INDEPENDENT SCHOOL DISTRICT 196 Rosemount-Apple Valley-Eagan Public Schools LOCAL SCHOOLS LEVY REFERENDUM November 2, 2010 General Election O F F I C IAL N O T I C E AN D I N F O R MAT I O N This notice about the proposed operating levy referendum in Independent School District 196 is being mailed first class to all property owners in the district, as required by Minnesota Statutes Section 126C.17. This law also requires the notice to include certain information which is contained herein. Just the Basics In August, the School Board of Independent School District 196 approved a resolution calling for a local schools levy referendum question to be placed on the ballot in the November 2, 2010 General Election. If approved, this local schools levy referendum question would provide the school district an additional $15 million in local levy authority each year for 10 years, beginning with taxes payable in 2011. These additional local revenues would be used to reduce the impact of expected cuts in state funding for education beginning next year. District 196 has a­ lready made budget adjustments totaling $25 million the past two years and is anticipating the need for more ­significant reductions in the years ahead because of the size of the state budget deficit ($6 billion). The long-term financial health of public schools in Minnesota is dependent on the state, which has responsibility for providing approximately three-fourths of all general fund operating revenues school districts receive. In District 196, the state provides 73 percent of all general fund revenues compared to 20 percent from local property taxes. Local levy referendums are provided for in state law as a way local taxpayers can supplement school district revenues; in this case, to help minimize the impact of anticipated funding cuts from the state. That is the local levy option that the School Board is presenting to voters on the November 2, 2010 General Election ballot. The estimated tax impact of the proposed levy would be $280 per year to the owner of the average-value home in District 196 ($238,541). Additional background information is contained in the remaining pages of this official notice and at www.District196.org/Vote. Educating our students to reach their full potential L O C A L S C H O O L S L E V Y R E F E R E N D U M -- N O V E M B E R 2 , 2 0 1 0 District 196 By the Numbers 1)Fourth largest school district in Minnesota: •152,000 residents (26% under age 18) •53,500 households (41% have preschool or school-age children) •27,500 students (23% students of color; 20% qualify for free or reduced-price school meals) •34 schools (rented 58,980 hours for community use in 2009) •3,600 employees (2,050 teachers and other licensed staff) •$314 million annual operating budget (average-spending district per pupil in the metro area) 2)Student and staff achievements both in and out of the classroom: •District average score of 24.0 on the ACT compared to a Minnesota average score of 22.9, which was highest in the nation •Numerous state and nationally recognized programs in academics (i.e. speech and debate), the arts (i.e. music and stage productions) and athletics (i.e. wrestling) •95% graduation rate 3)Customer satisfaction and community quality measures: •Nearly 9 out of 10 school-age children who live in District 196 attend District 196 schools, an 88% capture rate that is considered among the highest in Minnesota. •81.6% of District 196 residents surveyed in July 2010 gave District 196 schools an overall grade of A or B. That compares to 51% of people nationally who gave their own local schools an A or B grade in response to the same question in a national survey. Residents’ Overall Grade of District 196 B (47.8%) A (33.8%) •Two top 20 cities in Money magazine’s August 2010 list of America’s Best Places to Live (Eagan, 15 and Apple Valley, 20). C (10.3%) D (2.3%) F (0.5%) Unable to evaluate (5.5%) The State Budget Situation 1)The Legislature and governor will be facing a nearly $6 billion deficit by the time they convene the 2011 session in January to determine the state budget for the next two years. 2)Six billion dollars represents nearly one-fifth of the total state budget, more than the state spends annually on higher education, public safety and all of state government combined. 3)The largest single category of spending in the state budget is E-12 education (40%). www.District196.org/Vote 2 November 2, 2010 INDEPENDENT SCHOOL DISTRICT 196 The District’s Financial Situation 1)Receives 73% of general fund revenues from the state, 20% from local property taxes, 3% from federal aid and 4% from other sources such as grants and donations. • T he district will need to establish a budget for the 2011-12 school year before knowing what level of funding the state will provide to support that budget. 2)Already made $25 million in budget adjustments (cuts and new revenue) in last two budgets in response to flat funding from the state (consecutive years of 0% increases) and state-aid shifts (withheld payments from schools). • $ 15 million in cuts this year included 144 jobs, reductions to many academic-support programs and elimination of transportation for after-school activities at all levels. Higher participation fees were implemented for all sports and other student activities. 3)Planning for a 7% cut in state funding for education in 2011 based on the size of the state deficit and the percentage of the state budget that education represents (see opposite page). • T ranslates to the need for another $23 million in budget adjustments for 2011-12, on top of the $25 million the past two years. The Local Levy Option State law gives school boards the option to seek additional operating revenue through local, voter-approved levy referendums, up to a cap of $1,554 per pupil. Ninety percent of Minnesota’s 340 school districts have at least one levy in place and 28 school communities are already at the state cap. District 196 currently receives $1,042 per The Ballot Question pupil from levy questions approved in 2005. The ballot question seeks The $512 per pupil difference between that to increase the district’s amount and the state cap would generate an annual levy authority by additional $15 million in levy authority per an additional $511.83 year, for 10 years. per pupil for 10 years. The amount would • With the Levy – The additional adjust each year by the local revenue would be used to rate of inflation. Passage avoid most of the cuts that would be of this referendum will needed if the state cuts funding for result in an increase in education by 7%. your property taxes (see • Without the Levy – With a 7% state table on back page). The funding cut and no additional local wording and formatting revenue authority, necessary cuts of the sentence at the could include up to 200 more jobs, bottom of the question is reductions to most programs and prescribed by law. elimination of some, and reduced transportation services at all levels. www.District196.org/Vote 3 November 2, 2010 Independent School District 196 Rosemount-Apple Valley-Eagan Public Schools 3455 153rd St. W. Rosemount, MN 55068 Educating our students to reach their full potential Serving Apple Valley, Burnsville, Coates, Eagan, Inver Grove Heights, Lakeville, Rosemount and Empire and Vermilion Townships The Tax Impact Estimated Annual Tax Impact of Levy Increase (tax impact compared to payable 2010 school district taxes) The estimated tax impact would be approximately $280 per year or $5.38 per week on the average-value home in District 196. The figures in the table at right apply to residential homesteads, apartment owners and commercial and industrial property. Agricultural property owners would pay taxes based only on the value of the house, garage and one acre. Taxable market value is determined by the Dakota County Assessor’s Office and is shown on property tax statements. To determine the tax impact for a specific property, use the tax impact calculator available at www.District196.org/Vote. Voting Information Taxable Market Value* $100,000 $150,000 $200,000 $238,541 (district average) $250,000 $300,000 $400,000 $500,000 $1,000,000 Annual Taxes for Referendum Only $117 $176 $235 $280 $294 $352 $470 $587 $1,175 *Market value as determined by Dakota County Assessor’s Office on your proposed property tax statement. Polls will be open from 7 a.m. to 8 p.m. on Tuesday, November 2, 2010. Since this is a General Election, it is being conducted by the cities and townships. A voter must be registered to vote to be eligible to vote in this election. You may register to vote at your polling place on Election Day. To determine where you should vote, go to http://pollfinder.sos.state.mn.us/ or call the Superintendent’s Office at 651-423-7725. To vote by absentee ballot, go to the Secretary of State website at http://www.sos.state.mn.us/index.aspx?page=211 or contact your city or township election office. www.District196.org/Vote 4 November 2, 2010 Prepared and paid for by Independent School District 196 (Rosemount-Apple Valley-Eagan Public Schools). This publication is required by Minnesota Statutes Section 126C.17 and is not circulated on behalf of any candidate or ballot question. 10/5/2010