SUMMARY:

            This resolution calls for a referendum to amend the Constitution to give a local board of education the authority to levy a sales and use tax for operation of public schools with an equivalent millage rate reduction.

REQUIREMENTS:

• 1% sales tax allowed.
• The millage rate would be reduced for every taxable year beginning on or after January 1 of the year following approval of the referendum to equal the revenue generated by the sales tax.
• The sales tax would continue until the LBOE called for a referendum to cease collection and it was approved by a majority of voters.
• The sales tax for this purpose would not count against the maximum amount of local sales and use taxes levied.
• The tax would not be subject to food and beverage exemptions.
• If money is left after the collection or from payment of interest beyond the amount needed for property tax reduction, a system may use the proceeds for debt reduction.
• A board currently authorized by a constitutional amendment to impose a sales tax for educational purposes would not be eligible to use this authority unless their current amendment is repealed.