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The Municipal-Schools Bill, 2013 Version, Passes Both Houses of Tennessee General Assembly

Rep. Todd brings the muni bill to the House floor.

  • Rep. Todd brings the muni bill to the House floor.

With little more than perfunctory debate, this year’s version of a municipal-schools bill (SB1353/hb1288) passed both chambers of the Republican-dominated Tennessee General Assembly with comfortable margins Monday, thereby allowing the de facto secession from Shelby County’s soon-to-be “unified” school district that six suburban municipalities in the county have been seeking for at least two years.

Mayors and other representatives of those suburbs — Germantown, Collierville, Bartlett, Lakeland, Arlington, and Millington — were on hand for the occasion and were introduced in the state House of Representatives by suburban GOP members before Monday’s vote in that chamber.

When the 2013 bill was considered in the House on Monday, presented by Rep. Curry Todd (R-Collierville), the co-author of record, there was one serious reminder of last year’s floor controversy. Rep. Bill Dunn (R-Knoxville) rose to express forebodings about the measure and declared his opposition to it, as he had to last year’s original model, which would have applied statewide before being modified prior to passage.

After noting pointedly that he had received emails from within Shelby County “urging” him not to express his concerns “for all to hear,” Dunn did so, anyhow. He worried that, since this year’s bill, unlike the final product last year, was cast so as to apply statewide, not just to Shelby County, “we’re going to see some problems down the road.”







Todd began his remarks by expressing thanks for the “61 signatures” of House co-sponsors he had received.

Among those problems was a technical one — that municipal taxpayers in new districts would become restive about paying taxes to support schooling for the non-resident children who would enroll in them and that fees would be imposed on those outlying households ultimately. “The state is supposed to provide a free education,” Dunn noted.

He did not articulate the larger concern that he had been vocal about last year, before the 2012 measure was rewritten so as to apply only to Shelby County, and that was simply a concern about unintended consequences of a statewide measure that could result in new municipal school districts elsewhere in Tennessee.

Dunn pointed out that he had ultimately supported the Shelby-County-only version of last year’s bill, but “unfortunately, a judge shut it down.” He reminded his colleagues that he had “asked that the current bill be rolled” until a version with dependable safeguards for school districts statewide could be perfected, but,”unfortunately it was not rolled.” Consequently, “I will be voting no tonight. I hope I’m wrong but I don’t think I’m gonna be.”

That was about it for objections from the state at large. But some came from representatives from the City of Memphis, who, unlike their suburban Shelby County colleagues, were opposed to the bill. Representatives G.A. Hardaway, Antonio Parkinson, and Johnnie Turner all took shots at the measure, articulating their concerns about the effect of the bill on the county’s unified school district, still in the process of formation, and extracting assurances from Todd that the bill had no immediate impact upon the future disposition of school buildings currently owned by Shelby County.

Both Hardaway and Parkinson gave voice to a rumor that has circulated widely of late — namely, that an unspoken arrangement exists between the bill’s sponsors — Todd and Senate Majority Leader Mark Norris being the principal ones — and Republican colleagues in districts elsewhere to the effect that a one-year window would be held open for Shelby County and would be closed for everybody else by follow-up legislation next year.

Todd, who had begun his remarks by expressing thanks for the “61 signatures” of House co-sponsors he had received, blithely gave assurances that no such revocation next year was planned and that if it was proposed, “I would vote against it.”

Rep. Craig Fitzhugh (D-Ripley), leader of the 27 House Democrats, made one last stand against the measure. “I hadn’t planned to speak on this bill,” Fitzhugh said. “…I thought I didn’t have a dog in the hunt…But as so goes Memphis, so goes my little town and my district.” And he expressed concern about the “long-term effect” of the bill upon Memphis.

The bill would pass the House by a margin of 70 to 24.

Things were similar in the Senate, where principal author Norris, in bringing the bill to the floor, described it as a corrective to limitations on new districts imposed during the Tiny Town crisis of 1998, when a stealth bill to allow easy incorporations by small communities challenged the annexation rights of municipalities before being found unconstitutional by the state Supreme Court.

