Most districts in Ohio fund their local share of public school costs with voted on property tax levies. But this November, Westerville City Schools is asking voters to approve a 0.75% tax on earned income to raise $24 million for its district.
That is $0.75 per $100 of earned income.
Westerville City Schools Superintendent Angela Hamberg said the move would diversify the district’s funding sources at a time when people are weary of new property taxes. Voters in Westerville shot down a 4.9-mill property tax levy last year.
"We have decided on an earned–income tax because it does not apply to pension, social security, any type of retirement benefits, unemployment, or interest or dividend earnings," said Hamberg, who appeared on All Sides with Amy Juravich on Monday.
It would apply to people who live in the district, but not people who only work there.
“A school district income tax is not on workers. It's on residents. So a municipal income tax is typically on workers or residents. A school district tax is just for residents, anyone that lives within the boundaries of our school district who has wages or salaries or net self-employment,” Hamberg said.
The district made $9 million in cuts after the failed levy last year, including 33 positions.
"We're at a point now where we've made those types of cuts that we can make, and if we are not able to secure additional revenue, we will be looking at cuts that will unfortunately impact the classroom experience more for students," Hamberg said.
“We cut seven administrators last time. We have another 12% on the list,” Hamberg said.
If this November's measure doesn’t pass, the district plans to cut 124 positions, reduce bus routes, add fees to sports programs.
Additional cuts could also come to elementary school programs like art, music, physical education and libraries, Hamberg said.
“We know all those things are valuable. But we really, when we came up with the proposed cuts, we looked at what is required legally. And what do we have to offer kids at the high school level, especially to make sure they're able to graduate,” Hamberg said.
The district would also reduce Advanced Placement classes and college credit programs, and phase out the International Baccalaureate program.
Hamberg said the district is also spending down its reserve of more than $100 million for its $219 million budget, but Hamberg said the district needs much of that money to maintain its assets.
“We are at a point where we can't continue to deficit spend and offer the same amount of services. Either we have to have more revenue, which is why we're asking for a ballot issue, or our other option, if we're not successful in the ballot, is to decrease our services,” she said.
