Friday, March 11, 2016

Louisiana State Per Capita Spending, Fiscal Years 2010-2015


          In two recent blog posts ("An Advocate writer does it again..." and "Debunking the Myth of High Per Capita State Spending..."), I took issue with the undocumented charge that per capita state spending in Louisiana is significantly higher than the national average among the states.  It is important for me to spend time on this subject because the implication of blindly accepting such a position by others means accepting the policy position that state spending in Louisiana, comparatively speaking, is out of hand and worthy of the budget ax!

          I undertook an investigation of the legitimacy of this claim (or lack thereof), after witnessing a pattern of policy evaluations by some that could not be supported by objective evidence, and in fact that were easily refuted by such evidence.  In this instance, I used 2015 data and concluded that Louisiana's per capita state spending was middle of the road among the fifty states.  In response, legitimate concerns were raised about the reliability of data estimates for a fiscal year that was only half complete when published by the original source, whether the data was provided by the state budget office or not.

          There are good reasons why I used only 2015 data:  (1) The budget discussion at the time centered around recent (2015) budget issues in Louisiana, as the state legislature was involved in a special session intended to close a combined $3 billion shortfall over two fiscal years (2015 & 2016), and (2) I have a day job and a family, with no desire to become a full-time, unpaid government watchdog or media critic!   Accumulating and analyzing data is about as labor intensive as it gets for a scholar working alone, even when composing for a personal blog on politics.  For me, anyway, there is still a need for the standards of scientific data analysis!

          Still, in response to questions about my use of 2015 data estimates, I went back into the data on Louisiana State per capita spending for the past six years (Actually, my data includes six years of data for all fifty states)! I'm glad that I did so, because my conclusion is confirmed that Louisiana state government does NOT have a spending problem! We have a revenue and priorities problem!  As you can see in my chart below,  contrary to the belief of many, data clearly indicates that state per capita spending of state funds was below the national average for five of the last six years, and consistently so during the last four years.  For that matter, above average state per capita spending of federal funds was not enough to prevent total state per capita spending from being well below the national average for each of the past four years as well.

          However, please note that even if Louisiana were to go into a period of per capita state spending that is above the national average, across the board, I will defend it as necessary to do two things: (1) to reverse the absurd disinvestment in higher education in Louisiana that has occurred over the past eight years, and (2) to begin a massive, longterm refunding of higher education by Louisiana so that we can reach a first-stage, ten-year goal of increasing the number of people with college degrees in this state from 22.1% (47th among fifty states) to the current national average of 29.3%* (From Educational Attainment: 2010-2014 American Community Survey 5-Year Estimates).    Then, perhaps in a generation, we may reach the level of Massachusetts, where 40% of those who are 25 years of age and older have at least a bachelors degree and are prepared for the job market in a diverse economy dominated by the need for people with advanced intellectual and technological capabilities.

         In Louisiana, subpar high school graduation rates and a comparatively low percentage of people with college degrees are NOT the mark of a state preparing for the future of its children.  That takes investment!  There are those in business who like to say that, "You have to spend money to make money!"  We must spend more on education, increasing access and decreasing the cost to our students and their families!  It is the needs of the people of this state that come first, not the desires of those who support a bankrupt ideology centered around a fantasy world in which Louisiana reverts to the form of a minimalist 18th century European colony!


To enlarge it, click on the image below.
The spreadsheet holding this database is far too large to post easily on this site.
For the moment, you all will have to be satisfied with the chart.





* Corrected from an earlier version which had 31.96%.  Also, readers may expand the number of states shown by using the table editing capabilities provided.


Copyright 2016 Michael Kurt Corbello




Sunday, March 6, 2016

Debunking the Myth of High Per Capita State Spending in Louisiana


     Advocate political columnist Jeff Sadow and I are old friends from graduate school, polar opposites on politics.  I’m not surprised at his blaming Gov. John Bel Edwards, only two months in office, for the State’s current budget problems.  It justifies his blind support for the tourist who lived in the Governor’s mansion the previous eight years!  However, Sadow’s critiques contain vital passages that perpetuate a myth of comparatively high per capita State spending in Louisiana, and its corollary that state government in Louisiana has a spending problem!  Well, not now!

