The people's voice. [volume] (Helena, Mont.) 1939-1969, 1945-03-16
THE SCHOOL
LEVIES

Levies." This deals with an analys
of the goth Montana Legislative A
sembly by the Montana Taxpayers A
sociation.
We wish to comment on items
Is, 16, and II dealing with levies fl
school purposes. Actually there wi
be no increased expenditures fo
school purposes. This article claim
that the 81 % paid by the district
and counties for the teachers retir'
ment system will average tire,
fourths of mill in taxes. The az
tuary's figures estimate s215,000 to b
collected. This would be six-tenths {
one mill
However, we must consider the fac
that the legislature instead of apprt
priating 100000 for the State Publ
School General Fund added to that al
preparation the S150000 that wa
formerly appropriated by the state TO
teachers retirement, and In addition
added another 100000 which mean
that the state appropriation for tn,
State Public School General Fund dis
tributed on the classroom unit basis
was increased by s250,0O0. This viii
be distributed to the school districts
and exceeds the amount that the
school districts and counties will hav,
to pay towards the teachers retire
ment system by about $4,000, or one
tenth of one mill, so that actually the
school districts, because of this diff
ference, can reduce the school taxes
by one-tenth of one mill.
1t is true that the 5000 increase ovei
the pre-war maximums for budgeting
for high schools will equal two-mil
levy or about 100000. However, the
taxes on the people of the state will
not be increased over previous levies
because in 1939-1940, the year before
the war, we had an enrolment of
almost $4,000 high school students, as
a base for budgeting. For the next
year the enrolment will be slightly
over $4,000 students or a reduction
of 24% in the base for budgeting.
Therefore, the increase in the maxi
mum budget for all high schools of
1910 enrolment, which is $3.50 of
the maximum high school budget that
could have been raised during the pre-
war level. Student enrolment has
dropped, therefore, the budget base
has been lowered. A 300 increase
in the maximum budget is only an
increase in harmony with the in
creased cost of living, cost of materi-
ais, etc. No increased levy will be
to raise the present maxi
mum budgets, in fact a decrease of
L2%.
Building up our reserves from $50
to a maximum of $3.50 will not in
crease taxes, because no provision
was made to make additional levies
for this purpose. Only few districts
will take advantage of this, as smaller
districts do not need that large re-
serve and are not even using the 25%
reserve. This $50 reserve is not an
but merely a cash reserve
which will be used to cash warrants
issued from July 1st to December 1st
Of the year This reserve is part of
the budget for the succeeding year
and actually saves the tax payers
money, because without an adequate
reserve it will be necessary to issue
warrants, register them, and pay So
interest. This reserve will stop the
payments of such interest. The re-
serve will have to be built up within
he present maximum limits which
las not been changed for the school
districts or the county common school
evy but have been changed theoreti-
ally for high school budgets. If levies
ire increased in any district within
he present maximum to build up this
budget it simply means that some
ime later smaller levies will be need
ID to build up the balance of the |
budget for that year.
The law which permits deferred |
budgets for repairs and requirements
S not an additional expenditure and
will not mean an additional tax to the
district For instance district with |
normal budget item of $4,000 to pro-
-ide for repairs and requirements can
lot under present war conditions, be-
ause of shortage of materials and |
nanpower, do that work; but probab-
Y they can do about $1,000 worth of
york a year. Assuming that it will
e three years before we can begin
0 take care of this backlog of depre-
iation, repairs, and requirements the
%
yorth of depreciation, repairs, and re-
lacements for each of the three
ears, or a backlog of $4,000 work
D be done, the district can set aside
1000 each year in a special reserve
D meet that backlog of $4,000 when
he postwar era comes. This may
ven save the taxpayers money, be-
ause with removal of overtime and II
reduction in cost of materi-
Is and labor after the war the S12,-
% backlog of repairs and replace
tents may be completed with less
ian the $4,000 set aside. This is
My good business.
1t is regrettable that we have an
xecutive officer of the Montana Tax
ayers Association who bemoans the
lct that the legislature made it pos
BILE for school boards and county
to apply better bust
ess methods to the administration of
lie school program.
We believe that the people should
now the truth and the whole truth.
M. p. MOE,
Executive Secretary
Montana Education Association.
You cannot control what you do
ot owni