Voting on school bond and tax measures
From Ballotpedia
States
Colorado
- Main article: School bond and tax elections in Colorado
Colorado has two different types of ballot measures that are required under two different laws.
- The Taxpayer Bill of Rights from 1992, which became Section 20 of Article 10 of the Colorado Constitution.
- Local measures mandated by the School Finance Act of 1994.
- Under TABOR, local voter approval is required if the school district wants to exceed its tax levy above the normal rate of inflation set by the consumer price index.
- Under the School Finance Act of 1994, voter approval is required when a school district wants to exceed the limit for raising its Total Program Budget. The Total Program Budget is a combined budget that includes the district's general fund, special education and other costs. Under this act, a school district that wants to exceed the previous year's Total Program Budget by more than 125% must put plan before the voters. This type of ballot measure has rarely been used; it is considered to be a last resort option.
Colorado law imposes limits on when school districts can hold special elections.
- In even-numbered years, school districts can only hold special elections on pre-established general and primary election days in May and November.
- In odd-numbered years, special school district elections can only occur on the first Tuesday in November.
School districts that want to exceed their TABOR limit can sometimes combine this request with a city TABOR request.
Delaware
- Main article: School bond and tax elections in Delaware
In Delaware, school districts are required to have elections to approve excess or reduced tax levies or to issue new bonding. Delaware is one of a handful of states that require school districts to seek approval from state government as part of approving a bond issue. In Delaware, all bonds must approved by the Delaware Attorney General before an election is called by the respective school board. Delaware has the least restrictive requirements for conducting an election because there are no mandatory notice requirement. Also, all school finance elections are considered to be special elections. Also, Delaware school districts can ask the voters for an additional surtax of ten percent to cover delinquencies in addition to whatever tax increase they ask the voters for.
Florida
- Main article: School bond and tax elections in Florida
In Florida, referendums are required for school districts wanting to exceed the state's millage limit and to issue new bonds. Florida is one of a few states that has a debt limit that is protected by their state constitution. The Florida Constitution sets a 10 mill limit for all school districts. The school district can only ask the voters to increase the millage in either two or four year increments. Florida allows new bond issues for school districts, but for only capital improvements. School bond and school millage elections are run differently in Florida. Bond elections are fully run by the school district while a millage election is run by the respective county election commission. Millage elections are required to be run under the same rules like any other general election in Florida.
Georgia
- Main article: School bond and tax elections in Georgia
In Georgia, school bond and tax elections are protected by the Georgia Constitution. Georgia has a 20 mill levy limit protected by the Constitution. School districts can only have a referendum in order to exceed the levy limit or eliminate the levy itself. Also, Georgia funds capital outlays differently than other states using a county sales tax. The voters in a respective county through a referendum can vote to approve an additional sales and use tax of one percent to fund capital outlays. Georgia allows capital outlays for capital improvements to facilities and debt retirement. The sales tax only can be used for five years after the date it is first implemented.
Illinois
- Main article: School bond and tax elections in Illinois
Illinois mandates three types of school bond elections. One is for issuing bonding for new construction and capital improvements. Since 2006, Illinois has had referendums over the property tax cap which is governed under the The Illinois Property Tax Cap Act of 2006 in which requires voter approval if a school district wants to exceed their property tax cap for up to four years. The other type for Referendum is a Chapter 20 referendum. Under Chapter 20, a school district must have voter approval if the voters petition for a Chapter 20 referendum. Chapter 20 can be used to create a working cash fund to pay liabilities as long the school district serves a city, town, or village less than 500,000 in population.
Indiana
- Main article: School bond and tax elections in Indiana
In Indiana, a ballot measure is required for a school district exceeding the property tax revenue limit, to issue new bonding for new construction or capital improvements, or to issue new property taxes to pay the mandatory excess property tax credit through exceeding the referendum tax levy. Indiana sets strict time frames on elections requiring six months to elapse at minimum when a school board approves a resolution to the day of the election. Indiana requires school districts to wait exactly one year if a referendum is defeated before re-starting the process of issuing a ballot question to the district's voters. Also, Indiana sets maximum caps on bonding for capital improvement projects and new construction by putting bonding into three classes. This prevents voters from dealing with the prospect of high priced bond referendums which are common in neighboring states. Indiana also issues excess property tax credits to taxpayers if a school district's taxes exceed a set threshold depending on property class.