     In late February, Sadow claimed that Louisiana State Government “ranks well above the national average in per capita spending.”  Then, in his “Moody’s downgrade is Edwards’ fault” piece, Jeff spoke of “state and local government spending” that is “ an estimated 18th highest per capita among the states in 2015.”   He never publicly provided data sources to support his contentions.  I combined U. S. Census data with 2015 state spending estimates from the National Association of State Budget Officers.  The fifty state budget officers report data directly to NASBO.  See my original report here.  In 2015, total state fund and federal fund expenditures per capita ranged from a low of $3,724 (Florida) to a high $18,644 (Alaska), with a national average per state of $6,649.  Louisiana ranked 22nd out of fifty states at $6,365 per capita, $284 per capita below the average of the states nationwide!

     Louisiana spent an estimated total of $29.7 billion in 2015, but $10.15 billion of this was federal funds: $2,173 per capita (ranked 14th), or about $200 per capita above the state averages nationwide.  The Louisiana state portion of total state government spending was $19.58 billion.  Nationwide, state fund expenditures averaged $4,676 per capita.  Louisiana averaged $4,192 in per capita state fund spending, placing it 23rd, or $483 per capita below the average of the states nationwide!

     Sadow emailed his data with his source.(1)  He defended his contrary position. I discovered that the "high per capita spending" myth results from data and an analysis that violate concepts of validity and reliability crucial to scientific research methods and statistics.  I followed Sadow's data trail.(2)  First, he confuses units of analysis: instead of comparing per capita spending in Louisiana to a national average of all 50 states, he compares Louisiana to a national level calculation of per capita spending by states, which where I'm from is like comparing merlitons to alligators (apples and oranges for those uninitiated into Louisiana culture).  In other words, the website upon which he depends for his data totals the per capita spending of all states, then divides by the U. S. population size, which yields a lower number than the real average of state per capita spending.  In the end, Sadow is comparing one unit of analysis (States) with another (Nations).  The only reason for calculating the national number using the U. S. population size is to create an average that is comparable to that of other nations, not when comparing individual states to one another or to an average of state numbers.

     Secondly, his data source is a website that links to 2013 Census data on state spending, not 2015, yet doesn't contain any of his numbers!  There are many more problems with Sadow's "supporting data" and his analysis, but these will have to wait until I catch up with my real work responsibilities.  In any case, I hate to publicly call my friend out on this!  Maybe Dr. Sadow was unaware! Sometimes "things slip through the cracks."  Regardless, he's wrong on something with serious policy implications!


Updated March 7, 2016, 9:00am.

Copyright 2016 Michael Kurt Corbello


---------------


(1)  Dr. Jeff Sadow to the author, based upon an email exchange dated March 3, 2016.





(2)  Screen captures occurred on March 5, 2016

First, we have Dr. Jeff Sadow's favorite data site for this discussion.
Notice the URL, the year, and the numbers for Louisiana and "All states combined" down the first column.  In addition, see the source listing for "State and Local Gov. Finances."  This is the data used in his calculations (actually, he didn't calculate anything, he just reposted what is here) to argue that Louisiana State government engages in a pattern of high per capita state spending.  At the same time, Sadow often alternates his focus from "state and local spending" to "state spending," in the case of the latter, not bothering to distinguish spending of State funds from spending that is from Federal funds, an important distinction.  The only thing that counts in this discussion is State per capita spending of State and Federal funds, separate and combined.




Then, here is the link to the Census site highlighted as a source in the bottom of the table above.  Notice that this is 2013 data, not 2015.  In fact, the dropdown menu doesn't show a more recent year than 2013.


Then, we come to the "Expenditure" data found in the 2013 State & Local Government link above (since this source does NOT show the 2015 data, as claimed by Sadow.  It's his job as a scholar to find this out).  Notice that the 2015 data has Louisiana State spending (minus local spending) at $32 billion, not the $26.5 billion number in the Sadow source's chart.  I stand by my data and my analysis!



Updated with commentary on March 8, 2016.


Monday, February 29, 2016

An Advocate writer does it again: Why Louisiana does NOT rank well above the national average in per capita spending!

