Lexington One Plans for Tax Increase to Fund Budget

Lexington County School District One plans to raise taxes this year to fund the budget for the 2013-2014 school year.

The board of trustees gave preliminary approval last week a $202,663,901 general budget for the upcoming school year. That's about a 6.5 percent increase over the district's current $190,220,087 budget. 

To fund the new budget, the district anticipates a tax increase of 11.56 mills, which would increase taxes by about $69 for a resident with a business valued at $100,000. Homeowners would not see a tax increase because Act 388, which passed in 2006, added a one percent sales tax to offset tax increases on homes.

Each mill brings in about $224,000 in revenue to the district.

The proposed budget for the 2013-2014 year includes: 

• 83.65 additional positions to accomodate the opening of River Bluff High School, to begin preliminary staffing for Deerfield Elementary and to accomodate the growth of the district
• an increase of about $6.2 million in employee salaries and related costs (a 6.4 percent increase)
• an increase of about $1.9 million in programs and services (a 7.7 percent increase)
• a step increase for all employees (about $2.5 million)

District officials say about 86.9 percent of the budget will go to salaries and related costs, about 6.2 percent will be for programs and services and about 6.9 percent will pay for utilities and maintenance.

Lexington One Superintendent Karen Woodward blames the district's tight fiscal situation on the state and Act 388.

Lexington One has seen a significant increase in homes and an influx of new students, Woodward said. Enrollment increased by 568 students from the 2011-2012 school year to the 2012-2013 school year. But business growth has been moderate.

"This budget again demonstrates not only the impact of Act 388, but also how essential it is that we have real tax reform and real educational funding reform in South Carolina," Woodward said. "Since Act 388 passed in 2006, the funding support needed for the increasing number of students — resulting from housing growth in our community — has eroded. The state’s promise to make districts whole from loss of revenue due to Act 388 has not been kept." 

But the district's budget focuses on holding on the current student-to-teacher ratios, student safety, start-up costs for new schools and a step increase for all employees.

“We are absolutely committed to providing quality education that is foundational to our students’ futures, essential to the quality of our community and significant in economic development — all of which is necessary for a vibrant Lexington community, good jobs and successful lives,” Woodward said.

The second reading of the budget will take place at the board's May 21 meeting at 7:30 p.m. at the district office.