expanded information guide, issue #10-1

7/28/2019 Expanded Information Guide, Issue #10-1

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Revised April 10, 2013


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EMERGENCY LEVY

BALLOT ISSUE #10

May 7, 2013

Revenue Generated $6,500,000 per Year

Millage 8.28 Mills

Length of Levy 10 Years

Annual Cost per $100,000 Value $253.58


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HOW DID WE GET HERENEED FOR THE EMERGENCY LEVY

State Revenue Los

$2.9 millionfrom 2011 to 2013

State revenue lossis equivalentto 3.69 mills

Local Revenue Los

$4 millionfrom 2009 to 2013

Local revenue lossis equivalentto 5.09 mills

To Replace Funds the Avon Lake City Schools Has Lost


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To Replace Funds the Avon Lake City Schools Has Lost

The Avon Lake City School Districts October 2012 five year forecast showed FY14 (fiscal year)

having a negative cash balance of ($3,337,869) and in FY15 a negative cash balance of

($11,595,487). The above graph indicates the current April 2013 five year forecast after layoffs,

retirements, eliminated positions, cuts to services and changes in salaries & benefits; the

current projection results in a positive cash balance of $753,451 for FY14. The cash balance in

FY15 remains in the red at ($4,563,607).

The Avon Lake City School District is dedicated to creating educational opportunities that foster

success in the 21st century for all students. Since 2009 state funding, the devaluation and

closing of the power plant, and the reduction in value of local property has dropped school

revenue by over $7,000,000. This loss of revenue has created the negative cash balances in the

forecast. Replacement of this lost revenue is essential to the future of our students, Avon Lake

City Schools, and the City of Avon Lake.


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P R O G R A M M I N GFederal and State Unfunded Mandates

State Standards and State Accountability System

*New Common Core Standards/New State Assessments

*New Teacher/Principal Evaluation System

G R O W T HEnrollment projections by DeJONG-HEALY, enrollment projectionists,and confirmed by demographers from the architectural firm,Fanning/Howey Associates, Inc. in 2008.

Final enrollment 2007-2008 3,655Opening day enrollment 2012-2013 3,818

Projected enrollment in 2016-2017 4,508

INFLAT ION Schools suffer the same inflation woes as all other businesses.

House Bill 920 keeps school revenues at the voted dollar amounregardless of increased valuation or inflation.


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EXPENDITURE REDUCTIONS(CUTS AND ADJUSTMENTS)

Staffing (Reductions & Adjustments)No increases in base salary given for all employees

2010-2011, 2011-2012, 2012-2013

All employees have also agreed to no increasein base salary for 2013-2014 and 2014-2015

Staffing reductions over the past three school years

by positions being eliminated or restructuredwhich includes the following positions:

16.5 Teachers1 Guidance Counselor

1 LibrarianAssistant Treasurer

Summer Staffing (Student Workers & Custodial Subs)

Total Savings $1,700,000

Staffing reductions for the upcoming2013-2014 school year:

RetirementsRestructuring Positions

Eliminating Positions through Reduction in Force (RIF)

Total Savings $1,050,000

District applied for and was awarded $321,436 in grantsover the past three years (this is in addition to the

federal/state grants applied for annually) which hashelped offset current expenditures.


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EXPENDITURE REDUCTIONS(CUTS AND ADJUSTMENTS)

Other Savings / Cost Reductions ImplementedSince Levy Failure in November 2012

Healthcare savings as a result of moving the

healthcare plan to a consortium$700,000

Teachers agreed to a step and base freeze for an

additional two years (2013-2014, 2014-2015)

$893,000

Classified staff have agreed for the next two years

to take two mandatory furlough days (with the

option of a third)

$68,000

Reduced all building secretarial contracts from 11

month to 10 month. Reduced 12 month athletic

secretarial contract to 10 month

$60,000

Administrative staff no base or step increase for

the next two years (2013-2014, 2014-2015)$41,570

Reductions in landscaping contract $30,000

Delayed the purchase of new textbooks

from 2013-2014 to 2014-2015

Increased Pay to Play/Participate fees

by 50% for 2013-2014

Added fees for instrumental and vocal music

at the High School ($40) and Learwood ($20)


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THE EDUCATIONAL PLAN

FOR THE FUTURE

What Will This Money (Emergency Levy)Be Used For?

