School building project's impact on taxpayers is slightly less than projected

On Monday, Sept. 10, the New Rockford-Sheyenne School District (NR-S) held its public levy meeting for citizens to comment on its budget and proposed tax levy for 2019.

Superintendent Jill Louters explained to the board that the valuation went up by approximately $591,000 across the district’s territory in four counties, including Eddy, Benson, Foster and Wells counties. The total taxable valuation is now $14,832,882.

NR-S is proposing a 13.27 mill increase, all due to the general obligation bond for building improvements approved by voters in October 2017. The proposed increase equates to $59.72 for a residential property valued at $100,000, or $66.35 for agricultural or commercial land with the same value. This is lower than proposed by the district in 2017. Prior to the bond election, the district projected 14.17 mills would be needed, a $63.77 increase for a $100,000 home and a $70.85 increase for each $100,000 in value for ag and commercial property.

General Fund property tax revenue is projected at $1,023,320, or 68.99 mills. The number of mills is the same as last year, but due to the higher valuation reflects a $25,000 increase. Louters recommended that the $25,000 be applied to Operations & Maintenance, as through the budgeting process that line item was pared down considerably.

Eddy County Treasurer Kathy Anderson was present and stated that the Eddy County Commission has elected to cover the costs of distributing estimated tax statements through the county’s general fund and will not be billing the other local entities; however, other counties may choose to bill the school district for a portion of their preparation and mailing costs.

A note of clarification on the new budgeting process: per communication received by county auditors in May, Louters said school districts may adjust budgets up or down between the August preliminary budget and Oct. 10 final budget deadlines with county approval, since the statute is silent on the matter. However, cities and other taxing authorities are not allowed to increase their budgets after the August preliminary deadline.

The building fund levy will total $148,328, or 9.86 mills, slightly less than in the recent past when the district has levied 10 mills. Louters said that the building fund covers other ongoing maintenance needs not addressed by the $3.25 million improvement project. Potential priority items include security improvements, sound system upgrades, new flooring, etc. Per Business Manager Janet Heskin, the ability to levy up to 10 mills for the building fund was approved by district voters during the reorganization in 2006.