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Racine Unified Tax Rate Going Up 6.32% for 2011-2012

With various aid monies getting reduced, the district is raising taxes to help bridge the gap.

 

Because of reductions in state education aid and the school voucher program, Racine Unified School District residents are going to see a 6.32 percent increase in their tax rate for the 2011-2012 school year.

Property owners will pay $8.99 per $1,000 of equalized value. And while that's a pretty hefty chunk of change, overall the increase is less than the 7.77 percent residents got for the 2010-2011 school year.

There are a number of reasons behind the increase, but the primary cause is the loss of state general education aid. That $13.5 million change gets added to the loss of about $920,000 in high poverty aid and the $618,400 needed to pay for school vouchers.

Unified's budget also assumes a .5 percent decrease in total assessed value for the district. That number should be firmed up after the state releases its numbers on Aug. 15 and forwards figures to the district in the weeks following.

For example, a homeowner with a house worth $250,000 would pay $2,247.50 for the Racine Unified portion of their tax bill.

Total loss to the district is $14.98 million, or a 10.8 percent reduction, the highest of any school district outside Milwaukee.

State revenue cap guidelines allow the district to increase the tax levy to replace general aid and high poverty aid. Agreements reached in March with district unions saved about $19 million, and cuts in various areas saved another $5 million.

Racine Unified will also pay out $4.35 million for the 751 students expected to leave the district through open enrollment. All told, the district expects to have a net enrollment loss of about 221 students, which also impacts the amount the state contributes since aid is based on students sitting at desks in classrooms.

There is a public hearing at 5:30 pm on Aug. 15 at the beginning of the regularly scheduled Board of Education meeting at the Administration Building, 2220 Northwestern Avenue. Call (262) 635-5600.

Related Topics: Racine Unified School District, School choice, Tax Levy Increase, and voucher program

Chris Larsen

9:41 am on Monday, August 15, 2011

Taxpayers need to understand this, as their municipality is limited to the amount (if any) that can be raised on the tax levy. School Districts (RUSD and Gateway) do not have this limit. The average homeowner in Sturtevant will have to pay between $1100 and $1600 of their total property tax bill to RUSD.

Also out of that almost 15 million is the loss of stimulus finds (which should not have been "budgeted" for anyway) , and 10 million spent on a new central office, and the funds lost in selling the old land on the cheap. In addition, tools given to the district to combat losses from the state were not used properly. Most school districts in the state are not having a revenue loss. What are they doing that RUSD administration is not doing? Don't forget the payouts to Shaw for breaking his contract.

This is not about the teachers contracts, but the continued mismanagement of RUSD.

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CowDung

9:57 am on Monday, August 15, 2011

Are the teachers making the same contributions to their pensions and healthcare as are most other districts in the state?

Talia

10:17 am on Monday, August 15, 2011

Thanks Governor for NOT raising our taxes... save your butt and make it look like it is the county's fault. Make it look like the state's budget is perfect, but Whoa, wait a minute... how shall the counties do it with all of the sudden reductions. Gee Scott 'Your Plan' is really working for Wisconsin! Moron!

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Chris Larsen

10:42 am on Monday, August 15, 2011

Talia, The state, the counties and your local municipality all have to have a balanced budget, unlike the federal government. Nowhere in your point do I see your opinion of Unified's out of control tax rate. You do realize that under Doyle it was a bigger percentage then under Walker. Did you criticize Doyle last year at this time?

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Sean Waiss

11:27 am on Monday, August 15, 2011

Talia, you are obviously entitled to your opinions regarding the source of this failure, but let me ask this. Public schools were founded on the principle of delivering what was needed locally, and having the services paid for by the "locals." Why did Wisconsin, or any state, or even the Federal government for that matter, ever take that principle away and start funding "local" schools with tax money paid to the state of Federal government? I have real concerns about a school district "expecting" the state and Feds to provide for a portion of their budget, though I understand why it became an expectation (once started it is very difficult to stop). Shouldn't the funding of all local school districts, regardless of location, be based solely upon what that district entity can collect from local taxes? That would eliminate a very large portion of the taxes currently paid to the states and Feds, which would in turn allow the school districts to increase their taxes accordingly. I'll continue this into the next posting.

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Sean Waiss

11:27 am on Monday, August 15, 2011

Assuming a combined income of $80,000, and a $250K assessed home, a household currently pays $2.5K to RUSD, another $3K in local property taxes, and then all the various sales taxes (estimate another $2.5K conservatively), and another $10K in Fed income tax, $4K in WI income tax, wouldn't it make a lot more sense to keep the taxes as much at the local level as possible (total amount is $22K)? So instead, wouldn't the same tax amounts make more sense as $7.5K to RUSD, $3K to local, $2.5K sales tax (with $1.5 going to the schools), $8.5K Fed and $2K WI income tax (also totals $22K)? I fully expect the Feds to hold up their end and tax us as much as possible, but the only Constitutional requirement is for National protection (and not just against overseas entities, but that, too, is another story). Why should RUSD expect a "rebate" of taxes from the Feds and the state? Can anybody provide a cogent answer to that?

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CowDung

11:44 am on Monday, August 15, 2011

The main purpose for getting the state and/or federal governments involved in funding local schools is the disparity that exists between relatively poor inner city districts and the wealthier suburban districts. It makes sense that the funding formula for state aid would favor districts that don't have high enough property values and corresponding tax levies to support their schools.

Beverly A Gold

11:07 am on Monday, August 15, 2011

People our state and our government are broke. What part of that don't you moron's get? Everyone are taking cuts. My daughter-in-law has her masters and she had to take a big cut at her job because the business just is not there. My other children that ared well educated areholding their breath because we live in a time of un-certianty. On our block alone people are loosing their homes that had really good jobs but the business are suffering. Get a grip on life things will never be the way they were 10 years ago.

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Tom

8:59 pm on Sunday, September 4, 2011

Paying even $0.10 to RUSD is all I care to offer. The mismanagement, wasted resources are all brought together into a school system that utterly fails to even score 50% on the WKCE-CRT tests.

http://tjkenny.wordpress.com/2011/02/22/racine-unified-is-a-failure/

RUSD is a failure that only throws good money right down the drain.

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Duane Michalski

9:03 pm on Sunday, September 4, 2011

I will not say what I want to...it would get me banned from patch forever!!!

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