State aid drop causes Dist. 20 tax increase
Higher tax bill likely, especially for property owners with increased valuations.
A substantial rise in property valuation in District 20 means school patrons have the means to pay more to support education.
At least that’s how the state-aid formula works, according to superintendent Mike Teahon.
Because of the formula and a 9% increase in district property values, District 20 will receive $566,413 less in state aid in the coming budget year.The proposed 2011-12 budget calls for a spending increase of $479,254.
That budget is 2.4% over 2010-11 expenditures which, because of the drop in state aid, will require an increase of 9.4% in the property tax request.
What that means for property owners is that a tax payment on a $100,000 home, which was $1,194 last year, will increase $1 this year if property valuation remains the same.
The difference will be more substantial for owners of properties that have increased in value.
Complicating the budget process is a change in state-mandated accounting.
Teahon said $1.2 million in unused budget authority, that the district previously managed outside of the budget, is now included in the budget.
Unused budget authority is authority districts can use to increase their budgets if needed.
That accounts for the proposed $10.8 million budget which is actually $8.8 million in expenditures.
Within the proposed budget, Teahon said no big projects are scheduled for the 2011-12 school year although money in the special building fund will be used to help pay for part of $1.1 million in Community Building improvements.
Teahon said special building funds in the current budget will also be used, noting that final numbers are not yet available.
School board members, who crafted the budget with Teahon’s help, will have a public hearing on the budget and tax request at 7 p.m. on Monday, Sept. 12 in the board room.
A more detailed budget can be reviewed in the superintendent’s office.
- Two Swedes in winner’s circle
- Cozad contains Swedes in rivalry game
- Swedes fail to sweep Chase County
- New county leadership
- Eagles fly high after 1-1 weekend
- Gasoline prices catching up with drop in crude oil prices
- Lecturer says genetically engineered animals could ease world hunger
- Peterson: Movie-making in Chicago friendlier atmosphere than in LA, NYC