“In fact, the only way to arrive at the columnist’s conclusion that Louisiana ranks ‘well above the national average in per capita spending’ is to make it all up!”

     Numbers can be pesky things, a great source for truth, or a weapon to mislead.  Scientists like numbers because they are transparent, until human beings interpret them or insinuate that they have done so.  I am a political scientist who teaches my students “math is the language of objectivity!”  Yet, three-plus decades of research and teaching have taught me the pitfalls of data collection and interpretation for someone trying to conduct scientifically valid research, even if it proved me wrong.  In partisan politics, many divest themselves of scientific validity, some accidentally, others purposefully, and still others because they fail to admit their biases.  We all have biases, but numbers have a way of cutting through those most cherished.

     Recently, Jeff Sadow for The Advocate (See "Lawmakers should call Edwards' bluff on TOPS, Medicaid," The Advocate, February 27, 2016) criticized Gov. John Bel Edwards’ budget plan during the special session of the Louisiana State Legislature, arguing that the governor “refuses to meaningfully pare a state government that ranks well above the national average in per capita spending” [emphasis added].  Sadow didn’t indicate sources supporting these value statements, so I collected the most recent data and examined it.  In fact, the only way to arrive at the columnist’s conclusion that Louisiana ranks “well above the national average in per capita spending” is to make it all up!

     I looked at the most recent U. S. Census data estimates of state populations for 2015.  I combined this with data from the National Association of State Budget Officers, State Expenditure Report (Fiscal 2013-2015) (Table A-1 in the downloadable report).  In 2015, total state general fund and federal fund expenditures per capita ranged from a low of $3,724 (Florida) to a high $18,644 (Alaska), with a national average per state of $6,649.*  Louisiana ranked 22nd out of fifty states, in the middle of the pack, at $6,365 per capita.  That’s right! Louisiana was $284* per capita below the state averages nationwide!  Among 16 southern states, Louisiana ranked 7th in total state general fund and federal fund expenditures per capita, about $134 per capita above the state averages in the south.

     Notice that while Louisiana spent a total of $29.7 billion in 2015, $10.15 billion of this was federal funds, $2,173 per capita (ranked 14th), or about $200 per capita above the state averages nationwide.  The Louisiana state portion of total state spending was $19.58 billion.  Nationwide, state general fund expenditures averaged $4,676* per capita.  Louisiana averaged $4,192 in per capita state general fund spending, placing it 23rd, or $483* per capita below the state averages nationwide!

     Now, I don’t mind voters, politicians, and citizens calling into question the spending and priorities of state government.  All of us should be vigilant in our efforts to take care of our community of needs, while reigning in the natural and selfish human inclinations to abuse the system!  However, looking at this data, it is difficult to make the argument that, compared to other states, Louisiana has a spending problem.  Whether we look at per capita spending or gross dollar amounts, Louisiana was in the middle of the pack of fifty states, with one exception: We ranked 14th in State Federal Fund Expenditures!  For that matter, Louisiana was one of eight southern states (including Arkansas, Delaware, Kentucky, Maryland, Mississippi, Tennessee, and West Virginia) in which state federal fund expenditures per capita were above the average per state nationwide ($1,973 per capita).  In other words, we are dependent upon everyone else for a huge amount of resources in our state budget.  Why?  Because of our history of poverty, low levels of education, and lack of economic development (regardless of the deadbeat mantra always coming from Bobby Jindal and his apologists)!  Imagine if we in Louisiana really did have to pay for our own spending!

     The fact remains that we do not live in the 18th century, with the luxury to implement a minimalist government, not if we want to have a competitive position in a world driven more and more by competitive people of high intellect, hard work, creativity, technological knowledge and skill!  Anyway, those pesky numbers, they must be liberals!

For a closer look at the data used to draw my conclusions (and to refute The Advocate’s columnist), please click on the following link to my blog:



*Note: These underlined numbers were edited slightly because the initial data contained a slight error in State fund spending by Wyoming.

Blog Copyright 2016 Michael Kurt Corbello

Data on State General Fund and Federal Fund Expenditures as of 2015 Estimates


To enlarge, click on images.