To keep up with rising costs and to continue offering highquality education in the Avon Lake City Schools, the proposedlevy will be used for operating expenses. Funds from operatinglevies are used to pay for the day-to-day operation of a school

system and include such items as:

Purchase of instructional materials, supplies, and equipmentfor everyday learningTeaching, administrative, and support staff salaries andbenefitsProgram development and implementationFurniture and equipmentUtilitiesTransportation services

Avon Lake City School District offers an education for all students

which prepares them for college or a career. We are able to deliver

the type of education young men and women need to be successful

because of our supportive community, an outstanding curriculum,

and a topnotch staff to deliver the programs. Our future

plan/programming is not to keep doing the same thing, the same

way and get the same results. In todays fast moving world you

need to be flexible and be able to shift the education focus quickly

as high education changes to meet the needs of the information

age.

(continued)


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THE EDUCATIONAL PLAN

FOR THE FUTURE

What Will This Money (Emergency Levy)Be Used For? ( con t i nued )We are not new to this challenge. In 2005 Avon Lake High School

offered 4 AP (Advanced Placement) classes which were taken by 73

students. Last year we had 16 AP classes and 10 dual credit

classes in collaboration with Lorain County Community Collegewhich were taken by 557 students. This change took place without

additional staff being hired in these areas. By planning and

working smarter we have continually offered an improved education

for our students at a very fair cost.

The dollars from this levy will pay for all of the stuff needed to

educate a student well. More importantly it will allow Avon LakeCity School District the opportunity to plan and develop educational

opportunities which are valuable to students and important to our

future economy and society. Being well educated has been a key

factor to our success as a country. It is more important today than

ever and will continue to be so. Avon Lake is committed to meeting

this challenge.


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TYPES OF LEVIES (DEFINITIONS)

Emergency LevyFor day-to-day operating expensesExpressed in dollarsMust generate a fixed dollar amount each year it is in effectFor a period not to exceed 10 yearsNot subject to HB 920 reduction

*The advantage of an emergency levy is that the dollar amount isalways the same and it does not reduce the State foundationpayment.

Bond Levy Cannot be used for daily operationsFor buildings, building improvements, or land acquisitionPay debt charges on outstanding debt

Expressed in millsFor period of related bond issueNot subject to HB 920 reduction

Permanent Improvement Levy Cannot be used for daily operationsFor improvements with an expected life of 5 years of moreExpressed in mills

Up to 5 years or for a continuing period of timeSubject to HB 920 reduction


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REAL ESTATE TAX BILL (SAMPLE)

Applications can be submitted to the County Auditor in Januaryand on or before the first Monday in June.


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SCHOOL FUN DIN G REAL ITI ES

A school districts real estate tax revenues do not rise withinflation. As the value of a home rises with inflation, the amountof real estate tax on the home paid to a school district remainsconstant. A school districts revenue does not grow as home

values rise with inflation.

Additional homes do not bring in additional revenue; thisdoes decrease your tax bill.

Example 1: $2,000,000 divided by 2,000 homes equals $1,000

Example 2: $2,000,000 divided by 2,200 homes equals $ 909

When home values are updated every three years in Lorain County,homeowners pay increased taxes to the county and other realestate tax supported government entities (City of Avon Lake,Lorain County MRDD, Lorain County Community College, etc.);however, they do not pay increased taxes to a school district.

Virtually no additional revenue goes to a school district from the

periodic, regular countywide updates of home values.

