Millage 2009 Information

Vote May 4, 2010

The School District of the City of Harper Woods is asking the constituency to vote on taxes that the business community is required to pay under proposal A to support schools.  This proposal does not affect the taxes of owner-occupied primary residents for homeowners.  An approval will provide continuity in the funding for our schools and will cost owner-occupied residents nothing!

This proposal is not a tax increase on the non-homestead properties, but rather a reinstatement to the 18 mills that the voters authorized to be levied in 1995.  Due to Headlee Rollbacks, this 18 mills has been reduced to a level below what the voters authorized.  This rollback will enable the School District to levy the statutory rate of 18 mills on non-homestead properties required for the School District to receive its revenue per pupil foundation allowance.

FREQUENTLY ASKED QUESTIONS

 

1. Is this Headlee Override Millage a new tax?

No.  The Headlee Override Millage will restore the 18 mills approved by the voters in 1995.  The Override Millage cannot exceed 18 mills—it will only put the millage back to 18 mills.  This roll back will recoup an estimated loss of $22,000 in operating revenue for the district each year.

 

2. If approved, how much will this proposal cost me each year?

Primary homeowners do not pay any tax under this millage and an approval would cost primary homeowners nothing.

 

3. Will my residential school taxes increase too? No.  This tax is non-homestead property and does not apply to your primary place of residence.

 

4.  Why should I vote in this millage election?

The business community is required and is already paying under Proposal A to support public schools.  This is the law and part of the State Constitution.  This proposal does not affect the taxes of owner-occupied primary residences-for homeowners. An approval will provide continuity in the funding for our schools and will cost owner-occupied residences nothing!

 

5. Why is the district seeking a Headlee Override Millage?

In 1995, Harper Woods residents renewed the Non-Homestead Millage which allows the district to levy 18 mills for ten years on industrial, commercial and some agricultural property and “second homes.” Unfortunately, a state law called the Headlee Amendment requires the 18 mills to be automatically rolled back if non-homestead property taxes increase faster than the rate of inflation or 5% whichever is less.  Due to the Headlee Rollbacks, this 18 mills has been reduced to a level below what the voters authorized. For the 2009-2010 school year, this roll back will result in an estimated loss of approximately $22,000 for the district. The district is merely seeking voter approval to assess the 18 mills that they have already authorized so that they avoid the $22,000 reduction in revenue.

 

6. How much will this cost a business in our community?

This renewal will have little effect on current taxes.  For a business with a property value of $100,000 the cost to levy the full 18 mills would increase taxes by approximately $21 per year.

 

7. Why are you asking for 18.5 mills, when by law, you can only levy 18 mills?

The 1979 Headlee Amendment to the Michigan Constitution added a provision to require a “roll back” in millage rates if the local non-homestead tax base (taxable value) increases more that the rate of inflation.  Like many other districts in the state, the School District of the City of Harper Woods requests that the voters authorize 18.5 mills even though we can only legally levy 18 mills per year.  Thus, when we experience a “Headlee rollback”, we would not have to have another expensive election to restore the business tax.

 

8. Why does the ballot show 0.5 mills if you can only levy 18 mills per year?

The district cannot levy more that 18 mills on non-homestead property each year.  However, we need to show the maximum possible number of mills needed to restore the millage to 18 mills.

 

 

9. Where do I vote?

If you are not clear as to your polling location, how to obtain an absentee ballot or make sure you are registered to vote, call your city clerk’s office @ 313-343-2510 or visit the Secretary of State’s voter website:  www.michigan.gov/sos

 

 

 

Ballot Language

 

This proposal will enable the school district to levy the statutory rate of 18 mills on all property, except principal residence and other property exempted by law, required for the school district to receive its revenue per pupil foundation allowance.

 

Shall the limitation on the amount of taxes which may be assessed against all property, except principal residence and other property exempted by law, in School District of the City of Harper Woods, Wayne County, Michigan, be increased by 0.5 mill  ($0.50 on each $1,000 of taxable valuation) for a period of five (5) years, 2010 to 2014, inclusive, to provide funds for operating purposes; the estimate of the revenue the District will collect if the millage is approved and levied in the calendar year 2010 is approximately $22,000 (this millage is to restore the millage lost as a result of the reduction required by the Michigan Constitution of 1963 and will be levied only the extent necessary to restore that reduction)

 

 

□   Yes

□    No

 

How much will this

 cost me

as a resident homeowner?

 

Nothing!