Walz education budget promises needed stability, but pay and pension proposals need another look
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ST. PAUL, Minnesota. Jan. 16, 2025 – The budget proposed by Gov. Tim Walz on Thursday would bring needed stability to school district finances, although some proposals require additional study, said Denise Specht, president of Education Minnesota.
Specht said educators welcome the governor’s plan to maintain compensatory funding for schools with students who need extra academic resources and his promise to extend state funding for unemployment insurance for education support professionals for another year.
Specht noted that state law already requires an inflation-adjusted increase in the per-pupil formula and increases in the amount of money school districts will receive from the state to cover the rising costs of special education services. “This could be a difficult budget year for educators, but the pro-education policies passed by the Legislature in 2023 will continue to benefit every school district in Minnesota,” Specht said.
However, Specht said Education Minnesota prefers a different approach for pension reform than the policy in the governor’s budget. The Walz administration proposed a pension “holiday” in which the state would make a one-time contribution to the pension plan in place of the employee’s contribution.
“While we appreciate the governor’s attention to our pensions, this proposal doesn’t increase the retirement benefit, lower the retirement age, or reduce the penalties for retiring before 65,” Specht said. “We’re looking forward to working with the administration and the Legislature to use the money available this year to make more progress toward our goals.”
Also concerning to educators was a proposal in the budget to change the compensation of more than half the teachers in Minnesota by eliminating the Alternative Teacher Professional Pay program, which is commonly called Q Comp. The administration recommended keeping the program intact in fiscal year 2026 but eliminating it in 2027 for a savings to the state of more than $78 million.
“The proposal to eliminate Q Comp raises serious questions about how districts will pay for the requirements of the state’s teacher evaluation law, the take-home pay for tens of thousands of Minnesota educators and the future of educator positions funded by the program,” Specht said. “At a time when low pay and soaring health care costs are driving teachers out of the profession, we cannot accept a proposal that results in a pay cut for teachers or puts more unpaid labor on their plates. The state of Minnesota should study this carefully before moving forward.”
About Education Minnesota
Education Minnesota is the voice for professional educators and students. Education Minnesota’s members include teachers and education support professionals in Minnesota’s public school districts, faculty members at Minnesota’s community and technical colleges and University of Minnesota campuses in Duluth and Crookston, retired educators and student teachers. Education Minnesota is affiliated with the American Federation of Teachers, National Education Association and AFL-CIO.
