anti-LGBT policies is unclear.

Of the 27 schools with explicitly anti-LGBT policies, 14 were accredited by the Association of Christian Schools International, a pro school-choice group that provides its members with a handbook titled “Steps Your School Can Take When Dealing With Homosexual Issues.”

The Chalkbeat article quotes religious school officials who stress the importance of respecting the religious views of schools operated by different denominations. I have no quarrel with respecting their right to teach their beliefs; I do have a quarrel with their right to have those beliefs subsidized with my tax dollars.

In Zelman v. Simmons-Harris, the Supreme Court ruled that vouchers to religious schools did not violate the religion clauses of the First Amendment, because the vouchers (theoretically) went to the parents, who were free to use them at either religious or secular schools. The problem with this approach is the same as the problem facing gay children in Indiana: the “choice” is illusory, because virtually all of the participating schools are religious.

Charter schools–which are still public schools– manage to operate while being subject to the same constitutional and civil rights constraints that apply to traditional public schools. There’s no reason that private schools–religious or not– that benefit from voucher dollars shouldn’t be required to do likewise.

Of course, at some point, Hoosiers are going to have to face up to the fact that although vouchers do not improve student’s test scores, they certainly do improve the bottom lines of participating religious schools.

Despite being marketed as a way to give parents a “choice” to enroll their children in “better” schools, Indiana’s vouchers are simply a financial windfall for religious schools at the expense of our public schools. And if a few LGBTQ kids face discrimination, well that’s just too bad.

It certainly doesn’t bother DeVos and Pence.

Not Equal In Indiana. Not Surprising.

A friend sent me a link to a research report issued by the Williams Institute at UCLA’s School of Law. The abstract pretty much says it all:

Approximately 133,000 LGBT workers in Indiana are not explicitly protected from discrimination under state law. Discrimination against LGBT employees in Indiana has been documented in court cases, administrative complaints, and other sources. Many corporate employers and public opinion in Indiana support protections for LGBT people in the workplace. If sexual orientation and gender identity were added to existing statewide non-discrimination laws, 61 additional complaints of discrimination would be filed with the Indiana Civil Rights Commission each year. Adding these characteristics to existing law would not be costly or burdensome for the state to enforce.

Recent polling discloses that 73% of Indiana residents support the inclusion of sexual orientation as a protected class under Indiana’s existing civil rights law. That’s 73% in Very Red Indiana.

Major employers in the state have worked with civil rights and civil liberties organizations in an effort to add “four little words” to the list of categories protected under the state’s civil rights statute:  sexual orientation and gender identity. So far, the legislature has exhibited zero interest in doing so.

I still remember a discussion in my undergraduate Law and Policy class a few years ago–at a time when the state was embroiled in debate over Mike Pence’s infamous effort to ensure that Hoosiers have the “religious freedom” to discriminate against their LGBTQ neighbors. An African-American student was stunned to learn that, in Indiana, an employer could legally fire someone simply for being gay.

Shaking her head, she said “Black people often don’t get justice, but at least there’s a law on the books! At least there’s an official position that discrimination against us is wrong!”

The public outrage over Pence’s RFRA led to a subsequent “clarification” (cough cough) that the measure would not override provisions of local Human Rights Ordinances that do proscribe discrimination on the basis of sexual orientation. A number of city councils around the state promptly added those protections to their Ordinances, which was gratifying.

The problem, as the research points out, is twofold: municipal ordinances in Indiana don’t have much in the way of “teeth.” They are more symbolic than legally effective. Worse, for LGBTQ folks who don’t live in one of those municipalities, there are no protections at all.

The result: Only 36% of Indiana’s workforce is covered by local non-discrimination laws or executive orders that prohibit discrimination based on sexual orientation and gender identity. And that discrimination occurs with depressing regularity.

