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State revenue rebounds in December after sluggish November

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State revenue rebounds in December after sluggish November

Mississippi revenue collections rebounded in December after a sluggish November.

The collected $666.4 million during the month of December, up from the $610.1 million that was collected in December 2021.

Mississippi revenue collections have been on an uptick since basically the middle of 2020. But in November, revenue collections took a nosedive for the first time since July 2021 when tax collections were less than the amount collected a year earlier in July 2020. In November the state collected $518.8 million in taxes and other revenue to $531.9 million in November 2021.

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The state revenue , released monthly by the staff of the Legislative Budget Committee, will be watched closely during the ongoing 2023 as legislators contemplate another tax cut or possibly a one-time rebate to state taxpayers.

In the 2022 session legislators put in place the phase in of the largest tax cut in state history — about a $525 million cut in the income tax. Gov. Tate Reeves and House Speaker Philip Gunn, among others, are advocating for adding on to the income tax cut during the 2023 session and possibly eliminating what has been the second largest source of state revenue. The income tax accounts for about one-third of state revenue.

According to the most recent revenue report, personal income tax collections were down from $173.8 million in December 2021 to $167 million last month.

The sales tax, a 7% tax on most retail items and the largest source of state revenue, was up from $217 million in December 2021 to $220.9 million last month.

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The biggest jump, accounting for much of the growth in the most recent report, came in the corporate income tax collections — up from $129.7 million to $187.3 million when comparing December 2021 to 2022.

The state has been experiencing double digit growth in revenue in recent years. Revenue grew by 9.54% during the fiscal year that ended on June 30 and by an unprecedented 15.9% the previous year.

Through December of the current fiscal year, which ends June 30, the state's growth rate is 9.9%. The state has collected $3.7 in revenue through the first six months of the year.

And collections are 13% or $424.8 million above the official estimate through the first six months of the fiscal year. The estimate represents the amount of money the appropriated for the current fiscal year.

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Despite the skyrocketing revenue collections, legislative have adopted conservative official estimates. Because of the conservative estimates, legislators are not spending a significant portion of the revenue collected each year. Those conservative estimates account for a part the nearly $4 billion in surplus funds legislators have as they begin work in the 2023 session.

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

Mississippi Today

Company deemed ‘future of education’ for rural schools to falter without cash infusion, founder says

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mississippitoday.org – Molly Minta – 2024-04-24 11:30:00

An education company that helps bring free college-level science courses to poor, rural , many in the Mississippi Delta, will lose federal funding after the Biden Administration did not renew its grant last year. 

The Global Teaching Project has received more than $3.5 million from the U.S. Department of Education to support its work offering Advanced Placement science courses to nearly 40 high-poverty schools.

Over 1,000 have enrolled in the project's classes, according to its founder, former tax attorney Matt Dolan, who says he has put more than six figures into the project since starting it in 2017. Districts could offer AP courses that they never had before. 

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Global Teaching Project's “blended” instructional model — online course content taught by in-class teachers who are supported by virtual STEM tutors from universities such as Harvard — was even praised by school choice and school voucher proponent Betsy DeVos, the Trump administration's education secretary. Experts have heralded this approach as “the future of education, especially for rural schools,” and the Global Teaching Project has drawn the attention of entrepreneurs like Mark Cuban.

It's also a model that has the interest of powerful Mississippi Republicans. Senate Appropriations Chair Briggs Hopson told the earlier this legislative session that he hopes to expand virtual learning for schools that struggle to find qualified teachers. 

Matt Dolan, center, who founded the Global Teaching Project in 2017, talks with during the initiative's Advanced STEM Jackson Program at Jackson earlier this year. Credit: Courtesy Global Teaching Project

But the Global Teaching Project's growth could falter without more financial support when its federal Education Innovation and Research grant expires this summer as, Dolan said, a majority of that funding went to the program costs. The minimum needed to operate this coming year is $1.2 million, Dolan said. 

The Mississippi Public School Consortium for Educational Access, a coalition of rural public school districts, was technically the recipient of federal funds, but Dolan said the Global Teaching Project was the driver of the initiative, a relationship that grant reviewers in 2019 said could be clarified. 

“My guess is they've never seen such a thing where somebody not only develops and implements the program, but they provide the money,” Dolan said. “That's what we told the school districts when we first started in 2017. We said we want to do this, and we're not asking you to give us a penny.” 