Iowa
- Main article: School bond and tax elections in Iowa
Iowa like other states requires a ballot measure if a school district exceeds the Physical Plant and Equipment Levy (PPEL) limit and to issue new bonding. Iowa has a school district budget growth limit, but that limit is set by the Iowa Legislature and approved by the Iowa Governor when the Iowa State Budget is deliberated. The current growth rate for public schools statewide is at four percent.
Kansas
- Main article: School bond and tax elections in Kansas
Kansas requires ballot questions for issuing new bonding and exceeding the capital outlay levy cap. In Kansas, no capital outlay levy can exceed five years in length without voter approval. Also, ballot questions are mandatory in Kansas for issuing new bonds. In Kansas, a school district cannot have more than fourteen percent of its debt come from bonds. Kansas is one of a handful of states that requires school districts to seek approval from the state government before having a ballot question presented to the voters to issue new bonds.
Maryland
- Main article: School bond and tax elections in Maryland
Under Maryland law, all new bonding for school districts and extensions to tax levies must be approved by a County Board of Commissioners. Maryland is one of three states to structure their school districts at the county level over individual municipalities. Only Nevada and South Carolina align their school districts countywide. The only part of the state that requires bond elections is Baltimore County. Only the County Executive of Baltimore County can call for a bond election.
Massachusetts
- Main article: School bond and tax elections in Massachusetts
Massachusetts is one of a few states that do not require elections involving school bonds or taxes. School districts are required to seek approval from the Massachusetts School Building Authority in order to receive any bonding or other aid in completing capital projects. The Commission requires school districts to seek the most cost-efficient proposal possible when considering applications for financing capital projects. A formula is used to determine which districts receive funding. Priority is given to school districts facing overcrowding, building issues, or to be in compliance with a state or federal court order.
Michigan
- Main article: School bond and tax elections in Michigan
Michigan requires ballot question elections if a school district wants to issue new bonding or exceed the sinking fund levy limit or property tax cap set by law. Michigan law restricts how school districts can use excess levy limit election proceeds if approved. Also, Michigan has some of the toughest school bond laws in the nation requiring approval by the Michigan School Bond Qualification and Loan Program which is guaranteed by the Michigan Constitution. Also, Michigan is different from other states as they express their property tax cap in the number of mills over a mathematical formula other states use as this is protected by the Michigan Property Tax Limitation Act of 1933.
Minnesota
- Main article: School bond and tax elections in Minnesota
Minnesota requires a ballot measure to issue new bonding for schools, to exceed the revenue cap, or to equalize a levy. Minnesota only mandates a simple majority for passing school bond ballot measures, however the measures must be placed in a goldenrod ballot separate from the main ballot during an election. Also, citizens are granted the right to petition for special elections related to school bonds.
Missouri
- Main article: School bond and tax elections in Missouri
Missouri mandates four types of school bond and tax elections. First is to issue new bonding for capital improvements and new construction and also if a school district wants to exceed its debt limit known as a debt ceiling. Also, there are elections mandated if a school district wants to exceed a basic operating levy. The basic operating levy and the debt ceiling levy differ as the debt ceiling is a limit on all outstanding levies. Lastly, if a school district wants to revise a existing levy to increase or decrease it, a Proposition C referendum is mandated. Missouri also has tough super majority requirements as a bond issue requires a four-sevenths vote (57.15%) while any levy referendum involving excess levy, debt ceiling levy, or a Proposition C levy referendum requires a two-thirds super majority vote (66.7%) for approval. Missouri is one of a few states that requires super-majority approval from the voters to approve a ballot measure related to school finance.
