Although Gov. Bobby Jindal has been criticized for the need to reduce the state budget by 9.7 percent, State Treasurer John Kennedy said the reduction could be healthy and helpful to us all.

“Since Katrina, the word billion has been used a lot. But, a billion seconds ago, it was 1959. A billion minutes ago, Jesus was born. So a billion is a lot,” said Kennedy, addressing the Northshore Kiwanis Club in Mandeville.

The state budget is $30.1 billion. Even without the Katrina money, it is $28 billion. In 1996, Kennedy said the state’s budget was $11.9 billion. He questioned why the budget has more than doubled in the last 12 years. Inflation only accounts 27 percent of the increase, he said, adding the budget has increased because the state has added new programs and increased spending.

Kennedy

Kennedy compared the state’s spending and population with other states. Louisiana has about 4.2 million people, and the budget is $28 million. By comparison, Missouri has 5.6 million people and a budget of only $21.4 billion; North Carolina has 4.5 million people and a budget of $19.8 billion; and Tennessee has 6.1 million people and a budget of $24.8 billion.

The money came from three sources: the federal government (it’s taxpayer money funneled through federal government programs); the aftermath of the storms, which artificially elevates income but does eventually fall to a normal level; and taxpayer’s pockets. Kennedy said the myth of Louisiana is a low tax state is highly inaccurate.

“We are number eight in the country in state and local sales tax collected and number nine in spending per capita. Conversely, we are number 47 in income per capita,” he said.

The main cost in the budget is state labor. Kennedy said there are 103,875 state employees, leading the South. Another $275 million in salaries, benefits and retirement were added last year with 3,200 jobs.

“This needs to be addressed,” he said.

The second highest spending is education, with a budget of $7.5 billion.

“Our problem is elementary and secondary school,” Kennedy said. “We spend $10,500 per public school student and have a graduation rate of 57 percent. In addition, 77 percent of public school students cannot score at least “Basic” on LEAP in Louisiana. St. Tammany Parish is not like the rest of the state.”

To change this, Kennedy offered five solutions to the state’s education woes. First, he said stop talking about how much money is being spent but look at how the money is spent. Second, he said to spend the money in the classroom. Third, he said to refuse to water down the accountability system.

“What gets measured gets done,” said Kennedy.

Fourth, he said, find out which teachers do their job well and pay them accordingly. Then take the other teachers and either help them improve their skills or fire them. And fifth, he said, get discipline back in the classroom. Do not allow anyone under the age of 18 years old to quit school, he added.

If a student doesn’t want to learn, do not allow them to keep the other students from learning, he said. Instead, put them in a different room and make them “do push-ups or stare at the wall,” but do not let them quit. Every child can learn, he said, “it’s just more difficult for some.” Kennedy said we should address it and help them.

Kennedy said the reason schools are better in St. Tammany Parish is because the parents are more supportive, help their children and want to work with the school system to solve problems.

“Legislators know what should be done, but they are too weak to do what’s needed. We lack the political will,” he said.