Richland School District

Transcription

1 Richland School District April 5, 2016 Referendum Ballot and Cost Impact Presentation Presented by: Carol Wirth, President 1020 N. Broadway, Suite G-9 Milwaukee, WI Phone 414/

2 Question 1 Ballot Language Recurring Operational Technology Shall the Richland School District, Richland County, Wisconsin, be authorized to exceed the revenue limit specified in Section , Wisconsin Statutes, for the school year and thereafter by $475,000, for recurring technology purposes? YES NO 2

3 Understanding Question 1 Not a referendum to borrow money - Not debt Operational referendum asks voters for permission to exceed the Revenue Limit Recurring means on-going o Referendum amount remains in base revenue limit calculation Revenue Limit is a State law (Wis Stats ) limits revenue for operating budget o Limits amount of revenue District receives from Property Taxes and State Aid o Limit is calculated each year - student enrollment and State Budget revisions o Permission to exceed limit requires voter approval 3

4 State Aid Formula State Aid is Property Tax Relief Not Additional Revenue State Aid Budget o Receives 63% of last year s operating and debt expenses. o Formula is divided into three tiers with different funding percentages. o District s second tier expenses currently funded at 62.%. o 2016 Referendum questions eligible for aid in second tier. State Aid Referendum Questions o Operational referendum tax levy and Building referendum P & I are eligible for aid o Additional aid conservatively projected at 60% o State aid received in year after expense is paid - reduces tax impact o State aids are not guaranteed - subject to State s biennial budget 4

5 Understanding The Needs of Question 1 $475,000 per year would be used to pay technology operating expenses: o 1:1 Devices at Middle School and High School o Tablets for Science Innovation Project o Learning Management System o Necessary Staff Computer Replacement o Computer Technician Position o Mobile Device Management Software o Internet Content Filtering Software o Necessary Student Computer Lab Replacement o Educational Software and Apps o Other Educational Technology (Interactive Boards, 3D Printers, Etc.) o Technology Integrator Position o Technology Professional Development o Student Information System Software o Maintenance Operational Software 5

6 Understanding The Tax Impact for Question 1 Tax Increase is for Referendum Question - Not District s Entire Operating Budget Stated as a Tax Rate per $1,000 of Equalized (Fair Market) Value 1 st Year Impact Begins - December 2016 Tax Bill $475,000 Tax Levy / 2015 District Equalized Value ($602,139,978) = $0.79 per $1,000 2 nd Year Impact - December 2017 and Thereafter State Aid Received (Approx. 60%) Reduces Tax Impact $475,000 - $285,000 = $190,000 / 2015 District Equalized Value = $0.31 per $1,000 Example: $0.79 Tax Rate X $100,000 Property Value = $79 Taxes $0.31 Tax Rate X $100,000 Property Value = $31 Taxes 6

7 Question 2 Ballot Language Site Safety & Security Shall the Richland School District, Richland County, Wisconsin be authorized to issue pursuant to Chapter 67 of the Wisconsin Statutes, general obligation bonds in an amount not to exceed $3,470,000 for the public purpose of paying the cost of a school safety and security improvement program at district buildings and grounds consisting of: renovations and additions for secure entrances and other safety and security improvements; parking and traffic flow upgrades and site work; and acquiring furnishings, fixtures and equipment? YES NO 7

8 Understanding The Needs of Question 2 $3,470,000 borrowed to pay the cost of Site Safety and Security: o Redesigned entry providing direct line of sight for improved safety at all buildings o Parking lot and traffic flow safety o Handicap accessibility improvements at Jefferson and Lincoln o Improvements for nursing facilities at Doudna, Jefferson and Lincoln o Secure Entrances at High School, Middle School, Doudna, Jefferson, Lincoln and District Office o Site safety improvements at High School and District Office 8

9 Question 3 Ballot Language Building Maintenance & Improvements Shall the Richland School District, Richland County, Wisconsin be authorized to issue pursuant to Chapter 67 of the Wisconsin Statutes, general obligation bonds in an amount not to exceed $5,260,000 for the public purpose of paying the cost of a school capital maintenance improvement program at district buildings and grounds consisting of: roof replacement; parking lot improvements; window, door and locker replacement; safety, phone and technology system upgrades; HVAC improvements; track replacement; site improvements; and acquiring furnishings, fixtures and equipment? YES NO 9

