July 23, 2014 at 2:10 p.m.

School rate increase may be smaller (8/9/05)

Officials expect tax rate to fall from advertised level

By By Mike Snyder-

Later this week, the Jay School Corporation will advertise a 2006 budget with requests of more than $30 million and a tax rate which increased more than 25 percent.

But that rate is expected to increase by a much smaller percentage by the time the budget is reviewed and gains final approval from state officials. A public hearing on the budget will be held Monday, Aug. 22.

Members of the Jay School Board Monday gave permission to advertise the budget. Major changes included big hikes in the debt service fund in anticipation of the planned $18 million renovation at Jay County High School, and in the bus replacement fund as the corporation plans to purchase six new buses in the coming year.

The advertised tax rate of $2.04 per $100 assessed valuation is certain to drop at least 14 cents, and likely more, Brad DeRome, business manager/treasurer for the corporation, said Monday night.

DeRome said that preliminary figures had predicted the county’s total assessed valuation, or total worth of taxable property and real estate, would drop to $698 million from $798 million. That figure, DeRome and county auditor Freda Corwin said Monday, will likely be about $748 million.

The tax rate for this year is $1.62 per $100 of assessed valuation. DeRome said the advertised rate of $2.04 could be cut as much as 20 to 35 cents, leaving an increase of 15 to 30 cents from the current year.

The assessed valuation, which traditionally grows at a steady pace, is taking a hit next year because of the elimination of the county inventory tax. The elimination of that tax was approved several years ago by state legislators.

Also affecting the total value for the county was a reduction in the maximum assessment for farm ground. That cap was dropped to $880 per acre, down from a current maximum value of $1,100 per acre.

The elimination of the inventory tax and the reduction in farm ground assessed value will have the effect of shifting more of the burden to residential property taxpayers, along with commercial and industrial entities.

Approximately 67 percent, or about $20 million, of the Jay School Corporation’s 2006 budget will come from state funding, leaving about $10 million to be generated from local property taxes. The school portion of property taxes in Jay County makes up the biggest percentage of the total bill, which may also include rates for cities, towns, townships, the county and libraries.

The renovation project at JCHS, which is scheduled to begin next spring, will nearly double the corporation’s debt service fund to a total of $1.9 million. The bulk of that amount, $1.5 million, is being budgeted to pay off the bonds that will be issued for the project.

Of the seven property tax funds for the corporation, the general fund is by far the largest. The advertised budget amount for the general fund will be $22.8 million, a 2.6 percent increase over the 2005 budget amount of $22.2 million.

Approximately 91 percent of the general fund budget goes to pay salaries and benefits of teachers, administrators and support staff.

DeRome, who gave a 30-minute presentation on the budget process and the proposed budget, said that it shows a projected surplus of about $10,000 for next year.

“We feel like it’s a very conservative budget ... We’re going to be in the black,” he said.

DeRome said the corporation’s cash balance, or operating reserve, is about $2.5 million. The corporation had a cash reserve of about $4.5 million in 1997, but that reserve dwindled through several consecutive years of deficit spending.

Several board members raised questions during the budget discussion, but the issue generating the most interest was in regards to the capital projects fund.

Several board members, including Bryan Alexander and board president Doug Inman, said they wanted to begin thinking about how to pay for a program center, or second gymnasium, that was eliminated from the JCHS renovation project in an effort to trim costs.

The center, which could be used for sports and a variety of other extra-curricular activities, could cost $3 million to $4 million.

The proposed capital projects budget for 2006, which totals about $3 million, includes $80,000 to be set aside for the new program center.

“It’s clear to me (the center project) is not a priority,” said Alexander. “I’d like to see this thing funded in the next couple years ... I will not vote for this budget in its current form,” said Alexander, who did vote to allow the budget to be advertised.

Inman, who along with several other board voiced support for what proved to be the most controversial portion of the project that will be funded by bonds, said “I would like to see the future facility budgeted much more quickly ... We have this budget and the next to make it happen.

“We don’t want to do a pole building, but we don’t need the Taj Mahal, either,” he said.

DeRome, who told the board that the rate for the capital projects fund is likely to be trimmed from its current rate of 41 cents down to about 36 cents, said that in order to fund the program center other planned projects would have to be trimmed or cut.

“It’s certainly going to be a challenge to set aside a lot of money in a hurry,” DeRome said.

Board member Mike Shannon said he agreed with the conservative approach taken in the 2006 budget given increased scrutiny recently of building project by state officials.

Jay Schools superintendent Barbara Downing gave the board a brief update on the pending JCHS renovation, reminding them that the deadline for filing a remonstrance petition had passed on July 29.

Construction is expected to take about 18 months, with completion tentatively scheduled for August 2007.

About 60 percent of the $18 million cost will be for the heating and cooling system. The project will also include a renovation of the JCHS pool.[[In-content Ad]]At least one time each school day, classrooms in the Jay School Corporation will be quiet.

A change in state law has created a mandatory moment of silence in schools around the state.

Members of the Jay School Board adopted policies regarding that moment of silence and the daily recitation of the Pledge of Allegiance to the United States Flag on Monday.

Jay School Corporation superintendent Barbara Downing said that the moment of silence will be held immediately following the Pledge of Allegiance. A moment of silence will also be observed at the start of afternoon kindergarten classes.

The vote adopting the new policies was 7-0.

“I think everyone should be allowed to worship in their own way,” board president Doug Inman said this morning.

The policy on the moment of silence states that each teacher shall make sure all students remain silent during the period, when each student may “meditate, pray, or engage in any other silent activity that does not interfere with, distract or impede another student.”

The policy also prohibits students from praying out loud.

“Building principals and teachers must not allow or tolerate coercion ... by anyone to force other students to engage in or refrain from prayer or any other permitted activity,” the policy states.

The policy on the pledge says that any student who does not wish to participate may do so. Parents may also request that their child not participate.

In other business Monday, board members Jay Halstead, Mike Masters, Greg Wellman, Dr. Frank Vormohr, Bryan Alexander, Mike Shannon and Inman:

•Approved the resignation of Deb Banta, secretary for the transportation department.

•Hired five teachers and a part-time athletic trainer. Teachers hired were Timothy Hower, math, JCHS; Joni Aulbach, math, JCHS; Cheryl Guise, assistant band director at JCHS and music teacher at JCHS, West Jay Middle School and several elementary schools; Lisa McShane, speech and hearing; and Jan Rittenhouse, part-time music teacher, JCHS. Also hired was Rita Bollenbacher as a part-time athletic trainer.

•Granted a medical leave request to Sarona Fullenkamp, a secretary at East Elementary School.

•Accepted three extra-curricular resignations for Mike Crull, who was recently named principal at West Jay Middle School. Crull formerly was a seventh grade team leader at the school and was sponsor of the school’s honor society and yearbook programs.

•Approved the following coaching positions: Leslie Bantz, varsity cross country, JCHS; Tony Minch, assistant football, JCHS; Ryan Younts, freshman football, JCHS; Erich Zielinski, volunteer football, JCHS; Ron Fuller, cross country, WJMS; and Michael Hunt, assistant football, East Jay Middle School.
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