Bill Text: DE HB355 | 2013-2014 | 147th General Assembly | Draft
Bill Title: An Act To Amend Title 14 Of The Delaware Code Relating To School Taxes.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced - Dead) 2014-05-29 - Introduced and Assigned to Revenue & Finance Committee in House [HB355 Detail]
Download: Delaware-2013-HB355-Draft.html
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SPONSOR: |
Rep. Scott & Sen. Sokola |
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Rep. Mitchell |
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HOUSE OF REPRESENTATIVES 147th GENERAL ASSEMBLY |
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HOUSE BILL NO. 355 |
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AN ACT TO AMEND TITLE 14 OF THE DELAWARE CODE RELATING TO SCHOOL TAXES. |
Section 1.Amend §1903, Title 14 of the Delaware Code by making deletions as shown by strike through and insertions shown by underline as follows:
§1903 Election preceding levy of tax.
Before any school board levies a tax under
§1902 of this title, it shall determine whether the tax shall be on the basis
of a specified amount or of a specified rate of taxation and. For any
tax that results in an increase in excess of 3% of the effective tax rate
approved previously, the school board shall call a special election to be
held at the polling place or places designated by the Department of Elections
conducting the election. There shall be not more than 2 such special elections
held during any 12-month period.The
school board may approve, without a special election, an increase of 3% or less
of the effective tax rate previously approved.
Section 2.Amend §1911, Title 14 of the Delaware Code by making deletions as shown by strike through and insertions shown by underline as follows:
§1911 Required vote for authorization of additional tax increase in excess of 3%.
If the majority of the votes cast at the election, under §1903 of this title, shall be for additional tax increase in excess of 3%, the tax shall be levied and collected as provided in this chapter.
Section 3.Amend §1912, Title 14 of the Delaware Code by making deletions as shown by strike through and insertions shown by underline as follows:
§1912 Assessment list; school capitation tax.
The school board of the district in which an additional tax is to be levied shall use the assessment list of the county in which that district is located as a basis for any school district tax. There may also be added a school capitation tax on all persons 18 years of age and upward residing in the district of such amount as shall be determined by the board, provided that such school capitation tax is approved by the voters of the district in the same manner as required by this chapter for the levy of taxes upon the assessed value of real estate.
In the event a school capitation tax is approved by the school board or the voters of the district in New Castle County, the Department of Finance shall collect such taxes and make deposits of the moneys so collected in accordance with §1917 of this title. Warrants or drafts on the said fund shall be drawn by the school board of the district.
Every person who would be entitled to any exemption from taxation if such person owned real estate, pursuant to subchapter II of Chapter 81 of Title 9, shall be entitled to an exemption from the school capitation tax, whether such person owns real estate or not.
Section 4.Amend §1913(b), Title 14 of the Delaware Code by making deletions as shown by strike through and insertions shown by underline as follows:
§1913 Rate of tax.
(b) Notwithstanding any other
provision of this title to the contrary, any school district which traverses
county boundary lines, which has tax rates established in accordance with §
1916(c) of this title, and which subsequently receives approval through
referendum approves to change the limit on such tax rate, shall
establish a new or changed tax rate, including the 10 percent for delinquencies
and costs of collection, such that the tax rate levied upon the full valuation
of real estate will be uniform on all real estate in the school district
regardless of the county in which it is located. For purposes of this
subsection, the term "tax rate" shall mean the total tax rate levied
for all school purposes. For purposes of this subsection, the term "full
valuation" shall mean the assessed valuation of a real property divided by
the most current assessment to sales price ratio for property within each
county among the following sources of such ratios:
(1) The aggregate assessment to sales price ratio for all types of real estate in that county as presented in the 1982 Taxable Property Values and Assessments survey for Delaware, United States Bureau of Census.
(2) The assessment to sales price ratio established by the Director of the Office of Management and Budget in accordance with §1707 of this title.
(3) The county's assessment to sales ratio used in its most recent assessment.
Section 5.Amend §1914, Title 14 of the Delaware Code by making deletions as shown by strike through and insertions shown by underline as follows:
§1914 Levy of annual school tax without election.
The school board of any district, which has for 1 year levied a local tax under this chapter, may continue annually, without a further election or referendum, to levy such local tax not exceeding in amount the tax originally authorized by an election, plus 3%, if said original authorization was on the basis of an amount of tax, or not to exceed the rate of tax originally authorized by an election if said original authorization was on the rate of taxation, each together with an added 10 percent for delinquencies and costs of collection as provided in §1913 of this title.
Section 6.Amend §1916, Title 14 of the Delaware Code by making deletions as shown by strike through and insertions shown by underline as follows:
§1916 Tax collection warrant and assessment list; tax rate after general reassessment.
(a) Based on the total value of all taxable property as shown on the county assessment list and on the amount to be raised, the board of the district shall fix the rate of taxation plus 10% for delinquencies.
(b) Whenever the qualified voters or school board of a reorganized school district have approved a specific rate of taxation or specified amount of taxation under §1903 of this title and a subsequent general reassessment of all real estate in the county changes the total assessed valuation of the school district, the local board of education of each such local school district shall calculate a new real estate tax rate which, at its maximum, would realize no more than 10% increase in actual revenue over the revenue derived by real estate tax levied in the fiscal year immediately preceding such reassessed real estate valuation. Any subsequent increase in rate of taxation shall be achieved only by an election of the school board or qualified voters in such local school district according to the procedures in §1903 of this title.
(c) Notwithstanding any other provisions of this title to the contrary, the school board of the district whose jurisdiction traverses county boundary lines and whose local school taxes are made different as a result of property reassessment shall levy real estate taxes in the following manner:
(1) In the
county not reassessed, at a rate authorized by law and referendum.
(2) In the
county recently reassessed, at a newly calculated rate based on the newly
established assessments which at its maximum would bring in revenue equal to
the amount authorized by law and by referendum, based on the previous
year's assessment, plus the quarterly updates and the 10% increase as
authorized by subsection (b) of this section.
(d) The board shall, no later than the second Thursday in July, deliver its warrant, with a duplicate of the assessment list, to the receiver of taxes and county treasurer of the county or counties where the district is located.
SYNOPSIS
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This bill amends the school district's ability to levy taxes for school purposes by making an election of the voters within the school board's discretion up to a 3% increase.For any increase in excess of 3%, a special election is still required. |
