In a Capitolwire column yesterday, Pete DeCoursey argues the departure of Gov. Corbett’s top aide, alone, won’t mark the new direction donors and advisers are hoping to see.  Republican candidate for state attorney general Dave Free has a huge financial edge over his Democratic opponent, Kathleen Kane, reports the Associated Press.  Harrisburg got its second receiver yesterday, along with reasons the first one quit. 

More than half of the state’s school districts expect to scale back their offerings as schools grapple with low tax revenues and limited government funding, and new study shows.

The third annual school budget survey conducted by the Pennsylvania Association of School Business Officials and the Pennsylvania Association of School Administrators received responses from 281 of the commonwealth’s 500 school districts.  

Of the schools surveyed, 60 percent are increasing class sizes, 58 percent are offering fewer electives like arts, physical education, and advanced classes.  11 percent of respondents are reducing full-day kindergarten, and eight percent are eliminating it.  A majority of the surveyed districts said they’re planning to furlough employees and not fill empty positions next year.

Speakers from the two groups behind the report said Tuesday that unless state and federal education spending increases, there’s little relief in sight for school districts.

Jay Himes, executive director of PASBO, said the “fiscal deterioration” is severe.  School districts are suffering for a number of reasons, he explained: the poor economy has hampered local revenue sources, state and federal funding is down, and state-mandated pension costs are rising.

“48 percent of the respondents to the PASBO-PASA survey say their districts will be in fiscal distress in three years if state funding and local revenues do not improve,” said Himes. 

Despite recent claims from state lawmakers that schools should be spending down their savings to weather the storm without cutting instructional programs, speakers from PASBO and PASA cautioned against relying on savings to balance school district budgets.

More than 20 percent of the school districts participating in the survey said they had spent more than half of the uncommitted funds in their savings accounts in the last two years to cover costs.

Eric Eshbach, superintendent of the Upper Adams School District in Adams County, said it’s a bad idea for schools to do that repeatedly when rising pension costs loom on the horizon. 

“The contention is out there that it’s a rainy day and we need to use our rainy day fund,” said Eshbach.  “I would contend that it’s a rainy decade, and for most school districts, we have about three days worth of rainy day fund to get through that decade.  What do we do when it’s over?”

(Harrisburg) -- Students, teachers and parents from the Capital City's school district plan to rally today at the State Capitol, asking lawmakers to support increased education funding for the state's most needy districts.  Harrisburg's schools are facing a nearly 16 million dollar budget deficit.  The district's leaders are considering cutting Kindergarten, sports, music, art and other programs that are not required by the state.  School Board Member Lola Lawson says more than one-thousand Harrisburg students will take a field trip to the Capitol rotunda to call for increases in public education spending.  "We really have to come together as a community and realize that if we don't save our public education system, we really are going to be doomed," Lawson says.  The Governor's proposed budget has a slight increase in overall basic education funding for next year.  A state Senate-approved spending plan sets aside roughly $100 million for early education and Kindergarten programs that goes above and beyond Corbett's proposal.  Last year, lawmakers approved education cuts totaling $860 million after a loss of federal stimulus funding.  The Harrisburg student, parent and teacher rally runs from 10 a.m. to noon.

State lawmakers and Gov. Corbett have begun criticizing school districts for keeping too much money in savings in the face of proposed funding cuts.  But some districts say the harsh words grossly oversimplify their financial situation.  

(University Park) -- More people will be working in teaching roles under Penn State's plan to streamline its Extension service, which has several offices in the midstate.  It's an effort to get more people involved in agricultural education and research.  Penn State Extension has offices in each of the state's 67 counties, and it's now putting those offices into 21 regional districts.  Six of those districts will encompass the midstate, and more than 30 workers currently in administration roles will be reassigned to education positions.  College of Agricultural Sciences Dean Bruce McPheron says the reorganization answers some pressing questions: "How do we keep our educators at the local level in counties wherever possible, and how do we continue to bolster the connections of those educational programs with our science, with our research?"  The Extension is also creating new program areas, like livestock use and horticulture, which will be headed by College of Agricultural Sciences faculty.  Governor Corbett has proposed maintaining level state funding for the extension program and agricultural research.  The system has a center for fruit study in Biglerville, Adams County, and a special research center in Landisville, Lancaster County.

Mutiny in the ranks?  Dauphin County Commissioner Jeff Haste suggests to the Patriot-News that, if proposed cuts in state funding for county social services become a reality, maybe counties should shutter the offices all together. A state House proposal would put a head tax on casino gambling to help pay down the state’s pension obligation, the Daily News’ John Baer writes.  And Gov. Corbett says school districts can avoid deep cuts by dipping into their own reserves.

State legislators want to have the authority to grant tax-exempt status. PA Independent reports on the southeastern school districts looking to post advertisements in school bus interiors.  And the tricky business of form letters, from PoliticsPA.

Former Democratic Sen. Bob Mellow’s has pleaded guilty to corruption charges.  Now: does that plea mean he saves his pension, or loses it?  The Patriot-News has a nice primer on state budget negotiations this year.  John Baer writes budget protest songs so you don't have to.  And we look at the chances Harrisburg could file for bankruptcy once a state ban sunsets in July.

How could kids be so cruel and adults so clueless?  Those are just a few of the questions viewers are left pondering after viewing the documentary film "Bully."  It's a powerful telling of the horrendous verbal, physical and psychological abuse inflicted upon vulnerable schoolchildren by their peers every day in some American schools. Call 1-800-729-7532 tonight at 8 to join the conversation on Smart Talk.

A state Senate panel has countered Governor Corbett’s budget proposal with a plan of its own, returning significant funding to social service programs, schools, and especially higher education.  The measure restores funding for the 14 state system colleges, and three state-related schools to the current year’s levels.  Corbett is calling for 20 and 30 percent cuts to those higher education institutions (Penn State, Pitt, and Temple – Lincoln University was not singled out for a cut in the governor’s plan).