Warren Co. school board votes to raise property taxes; vice chairman says he voted yes to make up for lawmakers' forgotten responsibility to Kentucky's students
Bowling Green Daily News, Sept. 13, 2017
County schools raise property tax in face of budget cuts, pension costs
AARON MUDD
Property owners in the Warren County Public Schools district will see tax bills increase this year, following a unanimous but reluctant decision by the school board to raise the district's rate by nearly a penny.
Citing imminent budget cuts this year and a 50 percent increase in County Employee Retirement System contributions next fiscal year, board members explained their votes to increase the tax rate from 44 cents to 44.9 cents per $100 of real and personal property value. Board members said the decision is part of their commitment to supporting students and staff.
“I’m mad as all get out,” said vice chairman Garry Chaffin, who explained his yes vote as a way to make up for lawmakers’ forgotten responsibility to Kentucky’s students.
Chaffin said school districts have had to contribute more to CERS, a state-administered system, all while enduring repeated cuts year after year.
“Somewhere we’ve lost our commitment to the kids of our state,” Chaffin said. “We’ve forgot that at the state level. That we made that commitment to these kids, and we’re trying to push the responsibility off on somebody else.”
School district officials are reeling from news last week that Gov. Matt Bevin's adminstration has called for a 17.4 percent cut in most state agencies to tackle a $200 million budget shortfall. That would require Education Commissioner Stephen Pruitt and the Kentucky Department of Education to cut $69 million for the current fiscal year.
Although school’s primary funding through the Support Education Excellence in Kentucky program could remain untouched, WCPS Chief Financial Officer Chris McIntyre said it could still be painful for schools.
“To my knowledge, he has very few options,” McIntyre said during a board presentation outlining how much money the district could lose.
McIntyre said what the department has done in the past is reduce grants through the Flex Focus Fund, which finances professional development, extended school services, preschool and instructional resources and school safety efforts. Those funds amount to about $3.6 million for the district.
“So in a nutshell, if we took our hit, it could potentially eliminate $1.4 million of our Flex Focus Funds,” he said.
The proposed budget cuts also follows news that, beginning next fiscal year, school districts will have to contribute 28.86 percent of employees’ salaries who retire through CERS. That’s up from 19.18 percent this fiscal year. The change applies to nonhazardous workers in the district, and McIntyre said it means an additional $1.6 million cost.
The tax increase is expected to bring in about $1 million in revenue. A person who owns a $200,000 home would pay an additional $18 in property taxes versus the previous rate. The motor vehicle tax is remaining the same at 54.5 cents.
No one spoke against the tax increase at a 15-minute public hearing before the meeting began.
After the increase passed unanimously, board members explained their votes.
Board chairman Kerry Young said public schools are heavily scrutinized, unlike other state agencies.
“You have to do what’s best (for) the students and the staff,” he said.
Board member Don Basham also said he wants what’s best for students.
“For all the things that we get through the government, you have to pay for them, and the costs just keep going up,” he said.
Board member Becky Evans said the choice to increase taxes is never easy, but “it is an investment in our future.”
“We are one of the lowest in the state,” for property tax rates, Evans said. “We owe it to our community. We owe it to our kids.”
Board member Amy Duvall said she didn’t want to blame Kentucky’s lawmakers because she believes they want to be financially responsible. She said she hopes public schools are more of a priority going forward.
“There really is nothing more important than the future of our students,” she said.