Operating Millage Information
Welcome to the Constantine Public Schools Operating Millage Ballot Proposal Information Page
On July 15, 2024, our Board of Education approved a resolution to submit a proposal that will be on the November 5, 2024 ballot.
Most Michigan school districts are required to levy 18 mills on non-homestead properties to receive their full foundation allowance from the state of Michigan, a funding source for Michigan schools. If approved by the voters, this millage proposal would allow the school district to restore the operating millage to the original statutory maximum rate of 18 mills though 2032.
Important Ballot Proposal Details
Here is what the ballot language will look like:
Proposal Title: Constantine Public Schools Operating Millage Proposal
Ballot Language:
"This proposal will allow the school district to levy the statutory rate of not to exceed 18 mills on all property, except principal residence and other property exempted by law, required for the school district to receive its full revenue per pupil foundation allowance. The total operating millage levied in any year will not exceed 18 mills.
Shall the limitation on the amount of taxes which may be assessed against all property, except principal residence and other property exempted by law, in Constantine Public Schools, St. Joseph and Cass Counties, Michigan, be increased by 3 mills ($3.00 on each $1,000 of taxable valuation) for a period of nine years, 2024 to 2032, inclusive, to provide funds for operating purposes; the current estimate of the revenue the school district will collect if the millage is approved and .4944 mill of the 3 mills is levied in 2024 is approximately $61,739?"
What does this mean?
The millage proposal asks voters to consider whether to restore the operating millage to the original statutory maximum rate of 18 mills through 2032; The millage is currently at 17.5056
The State of Michigan requires school district's (local government) to reduce the millage rate when property values grow faster than the rate of inflation. Property values have increased beyond the rate of inflation over the past few years, which has reduced the millage rate.
The Impact:
The State of Michigan does not take into account the reduction when calculating state aid and assumes every school district is collecting the full 18 mills. The 18 mill value is then deducted from our state aid before funding is sent to the district. Without this operating millage we would lose more than $300,000 in funding over the next 5 years.
The Fix:
The only way to fix it is to go back to the voters to approve restoring 18 mills.
- If approved by voters, this proposal would restore the 18 mill levy on non-homestaed properties, with a current restoration of .4944 mills.
- Proactively, Constantine Public Schools is proposing to add a 3 mill cushion. This would allow the district to maintain 18 mills over the next eight years, as long as the operating millage does not reduce more than 3 mills.
- The operating millage only applies to non-homestead properties, which include businesses, vacation (2nd) homes, investment properties, and rental properties.
- Homesteads (primary homes/residences) are exempt from this tax. The 18 mill levy does not cost the primary residence homeowners anything.
- This is not a new millage. Constantine Public School voters have been periodically voting on this operating millage since its inception in 1994.
What a YES vote means:
What a NO vote means:
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FAQs:
What is a millage?
In the State of Michigan, the property tax rate is referred to as a millage and the tax rate is calculated in mills. A mill is the number of dollars a property owner must pay for each $1,000 assessed property value.
Property taxes are computed by multiplying the Taxable Value of the property by the number of mills levied, where a mill is 1/1000 of a dollar.
For example, if the millage rate is 1 mill and the taxable value of your property is $100,000 the property tax is 0.001 x $100,000 or $100.
What are the specific benefits of this millage to Constantine Public Schools?
The funds help cover operational costs, ensuring the school district can maintain and enhance educational services and facilities. It also allows the district to receive the full per pupil foundation allowance from the State of Michigan.
The current millage is at 17.5056 mills, why is the ballot proposal for 3 mills when you only need .4944 mills?
Even though the district cannot levy more than a total of 18 mills for operating purposes, the additional mills are intended to guard against future reductions. It is important to note that if the millage rate falls below 18 mills, the district will not receive it's full foundation allowance.
Is this a new tax?
No, this is not a new tax. This tax was first levied in 1994 with the passage of Proposal A, and Constantine Public Schools voters have periodically voted renewals and restorations over the past 30 years. The last time voters approved this millage was in 2013.
How are the State of Michigan school districts funded?
Districts receive most of their funding on a per-student/pupil basis. The amount a school district receives per pupil is called the Foundation Allowance. The per-pupil Foundation Allowance for Constantine Public Schools is currently $9,608. This represents a significant portion of Constantine Public Schools' overall revenue and is funded from 2 different sources: 1) Local Revenue - Operating Millage collected on non-homestead property, and 2) State Revenue.
By law, Constantine Public Schools would need to collect an 18 mills local "non-homestead" operating millage for this portion of its budget to obtain the full Foundation Allowance.
What can Operating Millage funds be used for?
Operating Millage funds in a school district can be used for day-to-day operating expenses, such as: curriculum materials, programs for students, classroom supplies, salaries, benefits, utilities, transportation, building maintenance, athletic programs.
The money a school district receives from operating millages is a main source for funding day-to-day operations for State of Michigan public schools.
In Michigan, the vast majority of school districts can levy no more than 18 mills for school operating purposes.
Why is the vote necessary?
Under state law, the local 18 mill school operating millage expires periodically and requires the local voters to decide whether to restore or renew the millage through an election. For Constantine Public Schools to receive its full State Foundation Allowance for each student, this millage requires voter approval from time to time.
How is the 18 mill non-homestead operating millage renewal different from a bond millage?
A bond millage is used explicitly for capital improvements such as renovation, equipment, site improvements, buildings, and additions. Bond dollars cannot be used for the District's general operations. The 18 mill non-homestead operating millage restoration is specific to the general operations of the District and would mean a loss of funding if not approved. The state will not make up this revenue if the voters do no approve the proposal.
What is a tex levy?
A levy, in its simplest form, is an imposed tax or bill. A levy represents the total amount of funds a local unit of government may collect on a tax rate.
For example, an 18 mill levy is also considered an 18 mill tax.
Voter Information:What time are the polls open on November 5, 2024?
The election polls will open at 7:00am and close at 8:00pm on Tuesday, November 5, 2024
Click https://mvic.sos.state.mi.us/ to:
Register to Vote
View Sample Ballott
Get Absentee Ballott
Find where to Vote
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Stay Informed:
Follow us on social media for updates and more information: @constantinepublicschooldistrict
Contact Information: For any questions regarding the proposal or voting process, please contact us at [email protected]
Thank you for taking the time to learn about this important proposal.
Vote: November 5, 2024
Paid for by: Constantine Public Schools, One Falcon Drive, Constantine, MI 49042
Check out this incredible video created by our Digital Media Marketing Class on the District's Operating Millage Proposal for the November 5, 2024, ballot!