February 8, 2017
Nokomis School District Communities,
On April 4, 2017, the voters of Montgomery County will be asked to approve a proposal to provide funding to all county school districts through a 1-cent sales increase. The revenue from this sales tax can only be used to maintain and improve school facilities or to make payments on existing bond debt.
The potential funding received by the Nokomis School District will provide the revenue necessary to not only provide for necessary updates to mechanical systems throughout our buildings, but also to provide a means to lower property taxes to pay off bonds form our recent renovations. The future plan for both buildings includes the addition of air conditioning, an updated electrical system, new doors and windows, paint, ceiling tile replacement, boiler replacements and roof replacements. Lastly, security upgrades, roofs, parking lots, and grounds at each facility will be maintained/renovated as needed to ensure our students encounter a safe, secure, and comfortable learning environment at each facility.
The question on the ballot will appear as follows:
“Shall a retailer’s occupation tax and service occupation tax (commonly referred to as a “Sales Tax” be imposed in Montgomery County at a rate of 1% to be used exclusively for school facility purposes?”
The penny increase (or 1%) in the county sales tax will annually generate approximately $362,400 for Nokomis CUSD #22. Approximately 25 - 33% will be applied toward debt abatement (property tax relief) and remaining allocations for facility improvement annually.
The sales tax revenues can be used for:
- New or remodeled school facilities
- Additions and renovations
- Land acquisitions
- Safety and security improvements
- Energy efficiency
- Paying off building bonds
- Architectural planning and engineering
- Durable Equipment
The sales tax revenues cannot be used for operating costs such as:
- Salaries and benefits
- Instructional costs
- Textbooks and computers
- Moveable equipment
- School Buses
- Operating Costs
Unlike many types of sales tax, this specific tax does not tax items that many people think to be essential to families, and especially, senior citizens.
The increased sales tax does not apply to:
- Cars, trucks, ATV’s boats, and RV or mobile homes
- Unprepared food (groceries)
- Medicine including prescriptions drugs and over the counter drugs
- Farm equipment, parts and farm inputs
- If it is not currently taxed, it will not be taxed
The potential success of the County School Facilities Sales Tax in Montgomery County would shorten the time frame to continue in our efforts to make building improvements for a safe and productive learning environment.
In addition to the items mentioned above, a portion of the 2016 bond payments will be covered by the sales tax revenue, lightening the burden placed on property owners. Once the bonds have been paid off, the need to depend on property owners for facility improvements will be greatly diminished.
New information will intermittently be available at the following address:
Dr. Scott E. Doerr