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TAX ALERT: Taxpayers Association Opposes Extravagant Nebo School District Bond

Salt Lake City—The Utah Taxpayers Association today announced its opposition to the Nebo School District’s proposed $160 million bond on the Tuesday, June 23, 2009 primary election.

“Nebo taxpayers simply can’t afford to pay another $302 per year in taxes,” said M. Royce Van Tassell, vice president of the Utah Taxpayers Association. “The Nebo School District’s extravagant $160 million bond ignores the financial pain Utah taxpayers are already facing. Raising taxes is the absolute worst policy Nebo School District can pursue during a recession of these historic proportions.”

The current recession is the worst recession in at least 30 years. Since July 2008, Utah unemployment has increased, and state forecasters do not expect job growth to increase before the end of 2010. The value of the S & P 500 plummeted more than 50 percent in the 18 months between October 2007 and March 2009. Taxpayers have felt the impact of this economic downturn by cutting back on consumer purchases, as indicated by a 10.4 percent decrease in Utah’s sales tax collections this year.

“Nebo School District has violated the spirit, if not the letter of Utah’s law regarding special elections,” continued Van Tassell. “This $160 million bond will be the only election conducted in June. Without even a municipal primary election happening at the same time, it’s hard to avoid the conclusion that the Nebo School District chose the June election to minimize voter turnout, which is expected to be less than 5 percent.”

“There is little doubt that the Nebo School District continues to grow rapidly, and will need to build additional buildings,” concluded Van Tassell. “If the District is confident that taxpayers won’t view their proposed buildings as ‘Taj Mahals,’ why aren’t they waiting for the November election, when far more taxpayers will be going to the polls?”

The Utah Taxpayers Association is a non-profit membership organization representing thousands of individuals and businesses across the state. The Association is the only organization that devotes its entire efforts to making sure Utah has lower taxes and an efficient government.

Polling Locations

Santaquin Elementary
25 S 400 W Santaquin, UT 84655

Springville High
1205 E 900 S Springville, UT 84663

Spanish Fork High
99 N 300 W Spanish Fork, UT 84660

Goshen Elementary
60 N Center St Goshen, UT 84655

Mapleton Jr High
1200 N 500 E Mapleton, UT 84664

Salem Hills High
150 N Skyhawk blvd Salem, UT 84653

Payson High
1050 S Main St Payson, UT 84651


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8 Responses to “TAX ALERT: Taxpayers Association Opposes Extravagant Nebo School District Bond”

  1. Jan M Levi says:

    I usually agree with the Utah Taxpayer Association’s stands on issues dealing with taxes. But in this case I simply can’t. Your statement that taxpayers can’t afford a $302 tax increase is so misleading that what you are doing by make that statement is far worse than what you accuse the Nebo district of doing.

    The facts are correctly stated in the information that Nebo has included in pamphlets mailed to voters, in several meetings held to explain the bond, and in the presentation on the district’s website. If Nebo has $0 in existing debt, which it does not, the amount of taxes paid by by Nebo taxpayers would increase from $0 per year to $302 per year. Nebo has wisely structured their bonds so this additional debt will extend current bond payments, at their current levels, for an additional five years. Nebo’s current bonds are scheduled to be paid by 2022. If this bond passes taxpayers will pay the same amount they are currently paying for an additional 5 years. They will pay more taxes over that time, but the yearly tax bill will not increase if the bond passes.

    The accompanying voted leeway, which is necessary to fund the day to day operations of the new schools (teacher salaries, heating and cooling costs, maintenance, etc.) will raise taxes less that $14 a year on a home valued at $240,000.

    I ususlly support the Utah Taxpayers Association. On this issue I am supporting Nebo School District. Your statement is intentionally deceptive. I have attended the informational meetings and Nebo has openly addressed all of these issues and answered all questions honestly and without hesitation.

    This bond is needed. Students in the Nebo district need the schools and improvements it will provide.

    Jan M Levi

  2. Rick says:

    After viewing the Nebo School Distric presentation on this topic, a few thoughts and questions came to mind (in no particular order):

    - What are the opportunity costs? (At this price, what better alternative is there for the children than to just hand more cash to an apparently entitled organization?)
    - Why was this pushed through so fast? And why during a time of year when so few people will participate?
    - Are you really going to let a few thousand people speak for all residents in the district???
    - Why does Nebo School District think the approval of the bond/leeway is a done-deal already?
    - Why didn’t Nebo School District do their planning correctly 5 years ago?
    - Does this mean that yet *another* bond is likely to be pursued again before the current plans are seen through?
    - You have no idea how this recession will play out over the next 10 years.
    - Why do you project future move-in rates based on what we’ve seen over the last several years? The housing situation today is not at all what it was 12 months ago.
    - You’re now making a 10-year forecast. Why did you get the last 10-year forecast so wrong? What else are you getting wrong now? …and so why should we hand you another $160m?
    - What is the source of the data you used in your projections?
    - What measure to you have of the success of the current schools and teaching methods being used? How can we be sure that we’re not just throwing money at a mediocre process? What are you doing to *improve* the education of the children, rather than being content with status quo?
    - You’re doing long-term planning in the K-12 years – If this many students are going through our schools over the next 10 years, what are the prospects for those students’ continued education locally or nationally? What provisions are being made for their long-term success?
    - Why are you needlessly spending taxpayer money in the pursuit of more taxpayer money? This ballot could have been more cheaply hosted by the county. It seems you’re in a rush to grab the money right out of my wallet. This attitude is unbecoming.
    - Why was there not enough time given for the general public to register for this special vote?

    I’d really appreciate some answers.

  3. Lewis Barnavelt says:

    Perhaps the Utah Tax Payer Association should recommend smaller family sizes. That is the root of the problem.

  4. admin says:

    As the Association made abundantly clear throughout the debate over the Nebo School District’s June bond, the biggest problem with the bond was the district’s decision to hold the bond election in June. It’s hard to avoid the conclusion that the District consciously tried to suppress voter turnout.

  5. admin says:

    The Nebo School District repeatedly took issue with the way the Legislature characterizes the tax increase Nebo’s proposed (now approved) bonds would enact. That discussion is for the Legislature to make. The Taxpayers Association merely followed the law, as enacted by the Legislature. And by the law, the bonds will create a $302 tax increase for the average homeowner in the Nebo School District.

  6. Sharlene says:

    This is such a crock of…. The tax’s paid to the school districts should be paid by the people who have kids in school!just like people who smoke pay their taxs on cigarettes, not everybody has to pay that tax!

  7. admin says:

    For better or worse, Utah has decided to collectively pay for public education. That means everyone pays taxes for education, even though some of us (like my wife and I) don’t have children, and may never have children. In other words, our taxes never pay for our own children to attend school.

  8. Immersion says:

    Did I already tell you that I love every topics on your site ?
    Thx for the info..
    I will visit again for another new interesting topic..

    Cheers,

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