10 Understanding The Needs of Question 3 $5,260,000 borrowed to pay the cost of Building Maintenance and Improvements: o High School: Refurbish Roofing, Parking Lot/Drives, Clock/Pager/PA, Greenhouse Repair/Replacement, Window Replacement, Boys Athletic/Phys Ed Lockers o Middle School: Clock/Pager/PA, Roof Replacement, Fire Alarm, Replace Classroom Cabinet, Parking Lots/Drives Blacktop Work o Doudna Elementary: Add Air Conditioning, Fire Alarm, Clock/Pager/Pa, Roof Replacement, Sealcoat to Parking Lot, Enhance Outdoor Playground Area o Jefferson Elementary: New Countertops and Cabinets, Add Air Conditioning, Fire Alarm, Blacktop, Clock/PA, Site Concrete and Ramp to Playground, Enhance Outdoor Playground Area o Lincoln: Lockers, Replace Classroom Casework and Countertops, Fire Alarm, Clock/PA, Roof Replacement, Two Exterior Ramp and Stairs, New Entry Doors by Gym o Rockbridge: Roof Replacement, Blacktop o Athletic Complex: Track Replacement o District: District Phone System Upgrades 10

11 Understanding Questions 2 & 3 Referendum Question 2 & 3 asks voter permission to o borrow for building improvement /remodeling projects Permission to borrow o o Good for five years Limited to dollar amount in question Borrowed funds o Can only be used for projects (purposes) described in Referendum Question 2 & 3 o Cannot be used for operating expenses Final borrowing terms are locked in after referendum approval o Borrowing may be done in phases o Each borrowing repaid annually o Maximum repayment cannot exceed 20 years o Principal and interest payments eligible for state aid 11

12 Understanding the Tax Impact for Questions 2 & 3 Tax Increase is for Referendum Question - Not District s Entire Operating Budget Stated as a Tax Rate per $1,000 of Equalized (Fair Market) Value Two-Phase Borrowing - Each 20 Years 4.25% Question 2 Question 3 1 st Year Impact Begins - December 2016 Tax Bill Phase One Borrowing $0.08 per $1,000 $0.13 per $1,000 2 nd Year Impact - December 2017 and Thereafter Phase Two Borrowing and State Aid Received (Approx. 60%) Reduces Tax Impact $0.27 per $1,000 $0.42 per $1,000 (State Aid Increases as Borrowing Payments Increase Maintaining a Stable to Reducing Tax Levy Impact) Example: Q 2 - $0.08 Tax Rate X $100,000 Property Value = $ 8 Taxes Q 3 - $0.13 Tax Rate X $100,000 Property Value = $13 Taxes Q 2 - $0.27 Tax Rate X $100,000 Property Value = $27 Taxes Q 3 - $0.42 Tax Rate X $100,000 Property Value = $42 Taxes 12

13 Tax Impact - Questions 1, 2 & 3 Referendum costs are eligible for state aid at approximately 60% State aid is received the year following the expense Chart below demonstrates the net tax impact after state aid Q 1 - $475,000 Technology Q 2 - Site Safety & Security Q 3 - Bldg Maintenance & Improve Combined Questions Budget Recurring State Aid Net $3,470,000 State Aid Net $5,260,000 State Aid Net Net Net Year 60% Tax Rate % Tax Rate % Tax Rate Impact Tax Rate $475, $0.79 $51, $0.08 $76, $0.13 $602,500 $ $475,000 ($285,000) ,019 ($15,300) ,028 ($22,950) , $475,000 (285,000) ,819 (78,660) ,406 (120,020) , $475,000 (285,000) ,037 (145,102) ,181 (220,492) , $475,000 (285,000) ,406 (163,680) ,681 (246,795) , Recurring Ongoing to

