Oct 25 Meeting -- Tentative Tax Levy

The Board Approved the Tentative Tax Levy presented at the meeting. The estimated levy would total $4.37 M, though they expect to get $4.01M. This is up from $3.56 M in 2003. The reason is that the District will receive only what the tax caps will allow, not what is asked for. Supt. Hill also said that he expects the levy from New Construction will increase, because the medical building on Route 14 was only partially complete when the estimates were done, and it is now complete.

Supt. Hill warned that the District only received 25% of its tax revenue in June, instead of the 50% it expected, because of the provisional ballots used in the last election. Provisional ballots are held for two weeks after an election, and are counted when voter registration is confirmed. Because of this two week delay, some tax revenue was also delayed. With the first 2005 election occurring in April, there is a chance that no tax dollars will be available to the District in June of 2005. So, Mr. Hill cautioned, monthly spreadsheets may not look very healthy next June, even though the money is coming, as the District waits for tax dollars to arrive.

Board Member Bob Nunamaker brought up the tax caps and asked if the caps would prevent the District from being able to access any funds. Supt. Hill said that the District will be able to access the funds, because the voters approved an increase in the cap rate with the approval of the referendum. Bob then noted that this will be true for 2 years, and then the tax caps will be tied again to the CPI (Consumer Price Index), which will prevent the District from accessing some funds. For this reason, Bob said, we should be sure to save now, rather than spend all of the increased funds.

Supt. Hill agreed, saying that we need to keep fiscal discipline, and avoid deficit spending. He also noted his feeling that HB 750, the school funding reform legislation now pending in Springfield, will likely not pass. But, he said, it will serve to start the conversation on school funding reform.

The Board approved the tax levy with all Members present voting Aye (Pat Hughes and Kay Laube were not present). The Board also approved a Public Hearing for this, which will take place during the Dec. 16th Board Meeting. Please make a note to attend if you are at all able to do so!