ISSUE 51 on November ballot to maintain excellence in the classroom, support safety & mental health, expand literacy, math & career readiness

 Prudent financial management stretched last levy from 4 to 8 years

Won't the schools receive additional money from the increase of our property tax? My house was valued 30% higher than previously.  How does that affect the school's portion of my property taxes?

The District is expected to receive less than 2% of additional revenue resulting from the 2024 reappraisal.  While this percentage is slightly higher than our original estimate, it is still not sufficient to offset the current year (2024-25) operating deficit.  When we passed our last levy in 2016, we indicated that we would be back on the ballot in 2020. However, we were able to stretch that levy another 4 years and unfortunately at the same time as reappraisal.      
Your specific house appraisal of 30% will not result in a property tax increase of 30%.  The majority of the school taxes, roughly 90%, will be subjected to the reduction factors that you see on your tax bill and generate the same revenue as the year prior.  The remaining 10% will ultimately generate less than 2% additional revenue as mentioned above.  
And finally, Mayfield City Schools collect 59 only cents of every tax dollar paid with the remaining 41 cents going to Mayfield Heights, Mayfield Village, Highland Heights, Gates Mills or Cuyahoga County.  

Is the levy considered inside or outside millage? Is it based on the 2024 reappraisal?

 The levy is considered outside millage.  Inside millage is provided by the Ohio Constitution and is not subject to public vote. It is limited to 10 mills and the school district receives a portion (5.02 mills) of that. 

Outside millage is voted on by the public, and the amount collected by that millage is tied to the value of a property in the year a levy is passed, so the amount the district collects on the levy does not increase if the appraised value of the property increases. The levy on the ballot in November is based on 2023 property values, and not the new appraised values for 2024.

The Cuyahoga County Budget Commission estimates the proposed 5.0-mill continuing expense operating levy will collect $7.743M annually as calculated using the 2023 total assessed value.  Assuming that reappraisal for 2024 increases the total assessed value by 20% on existing or carryover property, how will this affect the collections and tax rate?

A levy that goes on the ballot based on 2023 assessed values and experiences an increase in assessed value due to reappraisal is subject to a reduction calculated for the first year (2024), even though no taxes were charged in the prior year (2023).  If the county certifies a tax collection from a 5.0- mill levy of $7.743M and reappraisal causes a 20% increase in existing property, then the tax rate would be reduced by 20% or to 4.0 mills to generate the same level of revenue.

What is your "Targeted Cash Reserve Level" and which funds does it include?

Targeted cash reserve level is a reference to a targeted cash carryover value from one fiscal year to another.  The only fund involved is the general or operating fund and our threshold is derived from 25% of the current year's General Fund expenditures or the equivalent of 90 days.  This is done to offset the threat of 3 Significant Risk Factors each representing a 30-day cash reserve requirement.

• Economic - a significant downturn in key economic factors could result in the closure or relocation of a principal taxpayer such as Progressive Insurance, Rockwell Automation, Parker Hannifin, etc.

• Cash Flow - a delay in the payment of taxes during normal collection cycles can significantly disrupt operations. 

• Legislative - the Ohio General Assembly establishes budget values to support primary and secondary instruction in 2-year increments. However, the General Assembly legislates changes in the Ohio Tax Code and other areas throughout the legislative calendar.  

The ballot language appears wordy and a little confusing, why can’t you simplify it so it is more straightforward and easy to understand as a voter?

The Mayfield Board of Education has very limited input into the ballot language. In fact, the only real input they have is the type of levy and levy amount.  All other factors are determined by the Cuyahoga County Board of Elections in consultation with the Ohio Secretary of State.

I see that the District recently spent $20M plus dollars on improvements to a number of its buildings. Why didn’t they just use that money in lieu of asking for another tax levy? 

