1) Five of Eight Largest Teacher
Union Locals Had Budget Deficits. An Education
Intelligence Agency analysis of 2010-11 Internal Revenue Service filings
reveals five of the eight largest teacher union local affiliates in the
nation operated with budget deficits. Half of the 36 largest locals saw
their dues revenue decrease from the previous year.
Most of these locals are either
affiliates of the American Federation of Teachers, or jointly affiliated
with AFT and the National Education Association. AFT's governance structure
is largely centered on its locals, just as NEA's is centered on its state
which had their own financial troubles. The largest teachers' union
local in the U.S., the United Federation of Teachers in New York City,
accumulated dues revenue of $125.5 million in 2010-11, but still ran an
$11.8 million deficit due to a 12.1% increase in employee compensation
The United Teachers Los Angeles, United
Teachers of Dade, Broward Teachers Union, and United Educators of San
Francisco were the other four top locals to experience deficits.
Other locals may have been in the black
but are still on shaky ground. Figures for the Washington Teachers Union for
2010-11 were unavailable, while the Detroit Federation of Teachers' small
surplus did not cover the $1.4 million it still owed AFT.
Just like NEA's state affiliates, a
number of locals were able to achieve pension liability relief to improve
their bottom lines. But high personnel costs continue to worry many locals.
posted a table on its web site listing the dues revenue of the 36
largest locals, along with their other revenues, number of employees, their
total compensation, and their budget deficit status.
2) Last Week's Intercepts.
Intercepts, covered these topics from November 6-12:
Unions Win a Defensive Victory. Four more years.
Gravy Train Drying Up for NEA's Favorite Advocacy Groups? Play for pay.
Heading for the Hills in California. The two states of California, but
one is a permanent minority.
Call Me Maybe. Two-way spam?
Eat Your Vegetables! Voting scolds.
Quote of the Week.
"We have the capacity to rebuild this state." - Dean Vogel, president of the
California Teachers Association, commenting on the results of Tuesday's
election. (November 8