Nebraska
- Main article: School bond and tax elections in Nebraska
Nebraska mandates ballot questions for three different types of school finance issues. Elections are mandated for exceeding the Maximum Levy Cap, the growth rate, and issuing new bonding. Nebraska is one of few states that use a growth rate or revenue cap to limit the amount of revenue growth school districts can bring in from assessing property taxes. The growth rate is 4.5% which includes a base limit of 1.5% and an additional 3% the district can go over. Nebraska has a maximum levy limit law, but similar to North Dakota and West Virginia they have different levy caps for different classes of property. Nebraska allows school districts to issue new bonding for new construction and capital improvements.
New Jersey
- Main article: School bond and tax elections in New Jersey
New Jersey is different from other states that require voter approval for a school district's annual budget. The budget must be approved by voters during a specially designated school election in April. Also, New Jersey has strict laws that if any school district is seeking to do capital improvements that any new bonding issued for capital improvements requires a ballot question. All bond funding is guaranteed through the New Jersey Public Schools Loan Assistance Fund. In order to keep operating, the State of New Jersey must have $105 million on hand at the bare minimum to issue bonds. Also, a ballot question is required if a school district seeking to exceed its levy limits does not get authorization from the New Jersey Commissioner of Education. A three-fifths (60%) super majority is required for levy limit elections while bond referendums require a simple majority.
Nevada
- Main article: School bond and tax elections in Nevada
In Nevada, a bond election is mandated if a school district needs to exceed the fifteen percent debt limit set by Nevada law. Also, if a school district wants to issue bonding to build new facilities or improve existing ones, voter approval is required. Nevada is a initiative and referendum state that requires a citizen petition before any ballot measure can be placed.
North Carolina
- Main article: School bond and tax elections in North Carolina
In North Carolina, school districts are only required to hold elections if a school district needs to exceed debt limits mandated by the North Carolina Constitution. North Carolina is one of three states that has a constitutionally mandated debt limit for school districts. Ohio and Oklahoma are the other two states. Under North Carolina law, a school district cannot take debt that exceeds two-thirds of their current debt without voter approval. The provision in the Constitution is for all local government units including school districts. However, North Carolina does not mandate elections for bond issues and exceeding levy caps. County Commissioners where the school district is located have the final say if a budget or a levy is approved. All bond issues must be approved by the state government.
North Dakota
- Main article: School bond and tax elections in North Dakota
In North Dakota, voting can occur on three different kinds of school tax levy ballot measures:
- General fund levy. This is for basic funding for the school district, such as maintenance costs, teacher salaries and basic costs of operations.
- Capital Improvement levy. This is to fund new construction and capital improvements for school districts as this is a separate levy.
- Distance Learning fund levy. This levy is designed for school districts to create a levy only for distance learning programs.
North Dakota like Missouri, Oklahoma, South Dakota, and West Virginia have tough super majority approval requirements. Any levy for capital improvements must have a three-fifths (60%) super majority vote while any general fund levy election question must have a fifty-five percent super majority. A distance learning levy only requires a simple majority.
Ohio
- Main article: School bond and tax elections in Ohio
Ohio like Michigan and Oklahoma expresses its property tax cap limit in the amount of mills using the mill rate formula over an mathematical formula. Ohio has a ten mill limit that is protected by the Ohio Constitution since 1953. Also, Ohio requires approval for any new bonding by the Ohio School Facilities Commission. Ohio uses an adjusted valuation per-pupil formula to determine which districts should get bonding. Districts with the lowest ratings are given first consideration.
Oklahoma
- Main article: School bond and tax elections in Oklahoma
Oklahoma like Ohio, Michigan, and South Carolina expresses its property tax cap limit in the amount of mills using the mill rate formula over an mathematical formula. Oklahoma has a five mill limit that is protected by the Oklahoma Constitution. Oklahoma is different from other states as they use the five mill limit for issuing bonds, bond taxes, and exceeding the levy limit. Oklahoma requires a 3/5 super-majority vote to approve bond referendums while referendums involving the five mill limit only require a simple majority vote.