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Last year, the Biden Administration awarded more than $275 million in funding to projects in 20 states. Projects in three states — California, Massachusetts and Texas — received almost as much funding as the remaining 17.

Without the project, the Quitman County School District would not be able to offer AP Computer Science, said Baxter Swearengen, a special-education teacher who acts as a “facilitator” for the courses. 

Neither would the Holmes County School District, said Iftikhar Azeem, the science department chair at Holmes County Central High School. He teaches AP Physics and AP Computer Science. 

That's because these districts, which have a small tax base, can't compete with other counties and even states that pay teachers much better, or with other science-professions.

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“The very fundamental thing is funding,” Azeem said. “I've taught several hundred physics students, but nobody came back as a teacher because when they do get a masters in science, they get a better job. … Why should they work as a teacher?”

Both districts struggle to retain college-educated graduates amid population losses since 2010. 

“A place like Holmes County, Mississippi, has fewer residents than it did when the Civil War broke out,” Dolan said. “That teachers are not moving there is symptomatic of broader issues about exodus from these communities.” 

The Global Teaching Project helps fill this gap, Dolan said, by providing schools with “turnkey courses,” as well as textbooks and workbooks that students don't have to pay for. And teachers like Swearengen and Azeem are offered stipends for professional development courses. 

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“We are paying our teachers, not the other way around,” Dolan said. “We are providing services to our students. They never pay us a penny. Their parents never pay us a penny. We've never used a dollar of state or local tax dollars.” 

More than 90% of students who take Global Teaching Project's classes go to college, though Dolan couldn't provide the exact number, he said, due to limitations collecting data from public schools. But when students get to college, they are prepared, he said. 

“Where we make a difference, and here I am confident, is where they go to college, how well they do in college, how prepared they are in college, their persistence and scholarships,” Dolan said. 

Dolan said he has partial data on pass-rates on the AP national exams for Global Teaching Project students and that the pass-rate for AP Computer Science tends to be higher than AP Physics. A majority of students do not earn a qualifying score for college credit on the exams, which is a three or higher, Dolan said. 

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“By taking this exam, you are part of an elite group,” Dolan tells his students. 

Both teachers said their classes' exam scores aren't as high as they wish due to a myriad of factors. 

In Quitman County, students don't struggle with the curriculum, Swearengen said, because the Global Teaching Project provides tutors from Ivy League schools. It's more about attention: Swearengen said his students tend to miss class for major athletic . Cellphones are another distraction. 

But the biggest struggle, Swearengen said, is technology. His district has limited bandwidth. During end-of-year testing, only so many students can use a computer at one time, he said. Sometimes, all nine of his students have to crowd around one computer.

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That's a huge reason his AP Computer Science pass-rate isn't where Swearengen wants it to be. 

“We have so many students on computers to where the technology person will just shut the entire network off,” he said. 

High school students and teachers gather at Jackson State University for the Global Teaching Project's Advanced STEM Jackson Program earlier this year. Credit: Courtesy Global Teaching Project

Still, Swearengen said the Global Teaching Project has benefited his students in ways that can't be quantified. Through the project, they have an opportunity to experience college-level curriculum and visit campuses like Jackson State University. 

Their self-regard increases, he said. 

“They get to spend a night in a hotel room when they've never been,” he said. “They get to go to conferences and eat different food. And about computers. It's just so much. It's a bigger picture than I think anybody could have imagined.” 

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That was Demeria Moore's experience when, as a junior and senior at McAdams Attendance Center in Attala County, she took AP Physics and AP Computer Science, the latter course she was able to claim college credit for at Holmes Community College. 

Though it was lonely to be the only student in the AP Computer Science course, Moore said participating in the class helped her understand the “why” behind the world. 

“When I look out the window and I see the leaves, how they're full of chlorophyll and the sun will allow them to have energy, and how that energy can get transferred to me and that just creates the circle of life,” Moore said. “All those little things have some type of science or math attached to it. It all just blew my mind.” 

Moore said the Global Teaching Project also provided a sense of community at her school where teacher turnover is high. McAdams is a junior-senior high school and, by the time she graduated, all her teachers from seventh grade had left.

