It is with mixed emotions that we advise residents to vote YES on the Oxford Schools? request to increase the non-homestead millage rate by 2.3549 mills.
Mixed because we hate to advocate increasing taxes on our local business community, but the current way the state funds education coupled with the school district’s rising cost of doing business leaves us no choice this time.
You see Michigan allows school districts like Oxford to levy up to 18 mills on non-homestead property ? such as commercial properties, second homes, vacation homes and rental properties ? for operating purposes.
When the state doles out its annual per-pupil foundation grant money to districts, it incorrectly and stupidly assumes the maximum 18 mills is being levied annually and bases its funding accordingly.
However, because of millage rate rollbacks due to the Headlee Amendment, districts cannot legally levy a full 18 mills every year.
Currently, Oxford levies 15.6451 mills on non-homestead property. (The only millage that is not affected by Headlee rollbacks is the 6-mill State Education Tax homeowners pay every summer.)
The result is a widening gap between what the school district actually collects on non-homestead property and what the state gives the district based on its false 18-mill assumption.
Something definitely needs to be fixed at the state level. Unfortunately, there’s nothing that can be done at the local level to remedy this funding error.
Add to this gap is the fact Oxford Schools are facing rising health insurance costs, rising employee salaries due to contractual obligations, an increased mandated contribution to the state-run retirement system for school employees and rising gas costs to heat school buildings.
All this has led to a projected $3.5 million deficit for the 2005-06 school year and two plans calling for significant cuts to balance the budget.
Plan A calls for nearly $600,000 in cuts if the millage passes. Plan B outlines nearly $1.3 million in cuts if the millage fails.
No matter what, cuts must occur, according to school officials. It’s basically a choice between the lesser of two evils.
Since many of these cuts directly affect students, we would obviously prefer to see the millage passed and Plan A implemented. The less students directly affected by the cuts, the better.
We would ask Oxford district voters to remember one thing should they take our advice and cast yes votes at the polls May 3.
If you’re going to require local business owners to pay more for education, remember to return the favor by shopping locally, eating locally and seeking your entertainment locally.
Don’t vote yes and tell others to vote yes, then toddle off to Great Lakes Crossing or downtown Rochester.
Vote YES on Oxford Schools? non-homestead millage increase and support local businesses by keeping your dollars here in Oxford. ? CJC