By Katie Pedersen and Kyle Williams

On Tuesday, November 8^th, we have a chance to vote “Yes” for City Schools of Decatur.  Tomorrow, Decatur voters decide whether to continue the Special Purpose Local Option Sales Tax (SPLOST) by answering “Yes” or “No” to a very long, legalese question that begins “Shall a special one percent sales and use tax for educational purposed continue to be imposed in DeKalb County for not longer than 20 quarters, beginning July 1, 2012, to raise not more than $645,000,000 in the aggregate. . . .”

First passed in 1997, SPLOST provides a means for school systems to meet capital improvement needs through the collection of a 1% sales tax.  SPLOST is not a new or additional tax – it is already a part of our 7% sales tax.  But the sales tax will expire in the next few months unless we ‘Locally Opt’ to keep it in place.

Since its inception, SPLOST has funded 38% of all capital projects for CSD, bringing in more than $34 million dollars. Thanks to SPLOST, CSD has:

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Nothing like a post title where of three of the four words are acronyms!

Asst. Superintendent Thomas van Soelen writes in to let us know that the City Schools of Decatur has created a helpful “Frequently Asked Questions” page for the “Special Purpose Local Option Sales Tax”, which goes before voters for another vote this November.

The page features a list of 13 “frequently asked questions”, including “What is the education SPLOST?”, “What is decision-making process for a SPLOST approval?”, “How much revenue can CSD expect to bring in from the SPLOST?”, and “Can the Superintendent or staff advocate for or against the SPLOST referendum?”.

Probably some of the most interesting pieces of info are in response to questions 8 & 9.  They read as follows…

8. What kinds of projects are slated for the SPLOST IV if approved?

Potential projects include the following: continued classroom renovation at RMS, renovation of the old gym at RMS into classrooms, acquisition of facilities leased by CSD such as ECLC and 5th Avenue, payment of debt related to the General Obligation Bond, the creation of a new Central Office Building, energy-efficiency changes for HVAC and other units in the schools and additional elementary classrooms.

9. Why would a central office building be included?

Central Office employees have been working out of the Westchester building. If enrollment continues to rise, the building may again be needed to house students. The administration has looked at the possibility of renting space within the city. The approximate annual rental cost of $250,000 must come from general funds, not SPLOST funds.

In addition to the FAQ, the page features links to a SPLOST presentation, photos of completed projects, a full project list and a SPLOST resolution.

If a penny sales tax is added to the City of Atlanta’s current tax rate as a result of the transportation referendum in 2012, the city’s sales tax rate would jump to 9%, the highest in the state and higher than Charlotte’s current rate of 8.46%.  That has Atlanta Mayor Kasim Reed worried, according to the AJC.

With school capital improvement 1-cent sales tax (SPLOST) up for renewal by voters next year, Atlanta’s Mayor is rethinking his sales tax priorities.

How does this affect Decatur?  Well according to the AJC, because Atlanta, Fulton, DeKalb and Decatur share borders, they all have to agree in order to put SPLOST on the ballot.  (Uh, OK.)  That means if Atlanta opts out completely, then the other municipalities can’t even ask their residents for the penny tax.

CSD’s Bruce Roaden is quoted in the article, saying that while a project list hasn’t been compiled, the Decatur school system plans to ask its voters to renew the SPLOST and if it wasn’t renewed, funding for capital improvements would have to come from “general funds or other sources”.   This at a time when most school systems around the state are strapped for cash.

Worried Decatur residents have wondered how not renewing SPLOST might affect paying back the city’s new under-construction 4/5 Academy at 5th Avenue, as it is currently a main source of funding for the project.  Mr. Roaden tells DM that 5th Ave is financed using Certificates of Participation (COPs) paid back with general funds.  However, the school system has been thinking about including language in next year’s SPLOST renewal that would cover the costs of the COPs long term financial obligations.

But all is not lost.  Atlanta Mayor Reed’s current solution is a “fractional tax” for his city, that would keep Atlanta’s tax rate down around 8.2% with an added penny sales tax for transportation.  (Whether that would mean that Fulton, DeKalb and Decatur would also have to go with a smaller fractional tax is still not clear to me.)