By allowing ads to appear on this site, you support the local businesses who, in turn, support great local journalism.
Board sets meeting to talk tax rates
Deadline for both is Aug. 1
Placeholder Image
Forsyth County News

The Forsyth County Board of Education will hold a special called work session Thursday to discuss its millage rate options.

The board must decide on both of the local school system’s rates by Aug. 1.

Tom Cleveland, board chairman, said the meeting was called "to get the details from [finance officials] and be able to review the changes to the tax digest, so we’ll know how to set the millage rate moving forward, against the budget we’ve approved."

The school district’s rate for maintenance and operations has remained at 15.395 mills for the past three years.

Its millage rate for bonds is 1.418 mills, which is used to pay off debt from construction projects.

A mill is equal to $1 for each $1,000 in assessed property value. Assessed value is 40 percent of actual market value.

Each mill brings in nearly $8 million in revenue, school system officials have said.

The board recently approved a $263 million budget for the coming year.

However, it is still about $5 million short of balancing the spending plan, despite pulling the remaining $6.5 million from a federal education grant.

It plans to make up that difference using money from the system’s reserves.

Another option for covering the gap would be to raise the millage rate for maintenance and operations.

In addition, the board must figure out how to cover a projected $6.5 million shortfall to pay down voter-approved bonds from 1992, ‘95 and ‘98, on which the school system owes more than $86 million.

Cleveland said he’s not sure how long the meeting will last, but said the board plans to make a decision before the Aug. 1 deadline.