Articles Posted in Economy & Education

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Education spending patterns have been abnormal for several years. Publishing used to follow very predictable patterns – no more.

Between the Great Recession and ARRA Stimulus funds we have been living in an era of seesaw budgets for three years. Since education spending lags the general economy by up to 3 years this will continue until at least 2014.

I can remember entire decades where budget flows were so steady that you could predict the entire year within +/- 10% after the first three months. In 2008, 2009, and 2010 the first half of each year told you very little about the second half.

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Congress finally passed some support for state budgets to make sure there are enough teachers as school opens.

Kind of “yay.” We accomplished this by planning to cut food stamps starting in 2014.

This comic succinctly captures the essence of our national experience since the summer of 2007 when all this kicked into gear. (ht balloon-juice)

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MHB photo 1-19-09Guest blogger Mike Baum of Sophia Consulting shares his insights on ISTE 2010.

By Mike Baum

In the old Road Runner cartoons, there’s always a point where the slavering coyote, relentlessly and enthusiastically pursuing his dinner, runs off a cliff. But he hangs in mid-air momentarily, falling only when he realizes there’s no longer anything supporting his feet. Walking the floor of ISTE (nee NECC) last week, I thought I heard “beep beep” from time to time.

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500px-Train_wreck_at_Montparnasse_1895Yesterday the minority in the Senate ended the chances that the Extender’s Bill would pass the Senate. While 57 Senators – a clear majority – wanted to do the right thing a determined minority used procedural votes to force mass layoffs of teachers, firefighters, and police across the country (300,000-500,000).

There are rumors that the two sides are still talking – but most analysts say that any action will likely take place after the Summer Recess in mid-Fall.

It isn’t just education that is affected. Over a million people will be dropped from unemployment rolls. As a side benefit Hedge Fund Managers get to keep paying taxes on their multi-million dollar bonuses at a rate (15%) lower than most of the formerly employed teachers and cops (25%).

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5493502Are trade shows rising from the dead? Last week at CEC and this week at IRA attendance was up dramatically from last year. CEC went from 5,200 attendees to over 6,500. IRA was somewhere north of 12,000 depending who you believe.

Activity on the show floors was strong and sessions were oversubscribed.

Vendors I spoke with said their lead flow exceeded their goals and that they were having productive and valuable conversations. One company even had to FeEx in catalogs after they ran out at end of the first day. Attendees were not tire kickers but buyers looking for solutions.

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arne_duncan_speech When Secretary of Education Arne Duncan made room in his schedule on short notice to keynote the Council for Exceptional Children’s annual convention in Nashville this week it sent a clear message that students with special needs will be front and center in policy decisions from the Obama Administration.

The biggest message was his presence. It left no doubt about how seriously Obama and he feel about improving the lives of students with disabilities. This was welcome because much of the work they have done in this area so far has not been particularly visible.

He laid out a vision for the Administration’s education legislative priorities and the central role that serving people with disabilities will play in ESEA (aka NCLB). The linkages between ESEA and IDEA that were created during the era of No Child Left Behind (NCLB) will also be strengthened and improved.

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1185310_us_cavalryFederal ARRA stimulus funding has been keeping schools around the country on life support for the past year. Despite significant layoffs around the country it headed off catastrophe in many states. That era is coming to an end later this year or early next year.

It was heartening to see Secretary Duncan take up the cause in a statement issued today. Unless Congress acts and provides a second round the deteriorating tax climate at the state and local level is going to cause massive disruption to the education system in 2011 and beyond.

“We are gravely concerned that the kind of state and local budget threats our schools face today will put our hard-earned reforms at risk,” he stated. “Every day brings reports of layoffs, program cuts, class time reductions, and class size increases.”

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FETC 2010 provided an opportunity to assess the health of the Education Technology market. In today’s guest blog my friend Mike Baum shares his take on the highlights and lowlights of this year’s trade show

By Mike Baum

4161149378_3b38d9668bComing to Orlando from Wisconsin in January, I expect warmer weather. I didn’t expect 50 degrees to be greeted as a warming trend. And when I saw the conference center adjacent to my hotel was hosting a national beekeeping convention with the alarming title “Keeping the Hive Alive,” I began to watch out for falling metaphors.

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