NOTE:  Data were revised to reflect a correction in per capita spending of state funds for Wyoming.






Blog Copyright 2016 Michael Kurt Corbello

Wednesday, January 27, 2016

COUNTERINTUITIVE? Round II: Why The Advocate is wrong and Louisiana does not have too many four-year colleges and universities!

Dr. Kurt Corbello, PhD, Political Science

     In April 2015, a blog known as The Hayride published a higher education policy piece claiming that, “Louisiana has 14 four-year universities. Florida, with over four times the population of Louisiana only has 12 four-year universities. Louisiana can no longer sustain this many universities.”  They suggested closing enough to get down to only 5 colleges and universities in Louisiana.  At the time, I reacted to this first round of disinformation in my own blog, which was kindly reported in full by Tom Aswell in his Louisiana Voice.  You can click on the accompanying link to access my complete set of Data on State Populations and Institutions of Higher Education in the United States as of 2010 to 2015.  Nine months later, The Advocate (Baton Rouge/New Orleans), one of the state’s top newspapers, began an otherwise fantastic and informative series on the plight of higher education in Louisiana, but with the very same comparison and a nearly identical quote: “The skeptics point out that Louisiana has 14 publicly funded four-year schools compared with Florida’s 12, despite having less than a quarter of the population Florida has.”  The Advocate called it a “University Glut” in Louisiana!  Unfortunately, at least on this particular subject, The Advocate put itself on an equally discreditable footing with a junk blog that has a pattern of disregarding facts when the facts don’t suit its ideological purpose!

     A few months ago, I couldn’t understand why there were no other states brought into the discussion.  To see for myself whether Louisiana had too many colleges and universities, I wanted to look at the best available data on the characteristics of the higher education systems in each state, nationwide.  Within a few short minutes, my first foray into this discussion brought me to the U. S. Department of Education, National Center for Education Statistics (https://nces.ed.gov/collegenavigator/).  It was clear then, as it is still clear now, that the much-regurgitated comparison of the higher education systems in Louisiana and Florida, the one put forward by The Hayride and The Advocate, is useless and inaccurate because it is unsupported by actual evidence!

     Now, I will be the first to tell you that data is almost always ill-defined, incomplete, and fraught with errors, at least to some extent.  That is why scientists are always updating data and revising findings.  Human data-collection can always be contested in some way.  This is important as I inform you that, according to the best available data from the U. S. Dept. of Education, Louisiana has 17 public four-year colleges and universities, while Florida has 39!  That’s right: 17 & 39 versus 14 & 12.  There is a big difference between the real data and the data that is “commonly accepted,” but WRONG!

     The U. S. Dept. of Education defines and 4-year institution as “An institution authorized primarily to award Bachelor (or higher) degrees, such as a college or university” [emphasis added].  By comparison, a 2-year institution is one “authorized primarily to award Associate degrees or 2-year or longer certificates, such as a community or technical college” [emphasis added].  The distinction is important for this comparison, because Florida shows some overlap in institutions, but not enough to diminish my argument overall.

     I used the department’s “College Navigator” to explore for public 4-year institutions first.  The list for Louisiana shows 17 public 4-year institutions1.  The list for Florida shows 39 public 4-year institutions.2 It seems to me that a look at public 2-year institutions is no less important in assessing the burden of the higher education system in each state.  Louisiana appears to have 16 public 2-year institutions,3 while Florida appears to have 63 public 2-year institutions.4

     When I use the “College Navigator” to combine public institutions in each state, something interesting happens.  While Louisiana’s public institutions add up nicely to 33, Florida’s combined public institutions add up to 78 public 4-year and 2-year colleges and universities5, not the 102 institutions you would expect.  This implies that, unlike Louisiana, in Florida there are perhaps 24 public 4-year colleges and universities that also award 2-year certificates.  More importantly, regardless of any overlap in institutional purpose in Florida, it isn’t even remotely possible to argue that the entire state of Florida has only 12 public 4-year colleges and universities, not if your interest is in using the best available data, where 4-year institutions are well defined, even if there is some overlap into 2-year institutional capabilities.

