In search of another R: Revenue for prekindergarten

The biggest hurdle for Gov. Timothy M. Kaine's proposed expansion of prekindergarten education will be finding agreement on how to pay for it, lawmakers say.

Kaine's recommended $78 billion budget calls for spending $56 million over the next two years to add about 7,000 children in low-income families to the Virginia Preschool Initiative.

But some legislators say finding the cash for the expansion may be a stretch, with a budget shortfall of more than $600 million and uncertain revenue projections for the future.

"The real debate is going to be over the funding of it," said Del. Phillip Hamilton, R-Newport News.

Kaine's plan would bring the total number of 4-year-olds in the state-funded program for at-risk preschoolers to 20,000 by fall 2010. The additional children would come from opening Virginia's prekindergarten to youngsters who qualify for the federal reduced-price lunch program, as well as those who receive free lunches.

Other proposed changes would entice more cities and counties to participate in the program by providing opportunities for more per-pupil money from the state and capping local match requirements.

To address space concerns, localities would be required to partner with private providers for at least 10 percent of any new slots created.

Kaine's plan also calls for funding a quality rating system for prekindergarten programs and scholarships for early childhood teachers seeking more training in their field.

"The goal is absolutely correct," said Sen. Edd Houck,

D-Spotsylvania, chairman-elect of the Senate Education and Health Committee. "This is too important not to fund."

Since his campaign for governor, Kaine's prekindergarten proposal has evolved from a universal program to a plan for reaching 30,000 at-risk 4-year-olds by 2012. The estimated annual cost for the state has dropped from $300 million to $140 million.

Hamilton lauded the governor for honing the program to target low-income children and cap possible costs for localities.

But he and other lawmakers said they still had questions about paying for it.

According to Kaine, about 60 percent of the money for the first two years was included in the state Board of Education's new estimate of the needs for the Virginia Preschool Initiative. An additional 25 percent of the money comes from unused Temporary Assistance for Needy Families funds earmarked for low-income children. About $7.6 million would come from elsewhere in the general fund.

Del. Kirk Cox, R-Colonial Heights, said he worried that the welfare money could be needed in the future if there's an economic downturn.

"Once you expand pre-K, the problem is you're stuck," Cox said.

He and other Republicans are backing a proposal to create a new fund for public school construction - a measure that wouldn't cause recurring costs, he said.

The new fund would allow larger loans than the state's Literary Fund, and loans would be granted based on different criteria, Cox said.

It is likely the fund will be managed by a private entity, so it wouldn't be subject to the state's bond rating, and it would grow as school divisions repaid the loans with interest, he said.

Robley Jones of the Virginia Education Association said his group's chief concerns this year will be bringing teacher salaries closer to the national average and bolstering the Virginia Retirement System.

Kaine's budget proposal includes one 3.5 percent raise for teachers over the next two fiscal years.

"We're going to have to take a real look at attracting and retaining teachers," Jones said, "because we're never going to do it at this rate."

Amy Jeter, (757) 446-2730, amy.jeter@pilotonline.com