Two state
Senate committees hope Wednesday to propose ways to help school
districts make up budget shortfalls expected because of the new S.C.
Property Tax Relief Act.
Sen. Wes Hayes, R-Rock Hill, who sits on both the Education and
Finance committees, made the announcement Monday at a meeting
attended by five state lawmakers and by superintendents and board
chairmen from York County's four school districts.
Educators attended the more than two-hour meeting to press for
assurances that the new law, which replaces homeowners' property
taxes for school operations with a 1-cent increase in sales taxes,
will provide enough money to pay for high-quality schools in the
rapidly growing county.
"We clearly need to take on more responsibility at the state
level because we've taken it away from you," Hayes told school
officials. "If we can put a safeguard in there in case of an
emergency situation, I would like to speed that up."
Three issues have surfaced repeatedly regarding the law:
• It does not appear to meet the needs of fast-growing
districts;
• It doesn't address shortfalls, particularly in years
when the economy is weak; and,
• The law is one more step toward state control of
local schools.
The state will begin collecting the additional 1-cent sales tax
July 1, and Hayes said it appears school districts will receive
quarterly payments at first, then every six months.
School districts have begun preliminary work on budgets for the
coming fiscal year. The state has promised income equal to their
current budgets for the first year, with increases in future years
to be based on the Consumer Price Index and state population growth.
Local school officials are worried because, while the state's
student population grew 3 percent last year, Clover and Rock Hill
had enrollment growth of 5 percent and Fort Mill 10 percent, Fort
Mill superintendent Keith Callicutt told the group.
The York district grew the slowest -- by 1.5 percent -- but
growth is expected to accelerate there, too.
"York has the largest square miles," Callicutt said of the four
districts, "but our property is rapidly disappearing. It's going to
happen more so in York in the future."
Lower property taxes will draw increasing numbers of people from
Charlotte, school officials say.
"We know Fort Mill is getting filled up," said Clover school
board Chairman Steve Brown. "Our concern is, where will they go
next?"
Hayes said one solution may be to amend the Education Finance
Act, which determines how much the state provides to districts on a
per-pupil basis. Because of a weak economy, until last year the
state had not fully funded the EFA for several years.
Hayes also sits on the state's Education Oversight Committee.
Rep. Herb Kirsh, D-Clover, who co-sponsored the Property Tax
Relief bill, said he thinks the law will work but acknowledged
Monday changes often are necessary with new laws. If there is a
shortfall, he predicted, "the General Assembly will take it from the
General Fund ... We're not going to let schools hang out there on
the vine, and I'll be the first one to help you."
Newly elected Reps. Carl Gullick, R-River Hills, and Dennis Moss,
D-Gaffney, also attended the meeting but mostly deferred to senior
legislators.
Sen. Harvey Peeler, R-Gaffney, asked the school officials for
"rebuttal information" in the current session.
"Columbia north, most of us are pro-public education," he said.
"Columbia south is not so pro-public education."
Marty McGinn, chairman of Fort Mill's school board, said that
between the property tax law and a law prohibiting schools from
opening before the third Monday in August, the last Legislature
"took away what local control we had."
Rock Hill schools Superintendent Lynn Moody asked legislators to
call school districts and ask them how proposed changes would affect
them.
Clover Superintendent Vickie Phelps said that, because school
districts may still tax commerce and industry for operating
expenses, it could place a huge burden on business, negatively
affecting both the economy and business relationships with schools.
Greater Rock Hill Chamber of Commerce director Rob Youngblood
also attended the meeting.
Afterward, Rock Hill board Chairman Bob Norwood said he wished
more legislators had attended, but he did see some reason for hope:
"They're already thinking about what they will do if there are
shortfalls," he said.