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HSFPP Update # 197—Should Cigarette Taxes Be Increased to Support KEES and Education Funding?

Message from Flashman: This week’s format is different, and we hope it will help Social Studies teachers who discuss current events with students, including economic issues that directly affect them and everyone in the state. This week’s assignment could be an excellent way to meet KERA portfolio requirements and to show legislators what is being taught in the classroom.

Teenagers are given the opportunity in the exercises to see both sides of the issue of cigarette taxes and the possible impact of raising Kentucky’s tax to $1.00, according to the Kentucky Department of Revenue, and to help government leaders understand the impact of their decisions on citizens from all walks of life. No matter what side of this issue students might be on, they must do research to back their position effectively and to let their legislators know how they feel. When fewer than 50% of eligible voters actually exercise their right to vote, we are in deep trouble as a democratic country. If citizens don’t participate actively in their democracy, how can they make their needs known or expect their wishes to be honored by elected officials? Also, we need citizens to be knowledgeable about the impact of government acting or not acting on important issues that face Kentucky. What does “no new taxes” mean for programs like Kentucky Educational Excellence Scholarships (KEES) and need-based financial assistance for teenagers to attend postsecondary educational institutions? What is the economic impact on people’s lives and on Kentucky’s economy?

The first step in getting young citizens (your students) interested in voting is to get them involved in talking with their current legislator on issues that directly affect them. Some students might choose to write letters to the editor. However, to be effective, they must base their stated opinions on knowledge of the issues. Legislators receive very few letters based on facts. More surprisingly, they receive far too few letters from average citizens. Most of the letters and phone calls they get are from special-interest groups.

 

Message from De’ja Hall: I saw this story on the front page of the February 1, 2008, Kentucky Kernel, UK’s student newspaper, and thought it would make a good financial lesson. This week’s update could keep students busy for multiple class sessions, collecting data, developing positions, debating, and writing letters. When teenagers see how legislation affects their ability to pay for college or other education and training beyond high school, they might decide to get involved in the political process.

 

Academic Expectations: 

Social Studies:

Academic Expectation 2.18
Students understand economic principles and are able to make economic decisions that have consequences in daily living.
Unit 2-6

Practical Living:

Academic Expectation 1.2
Students make sense of the variety of materials they read.
Unit 1-7

Academic Expectation 1.4
Students make sense of the various messages to which they listen.
Unit 1-7

 

Web Site Picks of the Week:

These sites will help students in writing letters to newspapers and elected officials:

http://www.ieeeusa.org/forum/guide/lettertotheeditor.html

http://wv.essortment.com/writeyourcongr_rcem.htm

These sites explain how people feel about the rise in the cost of an education and what they can do to prepare themselves for the rise:

http://www.transworldeducation.com/articles/ncyeduc.htm

http://www.sos.ky.gov/secdesk/mediacenter/coverage/article2004-8.htm

These sites explain the cost of education in Kentucky:

http://www.kltprc.net/books/educationcommongood/Chpt_05.htm

http://www.kheaa.com/website/kheaa/planning?main=1&display=KY_affordingEd

 

In the New$… Kentucky Education Excellence Scholarship in Jeopardy

by De’ja Hall, a sophomore at the University of Kentucky

The rise in the cost of an education is something that I feel is very important to address because it not only affects me, but also all my friends who are in college, as well as those students in high school who plan to attend a school of higher learning.

The cost in American higher education is a real problem. On the one hand, many states struggle with the problem of raising the quality of undergraduate instruction at state-run institutions. At most state-funded colleges and universities, the cost to students and families is cheaper than at private colleges because state operating subsidies keep tuition relatively low. But, because the University of Kentucky is a research university with many professional programs such as law and medicine, there are greater costs involved. However, over the last ten years, state funding as a percent of total university funds has decreased and student tuition has increased significantly to cover the cost.

There are many ways of getting funds to pay for an education, such as scholarships, grants, and other federal and states monies. One example of this is the Kentucky Educational Excellence Scholarship (KEES).

