Cramer said, when you get up to 80 mills, that is about as far as we can go. Right now we need a new high school badly. We are getting it piecemeal. We do not get enough really to go out and do a job. The bigger building you can get, the cheaper you can get it built, better bids. We have to add a room here and there to try to keep up with the growth of the town. Mr. BAILEY. How many do you have on half-day sessions due to inadequate space? Mr. CRAMER. 300 students, 10 groups scattered around. Mr. HAWORTH. We are getting Capehart in. They paid us on the basis of 400 families, 400 homes. They figured on the basis of 0.9 to 1.0 children to a family. I have not seen any come in yet who do not have three or four. Now we shall have 600 homes, they tell us. Now it is raised again, is it not? They are building homes like mad, and they will fill them up as quickly as they get them built. That is another problem. They are in our district, too, although they are not building in Bellevue. They will be on a different basis, again. It really puts the squeeze on us. We hope that the committee will see our need. We thank you for being able to appear here. Thank you very much. Mr. BAILEY. Thank you, Mr. Haworth. Mr. BRADEMAS. Mr. Chairman, I want to say I think Mr. Haworth has very eloquently summed up the reasons why this proposal is not a wise one. Mr. LAFORE. I have no questions. Mr. BAILEY. Thank you, gentlemen, for appearing here and laying your case before the committee. (The brochure submitted by Mr. Cramer follows:) BELLEVUE PUBLIC SCHOOLS, Members of Committee on Labor and Public Welfare. DEAR CONGRESSMEN: We are happy to have the opportunity to present material in this brochure as it pertains to the Bellevue schools and their needs. Our particular interest of course is to testify in behalf of Public Laws 874 and 815. We hope you will see fit to recognize our needs and act on our request. The board of education herewith expresses its appreciation to you for your continued and untiring efforts in behalf of Public Law 874 and Public Law 815. This brochure is prepared to help you to analyze problems as they pertain to the Bellevue public schools, Bellevue, Nebr., one of federally affected areas in the United States. Thank you for your interest in public education. The Bellevue District joins many other school districts in commending the Senators for their past interest in both Public Law 847 and Public Law 815. We hope that we may warrant your favorable consideration and immediate action. The past fiscal year for the Bellevue District is rapidly drawing to a close and a new one is about to begin. We herewith submit for your consideration testimony as it pertains to H.R. 7140. The amendment is impractical to insure an adequate educational program for the boys and girls in the Bellevue, Nebr., area. LOCATION The Bellevue School District, Bellevue, Nebr. is located adjacent to Offutt Air Force Base and the Strategic Air Command Headquarters. In fact both of these Federal installations lie within the limits of Bellevue District. SCHOOL GROWTH The Bellevue School District has shown considerable growth during the past 5 years. The Federal installations are the prime reason for the continued growth of the school enrollment. THE NEED FOR FINANCIAL ASSISTANCE The Bellevue School District is basically a suburban area, lying adjacent to a metropolitan city. There is only a small business district within the school district, and no industry is found in this district. Therefore, the major portion of school tax load must come from local property (real estate tax). The present levy is 40 mills. The valuation of the district for tax purposes is $8,700,000. This is a burdensome and almost unbearable tax load for the patrons of the Bellevue District. The average levy for school purposes in Nebraska, is 28 mills. So it is evident that the levy for the patrons of the Bellevue District is excessively high. Sixty-five percent of the enrollment in the Bellevue school are students who are federally connected. The amount of Federal funds received under Public Law 874 equals less than 50 percent of the operating budget. Annual increases of about 200 students, most of whom are federally connected imposes a real burden upon the Bellevue School District. Charts are found in the appendix showing the need for financial assistance. See chart on page 5. A chart is also included in connection with the increase of the number of federally connected children as compared with the nonfederally connected children. See page 6. A combination of these two charts is found in a table on page 7. THE EFFECT OF THE ADMINISTRATION'S PROPOSAL During the 1958-59 school year the Bellevue School District was entitled to $351,344.89. A summary of our entitlement follows: If the administration's proposal would have been in effect, the following entitlement would have been available for the Bellevue schools: 596 3A students at $264.89_. 1,396 3B students at $105.95_. 33 3B students not at Offutt $66.22__. Total____ $157, 874. 44 147, 906. 20 2, 185. 26 307,965.90 If the administrative proposal would have been in effect during the 1958-59 school year, the Bellevue School District would have suffered a loss of $43,373.63. A loss of $43,373.63 would have to be made up by a local mill levy of 4 mills. Asking a local small school district for such an outlay is impossible in an already heavily taxed district. ACTION PROGRAM We have outlined our needs as they apply to the boys and girls living within the Bellevue School District. The administration's proposal would cause a loss of $47,000 to the Bellevue District. This represents about 4 mills for the Bellevue District, or about 10 percent of our levy. The Bellevue School District is not seeking a grant. Our intent is to provide a good educational program and meet the needs of the students who are attending its schools. This cannot be accomplished with reduced Federal payments. 45135-59-6 Table showing enrollment, budget, entitlement of the Bellevue Public Schools, Mr. BAILEY. Once more we look to the great State of California for advice. Our next witness is the Honorable James B. Utt, Member of Congress from California. You might ask the gentleman from California if he wishes to file a statement, Mr. McCord. STATEMENT OF HON. JAMES B. UTT, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF CALIFORNIA Mr. UTT. Thank you, Mr. Chairman. My name is James B. Utt. I represent the 28th Congressional District of California. My testimony will be brief. I would like to file my complete statement. (Mr. Utt's prepared statement follows:) STATEMENT OF CONGRESSMAN James B. UTT Mr. Chairman and members of the committee, my name is James B. Utt, Congressman from the 28th District of California, which comprises all of Orange County and the northern section of San Diego County. I appreciate the opportunity of appearing before your committee to state my opposition to H.R. 7140, which would, in effect, modify the existing provisions of Public Laws 815 and 874. It would appear to me that the enactment of this legislation, which provides for a reduction in Federal funds as high as 60 percent of allocations under present districts, would be a most unfair blow to the school districts which have been able to survive only because of these Federal payments by the Government in lieu of taxes. It cannot be said in the broader sense that financial assistance under Public Laws 815 and 874 comes under the heading of Federal aid to education, as that term is generally understood, but rather falls strictly in the category of a payment made in lieu of local taxes. I would like to give you just three outstanding examples of the effect of the Federal impact on schools districts in my area: 1. FALLBROOK UNION SCHOOL DISTRICT Prior to 1941 this school district was well financed and abreast of the educational needs of that district. When the Federal Government purchased Camp Pendleton, 40.34 percent of this district's assessed valuation was removed from the tax roll. This caused an immediate reduction in the educational and building program of the district. From 1943 to 1950, no financial help was received from the Federal Government and the district was financially destitute. This damage can never be rectified. After the passage of Public Laws 874 and 815, the district was able to install a program of rehabilitation to partially repair this damage. For the past fiscal year, there was an average daily attendance of 1,550 pupils; 571 of these pupils are 100 percent federally connected; 359 of these pupils are 50 percent federally connected, making a total of 930 students |