     But, let’s continue this discussion into my larger argument about the entire higher education system in Louisiana, compared to state systems across the country.  This is the most important reason why The Advocate messed up a perfectly good series of reports with the errant comparison to Florida.  Post-secondary education is a system with many interdependent parts, public and private, large and small, 4-year and 2-year, general and specialized, each serving different needs and communities in order to serve the state as a whole.

     Nationwide there are 718 public 4-year colleges and universities (avg. 14), 1705 private 4-year institutions (avg. 33), 1173 public community colleges (avg. 23), and 284 private community colleges (avg. 6), for a total of 3814 post-secondary institutions (avg. 75).  Louisiana has 17 public 4-year colleges and universities (rank=11th), 12 private 4-year institutions (rank=34th), 16 public community colleges (rank=27th), and 6 private community colleges (rank=12th), for a total of 51 post-secondary institutions (rank=28th).  Florida has a total of 193 post-secondary institutions (or 169 if we exclude the overlap in public institutions), and ranks 4th (or pretty high).





     Nationally, Louisiana ranks 25th in population size, but 12th (91,170) in population per post-secondary institution.  I see this as a measure of the burden on the state’s higher education system.  Among the 17 Southern states, Louisiana ranks 6th in population per institution.  Only Texas (140,401), Maryland (117,184), Florida (103,074), Georgia (99,974), and Virginia (99,122) impose somewhat heavier burdens on their higher education systems. Nationally, 77% of states are less burdensome to their higher education systems than is Louisiana.  In the South, Louisiana’s higher education system is more heavily burdened than systems in 65% of all other states.


     In the end, my conclusions about the burdens within Louisiana’s higher education system haven’t changed, because the data will not allow it!  It remains the case that the average college student at a public institution in Louisiana is struggling to fulfill dreams.  It remains the case that most students have little money, though often working one, two or three jobs.  Many have families.  Others are changing careers.  It is still the case that most of our students in Louisiana are able to go to college because they can drive to one within 30 miles of their families, children, and jobs.  I repeat that closing public colleges and universities in Louisiana negatively alters the logistics and deprives them of the promise of a better life!  Anyone who wishes to engage in an honest and informed debate regarding higher education in Louisiana should maintain a high standard that requires access to the best available data, not the most readily available and unfounded assumptions!


NOTES:
1 Louisiana’s 17 public 4-year colleges and universities:


Grambling State University
Louisiana State University and Agricultural & Mechanical College
Louisiana State University Health Sciences Center-New Orleans
Louisiana State University Health Sciences Center-Shreveport
Louisiana State University-Alexandria
Louisiana State University-Shreveport
Louisiana Tech University
McNeese State University
Nicholls State University
Northwestern State University of Louisiana
Southeastern Louisiana University
Southern University and A & M College
Southern University at New Orleans
Southern University Law Center
University of Louisiana at Lafayette
University of Louisiana at Monroe
University of New Orleans



2 Florida’s 39 public 4-year colleges and universities:

Broward College
Chipola College
College of Central Florida
Daytona State College
Eastern Florida State College
Florida Agricultural and Mechanical University
Florida Atlantic University
Florida Gateway College
Florida Gulf Coast University
Florida International University
Florida Polytechnic University
Florida SouthWestern State College
Florida State College at Jacksonville
Florida State University
Gulf Coast State College
Indian River State College
Lake-Sumter State College
Miami Dade College
New College of Florida
Northwest Florida State College
Palm Beach State College
Pasco-Hernando State College
Pensacola State College
Polk State College
Saint Johns River State College
Santa Fe College
Seminole State College of Florida
South Florida State College
St Petersburg College
State College of Florida-Manatee-Sarasota
The University of West Florida
University of Central Florida
University of Florida
University of Florida-Online
University of North Florida
University of South Florida-Main Campus
University of South Florida-Sarasota-Manatee
University of South Florida-St Petersburg
Valencia College

3 Louisiana’s 16 public 2-year colleges:

Baton Rouge Community College
Bossier Parish Community College
Capital Area Technical College
Central Louisiana Technical Community College
Delgado Community College
Fletcher Technical Community College
Louisiana Delta Community College
Louisiana State University-Eunice
Northshore Technical Community College
Northwest Louisiana Technical College
Nunez Community College
River Parishes Community College
South Central Louisiana Technical College
South Louisiana Community College
Southern University at Shreveport
SOWELA Technical Community College

