Indiana House bill eases rules on schools' spending

INDIANAPOLIS — The House Education Committee on Monday passed a bill that would reduce restrictions on how school systems can use their funding, but it eliminated several of its amendments.

Last week, the bill was amended to include legislation dealing with issues about funding for teachers' retirement, standards on ISTEP testing and making it so only 10 percent of a school corporation's general funds can be moved to fund another project.

The committee decided to remove that amendment, but it added select portions of the amendment back into the bill. All language from the previous bill involving the transfer of funds from one area to another will remain in the amended bill.

The amendment also would include pushing back one year the switch for school corporations' fiscal calendars matching the state's fiscal year.

The tax credits that originally were in the amendment will no longer be included.

The bill passed the committee by a vote of 9-3. Rep. Bob Behning, R-Indianapolis; Rep. Jeff Thompson, R-Lizton; and Rep. Cindy Noe, R-Indianapolis voted against the bill.

The main reason for votes against the bill came because of wording used in the passed amendment. The original amendment said school corporations could not fire "school employees." Thompson wanted the language to be changed to "teachers."

"This language leaves too much open that will have teachers become unemployed, and I believe that change will save those jobs," Thompson said.

Rep. Vernon Smith, D-Gary, felt that some troubled schools would need these positions to help with potential problems they may have.

"I don't think that we want to micromanage this down. We're really trying to provide for effectiveness and get some stability in the process that is good for the children."

Another amendment was introduced to the committee, but it did not pass. The bill would cut payment for school board members and force them to match payments for health care benefits.