Solon Schools Set To Ask For New Operating Levy

SOLON, OH — Come May, Solon residents will likely be voting on a levy to support the school system. The new, 8.5 mill levy would add no additional costs to residents in 2019, but would cause a spike in taxes in 2020. This would be the district's first levy since 2010.

According to a presentation from Superintendent Joe Regano, the two-year levy phase-in would work like this: in 2019, there would be a 1.6 mill replacement that would not add any taxes to a resident's bill; but in 2020, the district would have a new 6.9 mill levy that would increase taxes by $241.50 per $100,000 home.

Two resolutions need to pass the Solon Board of Education before the levy can move to voters' ballots. The first resolution was passed at a Board meeting this week. The second will be voted on at the Jan. 8 meeting, where Regano feels confident the Board will pass the resolution.

Then the bigger challenge comes: helping residents understand the need for the new levy.

"I hope residents view the levy positively," Regano said. "We’re the highest performing district in the state, and in one publication we’re the highest in the nation. It’s really tough to go eight or nine years without an operating levy."

Still, Regano said the district wouldn't be in the situation it is now if it weren't for actions at the state level.

The Loss of TPP Funding

Regano and Tim Pickana, the district treasurer, both said the loss of Tangible Personal Property tax revenue accelerated the need for the levy. Since 2011, the district has lost 8.49 percent of its operating revenue, Pickana told Patch. From 2017 to 2018, the cliff will be dramatic. Revenues from TPP fell from $8.3 million annually to $4.8 million annually. And TPP revenues are continuing to drop as the state phases out the tax.

"Our current levy would have lasted a couple more years if that TPP revenue were in place," Regano said.

Despite months of lobbying by Solon officials and local politicians like State Senator Matt Dolan, Governor John Kasich vetoed a line item from the new state budget that would have extended TPP collection, keeping revenues at their same level for the Solon Schools. Kasich said in a message accompanying his veto decision that districts impacted by the loss of TPP reimbursements have had "more than sufficient time to prepare for the end of this funding."

The district will now lose $737,651 annually until the TPP phase out is complete.

"We would not be on the ballot if [Kasich hadn't vetoed the line item]," Regano told Patch. He noted that each year that passes, there is less TPP revenue to save. He's not hopeful that the current administration will change its policies.

He is hopeful that residents will see the new levy as a necessity. The money won't be used for a special project, but simply for the general operation of the district, Regano said.

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