Special election won’t raise taxes

(The following is taken from the Superintendent’s blog on the Williamsburg Community School District website.)

What is a Revenue Purpose Statement, and why do we need an election to approve one?

All school districts in Iowa share a "one cent" sales tax that is applied across the State through the Secure an Advanced Vision for Education Fund. The money collected as a result of this statewide sales tax is distributed to schools based on the number of students who attend there.

For each student that attends a school district, that district receives about $1,142 annually, though that amount changes from year to year, depending on sales tax collection across the State. The revenue purpose statement describes the allowable expenditures for which the district can use the sales tax revenue that is distributed to Williamsburg Schools. In other words, the RPS spells out what we can use those funds for.

Do we already have a revenue purpose statement?

Yes, we do, and you may remember voting on the Revenue Purpose Statement in the past.

Recent Iowa legislation made some changes to the Iowa Code section that governs sales tax collection and expenditures for the SAVE Fund. The previous law "sunset,“ or ended, Dec. 31, 2031.

The Iowa Legislature extended this source of revenue for schools through 2051. By extending the plan for collection of this one cent sales tax, the Legislature made it possible for schools to sell bonds for projects with the intention to pay those bonds off through sales tax revenue.

It also gives schools the security of knowing that they'll have access to this funding for smaller projects that don't require selling bonds. By extending the collection through 2051, schools can now plan to have that annual revenue for the next two and a half decades.

Our current RPS expires in 2031, and we are joining most Iowa schools who are updating their revenue purpose statement to to align with the new law, through 2051.

Is this a vote to increase my property taxes?

It is not. The Revenue Purpose Statement is not a vote to increase your property tax. It is a vote to extend the district's access to the sales tax collected statewide that is distributed to all schools and the ability to use those funds on a variety of infrastructure projects through 2051. It does not raise property taxes.

What does the sales tax revenue that is distributed to Williamsburg Schools get used for?

Generally speaking, the sales tax revenue is spent on infrastructure related projects such as major repairs, renovations, additions, transportation purchases, and technology. The intention of the Iowa Legislature is that the funds are spent on infrastructure projects.

When is the election?

The election will be Tuesday, March 5, 2024. In order for the RPS to pass, a simply majority or 50% + 1 voter must approve it.

Is this sales tax revenue purpose statement unique to Williamsburg?

No, it is not. The funding is distributed to all schools in Iowa, and you can find many schools that have already updated their revenue purpose statements to include the Legislature's recent extension.

I'll be sharing more information on the Revenue Purpose Statement, ballot language, and the importance of the sales tax revenue to our district in upcoming posts.