– In response to the National Transgender Discrimination Survey, 75 percent of respondents from Indiana reported experiencing harassment or mistreatment at work, 30 percent reported losing a job, 21 percent reported being denied a promotion, and 48% reported not being hired because of their gender identity or expression at some point in their lives.

– Several recent instances of employment discrimination against LGBT people in Indiana have been documented in court cases and administrative complaints, including reports from public and private sector workers.

– Census data show that in Indiana, the median income of men in same-sex couples is 34 percent lower than that of men married to different-sex partners.

– Aggregated data from two large public opinion polls found that 79 percent of Indiana residents think that LGBT people experience a moderate amount to a lot of discrimination in the state.

Four little words. Why is that so hard?

A Hoosier Cautionary Tale

First Kansas. Now Indiana. One by one, the pillars of conservative fundamentalism are failing real-world tests.

Under then-Governor Pence, Indiana negotiated a much-ballyhood 35-year “public-private partnership” with the Spanish firm Insolux Corsan to build and maintain a portion of Interstate 69, between Bloomington and Indianapolis. The project has dragged on and on, making trips between Bloomington and Indianapolis slow and treacherous. (I know this from personal experience; faculty of IU routinely make the trip between campuses, and I’ve done my share of cursing while in transit.)

The original contract called for a completion date of October, 2016; that date has been pushed back four times amid media reports suggesting that the state’s private partner was as slow in paying subcontractors as it was in building the highway. Now, it appears the contractor is going bankrupt. The Indianapolis Star reports that the state “intends to take control of the troubled I-69 project from Bloomington to Martinsville as the public-private partnership used to finance and build the highway crumbles.”

It is a GOP article of faith that the private sector is always more efficient and more competent than government, and that contracting out–privatization–saves money. In the uncongenial place called the real world, it seldom works out that way. The collapse–or “crumbling”–of this particular partnership joins a long line of failed privatization schemes, some scandalous and corrupt, many simply ineffective and expensive, that have ended up costing taxpayers more than if government had done the job.

This isn’t to say that contracting out is always a bad idea. As I’ve said repeatedly, the issue isn’t whether to work with the private sector, but when and how. Public officials need to carefully evaluate proposed contracting arrangements: is this something government routinely does, or an unusual task requiring specialized expertise that the agency doesn’t have? If the motive is saving money, how realistic is that? (After all, private entities have to pay taxes, and their bids will reflect that expense.) Does the contracting agency have the expertise needed to properly negotiate the contract and monitor the contractor? Have all the risks been weighed, and due diligence exercised?

Do the officials making the decision recognize that contracting with a third party won’t relieve the government agency of its ultimate responsibility to see that the project is properly completed or the service is properly rendered?

Are there situations where public-private partnerships are both appropriate and competently structured? Of course. The Brookings Institution recently reported on the success of the Copenhagen City and Port Development Corporation in revitalizing Copenhagen’s waterfront. I was particularly struck by this description of that effort:

The approach deploys an innovative institutional vehicle—a publicly owned, privately run corporation—to achieve the high-level management and value appreciation of assets more commonly found in the private sector while retaining development profits for public use.(emphasis mine)

Two elements of this particular partnership stand out: (1) it was formed to execute a lengthy, difficult and highly complex project requiring skills that few municipal governments have in-house; and (2) it distributed risk and reward in a way that ensured taxpayers would benefit financially from the project’s success.

In contrast, virtually every American contract I’ve seen has socialized the risk and privatized the reward; that is, taxpayers have assumed the risks of cost overruns, unanticipated problems and project failures, while the private contractors have reaped the lions’ share of the profits.(Trump’s infrastructure plan–to the extent it exists–would take that formula to new heights. Or lows…)

I69 and the Indianapolis parking meter fiasco are just two of the more recent examples of what happens when privatization is a mantra–a semi-religious belief–rather than one of several strategically deployed tools in the public toolbox.

Personal P.S. Thanks to all of you who posted good wishes for my husband’s surgery. All went well, and he’s home (with a very rakish temporary eye patch).