(continued)

BUDGET INFORMATION


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BUDGET INFORMATION(CONTINUED)

SCHOOL FUN DIN G R EAL ITIES ( c on t i nued )When federal funds are received, they are restricted for new orspecial programs and must be used for a specific purpose. Forexample, we will receive over $500,000 in federal funds, but wecannot use these federal funds to pay existing employees or forexisting programs.

The Ohio Lottery was approved to fund schools. The OhioLottery has not produced additional funds for schools. The statereduced school funding from other sources and replaced thereductions with Lottery funds.

The No Child Left Behind Act, a federal law, imposed additionalfederal mandates on schools. The federal government providesschool with no federal funds to cover the cost of complying withthese new federal mandates.


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BUDGET DEFINITIONS

P rope r t y t ax reduc t i on f a c to r ( Som e t im es r e fe r red t o a s t he H B 92 0 e f fe c t )An adjustment by which the taxes charged by voted mills on Class and Class II real property are reduced to yield the same amount athose same mills yielded in the preceding year, exclusive of newconstruction. The reduction factor does not apply to inside mills or tvoted mills charged against general and public utility persona

property.

R ea l P r ope r ty Land and improvements to land such as structures or buildings. IOhio, real property is divided into two classes: Class I (residentiaand agricultural property) and Class II (commercial, industrial and aother real property).

Reapp ra i s a lAppraisal by the county auditor of the value of real property for tapurposes. It occurs every sixth year. Three years after eacreappraisal, the county auditor adjusts appraised values based orecent sales of property in that county. This adjustment is referreto as the triennial update.

Tang ib l e pe r sona l p rope r t yMachinery, equipment and inventory used by business in thmanufacture and/or sale of their products that is subject to taxatiounder a property tax. This class of property is also referred to abusiness tangible property.


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BUDGET DEFINITIONS(CONTINUED)

W hat i s a m i ll , anyw ay? Have you ever asked that question? First, there is the distinctiobetween appraised value and assessed value of your property. Thappraised value is the real valueof your property, or what the propertwould sell for in the open market. The county auditor has the task oappraising all taxable property in the county. Assessed value is thvalue of the property that millage rates are applied to. In Ohio, thassessed value of the property is set at 35% of appraised value. A m

is one-tenth of a penny. A mill produces $1 in property tax income foevery $1,000 of assessed property value it is applied against. The statof Ohio has enacted various credits that reduce the amount you pay foreal estate taxes. Taxes on all owner occupied residential properties arentitled to a 12.5% reduction in taxes. Seniors and disabled Ohioans areligible for additional tax savings known as the homestead exemptionA senior or disabled Ohioan must apply with the county auditor to takadvantage of the homestead exemption. Applications can be submitte

to the County Auditor in January and on or before the first Monday iJune. These credits do not represent lost revenues for schoolas the state picks up your savings and reimburses the schoofor them.

The below example illustrates how the millage rate is calculated:

The market value (appraised value) of your home can be found on the Lorai

Co. Auditors web site www.loraincounty.com/auditor/real-estate-taxes/
http://www.loraincounty.com/auditor/real-estate-taxes/http://www.loraincounty.com/auditor/real-estate-taxes/


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BUDGET DEFINITIONS(CONTINUED)

W ha t i s a m i ll , anyw ay? ( con t inued ) If you have any questions concerning millage, appraised value,assessed value or how our taxes are calculated, our County

Auditor, Craig Snodgrass (440) 329-5207, or County Treasurer,Daniel J. Talarek are good resources for additional information.www.loraincounty.com/auditor/real-estate-taxes/

Assessed Va lua t i onAssessed valuation is the percentage of valuation that is subjectto taxation. For example, Class I and Class II property areassessed at 35%, most personal tangible at 25% and publicutility property at either 25% or 88%, depending on the type ofutility.

Ef fec t i ve M i l lsThe actual rate of taxation realized when the tax reductionfactor reduces the taxes charged by a voted levy. It equals thetaxes charged divided by the taxable value of the class orproperty against which they apply.

