Schools Count On Funding Districts Hope For Voters’ Support In Tuesday’s Levy, Bond Elections

Thu., Feb. 1, 1996

Marny Lombard Staff Writer

Spokane Valley school districts are asking voters on Feb. 6 to open their wallets for maintenance and operations levies.

The fact sheets each district puts out on its levy mention various programs. But all of the districts want levies passed for the same reason: They count on this money for a significant portion of their general budgets. The levies cover two years and would replace the levies that voters approved two years ago.

Central Valley is asking its voters to approve a $19.5 million two-year levy. If the levy is approved, the tax rate would be $4.28 per $1,000 of assessed property value in 1997 and $3.67 in 1998. That means the owner of a $100,000 home would pay $428 the first year and $367 the second.

Central Valley has in the past collected the maximum 24 percent levy allowed by state law. In 1998, that maximum amount drops to 20 percent under state law.

Also on Central Valley’s ballot will be a $23.28 million construction bond.

The tax rate for that bond alone would be 45 cents per $1,000 of property value. Added to the underlying bond payment of $1.25 per $1,000 of property value for earlier bond issues, Central Valley’s bond tax rate would be $1.70 per $1,000. That means the owner of a $100,000 home would pay $170 on bonds in 1997.

Central Valley’s total tax rate, combining levy and bond payments, would be $5.98 in 1997 and $5.37 in 1998. The owner of a $100,000 home would pay $598 the first year and $537 the second year.

Central Valley needs 6,294 voters to validate this election. Sixty percent approval is required to pass.

West Valley is asking voters to OK a $7.5 million two-year levy. The rate would be $4.91 per $1,000 of property value in 1997 and $4.06 in 1998. The owner of a $100,000 home would pay $491 the first year and $406 the second.

West Valley’s request represents a 28 percent levy in 1997 and 24 percent in 1998. The district was grandfathered in at 24 percent when the state capped local school levies.

That is a higher percentage than other Valley districts. However, West Valley is unusual among Valley school districts for another reason. It asks for all money needed for operations, regardless of the chance for state levy assistance. Then, if state money comes through, that tax rate is actually reduced.

Voters in West Valley also will face a $4.2 million bond issue on Feb. 6.

In 1997, that bond would cost voters 45 cents per $1,000 of property value. Voters also will pay $1.64 per $1,000 for the bond they passed in 1987. That would make for a combined bond tax rate in 1997 of $2.09 per $1,000, or a $209 tax bill for the owner of a $100,000 home.

If voters pass both levy and bond, their total school tax rate in 1997 will be $7.02 per $1,000 of property value. The owner of a $100,000 home would pay $702. In 1998, that payment would drop to $598. Anticipated state levy equalization money actually would lower both year’s tax rates.

West Valley needs 1,815 voters to validate its election and 60 percent approval to pass.

East Valley is asking voters to approve an $8.98 million two-year levy. The levy rate would be $4.26 per $1,000 of assessed property value in 1997 and $4.05 in 1998. The owner of a $100,000 home would pay $426 the first year and $405 the second.

East Valley is also asking voters to approve an $11.97 million construction bond that would be paid off over 12 years. Several bonds are still being paid off, but at decreasing rates so that, in combination with growth in the district, that tax rate would remain nearly steady.

If voters pass both the bond and levy for East Valley, their total tax rate will not increase. However, rising property values mean that most homeowners would see their total tax bill go up if they approve school bonds and levies.

The tax rate solely for this East Valley bond would be 38 cents per $1,000 in property value in 1997 and 50 cents per $1,000 in 1998. Each year, because of adjustments to payments on earlier bonds, the rate for all East Valley bonds would be $2.27 per $1,000. That’s a $227 payment for the owner of a $100,000 home.

Combine the bond and levy, and East Valley homeowners have a 1997 tax rate of $6.53 per $1,000, or a payment of $653 for a $100,000 home. That combined rate is actually lower than the 1995 rate of $6.76 per $1,000.

East Valley needs 1,849 voters to validate the election and 60 percent approval for the bond or levy to pass.

Freeman voters will have a $1.36 million two-year levy on their ballot. That represents a levy rate of $4.19 per $1,000 in property value in 1997 and a $4.12 in 1998. The owner of a $100,000 house would pay $419 the first year and $412 the second.

Freeman needs 489 voters to validate the election and 60 percent approval to pass.

Liberty is asking voters to approve a $1.46 million two-year levy. The rate would be $3.65 per $1,000 of property value in 1997 and $3.79 in 1998. The owner of a $100,000 house would pay $365 the first year and $379 the second.

Liberty needs 616 votes to validate and 60 percent approval to pass.

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MEMO: This sidebar appeared with the story: School-funding terms Here are definitions for some terms that have to do with schools and taxes. Levies - Formally known as maintenance and operations levies, these local taxes add to state and federal money to make up the general operating fund for each school district. Bonds - This type of tax is used to pay for new construction or renovation of schools. Generally, bonds are paid off over 10 to 20 years. Voters usually pay a varying amount on a bond each year. Tax rate - This figure is always expressed in terms of dollars per $1,000 in assessed property value. School districts sometimes emphasize that their tax rate is remaining steady. This doesn’t mean your taxes won’t go up. If property values are rising, as they are in Spokane County, a homeowner will pay more taxes, even with a steady tax rate. Levy lid - The state allows school districts to collect a certain percentage of their operating money from taxpayers. That figure has been 24 percent, but the state has lowered it to 20 percent, effective 1998. That’s why taxpayers will pay more for levies in 1997 than in 1998. Rollback - This is a decrease in the levy tax rate. A few school districts figure the amount they need for their levy without assuming the state will add extra money called levy equalization funds. When the state does award that money, these districts announce a rollback. Validate - Under state law, school levy and bond elections aren’t valid unless at least 40 percent of the voters who voted in the previous November election come to the polls. All three Valley districts recently have had bond elections fail because the voter turnout failed to reach 40 percent. Marny Lombard

This sidebar appeared with the story: School-funding terms Here are definitions for some terms that have to do with schools and taxes. Levies - Formally known as maintenance and operations levies, these local taxes add to state and federal money to make up the general operating fund for each school district. Bonds - This type of tax is used to pay for new construction or renovation of schools. Generally, bonds are paid off over 10 to 20 years. Voters usually pay a varying amount on a bond each year. Tax rate - This figure is always expressed in terms of dollars per $1,000 in assessed property value. School districts sometimes emphasize that their tax rate is remaining steady. This doesn’t mean your taxes won’t go up. If property values are rising, as they are in Spokane County, a homeowner will pay more taxes, even with a steady tax rate. Levy lid - The state allows school districts to collect a certain percentage of their operating money from taxpayers. That figure has been 24 percent, but the state has lowered it to 20 percent, effective 1998. That’s why taxpayers will pay more for levies in 1997 than in 1998. Rollback - This is a decrease in the levy tax rate. A few school districts figure the amount they need for their levy without assuming the state will add extra money called levy equalization funds. When the state does award that money, these districts announce a rollback. Validate - Under state law, school levy and bond elections aren’t valid unless at least 40 percent of the voters who voted in the previous November election come to the polls. All three Valley districts recently have had bond elections fail because the voter turnout failed to reach 40 percent. Marny Lombard