Pennsylvania
- Main article: School bond and tax elections in Pennsylvania
Pennsylvania requires bond elections for exceeding the property tax ceiling or issuing new bonding. There are two major laws govern school finance in Pennsylvania. The Pennsylvania Special Session Act of 2006 covers the property tax ceiling as school districts are required to have a referendum if it exceeds a index set by the Pennsylvania Department of Education which changes every year. However, there are causes including court orders, and emergencies that districts are exempt under the law. Also, the cities of Pittsburgh, Philadelphia, and Scranton are exempt from the 2006 law.
The Pennsylvania Local Government Unit Debt Act of 1996 covers all bond issues in the State of Pennsylvania. Both laws are different on the required notice for a election and the mandatory elapsed period between when a school district approves a resolution and an election. There is also a mandatory cooling off period of 155 days for re-issuing a ballot question for a bond issue while the Special Session Act of 2006 mandates no cooling off period for re-issuing ballot questions.
South Carolina
- Main article: School bond and tax elections in South Carolina
In South Carolina, two types of elections are mandated involving school finance. South Carolina requires ballot questions to issue new bonding and to exceed the fifteen mill levy limit. South Carolina is one of four states that expresses levy caps using the basic mill rate formula over a lengthy formula. South Carolina runs all school bond elections as special elections regardless on which date the election is held.
South Dakota
- Main article: School bond and tax elections in South Dakota
Under South Dakota law, school districts are required to hold elections for bonding issued through capital outlays. However, South Dakota does not require elections for school districts seeking to exceed the levy cap. South Dakota requires a super-majority vote in order to approve a bond measure. A sixty percent majority is needed in order to pass a bond election. Also, school districts that have voter approved capital outlay certificates are required to live up to a five year plan. South Dakota strictly mandates a five year plan that discloses how school districts will spend the money if it is approved by the voters.
Tennessee
- Main article: School bond and tax elections in Tennessee
Tennessee is one of a few states that does not hold school bond or school tax referendums. Under Tennessee law, all tax levies must be certified by the county in which the school district resides in. Also, all bonds in Tennessee must be sold at 98 percent of its value or higher with zero (0%) percent interest. All bonding must be approved by the Tennessee State Funding Board.
Texas
- Main article: School bond and tax elections in Texas
Texas is different from other states as they only do elections to issue new bonds or to raise taxes on current bonds. Texas is one of a few states that do not set caps on property tax levies. There are hardly any restrictions when school districts can place measures on the ballot.
Virginia
- Main article: School bond and tax elections in Virginia
Virginia is different from other states as the state does not assess property taxes at the statewide level. The mandate for a ballot question for issuing new bonding or to extend a bond depends on who proposes the ballot question. If a county wants to provide bonding to two or more school divisions a ballot question is required. If the request comes from the school division or the municipal level, no ballot question is required.
West Virginia
- Main article: School bond and tax elections in West Virginia
West Virginia requires ballot measures for any school district that wants to exceed the levy cap, issue new bonding, or issue new bond taxes. In West Virginia, levy caps are set on four different classes of property with four different levy limits. In order to pass a levy cap election, a simple majority is required. Any election that requires new bonding or bond taxes must pass through a super-majority of three-fifths for bonding to be approved (60%). Also, school districts are required to have a cost estimate from civil engineer and have approval of the West Virginia Attorney General before having bonds issued.
Wisconsin
- Main article: School bond and tax elections in Wisconsin
Wisconsin has a revenue cap that limits the amount of property tax revenue school districts can bring in. If any school district wants to exceed revenue limits, they are required to have a ballot measure. Wisconsin also requires ballot measures for any school bonding that exceeds $1 million dollars. However, Wisconsin has generous exemptions for school districts required to hold bond elections. School districts are exempt from voter approval to issue new bonding if a district is ordered by a state or federal court to remove hazardous substances or to be in compliance with fire standards. Also, school districts are exempt from bond elections if they are purchasing or detaching property from a former consolidated school district.
See also
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