F loo rRate below which voted mills will not be reduced under theproperty tax reduction factor - established by the General

Assembly - currently set at 20 mills.

Founda t i on Fo rm u l aMethod of funding schools through a combination of state andlocal aid. Based on the ability of school districts to generate taxrevenues as well as the state-determined minimum amountnecessary per student to provide an adequate education.
http://www.loraincounty.com/auditor/real-estate-taxes/http://www.loraincounty.com/auditor/real-estate-taxes/


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STUDENT/SCHOOL SUCCESS

Three (3 ) N a t i ona l M e r i t Fi na l is t S cho la r s and S i x (6 )N a t iona l M e r it Com m ended S tuden t s

State Rating

ExcellentDistrict Rating for 10 years

ACT Scores (227 students took the test)

Avon Lake Ohio NationalEnglish 22.9 21.1 20.6Math 24.3 21.5 21.1

Reading 23.4 22.1 21.3Science 23.9 21.8 20.9Composite 23 .8 21 .8 21 .1

SAT Scores (124 students took the test)

Avon Lake Ohio NationalMath 570 552 514Reading 545 543 496Writing 537 525 488


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STUDENT/SCHOOL SUCCESS(CONTINUED)

State OGT/State Achievement Tests

Excellent District Rating for 10 years

26 out of 26 indicators108.7 Performance Index

Avon Lake High School

N e w s w e e k MagazineNationally Ranked High School (2009-2012)

U.S . N ew s and W or ld R epo r tNationally Ranked High School (2007-2012)


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ADVANCED PLACEMENT CLASSES

AP Classes at Avon Lake High SchoolSchool Year AP Classes

Number of

Students in

these classes

2002-2003

(4 AP classes

offered)

AP US History

AP Music Theory

AP EnglishAP Calculus AB

73

2012-2013

(16 AP classes

offered)

AP American History

AP Biology

AP Calculus AB

AP Calculus BC

AP ChemistryAP Eng./Lit./Composition

AP French

AP Govt. and PoliticsAP Language/Composition

AP Music Theory

AP Physics BAP Physics C

AP Psychology

AP Spanish

AP Statistics

AP Studio Art

410 *

*Will administer 713 tests to 410 students in the 2012-2013 school year


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DUAL CREDIT EARNED

High School and College CreditPost-Secondary Enrollment Options

Classes taken at Avon Lake High School

2005-2006 2 classes, 2 sections2012-2013 10 classes, 27 sections

Courses Offered: Earth Science (PSSC 161)Anatomy & Physiology (BIOG 121)Photography I (ARTS 151)

Photography II (ARTS 152)College Composition I (ENGL 161)College Composition II (ENGL 162)Health/Wellness (HLED 156)Computer Gaming & Design (CGSD 120)Childrens Literature (ENGL 267)Introduction to Fiction (ENGL 255)

Project Lead The Way 13 Pre-Engineering Students


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FREQUENTLY ASKED QUESTIONS

W ha t is an eme rgency l e vy?The term emergency often confuses voters, parents, andcommunity members. It designates a typeof levy, which willcollect a fixed dollar amount each year, according to SchoolTreasurer, Autumn Streng.

The emergency levy is seeking $6.5 million each year for 10

years. The amount does not grow each year, regardless of theincreased property valuations in the school district.

Bob Scott, Superintendent, said not all of the money collectedfrom taxpayers from a continuing levy stays in the district andmore dollars would remain locally with an emergency levy. Itsthe best way to keep the money here, Scott said.

W ha t i s t h i s go ing t o co s t m e? The emergency levy is seeking $6.5 million each year for 10years, which currently would equate to 8.28 mills.