The $20M plus dollars came from the District’s carryover cash reserves. These funds are used for one-time expenses like capital improvements (ie. fixing a roof) versus spending on day-to-day expenses like paying operating costs (ie. mortgage).
When the District passed its last levy in 2016, it indicated that it would be back in 4 years and was able to extend the levy cycle 8 years through prudent financial management. In the current fiscal year, projected cash outflows (expenses) surpass cash inflows (revenue), leading to an operating deficit. Although savings may offer temporary relief, they won’t fully cover this shortfall. In the long term, this could result in either increased levy millage or cuts to programs, both of which are generally unpopular. Further, District enrollment is not declining and continues to hover around 4,000 students.

Your specific house appraisal of 30% will not result in a property tax increase of 30%.  The majority of the school taxes, roughly 90%, will be subjected to the reduction factors that you see on your tax bill and generate the same revenue as the year prior.  The remaining 10% will ultimately generate less than 2% additional revenue. While this percentage is slightly higher than our original estimate, it is still not sufficient to offset the current year (2024-25) operating deficit.  

When we passed our last levy in 2016, we indicated that we would be back on the ballot in 2020. However, we were able to stretch that levy another 4 years and unfortunately at the same time as reappraisal.       

And finally, Mayfield City Schools collect 59 only cents of every tax dollar paid with the remaining 41 cents going to Mayfield Heights, Mayfield Village, Highland Heights, Gates Mills or Cuyahoga County.

How long is the levy expected to be collected?

The District has implemented a number of voluntary staff buy-outs, to reduce the total number in certain employment groups and/or to achieve savings by replacing with a new hire.  Additionally, the District and its union partners have worked collaboratively on contracts settlements that recognize the projected financial stresses while offering fair and competitive employment packages.  Most recently, the base increases 1%, 1.5%, 2.5%, and 3% and continue to include health insurance rate caps providing important safeguards to both groups.

Operationally, the District has implemented a number of capital programs to improve not only the safety of the buildings but also to improve efficiency.  The District utilized a portion of its Federal stimulus money stemming from COVID to replace antiquated window and window systems at Millridge Elementary and the High School as well as implementing a new HVAC management system.  Additionally, the District evaluated its utility consumption and purchasing programs (adding a solar panel to the HS campus) and has saved in excess of $500K annually since 2020.

Finally and since the last levy passed in 2016, the average annual operating expense percentage change has averaged 3.0%.  Typical school district inflation averages between 4-6%.  We will always strive to stretch our dollars without compromising student achievement.

ISSUE 51 on November ballot to maintain excellence in the classroom, support safety & mental health, expand literacy, math & career readiness

 Prudent financial management stretched last levy from 4 to 8 years

MAYFIELD CITY SCHOOLS – JULY 17, 2024 – The Mayfield Board of Education voted unanimously during the July 10, 2024 regular Board of Education meeting to place a 5.0-mill operating levy on the ballot for the upcoming November 5, 2024 election. 

  The levy will cost the homeowner of a property with a fair-market value of $100,000, $175 a year or $14.58 a month.

   This levy request marks the first time in over eight years Mayfield City Schools have sought additional financial support from the community due to the district’s focus on responsible financial planning.

   The levy is vital for maintaining our schools’ daily operations, ensuring our teachers and staff continue to deliver high-quality education and prepare our students for their futures. 

   The funds from this levy will be allocated to several critical areas:

Safety Enhancements: Improving and enhancing school security efforts through the installation of additional cameras and upgrading the security of windows and entrances.  

Increased Student Services: Funding additional mental health support, counseling, and other interventions to ensure that students are ready and able to learn effectively.

Expansion of Early Education Programs: Enhancing early literacy and math initiatives. Mayfield recognizes that literacy and numeracy are fundamental to all learning and is dedicated to equipping every student with these essential skills.

Career-Readiness Programs: Expanding career-readiness programs for high school students to prepare them for careers in healthcare, construction, trades, engineering, and other high-demand fields. The demand for these programs is so high that Excel TECC currently must turn away 400 students each year, including 100 Mayfield students.

   Mayfield City Schools are committed to managing funds responsibly and efficiently. Passage of the levy will prevent budget cuts and stabilize district funding for at least the next four years.  

   Moreover, the levy will help preserve the academic programs, staffing and extracurricular activities that contribute to our 5-Star rating on the State Report Card and our remarkable 99% graduation rate.