Crown Point Community Schools referendum set for May 6

Voters within the boundaries of the Crown Point Community School Corporation (CPCSC) will be heading to the polls to on May 6 to decide whether or not to extend their current referendum at a lower rate or to get rid of it altogether.

The ballot question would renew the referendum for property owners within district boundaries for eight years “for the purpose of funding academic and educationally related programs, to manage class sizes, to retain teachers, and student safety initiatives.” The referendum calls for lowering the maximum referendum tax rate from $0.21 to $0.1828.

The previous property tax increase that was approved by voters was in 2018. The ballot question states if the referendum is approved, the average property tax paid to the school by homeowners will be 21.83% and on business properties by 21.04%.

But the CPCSC insists the referendum is actually a tax cut.

According to CPCSC superintendent Dr. Todd Terrill and district chief financial officer Matt Ruess, the $0.18 in the referendum is the maximum tax rate. This would mean the tax rate would be capped at $0.18 per $100 of Net Assessed Value over the eight years of the referendum. They said the rate would not increase any further within those eight years.

Terrill and Ruess also noted there is no cumulative effect on property tax bills, so the $0.18 rate would replace the $0.21 rate and not build upon on the previous rate.

“This referendum would continue the current level of funding at a reduced maximum rate,” they said. “It is not a new tax or an additional increase. It simply extends the current funding structure with a lower cap.”

During a presentation at the March 17 school board meeting, Terrill noted the population within the CPCSC boundaries has grown by approximately 33% since 2010, swelling to 55,100 residents. He also said the average assessed value for homes within the district boundaries is $336,601. The median figure in the State of Indiana is $267,200. Terrill pointed out the assessed value of homes within the district increased by 14%.

Terrill’s presentation described the district as a “destination district, attracting high-quality educators who are drawn by the district’s reputation and supportive community.” He also noted in the presentation the average starting salary for a teacher in the district is $59,000.

In his presentation, Terrill pointed out the 4-year graduation rate for CPHS is at 97.36%, which is above the state average of 90.11%. Those who graduate with honors at Crown Point or at 57.5%, which is well above the 40.3% average for the state on the whole. Terrill also noted CPHS graduates attending the post-secondary institutions is at 92%.

At the March meeting, Ruess explained the Education Fund is comprised of expenses related to student instruction and learning while the Operations Fund is made up of non-academic expenses, such as capital projects, transportation and bus replacement among other line items. He said the other half of the money for the Operations Fund comes from property taxes.

Ruess said 85% of the State Basic Grant goes into the Education Fund and it makes up 98% of the total for that fund. He explained the remaining 15% is allocated to the Operations Fund, which makes up almost 50% of that particular fund.

Ruess said the school also as a Debt Service Fund, which is where the money for the projects around the district comes from. He said the term of the debts are usually 20 years for the district, after which they reinvest the money back into the buildings.

The Crown Point Community School Corporation receives $6,835 per student from the State of Indiana. The state average is $7,374 per student. If the district were to receive the state average, Crown Point would be receiving an additional $4.9 million from the state, Ruess said.

Terrill and Ruess said if the referendum doesn’t pass, the levy and the associated tax rate will be eliminated, but with a consequence.

“The district would need to make significant reductions to programs and services for students,” they said, “which would likely include the elimination of staff positions.”

However, some district parents are speaking out against the referendum.

Beth Uram would like to see the district hold off on the referendum until the November general election as opposed to during the primary. Uram said the additional year would provide extra transparency to voters, and she indicated the district may be using scare tactics to sway voters.

“The threats to cutting extracurricular activities is garbage in my opinion,” Uram said. “My son was in band and most of that program was funded by parents. If they are making threats like that, then cut the football program. We all know that won’t happen. I will be interested in seeing the pay increases of the school board and superintendent if this passes.”

Tami Bateman thinks like other districts, the CPCSC may not be as forthcoming with the taxpayers.

“I'm against it because of other passed referendums that the residents have been lied to,” Bateman said. “Lake Station with Polk Elementary School didn’t have transportation until it was passed, then bus service came back. And that a passed referendum is not subjected to property tax caps and can still be more than what the school tells you it's going to be.”