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“I had some really good teachers and even the students who may have just maybe caused a few issues in class, even they would listen to these teachers. And I just wish they would have stayed so everybody could have a better learning experience,” she said. 

Dolan said one of the successes of the Global Teaching Project also with irony. His initiative can teachers become AP certified, which can lead them away from high-poverty school districts to ones that can pay better. 

“We recognize there are certain issues that we cannot affect,” Dolan said. “We don't determine who is in the building, but we will serve whoever is there.” 

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

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Crooked Letter Sports Podcast

Podcast: Mississippi Sports Hall of Famer Jay Powell joins the pod to talk baseball.

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Mississippi great Jay Powell won 7 of the World , among many other career highlights and then had his career ended by one of the most gruesome arm injuries in baseball history. Who better to about the alarming rate of pitching injuries in MLB and college baseball than Powell?

Stream all episodes here.


This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

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Mississippi Today

‘Green hydrogen’ company looks to make Mississippi a leader of new renewable venture

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The special geology of Mississippi is again giving the a stab at playing a key role in the energy sector, this time for a burgeoning renewable power source called “green hydrogen.”

The company Hy Stor Energy, founded in 2019, is looking to take advantage of the state's salt domes, which valuable underground pockets for gas storage. Hy Stor will store its hydrogen in different salt domes around the state, Chief Executive Officer Laura Luce said, but will primarily operate in Perry and Smith counties. The company is looking to start production by the end of 2026, she said.

“We're really at the beginning of this green hydrogen revolution,” Luce said. “We really see the next three to 10 years where you're going to have a lot of be brought up and expanded and this industry stood up, and we're confident that Mississippi is going to be the in that industry.”

The technology behind renewable hydrogen has been around for about a century, Luce explained. The energy source materializes through a process called electrolysis, which uses electricity to split water into hydrogen and oxygen. But it wasn't until the last few years that both the United States and the Europe began heavily investing in the technology. As part of the Bipartisan Infrastructure Law passed in 2021, the federal government appropriated $9.5 billion for clean hydrogen .

In a roadmap the U.S. Department of Energy released in 2023, the agency explained that “clean hydrogen,” as it's also referred to, can be a key tool in meeting the country's goal of becoming carbon neutral by 2050. The plan says that clean hydrogen can reduce -wide emissions — targeting sectors like transportation, metal production, and fertilizer — by 10% over the next 30 years.

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Credit: Hy Stor Energy

Last month, the DOE announced up to $500 million in funding for a “green steel” project, which would include producing iron in Perry County using clean hydrogen from Hy Stor. That facility, which would be operated by Swedish company SSAB, would then send the iron to Iowa to be made into steel. While the agency is still negotiating an exact award amount, the DOE projected that the project would create 540 permanent as well as 6,000 construction jobs.

Hy Stor plans to use energy from other renewable sources, like solar and wind, to produce the green hydrogen, Luce said.

“The sun and the wind, even though they're tremendous resources, they're not available 24/7,” she said. “They're available on an intermittent basis. So by taking those and converting them to hydrogen, now I have something that is dispatchable on minutes notice.”

Luce said the “epicenter” of Hy Stor will start out by a salt dome in Richton, near the proposed SSAB facility, with a pipeline connecting down to Port Bienville in southwest Mississippi.

An array of political leaders in the state have backed the project in letters to the DOE, Gov. Tate Reeves, the State Oil and Gas Board, and the Mississippi Public Service Commission.

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Credit: Hy Stor Energy

Even before Hy Stor, Mississippi's geology has opened up the state to a number of energy sector investments. For instance, companies have long used the state's salt domes to store natural gas. Mississippi has also recently positioned itself to become a hub for carbon storage, something that could be especially abundant in states because of the spaces between subsurface rocks.

The cost of the green hydrogen project will be steep, though. Luce said that the first phase of the project will cost over $10 billion, and that Hy Stor will look to enter into 10-, 20- or 30-year agreements with industrial customers to finance the operation. So far, she added, Hy Stor hasn't received any federal or state government funding, but it will look for potential support from the DOE as well as renewable energy tax credits.

As far as who will buy the green hydrogen, Luce said Hy Stor's initial customers in its first years of operations will include plastic, maritime and other transport companies, in addition to the proposed green steel project.

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

Did you miss our previous article…
https://www.biloxinewsevents.com/?p=351719

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