State Senator Ken Yager (R-Harriman) quizzed Norris on the bill’s impact on the “existing funding stream” for county school districts where new municipal districts might be formed. Norris responded that “funding shifts [to] follow the student and that it would be incumbent on municipalities desiring their own school districts to approve them in referenda and to vote such new add-on taxation as would be necessary to pay for them.

State Senator Jim Kyle (D-Memphis), the leader of the Senate’s seven Democrats, pressed Norris on what he insisted would be the potential negative effect of the bill on counties like Roane, the one represented by Yager, and, for that matter, on Knox County and metropolitan districts like that of Davidson County.







Senators will ask themselves, said Kyle, “Why did I get involved in a boundary dispute in Shelby County?’”

Norris disputed that, both on grounds that municipal secession in such districts was unlikely because of “other hurdles” created by the bill and because there was no evidence that municipalities mentioned by Kyle — like Farragut in Knox County and Franklin in Williamson — would either pursue or be affected by efforts on behalf of new municipal districts.

Kyle disagreed. “I think the answer to that is yes. A special school district could withdraw and become a municipal district….This is a mistake, a mistake you’ll see in your community one day.” And senators would ask themselves, said Kyle, “’Why did I get involved in a boundary dispute in Shelby County?’” — one “bringing to your front door what essentially is a local dispute.” And, he said, that”could drain tax dollars from the county exactly as the gentleman from Roane County [Yager] questioned.”

In his closing remarks, Norris acknowledged that the bill “doesn’t just apply to one county but has statewide application” and insisted that the measure was “entirely in keeping with the educational reform movement,” removing an “artificial barrier” against new districts imposed at a time when the state did not possess charter schools, achievement schools, or virtual schools.

Singling out the latter category, virtual schools, which came within a whisker of being phased out or minimized in legislation favored by Governor Haslam because of poor academic results, Norris said, “You can go to school from your house on the Internet. Why should any of us seek to forbid the forming of municipal systems?”

The bill passed the Senate 24-5 and now requires only the signature of Governor Haslam and the ultimate vetting by U.S. District Judge Hardy Mays.

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Mays MovesToward Special Master in Effort to Break School Logjam

After regular business had finished Monday’s public meeting of the Shelby County Commission, chairman Mike Ritz made this add-on announcement concerning a status conference held earlier that morning between U.S. District Judge Hardy Mays and attorneys in the still ongoing litigation relating to city/county school merger and the prospect of independent municipal school districts:

“ I did visit with the attorneys in the Courthouse this morning, and the circumstances were these: A new party to the lawsuit was asked to attend the meeting. The County School Board was not a party to the lawsuit, but they were asked to be there.

“And what happened was that the judge said he was going to postpone his decision on the two remaining issues and asked for a special master to be appointed, with names to be submitted no later than Wednesday to overlook the activities of the School Board, because he is not happy with the failure of the School Board to appoint a superintendent, to take budget actions, and otherwise respond to the recommendations of the TPC [Transition Planning Commission]— which he feels in toto is a failure to conform according to his order of 2011.

Ritz added, “There is nothing for us to do or not do. We don’t have to like it or not like it, but there we are.”

Earlier Tom Cates and Allan Wade, attorneys for the suburban municipalities and the Memphis City Council, respectively, had in separate meetings with reporters, said essentially the same thing and with the same matter-of-factness as would Ritz.

Municipal attorney Cates: We always knew....

  • JB
  • Municipal attorney Cates: “We always knew….”

“We all knew” that the municipalities would be in the Unified District for at least a year, said Cates, in what may have been his frankest acknowledgement yet of that particular reality mandated by Judge Mays in separate orders of 2011 and 2012. And that, both he and Wade said, was all that was discussed.

Judge Mays’ announcement of his imminent intent to appoint a Special Master resolves a matter that has been hanging since his original order of 2011, which mentioned such an office, and its most obvious intent is to dispose of the remaining financial and organization obstacles to school consolidation in the face of an approaching July 1 merger deadline.

