“Do we go on in November or do we wait?”
That question regarding a levy attempt by Marysville School Board President Sue Devine was the impetus behind a special meeting called Tuesday.
After the solid defeat of an 8.4-mill, five-year levy in May, many in the community assumed the district would automatically put another issue before voters at the first opportunity, the Nov. 7 general election.
But the special meeting showed that the return to voters was not a forgone conclusion.
“There will be some challenges with going on in November,” Devine said.
District Superintendent Diane Allen said a crowded ballot does not traditionally benefit school levies. On top of a host of candidates seeing re-election in November, the Union County Board of Developmental Disabilities has announced plans to seek a levy. Voters in the city of Marysville will also be asked to decide the fate of a referendum that would overturn a recent annexation along Route 245 that would pave the way for hundreds of new homes to be built.
“Part of it is, quite frankly, strategy,” Allen said.
Complicating matters is the fact that the city, earlier this week, began to kick the tires on the possibility of pursuing an income tax to help fund $50 million in pool, park and trail improvements.
While not definitive, Marysville City Administrator Terry Emery said he did not believe any city measure would coincide with the levy timeline of the schools.
“If the community wants to support these projects, we are likely looking at 2025 at the earliest,” Emery told the Journal-Tribune.
Emery added that he is “very disappointed that this is even a topic.”
Asked if a city tax measure on the horizon was a reason for concern, Allen responded, “There are multiple factors to consider before putting any issue on the ballot. One of those is other community ballot requests. So, we will take all issues into consideration for a November ask.”
Another portion of the ballot also provides a reason for pause, Allen said. The seats of Devine and fellow board member Jermaine Ferguson are up for re-election. At press time, Ferguson has filed to retain his seat and Devine has until Aug. 9 to seek re-election if she chooses to do so.
“In superintendent 101 class they tell you don’t have an issue on when board seats are up,” Allen said.
Allen said with board seats and an issue on the ballot, voters can see the election as an indictment on the entire district, meaning if voters don’t support a particular incumbent or the levy, all three could be voted down instinctively.
Also complicating matters is what Allen called the cultural risk, should the district lose two levies in a year. She said the May loss has already had an impact.
“There is a little gloom hanging over,” Allen said.
The superintendent said the fear is that a second loss in November would have teachers looking for a new home during the spring hiring period.
“We would lose a significant amount of staff in that time,” she said.
But waiting until the May election next year also has problems, being a presidential election year. Voter turnout for the May primary and November general election will be high and many of those voters will have little concern or knowledge about the school issue.
Ferguson said he wasn’t aware skipping the November election was even a consideration. He said he feared a “political messaging” problem should the district skip an election after citing a dire need for funding.
“That has to be a yes (to appearing on the November ballot),” Ferguson said.
Devine agreed.
“If we hold off until May that’s another full year before any new money comes in,” she said.
With the idea that the district needed to be on the ballot in November, the nature of the levy was discussed.
Allen said voter data indicates that a large number of older residents turned out to vote in May. Despite focus groups indicating seniors preferred a property tax over an income tax, that support did not materialize, she said.
“If we don’t change something drastically, we’re going to be wasting a lot of money trying to sell a property tax,” Board member Bill Keck said.
Ferguson said he believes the timing of asking for a property tax increase after a revaluation increase on property values was the big issue for many voters.
“They got a tax bill and then they got a levy,” he said.
Ferguson said for many voters it was simply a matter of trying to tame their ever-climbing bills.
“That (resident) concern about my property taxes keep jumping and jumping,” Ferguson said. “(They’re) getting priced out.”
Ferguson said he liked the idea of offering voters the option of an income tax, which would help diversify the district’s revenue stream.
Asked about what type of income tax would be needed to cover the district financial need, Treasurer Todd Johnson said it would be difficult to determine until the state budget is finalized. At that point the district will know what percentage would be needed. He estimated the amount would be in the range of .5-.75%.
Johnson explained an earned income tax levy is not collected the same way that a city income tax is collected.
While the city collects money from people who live or work in a city, a school income tax is only collected from those who reside in the district.
He also reiterated previous statements that social security and pension payments would not be subject to the tax, which could make the measure more attractive to area seniors.
The board will continue to work on refining the next levy ask as the state budget comes into focus.