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Proposed state sales tax could bring $66 million annually to universities

In an attempt to increase funding for Arizona's public education system, Arizona Gov. Jane Hull and Superintendent of Public Instruction Lisa Graham Keegan yesterday announced a proposal to increase the state's sales tax.

The 0.6 percent raise in sales tax could add $440 million annually to Arizona's public education budget. Pending the approval of Arizona voters in November, the state sales tax would be raised to 5.6 percent.

Fifteen percent of that, roughly $66 million, would go to the three state- funded universities, said Patricia Likens, Department of Education spokeswoman.

Jaime Molera, the governor's education policy advisor, said the sales tax is necessary to give state universities the money they need.

"We think that the universities need (more funding) to guide them into new economic opportunities," Molera said. "We're not in a good position to do that."

The K-12 system would receive 80 percent of the funds raised, and the other five percent would be given to the community colleges.

More classroom instruction time, better paid teachers and improving school facilities were among the goals that were listed.

"Details of the proposal will be developed in cooperation with the legislature, higher education and public school officials and the business community," stated a press release from the Arizona Department of Education.

One of the more important goals is an increase in classroom time for the K-12 system.

Arizona public schools require a 175-day school year, which is smaller than many parts of the country, Molera said.

"Most areas of the country are two weeks longer, and other industrialized countries have school years over 200 days," Molera said.

Regent Jack Jewett said he is encouraged that Hull has proposed this plan.

"It's a clear indication that the governor supports education," Jewett said. "It makes a huge difference for capital improvements to have a secure funding source for higher education."

What use these funds could have for universities has not been decided, but Jewett said he thinks it could have a great effect.

"The overall quality would be enhanced," Jewett said. "The money could be used ... so that we can compete in the marketplace."

Both Jewett and officials from the governor's office said they think that the legislature may cause problems for the plan.

"We're going to have a fight in the legislature," Molera said.

Jewett said the legislature would take issue with the tax increase.

"The legislature has always been reluctant to consider tax increases," Jewett said. "That's why the governor will simply refer it to the November ballot."