Cape Girardeau school officials hope $3.99 will sound like a bargain price to voters at the polls in August.
The Board of Education approved a resolution Wednesday to set the tax-levy proposal voters will consider Aug. 7 at $3.99 per $100 assessed valuation, up from the $3.41 tax levy voters have paid over the past five years.
A simple majority is needed to pass the measure.
"I know that psychologically, $3.99 sounds cheaper than another amount," said board president Dr. Ferrell Ervin. "We're not trying to sell the amount. We're trying to sell what the amount will cover."
If approved, the levy would go into effect this year. The increased levy, along with new local revenue received from the growth in residences and businesses in the district, would generate about $19.1 million over five years.
The amount would just cover increased operating expenses over the same period caused by building expansion and new construction, installation of air conditioning at the existing high school and auditorium, districtwide technology maintenance, and increases to make staff salaries competitive with surrounding districts.
Schools superintendent Dr. Dan Steska said the bulk of the increased funding -- $10.2 million -- would be used to increase staff salaries. Teachers' salaries currently fall about $2,600 below local averages and about $4,600 below state averages, he said, and salaries for cooks, custodians and other staff are similarly low.
Steska said staff have accepted salary freezes and other budget cuts while the district made new construction and building improvements priorities and managed sagging balances over the past five years. Now the district and community should make retaining a quality staff and becoming competitive with other local districts the priority, he said.
"We have set a goal to become at least competitive with local districts over the next three years," Steska said. "The levy will not put us significantly ahead, but we will at least be competitive."
District business manager Rob Huff said the tax-increase measure was developed based on conservative district growth projections and estimates a 3-percent annual increase in operating costs outside of the salary increases. The increase covers specific projects and does not provide much of a cushion for major unforeseen costs.
Said Huff: "This is not a Cadillac model, but it is a good, competitive model. This will get us out of the woods, but it won't get us up the mountain."
To meet legal mandates, the wording of the ballot proposal will request a 49-cent increase over the current tax-rate ceiling, which is adjusted annually by the state auditor's office to allow some growth for inflation.
However, if approved, the issue would mean a total 58-cent increase to the operating tax levy, which is used to cover many of the district's costs, including staff salaries. The 9-cent difference between the ballot wording and the actual levy is due to a related increase in the debt service levy and a cut in the amount of tax rollback the district takes.
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