Expenses, funding cuts drive VWCS levy

DAVE MOSIER/independent editor

Van Wert City Schools is seeking a renewal of its 1-percent income tax, with one addition: the district wants to make the levy a continuing one to ensure stability in funding and eliminate costs associated with having to renew the levy every five years.

The superintendent acknowledges that the idea of making the levy a continuing tax is what has some district taxpayers leery, but added that he feels that, with state and federal funding cuts, the loss of the state personal tangible property tax and revenue losses caused by lower interest rates, there is an established need for the tax levy for the foreseeable future.

Amstutz said the levy provides approximately $2.3 million each year for the district, a revenue stream that has become increasingly important because of the annual loss of approximately $1.5 million with the state’s phase-out of the tangible personal property tax, another $1.7 million lost in federal and state stimulus money and $400,000 lost due to lower property tax rates and lower cash balances, as well as lower interest rates on the district’s investments over the past few years.

The superintendent also noted that he hasn’t heard one person complain that the district isn’t doing its job in educating students.

“We have really had nobody say anything about that,” Amstutz said. “I think we’re using our money wisely, we’re responsible, we’re educating kids the way we should be, we’re doing things the right way.

“The big concern is the continuing piece,” he added. “If it weren’t for the continuing piece it probably would not be a major issue.”

The superintendent said the need for a continuing income tax is definitely there.

“Somebody said to me ‘what’s going to go away in the next five years that you’re not going to need this tax?’ and nothing is,” Amstutz said.

He added that, while the district stands to receive some additional money from the state’s new biennial budget, that money will just make up for funding lost over the last few years.

“I think there is no question we have demonstrated we need this money,” the superintendent said, adding that people should also know the cost since they have been paying the tax since 2003.

A family of four earning $40,000 a year would pay less than $1 a day for the tax, while a retired couple 65 years of age on Social Security earning $20,000 a year on investments of other income would pay a total of $120 a year ($10 a month) for the tax (Social Security earnings are not taxed).

Amstutz said having the tax be a continuing one is also critical to continuing the innovative educational programs the district has implemented, such as Project Lead the Way pre-engineering classes, the Biomedical program, Advanced Placement college credit classes, and a large selection of non-core class offerings.

“Without the income tax, the VWCS educational options could greatly diminish, since many classes we offer are not required classes,” he noted.

Moreover, the district’s innovative project-based education curriculum is getting it noticed across the state, something that is also leading to more interest in teaching openings here, with Amstutz noting that the district has become a leader in STEM (science, technology, engineering and math) education and is teaching 21st century skills to its students.

Van Wert Middle School has been named an “Ohio School to Watch” by the Ohio Department of Education since the 2005-2006 and Van Wert Elementary School has been chosen as a “School of Promise” the last four years. On the 2012 school report card, VWHS, VWMS, and Franklin, Jefferson and Washington elementary schools were all designated “excellent” schools.

“We’re starting to see a significant increase in response to teaching openings from teachers wanting to be involved in what we’re doing here,” Amstutz said.

“I think that while our performance as a school district is always in question, our performance has been very strong,” he added.

The superintendent also added that new requirements mandated by the state or needed to compete with other school districts also come at a cost. Those programs include all day, every day kindergarten, the new teacher evaluation system, changes in district accountability and the upcoming Third Grade Reading Guarantee.

In addition, the district now oversees the operation of Cable Channel 6, the public access channel, without local financial support, after city officials requested the changeover back in 2010. The district is also the administrative and fiscal agent for the Family and Children First Council and the VWCS attendance officer works directly with the Youth Bureau, Juvenile Court and Children’s Services to deal with student problems.

The superintendent also said the district has been frugal with the money it has been given, noting that the district has cut one administrative position, four teaching positions and nine non-teaching positions in the last five years, while also planning not to replace seven of 15 teachers who plan to retire this year. Those reductions will save the district more than $1.2 million annually.

The district has also done much to cut costs over the past few years, renegotiating electric power rates to save approximately $43,000 a year, renegotiating a copier contract and eliminating room printers for a savings of $30,000 annually, reducing services through the Western Buckeye Educational Service Center and improving efficiencies in that area, and refinancing bonds to save taxpayers money, to name just a few initiatives in place.

“The bottom line is that we’ve done what we’re supposed to do as a school district,” Amstutz said.