GEORGETOWN — In its March 20 current expense referendum, the Indian River School District will be asking taxpayers for more support in response to increased operating costs, recruitment and retention efforts, and eliminating deficit spending.
If approved, it will mean a tax increase of $1.21 per $100 of assessed property value — an increase of $24.10 per month or $289.23 per year for the “average” taxpayer.
Indian River’s current expense rate of $2.35 is part of an overall tax figure of $3.23, the lowest among Sussex County districts, excluding Sussex Technical, which receives funding countywide.
While on the campaign trail to inform citizens about the vote, superintendent Dr. Jay Owens reports that officials are getting some good questions.
“Really, the bulk of our questions are around reassessment and how that impacts this process,” he said during the school board meeting Monday. “Another question we are getting is the ability for the board to consider the 10% tax on the reassessment.”
The district’s business director, Tammy Smith, explained. “By code, in a year of reassessment, there is a provision that allows the board to collect up to 10% more in revenues ... that we collected in actual revenue in the prior year. That would only be on current expense because the other tax rates are calculated based on the funds we need.”
But the board of education put an end to any speculation Monday, voting 10-0 not to impose any additional tax increase with the referendum’s passage.
Board member Mark Steele, who preceded Dr. Owens as superintendent, made the motion.
“I will say this, from past work on referendums, I think it always has been difficult to ask the public to step forward and help us,” he said. “I do not think we should collect 10% more, particularly if the referendum passes.”
That is also the consensus of board president Leolga Wright. At the January meeting, she likened the board’s authority to impose an additional tax to “double dipping.”
“Personally, pass the referendum, and there would be no 10% in addition,” she said Monday.
The ongoing reassessment is the first in Sussex County since 1974. “But, going forward, the reassessments will happen every five years,” Ms. Smith said. “We are slated to collect a little over $46 million in current expense revenue this year. So, the 10% would be $4.6 million.
“Without passing the referendum, that would end up being a Band-Aid going into next year but wouldn’t solve our deficit-spending issue in the long term.”
Dr. Owens added, “During the last three fiscal years, the district operating expenses have increased an average of 7.4% per year, while revenue has increased by only 3.55% per year.
“That trend is not sustainable, and the district has been in a position of deficit spending for the past two fiscal years. Passage of this referendum is imperative if we are to continue the premier educational services currently being provided to our students.”
The district will host three information meetings about the referendum:
The events will also be streamed live on the district’s YouTube channel. Links will be posted at irsd.net on the morning of each meeting, and attendees can submit questions during them.
Voting will take place March 20 from 7 a.m. to 8 p.m. A voter must be a district resident and a U.S. citizen, and 18 or older.
The polling places are East Millsboro Elementary, Georgetown Elementary, Indian River High, Long Neck Elementary, Lord Baltimore Elementary, Selbyville Middle, Sussex Central High and the Millville Community Center.
Voter registration is not required, but residents must provide proof of identification or residency.
Absentee ballots can be requested via mail until noon March 14. Early voting is available at the Department of Elections’ Sussex County Office until noon March 19.