I am a current recipient of KEES funding based on my grades in high school, and I continue to receive funding for my sophomore year by doing well during my freshman year.

In the February 1, 2008, issue of the Kentucky Kernel, UK’s student newspaper, I read that there could be a major cut in KEES money. Governor Steve Beshear’s proposed budget calls for a reduction of $13.1 million in KEES funding for next year alone. This could mean a cut in funds from KEES for both current and new college students in Kentucky.

“About half of UK’s undergraduates, 9,188 students, receive KEES money, said UK spokesman Jay Blanton. The average award at UK is $1,794 per academic year, he said. Students can earn a maximum of $2,500 per year.” Although this might seem like a lot of money, with the increased cost of an education and the cut in the amount of money that students will receive, this is hardly enough for many students. And we cannot be sure yet about any of this. The state budgetary process will last until April, when the legislature approves the budget. The amount of funds that will be available to public universities and to the KEES program will not be known until then. Legislators are currently seeking a solution that will not involve budget cuts for public education and scholarships.

So what does this mean for me and for other students who depend on these monies? What will happen to the students who will not be able to attend higher education or who will need longer to graduate because of lack of funds?  These are serious questions that need to be addressed so that students can get the higher education that they want and deserve.

Higher education is stressed in the U.S. and all around the world, but the increase in the cost of an education costs a great deal for all those who will not be able to afford it. Although I may not have all the answers—and you might disagree with me about the solutions—I do have an idea what we as students can do. Contact your legislators and voice your opinion, whether by phone, e-mail, or in a letter. Make your voice heard. This is your chance to make a difference in what happens in your life. We might think the governor and the legislature have all the answers, but they don’t. Sometimes all it takes is for a group of people who strongly believe in something to take a stand and make a difference. Let’s be that group.

Sources: (1) “The University of Kentucky Top 20 Business Plan: Executive Summary, December 2005. www.uky.edu/top20

(2) Jill Laster, “Students could see drop in KEES scholarships,” Kentucky Kernel, 2/01/08.

Suggested Activity for Teachers:

The following Web sites will help students find information on the pros and cons of cigarette tax increases. Looking up key words like cigarette taxes on Internet search engines will also yield many sources of information.

http://www.ttac.org/assistance/articles/tabocco_taxes.html
http://tobaccofreekids.org/reports/prices/
http://www.bizjournals.com/louisville/stories/2003/06/16/story5.html
http://econpapers.hhs.se/paper/cdlctcres/1028.htm
http://economics.about.com/library/weekly/aa020303b.htm
http://www.mackinac.org/article.asp?ID=4927

Step One:
Break students into two groups: those in favor of increasing the cigarette tax to support education and KEES funding and those against. Have each group develop a position paper to state their case. Then have the two groups debate their positions, giving each side adequate time to rebut the others’ arguments with facts, as well as ways to overcome the negative impact of an increase (or lack of increase) in the cigarette tax.

Step Two:
Have your students write letters to a newspaper, to the governor, or to Kentucky’s state senators or representatives. Examples of letters are at the Web Site Picks of the Week. Students can base their letters on research used in the debate.

 

Kentucky High School Financial Planning Program

http://www.ca.uky.edu/fcs/hsfp

The purpose of the HSFPP financial updates, video lessons, and Web site is to assist county Extension agents, credit union educators, high school teachers, and parents who home school their teenagers so that they may improve the economic well-being of our teenagers; and also to show educators how the HSFPP, updates, and video lessons meet Kentucky core concepts. The Web site, updates, and video lessons are provided by the University of Kentucky Cooperative Extension Service, and are free to all educators. The list of core concepts and order form for free program materials including the student guide and instructors manual can be found on the Kentucky HSFPP home page.

If you are not already on our listserv:

The video lessons are available only to members of our listserv and will not be posted to the HSFPP Web site because of the timeliness of the information. If you would like to receive our video lessons, which are sent to our listserv biweekly, on alternate weeks from these updates, please sign up at the following page of our Web site: http://www.ca.uky.edu/fcs/HSFP/response.htm.