FOR IMMEDIATE RELEASE
______________________________________________________________________________
DATE: July 1, 2016
FROM: Dr. Andrea van der Laan
Superintendent of Schools
Buchanan Community Schools
269-695-8401
RE: August 2nd election information
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Non-Homestead Millage Renewal
What is the issue?On August 2, 2016, voters in the Buchanan Community School District will be asked to renew the current 18.5 mill Non-Homestead millage. This proposal will allow the district to levy the statutory rate of 18 mills on non-homestead properties within the district. Approval or disapproval will NOT result in a change to the taxes you pay on primary residences.
By law, the non-homestead millage is only levied against commercial property, rental property, second homes, and non-agricultural vacant land. This renewal is needed in order for the school district to receive its full revenue from the state. The Non-Homestead millage makes up $2.15 million of the Buchanan Community Schools’ $15.5 million annual budget. If approved, the revenue from this millage will help pay for school programs, supplies, utilities, transportation,maintenance, and staffing. The renewal is for an eight year period.
What does non-homestead mean? Non-homestead represents industrial, commercial and some agricultural property and second homes. It does not include a family’s primary residence.
I thought schools no longer received funding through property taxes so why are we talking about a millage renewal? Funding for school districts changed significantly in 1993/94 when Proposal A was passed by the Michigan voters. Under Proposal A, the State pays the majority of the cost, but to receive full funding, schools must levy taxes locally on non-homestead property in their District.
Is this a new tax? No. This millage was last approved by the voters in 2007. The current millage expires with the 2016 tax levy.
Will my residential school taxes increase too? No. This tax is on non-homestead property and does not apply to your primary place of residence.
What happens if the millage doesn’t pass? The revenue generated from the tax on non-homestead property totals approximately $2.15 million annually. Failure to renew the non-homestead millswould change our state school aid foundation amount from the current $7,391per student to a much lower $6,008 per student. The State will not replace the funding and the Buchanan Community School District will be forced to reduce or eliminate instructional and support programs for our students to offset the reduction of revenue.
How are Michigan school districts funded?Districts receive most of their funding on a per-pupil basis. The amount that a school district receives per pupil is called the Foundation Allowance. The per-pupil Foundation Allowance for the Buchanan Community School District is $7,391. This represents approximately 70% of Buchanan Community School’s revenue and is funded from two sources: 1) local revenue collected on non-homestead property and 2)state revenue.
Why the 18.50 and not just 18 mills? The district is only legally allowed to levy a maximum of 18 mills. We are seeking renewal of the 18.50 mills as a means to protect against any future headlee rollback. In the event of a headlee rollback the district would then still be able to levy the full 18 mills but would never be able to levy more than 18mills.
Where and when can I vote? Voting will take place at the usual and normal location for all general elections. If you do not know your location, please call your city or township clerk. Polls will be open from 7 AM to 8 PM.
Absentee ballot information It’s easy to vote using an Absentee Voter Ballot! You may use this method if you are 60 years or older; unable to vote without assistance at the polls; expecting tobe out of town on election day; unable to attend the polls due to religion;appointed to work as an election inspector in a precinct outside of your voting precinct. You may obtain an Absentee Voter Ballot Application online at
http://www.michigan.gov/sos/0,4670,7-127-1633_8716_8728-21037–,00.html
Other questions?If you have any additional questions about the non-homestead millage renewal election, please contact Dr. Andrea van der Laan, Superintendent or Tricia Gaideski, Business Manager at 269-695-8401.
