Increase in state equalization aid offsets tax impact of levy Increase in state equalization aid offsets tax impact of levy Increase in state equalization aid offsets tax impact of levy Overall tax increase next year would be $56 on the average-­‐value home Overall tax increase next year would be $56 on the average-­‐value home At its September 23 meeting, the District 196 School Board approved a preliminary property tax levy At its September 23 meeting, the District 196 School Board approved a preliminary property tax levy for payable 2014 taxes that is $5.6 million (7.6 percent) less than the current year’s levy. This large tax for payable 2014 taxes that is $5.6 million (7.6 percent) less than the current year’s levy. This large tax decrease is the result of additional equalization aid the district is receiving from the state as part of the decrease is the result of additional equalization aid the district is receiving from the state as part of the 2013 Omnibus Education Bill. Equalization aid is intended to help equalize the cost of local operating 2013 Omnibus Education Bill. Equalization aid is intended to help equalize the cost of local operating levies for school districts like District 196 that do not have a large commercial/industrial tax base. levies for school districts like District 196 that do not have a large commercial/industrial tax base. This increase in state equalization aid would partially offset the tax increase of the proposed operating This increase in state equalization aid would partially offset the tax increase of the proposed operating levy, which is just part of the district’s total tax levy. For the owner of a $225,000 home, the current levy, which is just part of the district’s total tax levy. For the owner of a $225,000 home, the current average in District 196, their total school district taxes would increase by $56 next year, if the levy is average in District 196, their total school district taxes would increase by $56 next year, if the levy is approved (see table). If the levy is not approved, total school district taxes will decrease next year. approved (see table). If the levy is not approved, total school district taxes will decrease next year. Taxable Taxable Market Market Value Value $100,000 $100,000 $150,000 $150,000 $175,000 $175,000 $200,000 $200,000 $225,000* $225,000* $250,000 $250,000 $300,000 $300,000 $400,000 $400,000 $500,000 $500,000 Annual Tax Impact Annual Tax Impact Annual Tax Impact Annual Tax Impact Increase in Total Increase in Total of Proposed of Proposed District Tax Levy from of Proposed of Proposed District Tax Levy from Operating Levy Operating Levy Payable 2013 to Operating Levy Operating Levy Payable 2013 to (Cost of Levy Renewal (Cost of Levy Renewal (Cost of Levy Increase (Cost of Levy Increase Payable 2014 Taxes, Payable 2014 Taxes, Plus Increase) Plus Increase) Portion Only) Portion Only) if Levy is Approved if Levy is Approved $160 $160 $240 $240 $280 $280 $320 $320 $360 $360 $400 $400 $479 $479 $639 $639 $799 $799 $25 $25 $37 $37 $43 $43 $50 $50 $56 $56 $62 $62 $74 $74 $99 $99 $124 $124 $82 $82 $122 $122 $143 $143 $163 $163 $184 $184 $204 $204 $244 $244 $326 $326 $407 $407 * Average-­‐value home in District 196 in 2013. * Average-­‐value home in District 196 in 2013. Remember to VOTE on Tuesday, November 5 Remember to VOTE on Tuesday, November 5 Remember to VOTE on Tuesday, November 5 www.District196.org/Levy2013 • 651-­‐423-­‐7776 www.District196.org/Levy2013 • 651-­‐423-­‐7776 rd rd Prepared and paid for by Independent School District 196 (Rosemount-­‐Apple Valley-­‐Eagan Public Schools), 3455 153 Prepared and paid for by Independent School District 196 (Rosemount-­‐Apple Valley-­‐Eagan Public Schools), 3455 153 St. W., Rosemount, MN 55068. St. W., Rosemount, MN 55068. This publication is not circulated on behalf of any candidate or ballot question. This publication is not circulated on behalf of any candidate or ballot question. Q&A About Our About Our Levy Vote Levy Vote Why is District 196 bringing a levy question to voters? The district is facing a projected $30 million budget shortfall over the next two school years, despite making $34 million in budget adjustments since 2009. Without additional revenue from an increased operating levy, the district will need to make $10 million in budget adjustments for 2014-­‐15 and a projected $20 million more for 2015-­‐16. Why are we just now hearing about the positive impact of the state equalization aid? The school district tax levy is approved by the School Board each September, after the state determines how much the district can levy in each of the separate categories that make up the district’s total tax levy. When the School Board voted in early August to bring a levy vote, they knew the district would be receiving additional state equalization aid as part of legislation approved in the 2013 session. It was only recently, however, that the state provided the district all the information needed to determine the district’s total tax levy for next year (see other side). If the state gave schools more money last session, why is the district asking for a levy increase? The state did invest new dollars toward education this past session, but it did not eliminate the $30 million shortfall in the district’s budget over the next two years. Almost one-­‐third of the additional state funding for education will support new spending to add full-­‐day kindergarten beginning in fall 2014. Increases to general education funding, the largest single source of state aid to support school district operations, are 1.5 percent this year and next year, less than the rate of inflation, as they have been for the past decade. What will be cut if the levy is not approved? A total of $6 million for 2014-­‐15, including increased class sizes at all grades; cuts to Gifted and Talented, Basic Skills and other student-­‐support staffing, and the elimination of 5th grade band, the Developmental Psychology program at the high schools and all 9th grade B-­‐team sports. There would also be a 20 percent increase in fees to participate in high school sports. In addition to making the $6 million in cuts for 2014-­‐15, the district would initiate a community-­‐wide process to identify $20 million more in cuts that are projected to be needed for 2015-­‐16, without additional levy funds. Remember to VOTE on Tuesday, November 5 Remember to VOTE on Tuesday, November 5 www.District196.org/Levy2013 • 651-­‐423-­‐7776 rd Prepared and paid for by Independent School District 196 (Rosemount-­‐Apple Valley-­‐Eagan Public Schools), 3455 153 St. W., Rosemount, MN 55068. This publication is not circulated on behalf of any candidate or ballot question.