State spending on public schools is in line for a $30 million increase under Gov. Otter's proposed budget for next year. Public schools chief Tom Luna wanted at least $60 million of a projected state surplus to go toward public education in the fiscal year that starts July 1.

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But Otter proposed on Monday a $31.6 million bump in state general funding for public schools. Otter would make up the other half with $26 million in lump sum pay raises that would be pegged to the state meeting revenue targets. It's not everything he wanted but Luna says he'll take it.

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