School board to take 2-cent tax to Assembly on Tuesday

PALMER — The Mat-Su Borough School District officially approved submitting a 2-cent sales tax to the Mat-Su Borough assembly for consideration. The action came at Wednesday’s board meeting following public comment and a PowerPoint presentation from district superintendent Dr. Monica Goyette.

The unanimous board passage of Resolution 18-001 included an amendment by board member Ray Michaelson capping sales tax collection at $500 of the purchase price and cap the borough’s funding level at $50 million.

Later in the meeting, Goyette noted the borough supplied approximately $56 million for the 2016-2017 school year.

The amendment also directed board president Donna Dearman to present the request to the assembly at its upcoming Aug. 1 meeting.

During her presentation, Goyette reiterated district funding facts focusing on increasing enrollment numbers, flat state and borough funding levels and district cuts already on the books to absorb an approximate $11 million deficit MSBSD faced to arrive at a mandated balanced budget for the upcoming school year.

Goyette said overall enrollment numbers continue to rise and the district is close to breaking the 19,000-student mark. She said, despite what many think, the increased enrollment does not mean increased district revenue. Goyette said based on state formulas for student reimbursement, the MSBSD’s growth resulted in less state funding under a presumption by Juneau legislators that the borough would increase its contribution to cover the difference. Based on expected enrollment numbers for the fall, the district Is standing to lose about six percent per child in overall revenues.

Goyette said if things go unchanged this fall, classroom size will see levels “…unprecedented in the time that I’ve been in the district.”

The superintendent stated the Mat-Su Borough lacks diversification in its tax base. She said other boroughs across the state have larger commercial contributors and lack of that revenue source is problematic. Goyette noted if the Mat-Su was funded at the same levels as Fairbanks schools, it would result in $22 million in additional revenue.

“No one is in the same fiscal crisis we’re in,” Goyette said. “We’re the canary in the coal mine.”

Goyette referenced a 600-participant poll conducted by the Hayes Group. She said results confirm what the board and administration already heard and believe, that there is community support for a tax. Capping property taxes, allowing for school of choice and reduction of out-of-pocket expenses were the most important factors to those responding to the poll. Goyette said there appears to be overwhelming support for funding education but the debate often comes down to who is responsible for it.

When the question was called, it passed unanimously. Dearman referenced upcoming Aug. 2 and Aug. 16 board meetings where additional conversation on the issue will be forthcoming.

Dearman closed the meeting acknowledging her appreciation for the hard work put in by the administration over the summer to make sure that the district’s voice was heard and heard correctly.

“Sometimes people, they hear ‘tax’ and become blinded and deaf so to speak,” Dearman said. “I’m confident that we will be successful in this endeavor.”

Contact reporter Chris Ford at 352-2270 or chris.ford@frontiersman.com