Saturday, February 25, 2006
Are Knox County Schools underfunded?
Since Knox County is in an election cycle it might be helpful to look at both the Knox County Schools budget and the Knox County budget.
If you have not seen either of these you may be surprised. They are both large budgets. Depending on who you listen to you will hear that these budgets are the pinnacle of financial management or exactly the opposite.
You can find the Knox County Schools budget here. You can find the Knox County budget here.
Much has been made of the wheel tax and where that money is going. This is a good question. It was sold as a tax to fund the school system but in reality over 84% of the wheel tax goes into the general Knox County budget. School board member Robert Bratton says that adjusted for inflation the school board is going backwards and receiving less money year to year. Some taxpayers say the school system receives too much money and is wasteful.
What is the real answer? Over the next few months I invite you to explore these issues here on Can Farragut Change. Candidates for School Board or County Commission may send an email to Farragut_Republican@yahoo.com if they wish to have their bio or a letter to the community posted here.
If you have not seen either of these you may be surprised. They are both large budgets. Depending on who you listen to you will hear that these budgets are the pinnacle of financial management or exactly the opposite.
You can find the Knox County Schools budget here. You can find the Knox County budget here.
Much has been made of the wheel tax and where that money is going. This is a good question. It was sold as a tax to fund the school system but in reality over 84% of the wheel tax goes into the general Knox County budget. School board member Robert Bratton says that adjusted for inflation the school board is going backwards and receiving less money year to year. Some taxpayers say the school system receives too much money and is wasteful.
What is the real answer? Over the next few months I invite you to explore these issues here on Can Farragut Change. Candidates for School Board or County Commission may send an email to Farragut_Republican@yahoo.com if they wish to have their bio or a letter to the community posted here.
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I don't question that Knox County schools are underfunded, nor that the fiscal capacity formula (used to determine BEP funding) is grossly flawed.
Both are correct. However, the proposed change to a system-level fiscal capacity formula (promoted by a number of Knox Co. officials) is much worse.
One of the talking points has been to compare Knox County's per-pupil funding rate to that of Oak Ridge, but also consider this: LOCAL per-pupil funding in Oak Ridge is $5,110; for Knox County, it is $3,757. It isn't because Oak Ridge is wealthy (we aren't), nor because we have a richer tax base (we don't); it is because we pay much higher property taxes in order to fund our local school system.
The comparison to Williamson Co. is more appropriate, but no system that takes from some to give to others will improve education overall in Tennessee.
Both are correct. However, the proposed change to a system-level fiscal capacity formula (promoted by a number of Knox Co. officials) is much worse.
One of the talking points has been to compare Knox County's per-pupil funding rate to that of Oak Ridge, but also consider this: LOCAL per-pupil funding in Oak Ridge is $5,110; for Knox County, it is $3,757. It isn't because Oak Ridge is wealthy (we aren't), nor because we have a richer tax base (we don't); it is because we pay much higher property taxes in order to fund our local school system.
The comparison to Williamson Co. is more appropriate, but no system that takes from some to give to others will improve education overall in Tennessee.
Your point that you pay higher property taxes is interesting. A comparison of the rates between Anderson and Knox County may not provide the answer. I am aware that Anderson County pays more from its sales tax to education than Knox County but I am not so sure about the property taxes. Are you sure Anderson County has a higher tax rate than Knox County?
It is possible that your local per-pupil funding is the result of contributions from industry rather than from taxes. Knox County does not have that benefit.
Your point about BEP is well put. While this may help Knox County if the BEP formula is changed it may also hurt other counties.
Is the BEP formula fair?
It is possible that your local per-pupil funding is the result of contributions from industry rather than from taxes. Knox County does not have that benefit.
Your point about BEP is well put. While this may help Knox County if the BEP formula is changed it may also hurt other counties.
Is the BEP formula fair?
The property tax rate for Anderson County is $2.68. Combined property tax for Oak Ridge and Anderson county is $5.23.
The property tax rate for Knox County is $2.69. Combined property tax for Knoxville and Knox County is $ 5.50.
2005 Tennessee Property Tax Rates
So property taxes are not the reason.
The property tax rate for Knox County is $2.69. Combined property tax for Knoxville and Knox County is $ 5.50.
2005 Tennessee Property Tax Rates
So property taxes are not the reason.
Industry contributes nothing toward our education operations funding; most of our industry (Department of Energy facilities) doesn't pay property tax at all.
The biggest difference is the $5.23 tax rate, from which comes the $11 million that the City of Oak Ridge allocates from it's general fund to the school system. That's a $2,597 per pupil difference.
The City of Knoxville contributes how much? NONE? Then why even discuss the combined Knoxville/Knox County tax rate?
Furthermore, $1.715 of our Anderson County taxes goes to education; in Knox County, it's $1.179. (Source: November2005TaxStats.pdf on the CTAS website -- www.ctas.utk.edu)
Education needs to be adequately funded, both in your county and in mine. But there's no reason for Knox County to gain funding at the expense of others who are paying more locally to support our schools.
The biggest difference is the $5.23 tax rate, from which comes the $11 million that the City of Oak Ridge allocates from it's general fund to the school system. That's a $2,597 per pupil difference.
The City of Knoxville contributes how much? NONE? Then why even discuss the combined Knoxville/Knox County tax rate?
Furthermore, $1.715 of our Anderson County taxes goes to education; in Knox County, it's $1.179. (Source: November2005TaxStats.pdf on the CTAS website -- www.ctas.utk.edu)
Education needs to be adequately funded, both in your county and in mine. But there's no reason for Knox County to gain funding at the expense of others who are paying more locally to support our schools.
Education needs to be adequately funded, both in your county and in mine. But there's no reason for Knox County to gain funding at the expense of others who are paying more locally to support our schools.
Anyone know if the BEP is a zero sum game? If Knox County gets more BEP funds does it follow that other counties will lose funds?
Interesting thoughts netmom. I was not aware that no dollars came out out Knoxville's property tax. Makes you wonder why that property tax is so high if none of it goes to education.
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Anyone know if the BEP is a zero sum game? If Knox County gets more BEP funds does it follow that other counties will lose funds?
Interesting thoughts netmom. I was not aware that no dollars came out out Knoxville's property tax. Makes you wonder why that property tax is so high if none of it goes to education.
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