Daviess County Public Schools is proposing a tax rate increase for the 2019-20 year for the first time in three years.
The board of education will vote on the proposed tax levy of 71.5 cents per $100 assessed value on real and personal property during its regular board meeting at 4:30 p.m. Aug. 29 at the board's central office, 1622 Southeastern Parkway. A public hearing will take place at 4:15 p.m. before the meeting.
Last year's tax rate was 70.7 cents per $100 assessed value on real and personal property.
For a person with a home valued at $100,000, this means about an $8 per year increase, or about 67 cents per month.
Part of that increase, or 1/10th of a cent, is for state-allowed exonerations, according to Matt Robbins, DCPS superintendent.
"Exonerations normally have to do with valuations by the (property value administrator)," Robbins said.
As an example, he said, if an individual's home is valued at $80,000 and the PVA increased that value to $100,000, the homeowner can appeal that assessment. If the PVA then lowers the assessment, that exoneration covers that difference, or the loss, Robbins said.
This new tax rate will bring in an additional $1.9 million in revenue, which DCPS Director of Finance Sara Harley said will go toward a 1% pay increase for district employees, and the 12% increase in retirement costs.
Harley also said the district received a $983,000 decrease in funding from the state, so the tax revenue will go toward that differential.
"The last few years we have essentially kept our rates the same and just taken exonerations," Harley said. "This is the first time in three years that we have increased our rate at all."
The board last raised taxes in 2016 when it approved a third nickel tax in order to build a new Daviess County Middle School and to renovate the current Apollo High School.
Robbins said the board pledged "not to raise taxes for a year," which it then extended to three years.
In the legal notice placed in Tuesday's Messenger-Inquirer, DCPS indicated the proposed 2019-20 tax rate is expected to generate $39,544,509. Of this amount, $5,646,889 is from new and personal property.
Bobbie Hayse, firstname.lastname@example.org, 270-691-7315.