TAX NEWS - JUNE 2010

Florida Tax: Voters may be given choice on school tax

It is not a new tax or a tax increase.

That should be the first thing St. Lucie County voters should understand about the county School Board agreeing to place the tax on a referendum ballot for later this year.

The proposal is to continue a tax already in place. Without that continuation, the district could lose about $4 million annually.

The School Board approved a special tax of 25 cents per $1,000 of assessed property value last year. For a home valued at $200,000 with a $25,000 homestead, it amounts to $37.50 per year. The board intends to pass, by supermajority vote, a second year of the tax.

But to continue the tax for a third year, the board must get approval from voters.

On Nov. 2, voters will be asked to continue the tax, designated for "critical operating needs," for two more years, for fiscal 2012 and 2013, if the School Board gives final authorization.

"The issue is clearly one of finances and insufficient revenue," Superintendent Michael Lannon said.

Because of a reduction in property values in the county and reduced revenue coming from the state, Lannon said, the county is receiving about $27 million less in revenue than it received three years ago.

District officials continue to look for places to cut spending, but a certain amount of revenue still is needed to provide basic education needs and programs required for the county's diverse student population.

Traditionally, St. Lucie voters have supported School District funding proposals when they believed the funding was important for educational progress in the county.

Times are different now, though, and there is strong sentiment in some quarters not only against increased taxes, but calling for a reduction in taxes.

By putting the issue on the ballot, which the School Board must do if it wants to continue the tax, the board again will be gauging public support for education and the way the school system is run.

That's appropriate. While this is not a new tax, it is a tax nonetheless and voters can make their own determination if they think it is worth continuing.