HOPKINSVILLE, KY (CHRISTIAN COUNTY NOW) – New legislation in Kentucky has adjusted the process in which school systems set their property tax rate for this fiscal year. In order to be in compliance, the Christian County Board of Education has taken the first steps to possibly pursue a 4% levy that will be voted upon at an upcoming meeting.

The new House Bill 757 revises requirements for school districts when completing tax rate adoption. The board is required to propose a tax rate in a public meeting, run an advertisement for two consecutive weeks, and adopt a tax rate in a public meeting. The initial step in this process was taken during the Aug. 6 meeting.

One cent increase discussed, uses for revenue

Their proposed real property tax rate is 40.0 cents for this fiscal year, which would be a one cent increase from the current 39.0 rate. This rate includes a 4% levy which does not increase the property tax rate by 4% and instead increases the district’s incoming revenue by 4%.

This slight raise would create an additional $500,000 in revenue for the CCPS general fund and would add roughly one dollar to every $100,000 in property assessments, according to Superintendent Chris Bentzel. The school district is not responsible for property assessments.

“One of the things we are always looking to do, and this is just for reference, is give salary increases. We didn’t give on last spring, and the only way we can give a salary increase is through general fund dollars,” said Bentzel.

The compensating rate without the levy would be 38.5 cents, which would cost the district a significant dip in revenue.

First vote fails, next steps to approve tax rate

Finance Director Jessica Darnall clarified that they were not voting on the rate during the meeting. Once the board accepted the proposed rate, it can be lowered at the upcoming meeting if they see fit, but board attorney Jack Lackey advised that they do not exceed the 40.0 rate that is being discussed.

The vote to approve the advertisement of the rate failed, with Lindsey Clark and Ambrea Watkins voting against it. Chair Tom Bell abstained from the vote due to his anticipated resignation at the end of the meeting.

After further discussion and clarification about the process for approving the rate, the motion passed with Tom Bell abstaining and Lindsey Clark voting against. Erin Westerfield, Rebecca Pepper and Ambrea Watkins voted in favor.

According to the House bill, no public hearing is required unless the rate proposed is more than the 4% rate, which is not the case for CCPS. Discussion and a vote will take place during the Aug. 20 board meeting.

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