14 What if the Referendum Question(s) Do Not Pass? What if Question 1 does not pass? The District s technology initiatives will be greatly impacted. The 1:1 at the middle school is not sustainable without new funds. The high school will not be able to initiate a 1:1 program, hindering our students preparation for the next aspect of their lives, whether that be college, tech school, or the labor force. Refreshing outdated devices and maintaining subscriptions to educational software will continue to drain building budgets. What if Question 2 does not pass? The students at Lincoln and Jefferson will still lack the privacy necessary for medical situations. Individuals entering school buildings will not have limited access to the main part of the buildings before meeting with office personnel, making a less safe environment for students. The traffic flow at Doudna will continue to be dangerous, placing both student and parent safety at risk. What if Question 3 does not pass? The District will try to continue to maintain the facilities the best it can within its legal limitations. The water damage from the leaking roofs will create further issues that will need to be dealt with. Safety concerns will make the track unusable. The scope of the project improvements will grow and the cost to fix the problems will continue to rise until the projects can be dealt with. 14

15 Tax Bill See Reverse, Use Value Assessment Village / Town County School District State Vocational 15

16 Calculating 2016 Referendum Questions Tax Impact Equalized Value Refer to Individual Tax Bill to Calculate Tax Impact Use Fair Market Value (Equalized Value) shown on tax bill Step 1: Divide Fair Market Property Value by $1,000 = Step 1 Result Example: $100,000 Value / $1,000 = $100 Step 2: Take Step 1 Result and Multiply by Tax Rate ($0.79 Q1) = Tax Increase Example: $100 x $0.79 = $79 Tax Increase 16

17 Calculating 2016 Referendum Questions Tax Impact Use Value Assessment Refer to Individual Tax Bill to Calculate Tax Impact For Use Value Assessment Property use Assessed Value Step 1: Assessed Value Divided by Assessment Ratio = Step 1 Result Example: $100,000 Value / * = $99,805 Step 2: Divide Step 1 Result Property Value by $1,000 = Step 2 Result Example: $99,805 Value / $1,000 = $99.80 Step 3: Take Step 2 Result and Multiply by Tax Rate ($0.79 Q1) = Tax Increase Example: $99.80 x $0.79 = $78.84 Tax Increase *City of Richland Center 2015 Assessment Ratio 17

18 Property Tax Examples Question 1 Question 2 Question 3 Combined Questions Property Value Tax Rate Taxes Tax Rate Taxes Tax Rate Taxes Tax Rate Taxes $ 90,000 $0.79 $ $0.08 $ 7.20 $0.13 $11.70 $1.00 $ , , , , ,

19 What Affects My Tax Bill? 1. Tax Levy Each taxing jurisdiction levies a tax. 2. Apportionment Used by school districts, counties, vocational districts, and the state to apportion their tax levies among local municipalities using Equalized Value ( Fair Market Value ) of each municipality in district. Equalized Value is calculated by the Department of Revenue, not local assessors. 3. Local Apportionment Assessed Value of each class of property in municipality (residential, commercial, manufacturing, agricultural, undeveloped, agricultural forest, productive forest land, other) is determined by local assessor. Assessed values are used to distribute all taxes among individual property owners. 4. School Levy Credit Allocated by Department of Revenue to municipalities each November based on share of statewide school levies for school purposes for previous three years. 19

20 School District Taxes Paid by Each Municipality Located in District School district taxes are divided first: amongst each municipality located within the district, based on their percentage of fair market ( equalized ) property value (determined by the Dept. of Revenue) in the district - apportionment. Then, each municipality spreads out these taxes on the basis of assessed value of property located within the municipality. Below is the apportionment of the Richland School District tax levy. Tax Apportionment Percent of S/D in Amount of Tax Levy Municipality Equalized Value Municipality For Municipality C. Richland Center $229,131, % $2,093,754 T. Akan 27,640, ,578 T. Bloom 8,281, ,678 T. Buena Vista 42,125, ,938 T. Dayton 47,283, ,066 T. Eagle 7,930, ,467 T. Henrietta 23,260, ,553 T. Ithaca T. Marshall 40,321, ,451 T. Orion 28,562, ,999 T. Richland 76,926, ,934 T. Richwood 460, ,206 T. Rockbridge 45,951, ,893 T. Sylvan 20,158, ,200 T. Willow 209, ,918 V. Boaz 3,895, ,598 Totals $602,139, % $5,502,233 20