PROPERTY OWNERS will learn how much state budget decisions will
cost them when they begin receiving tax bills in the coming
weeks.
Although the Legislature approved a lean budget that did not
raise taxes on the state level, the truth is it actually pushed
increases down to the local level. Local officials found themselves
forced to increase property taxes to fund schools at state-required
levels because lawmakers failed to raise more revenue or cut less
important programs in order to fund essential services, such as
schools.
Richland County, which will send property tax bills out next
month, is a prime example. Countywide taxes will rise as much as 15
percent in Richland. The owner of a $100,000 home in Richland School
District 1 will pay about $192 more in property taxes. Of that
amount, $148 will go to fund schools. The owner of a similarly
valued home in Richland School District 2 will pay about $120 more.
Of that amount, $76.80 will go to fund schools. Richland 1’s taxes
are increasing at a steeper rate because of debt service on a $483
million bond issue for new school construction.
Some taxpayers will be tempted to blame Richland County Council
for these increases. While there are many things the council might
deserve the blame for, this is not one of them. Residents should aim
their criticism at their senators and representatives, who chose not
to do their jobs and forced the county’s hand.
Although schools are expected to meet higher goals set by
lawmakers, they have not been given the resources needed to meet
those goals. While portions of the increases will go toward other
local services, which have gone lacking in recent years because of
the increased burden on local governments to fund schools, the bulk
will be used to educate children. And the schools are not simply
wasting money on frills.
Richland 1 and 2 made tough decisions that will limit staff and
programs. However, a tax increase is needed just to fund the minimum
amount the state requires.
In addition to having to provide that minimum funding for
schools, Richland officials cite other reasons for the escalation in
property taxes, most of which are out of the council’s control.
Among them are a loss of revenue because of a voter-mandated
reduction in car taxes and a reduction in local aid from the
Legislature.
The bottom line is that the state’s failure to properly fund
schools is wreaking havoc with local property taxes. Only through
smart, comprehensive reform on the state level will be we able to
properly fund our schools — and other services.
Fortunately, people are beginning to talk about change. Reps.
Rick Quinn and Vincent Sheheen are touting a proposal to raise the
sales tax, wipe out most property taxes and send school funding
where it is most needed. A group of school finance officers have
also floated a plan that would raise the sales tax, eliminate tax
exemptions and lower school property taxes.
While neither of these plans is perfect, they have begun a
necessary conversation that could lead to much-needed reform.
If we are to get out of the jam we are in, legislators must
acknowledge that our system is flawed and then take responsibility
for fixing it. Looking the other way on school funding and passing
the buck down to the local governments simply is not the
answer.