Thursday, September 10th, 2015

New Bremen board seeks override of Kasich's veto of tax reimbursements

By Claire Giesige
NEW BREMEN - School board members passed a resolution Wednesday asking state legislators to override Gov. John Kasich's recent veto of tangible personal property tax reimbursements.
In the past, the tangible personal property tax applied to local businesses' machinery, inventory, furniture, fixtures and similar items. In 2005, the state legislature eliminated the tax to boost Ohio business. The state then committed to reimburse school districts for the lost value of that tax.
Most school districts were not greatly affected, treasurer Deb Meyer said, but the change had a significant impact on the New Bremen district.
"With us having Crown in New Bremen, ours was large," Meyer said.
While TPP was in effect, New Bremen received about $1.2 million per year, Meyer said. After it was eliminated, the state reimbursed the district about $515,000 per year. If Kasich's decision stands, that amount will be phased out.
"With this, we will lose $145,000 in funding each year, starting next year, until that $515,000 is at zero," Meyer explained to the board.
In the recently approved 2016-2017 biennial budget, Kasich vetoed a measure considering the reimbursements. State Rep. Jim Buchy, R-Greenville, and Ohio Senate President Keith Faber, R-Celina, voted to maintain the payments, but Kasich revoked the intended funding, according to the resolution passed by the board.
The resolution Meyer proposed asks Faber and Buchy "to introduce and sponsor legislation to override the gubernatorial veto and restore the TPP reimbursement hold-harmless provision."
"The interesting thing is that both the senate and the house voted to keep this intact. It was only the governor who vetoed it. So our legislators were OK with it, and I think that's the important part. We can appeal to them on that," Meyer said.
With district officials looking at deficit spending in their five-year forecast, every bit of state funding counts, she added.
"The only other option you have if the veto isn't overturned is to go to the voters and ask them to make up the difference," board member Doug Hall said.
The board unanimously approved the resolution.
Board members also,
• reviewed district goals for the upcoming school year as presented by superintendent Andrea Townsend. She outlined four goals: to analyze Ohio's new local report card and improve programs and academic achievement, to work with Garmann/Miller & Associates of Minster and the community on the proposed new building project, to work with the treasurer and the leadership team to stop deficit spending and to explore team-building activities among board members, the treasurer, principals and superintendent.
• approved an interim services agreement between the district and Garmann/Miller for pre-bond work on a new or renovated K-6/8 building that may be submitted to the voters for approval during the May 2017 elections. The contract specifies the fee will not exceed $35,000. Meyer said the amount was typical for pre-bond work on a district of New Bremen's size.
• accepted the annual appropriation. The total of $11,011,098 is a 2.1 percent increase over last year's appropriations.
• approved the recommendation to purchase a robot for the Tri Star Career Compact electronics program. The robot costs $44,199. More than 50 percent of the cost has been covered by donations. The rest is to come from Tri Star's technology fund.
• heard a presentation from New Bremen FFA members and Ag Boosters. Students told the school board about their goals and events for the upcoming school year.
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