Last night, the Bismarck School Board voted in favor of supporting the City of Bismarck's efforts to renew the Renaissance Zone tax incentive (subsidy) program.
By a vote of 3-2, with members Scott Halverson and Heidi Delorme dissenting, the board rejected the suggestion that the vote was an opportunity to force itself into the city's policy making process with regards to city decisions that affect school district revenues.
From the Bismarck Tribune:
School board member Heide Delorme said she heard from many people concerned that the zone leads to higher taxes. That becomes particularly problematic in the future if the school district needs to raise more money to fund its programs, she said.
“I am elected by the taxpayers, and I feel I need to vote how they want me to vote,” she said.
She and board member Scott Halvorson voted to oppose a letter of support.
Halvorson also touched on the money crunch facing the school district right now.
“We have got a lot of things we are going to be asking the taxpayers. We are hoping we can do whatever we need to do without increasing taxes,” he said. “It may not be a possibility.”
(Be sure to keep that warning about tax increases from Halverson in mind as it almost certainly to become an issue going forward.)
All school board members had received material and the following scripted questions to ask the city's representatives:
1. How many the of 100+ properties benefited by the program were in the city's TIF District(s)?
2. How much direct property tax revenue have these properties generated for the Bismarck School District?
3. Will the city ensure that pending expansions of the Renaissance Zone with be outside of the TIF Districts(s), so that the School District can benefit from the increased property tax revenues rather than those funds being diverted to TIF?
4. Will the city guarantee to the Bismarck School Board that it will not seek a change in state law to allow for an extension and renewal of the current TIF District(s), set to expire in 2026?
5. Is the city willing it create a requirement on itself to get expressed approval from the School District when it comes to tax exemptions affecting School District revenue?
These questions were not asked of the city, as it was clear the votes in favor of the city were pre-determined and now about to be changed with public input.