Delphos school levy will not raise taxes

Published:  Saturday, October 31, 2009 (3 months, 1 week ago)
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BY NANCY SPENCER
The Delphos Herald
nspencer@delphosherald.com

DELPHOS — Delphos City School District voters will see a 5-year, 1.46-mill current expense operating levy on Tuesday’s ballot.
The levy does not increase property owners’ taxes because if it is passed, school board members will repeal the 2.25-mill Permanent Improvement Levy renewed by voters in May.
The current expense levy will generate approximately $236,684 annually during its life, assuming that the total current tax valuation remains the same throughout the life of the levy, according to certification by the Allen County auditor.
“This is a way to get the district through a difficult economic time without burdening our citizens with additional taxes,” Superintendent Jeff Price said. “The board is comfortable with where our Permanent Improvement Fund stands right now.”
According to Price, the new levy will give the board more flexibility to meet everyday expenses by placing the money in the General Fund versus the Permanent Improvement Fund, which, by law, needs to be spent on items that have at least a 5-year life.
The district’s PI Fund balance is $515,000. PI funds can only be used for items with a life of 5 years or more. Even though the Operating Levy money will go into the General Fund, school board members can choose to put some of it into capital improvements, increasing the PI Fund.
Treasurer Brad Rostorfer has outlined the 5-Year Forecast for the district, which goes into the red at the end of the 2011-12 school year, June 30, 2012.
“Without the passage of the Operating Levy, we will finish this year with a $330,000 balance, 2011 with $136,000 and 2012 in the red,” Rostorfer said. “With the Operating Levy, our balances will be approximately $440,000 this year, $482,000 in 2011 and $492,000 in 2012.”
Without the levy, the negative balance in 2012 would call for $200,000 in more cuts to staff and other areas..
The carry-over balance at the end of each school year has become more important to the district as state funding becomes more questionable.
“We hope for better days ahead,” Price said. “We hope for a better 2010 state budget and a better national budget. But for now, we feel this is a good way to get more money into our general fund without asking the taxpayers for more money or removing anything from our curriculum, harming students.”

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