This levy will cost you $253.58 per every $100,000 of assessedproperty value or $0.69 per day. The assessed value is

generally lower than the market value of your property. Youcan find your assessed value at the Lorain County Auditorswebsite at www.loraincounty.com/auditor.
http://www.loraincounty.com/auditorhttp://www.loraincounty.com/auditorhttp://www.loraincounty.com/auditorhttp://www.loraincounty.com/auditorhttp://www.loraincounty.com/auditorhttp://www.loraincounty.com/auditor


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FREQUENTLY ASKED QUESTIONS(CONTINUED)

How m uch m oney w i l l t h e le v y r a is e ?This levy will raise $6.5 million per year for 10 years.This amount does not change. If property values rise, theschools still receive $6.5 million annually. If inflation causesschool expenses to rise the schools still receive $6.5 million

per year.

W hy do t he s choo ls need th i s m oney? This money will be used for operating expenses in our district.Expenses have increased due to increased enrollment,increased costs for supplies, salaries, benefits, and utilities,

and costs associated with unfunded mandates such as NoChild Left Behind. While costs continue to rise, revenuehas dropped by $7,000,000 per year.


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I don t have ch i l d ren in the schoo l d i st r ic t . W hy shou ld Isuppo r t t he l evy? Many people have chosen to live in Avon Lake because of ourexcellent schools. If our schools are failing, it is logical thatmany families will relocate and other families will choose not tomove to Avon Lake. Economic studies have shown that when

schools fail, property values plummet and city tax revenuesdecline. City recreation suffers. Churches suffer. Cities thatsupport their school systems thrive. Communities that do notsupport their school systems fail. Supporting schoolssupports us all.

Six examples of tax rates

Tax rates vary greatly from city to city. Here are six examples from across the region, with rates listed based on each $100,0of home value. Go to cleveland.com/datacentralto find the breakdown for your town or township.

North Shaker

Cleveland Olmsted Heights Avon Lake Medina Willoughby

(Cuyahoga) (Cuyahoga) (Cuyahoga) (Lorain) (Medina) (Lake)

County $405 $405 $405 $253 $228 $

Local Schools $1,596 $1,691 $2,811 $1,204 $1,290 $1,

JVS $0 $71 $0 $71 $66

City $389 $407 $303 $238 $156 $

Library District $194 $77 $123 $86 $62

County Parks $57 $57 $57 $40 $23

Community College $95 $95 $95 $101 $0

Port Authority $3 $3 $3 $0 $0

TOTAL $2,739 $2,806 $3,797 $1,992 $1,825 $2,

SOURCE: Ohio Department of Taxation RICH EXNER AND KEN MARSHALL THE PLAIN DEALER

01/20/2013


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Do res iden t s on f i xed i n com es rece ive a reduc t i on i np rope r t y t axes?

Yes. The Homestead Exemption Program provides a property taxcredit for senior citizens (65+) and disabled Ohioans who owntheir homes and who meet certain income limitations. (For more

information, you may contact the Lorain County Auditor.)

I h ea rd tha t w e do no t need t o pa s s t he l evy be cau se t heS t a t e o f Oh i o is abou t t o chang e how s choo ls a r e funded .I s tha t t rue?

No. This issue has been a priority in Columbus for years, andstill no progress has been made on an appropriate funding modelfor education in Ohio which is fair and consistent.

We are currently waiting for the states biennual budget to bedebated and approved in the spring of 2013. Avon Lake hasseen reductions in funding from the state since 2004.

We are currently working under a bridge formula whichreduced our state support by $1,400,000 per year in the 2011-2012 and 2012-2013 school years.


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I Still Have Questions Where Can I Get Help?

District Office

Bob Scott, Superintendent, (440) [email protected]

Treasurers Office

Autumn Streng, Treasurer, (440) [email protected]

Avon Lake Board of Education Member

Charles Froehlich, President (440) [email protected]

Pam Ohradzansky, Vice President (440) 933-9536

[email protected]

Dale Cracas (440) [email protected]

Ron Jantz (440) [email protected]

Jim Stobe (440) [email protected]

District Website www.avonlakecityschools.org
mailto:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]://www.avonlakecityschools.org/http://www.avonlakecityschools.org/mailto:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]

expanded information guide, issue #10-1

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