But, while it is generally being treated as a de facto delay in ruling on remaining legal issues, pending whatever the General Assembly does on school matters in the current session, it takes those issues, including the final provision of the 2011 Norris-Todd Act and the very feasibility of independent municipal schools, to the brink of final judgment.

Hence a largely rhetorical discussion in Monday’s commission meeting on a resolution by Wyatt Bunker, Terry Roland, and Chris Thomas, all proponents of municipal schools, to remove the Commission as a litigating party and, in effect, terminate the lawsuit.

Bunker rolled it all into a single ball, beginning with a conclusion he said he reached as a member of the old Shelby County Schools board a decade ago. “We knew back then that city schools were top-heavy. There’s a lot of waste, a lot of waste in that administration,” and bringing things to the present, which included last weekend’s retreat bringing together Commission members, Unified School Board members, and other county officials. A major point of concern at the retreat had been the Board’s request for extra funding.

“We get to that retreat this weekend, they hand us a $145 million-dollar bill…That made me quite angry, because it appeared to me that they were trying to avoid making the tough decisions that they need to make and instead just hand us a bill….That’s why the municipalities don’t want to have anything to do with it…That begs the question, why are we tying them up in a lawsuit? They need to seat their board. They need to hire a superintendent. They need to obtain the capital improvements to support their school system, put in place everything that’s necessary….Why don’t we get out of the way and let them get on about the business of educating children?

“And for those of you who believe this is a race issue? By definition, Shelby County Schools is more diverse than Memphis City Schools is. It’s not a race issue. It’s a very diverse school system. It’s a high-achieving school system….You ought to vote with us, get out of the way and let them make progress.”

Roland: Nashville will act.

  • JB
  • Roland: Nashville will act.

That, a fairly complete statement of the suburbs’ case, was answered this way by Commissioner Walter Bailey, who turned the argument around:

“It takes two people to do a fox trot….If you don’t have an adversary, you don’t have a lawsuit. We’re asking them to concede the remaining issues, and the lawsuit will vanish. {We could} ask the court to enter the appropriate order. That would terminate the lawsuit. That would save hundreds of thousands of dollars…..That’s a quick remedy to end this lawsuit.

And Commissioner Steve Mulroy segued from that into a reminder of the recently terminated mediation talks between the contending parties: “They’re saying it’s unreasonable to ask for a unilateral disarmament for their side. By the same token, it’s unreasonable to ask for a unilateral disarmament for our side….The question is, why won’t we talk and work out a settlement? ….A mere three or four weeks ago, we were 90 percent of the way toward a complete local and comprehensive settlement….

“Abruptly, at the 11th hour, they walked away from the negotiations. And why? Because they had some sort of inkling that our Nashville overlords would meddle once again in our local affairs and give them everything they want.”

But, said Mulroy, “there is a chance they won’t get every single thing they want out of Nashville. If we settle the lawsuit now, they won’t have to go to Nashville.”

The reported terms of what Mulroy referred to as an aborted agreement were essentially these: 10-year agreements between the suburbs and the Commission permitting chartered school districts in six suburban municipalities; guarantees of racial diversity in the suburban schools; paid-lease agreements between the suburbs and the Unified School Board for existing school properties; and, in what seems to have been the sticking point, an agreement by the suburbs to equalize per-pupil spending with that of the Unified system and to commit municipal sales-tax revenues to that end.

In debate Monday, Roland would respond, “Don’t say, you ran away,’ when you pushed [us] away,” and he predicted that the General Assembly could make the local dispute moot by enacting legislation that would both enable municipal schools and allow direct state funding of them, bypassing the County Commission’s approval process.

Indeed, there are several measures tumbling around in Nashville at the moment, one or two that would legalize new municipal school districts, this time on a statewide basis, and others that would enlarge the state’s charter-school apparatus and create the kind of state control Roland spoke of. As reported by the Flyer last week, those measures have drawn opposition from representatives of the state’s Big Four school districts —- Shelby, Davidson, Knox, and Hamilton counties -— and reaction to them appears not to be predictably partisan.

Things remain to be seen up there, as, in fact, they do in Shelby County as well.