Board wise to decouple tax, fee

The Manatee County School Board deserves applause for finally coming around on the misguided coupling of the impact fee structure and the sales tax extension. With vocal public opposition to the linkage — with some community members vowing to vote against the sales tax because of the fee discount — the board voted unanimously last week to disengage the two.

The district administration and school board could not afford to gamble on passage of the half-cent sales tax continuation, a critical source of funding for all manner of expenses. Impact fees, collected on newly constructed residential, commercial and retail development, can only be spent on new schools and new additions. Sales tax revenue is far more flexible and far greater than the fee total. The tax, which sunsets in 2017, brings in about $30 million a year while the first year of the fee at 50 percent is forecast to yield $6.6 million.

The linkage became a volatile issue immediately after the idea surfaced last November. Superintendent Diana Greene recommended the district collect impacts on a rising, three-year schedule — at 50 percent of the maximum allowable rate the first year, 75 percent the second and 100 percent the third and thereafter.

But the school board shocked the community by adding a caveat, one perceived as a sell-out to developers and builders. The panel adopted a plan to keep impact fees at 50 percent should the half-cent sales tax referendum pass in November.

The deal looked like a quid pro quo to win builder backing for the referendum. While developers dislike the fees — some vehemently — their construction projects benefit with new schools for the new homebuyers and new neighborhoods. We could not imagine builder opposition to the tax vote, if that was the board’s concern. The district’s top priority on capital projects is construction of a high school in the fast-growing Parrish area. The county has approved plans for hundreds of new homes there. Once the Fort Hamer Bridge opens, Parrish and Lakewood Ranch will be set with a direct link —which should hasten the development of Parrish.

Confronted with mounting public pressure, the school board met in April to reconsider the caveat upon a request by board member David Miner. But the vote failed. Then another board member, Charlie Kennedy, upon hearing public comments at a joint county commission-school board meeting and other opposition, began to worry and requested another reconsideration. Two commissioners, Charles Smith and Robin DiSabatino, were outspoken against the coupling from the very beginning when the commission voted to approve the risky measure. They continued to withhold support for the sales tax referendum with the caveat attached.

Last week’s vote settled the matter. Now Manatee County commissioners must approve this latest action. And the school board must approve a resolution requesting the sales tax extension by placed on the ballot.

The issue boils down to a simple statement by Greene recently: “The school district benefits from impact fees; however, the school district cannot survive without a half-cent sales tax.”

Voters should take those words to heart come the November election.

Some residents continue to express mistrust and disagreement with the district, a conflict ignited years ago over financial mismanagement and leadership failings. This is a new day. The district is on a new path. The sales tax extension is crucial. A yes vote will be a vote for schoolchildren.

This story was originally published May 31, 2016 at 6:24 PM with the headline "Board wise to decouple tax, fee."