4 Florida’s 63 public 2-year colleges:

Atlantic Technical College
Bradford-Union Technical Center
Brewster Technical College
Broward College
Charlotte Technical Center
Chipola College
CHOICE High School and Technical Center
College of Central Florida
D A Dorsey Technical College
Daytona State College
Eastern Florida State College
Emerald Coast Technical College
Erwin Technical College
Florida Gateway College
Florida Keys Community College
Florida Panhandle Technical College
Florida SouthWestern State College
Florida State College at Jacksonville
Fort Myers Technical College
Fred D. Learey Technical College
George Stone Technical Center
George T Baker Aviation Technical College
Gulf Coast State College
Hillsborough Community College
Immokalee Technical College
Indian River State College
Lake Technical College
Lake-Sumter State College
Lindsey Hopkins Technical Education Center
Lorenzo Walker Technical College
Manatee Technical College
Marchman Technical Education Center
Marion County Community Technical and Adult Education Center
Miami Dade College
Miami Lakes Educational Center
Mid Florida Tech
North Florida Community College
Northwest Florida State College
Orlando Tech
Palm Beach State College
Pasco-Hernando State College
Pensacola State College
Pinellas Technical College-Clearwater
Pinellas Technical College-St. Petersburg
Polk State College
Radford M Locklin Technical Center
Ridge Career Center
Robert Morgan Educational Center and Technical College
Saint Johns River State College
Santa Fe College
Seminole State College of Florida
Sheridan Technical College
South Florida State College
St Petersburg College
State College of Florida-Manatee-Sarasota
Tallahassee Community College
Taylor Technical Institute
Technical Education Center-Osceola
Tom P Haney Technical Center
Traviss Career Center
Valencia College
William T McFatter Technical College
Withlacoochee Technical Institute

5 Florida’s 78 non-overlapping public 4-year and 2-year colleges and universities:

Atlantic Technical College
Bradford-Union Technical Center
Brewster Technical College
Broward College
Charlotte Technical Center
Chipola College
CHOICE High School and Technical Center
College of Central Florida
D A Dorsey Technical College
Daytona State College
Eastern Florida State College
Emerald Coast Technical College
Erwin Technical College
Florida Agricultural and Mechanical University
Florida Atlantic University
Florida Gateway College
Florida Gulf Coast University
Florida International University
Florida Keys Community College
Florida Panhandle Technical College
Florida Polytechnic University
Florida SouthWestern State College
Florida State College at Jacksonville
Florida State University
Fort Myers Technical College
Fred D. Learey Technical College
George Stone Technical Center
George T Baker Aviation Technical College
Gulf Coast State College
Hillsborough Community College
Immokalee Technical College
Indian River State College
Lake Technical College
Lake-Sumter State College
Lindsey Hopkins Technical Education Center
Lorenzo Walker Technical College
Manatee Technical College
Marchman Technical Education Center
Marion County Community Technical and Adult Education Center
Miami Dade College
Miami Lakes Educational Center
Mid Florida Tech
New College of Florida
North Florida Community College
Northwest Florida State College
Orlando Tech
Palm Beach State College
Pasco-Hernando State College
Pensacola State College
Pinellas Technical College-Clearwater
Pinellas Technical College-St. Petersburg
Polk State College
Radford M Locklin Technical Center
Ridge Career Center
Robert Morgan Educational Center and Technical College
Saint Johns River State College
Santa Fe College
Seminole State College of Florida
Sheridan Technical College
South Florida State College
St Petersburg College
State College of Florida-Manatee-Sarasota
Tallahassee Community College
Taylor Technical Institute
Technical Education Center-Osceola
The University of West Florida
Tom P Haney Technical Center
Traviss Career Center
University of Central Florida
University of Florida
University of Florida-Online
University of North Florida
University of South Florida-Main Campus
University of South Florida-Sarasota-Manatee
University of South Florida-St Petersburg
Valencia College
William T McFatter Technical College
Withlacoochee Technical Institute