‘SPLOST for kids’ is false premise

Steve Brown's picture

A select group of inhabitants are putting the school SPLOST in the spin cycle. Like when you dare to find fault with the shady TDK Extension road project, they say you do not care about relieving traffic, so too goes the SPLOST.

So now we have people saying, if you question the fiscal accountability and decision-making of the Fayette County Board of Education (FCBOE), you must want our children to fail.

One of these days, the general public is going to stop believing the spin of the questionable few and will join in a judicious debate regarding fiscal stewardship and reliability.

It was a disgrace for someone to attempt to discredit Claude Paquin’s factual assessment of the FCBOE’s fiscal strategies because of his age. Truth be told, Mr. Paquin had nothing to do with his age. And lest we forget, Mr. Paquin has paid school taxes in Fayette for around a quarter of a century without ever having a child in the school system.

Instead of the spin of attacking Mr. Paquin to avoid discussing his positions, why not write him a thank you letter for paying your children’s way through school?

In the name of full disclosure, I wholeheartedly supported the 2000 bond referendum. At the time, the principle was to build infrastructure to meet the legitimate student demand. My words of support appear in the archives of this newspaper.

Unfortunately, I mistakenly thought the same approach was being used with the 2004 bond referendum and, admittedly, I did not even bother to check things out.

Things changed and the new rule behind the 2004 bonds was build it and they will come. The school system, instead of keeping pace with student population growth, is now promoting growth with excess capacity in undeveloped areas. The new schools are actually encouraging residential growth around them.

The deception with the sales pitch from the 2004 bonds was the fact the elementary school population was actually in decline and the FCBOE never mentioned the closing of East Fayette Elementary School – a school which received expensive renovations from our 2000 bond funds — in any of their documents.

Another ploy was the creation of the “External Construction Advisory Committee” which was promoted as an outside advisory group. On the face of it, accountability appears to be the motive.

However, the disturbing truth is the committee simply parroted everything the “Internal Construction Committee,” comprised of senior FCBOE staffers, had to say on the construction of the two new elementary schools. In fact, I found memos from both committees that were identical to the word.

The indistinguishable documents in support of building the two new schools from the committees, dated August 2007, twice stated the need for “additional classroom space” when all the data clearly pointed to a decline in the elementary population.

The matching committee documents also supported the building of the schools because of the cost of operation and safety issues related to using portable classrooms, when the truth is we have excess capacity inside the elementary school network, so trailers are not needed.

Let’s put this in perspective. Two FCBOE committees came to the identical conclusion (verbatim) in August 2007 that housing growth was driving the need to build the two new elementary schools with the 2004 bonds, when the very next month the AJC ran an article entitled, “Schools get fewer pupils than planned” and while the U.S. Census data and government records showed Fayette County growth at a standstill.

Anyone who tells you the excess classroom capacity produced from the current 2004 bonds was not predictable is lying.

Regrettably, a “crowding” illusion was created when certain schools became artificially crowded via a damaging FCBOE policy which allowed FCBOE employees to enroll their children (around 300 students) out of district in schools close to maximum capacity.

More regrettably, the FCBOE is building the two new schools smaller than their standard to make up for not having the students to fill them. This will lead to an obvious need for an expensive expansion for the schools when the county’s population grows years down the road.

One of the problems cited by the FCBOE regarding why they need to spend the bond funds on the two new elementary schools was they may miss the deadline for expending the funds, and would have to credit those funds back to the taxpayers.

That refund of our taxes could help taxpayers pay the recent millage increase the FCBOE approved on our homes and property.

You will also find a move to make excess school capacity appear smaller than reality. The FCBOE was able to camouflage their over-capacity problem by creating a lower maximum student capacity number for each of the schools.

It is comparable to saying an egg carton with six eggs in a dozen slots is 50 percent full. But they took a marker and changed the word “dozen” to “eight” and now claim the same carton is 75 percent full. Next, they tell you we need to buy a new carton because the other one is very near the new maximum capacity number.

To exacerbate this problem, the state funds we receive are based upon the state’s higher capacity number for our core facilities. Thus, we lose funding because of the lower enrollment to capacity ratio.

In 2006, two full years ago, the FCBOE had around 106 elementary classrooms in excess of the state guidelines. (In fairness, the state does not fund special education instructional units, so they should be extracted.)

The current state capacity numbers for our schools include the new lower state ratios and federal No Child Left Behind standards. FCBOE’s numbers are still 82.5 percent of the state’s numbers. FCBOE is masking an over-capacity problem because they have two new empty schools.

According to FCBOE documents, student enrollment growth projections have been stagnating. Thus, the excess classrooms from the new schools will create a greater erosion of state funding and much embarrassment for the school board members. So to ease that pain, their solution was to close East Fayette Elementary to dispose of some viable excess capacity.

Even if you split the difference between the state’s capacity numbers and the FCBOE’s numbers, there will still be around three empty schools worth of capacity.

Board Member Janet Smola had a very misleading email distributed to local homeowners. In the correspondence she blamed the “elderly” for the failure of two previous SPLOST attempts. However, you can see she vastly overreached, statistically, when you review the final vote tallies on the two referendums.

In reality, the two previous SPLOSTs failed because they were contrived in much the same way her current SPLOST proposal is by asking for an aquatics center as a “cannot wait any longer” item in midst of an uncertain economy. (When faced with opposition, the FCBOE removed the aquatics center, but they kept $115 million SPLOST price tag; it was never reduced.)

Ms. Smola wrote about needed “computers and technology software, [and] bandwidth for technology,” but what she neglects to say is she promised to buy the technology package with the 2004 bond funds and did not do it.

The code phrase “diversity of revenue sources” is being used a lot with the SPLOST. Accordingly, Ms. Smola said, “It’s important to note that almost $40 million of the SPLOST funding is set aside for debt reduction that will translate to a reduction in the millage rate passed on to property owners.”

The irony of her statement is she plans to get additional taxes (sales taxes) out of us to pay off the debt she is currently taxing us for annually.

Furthermore, the added “diversity” is really Ms. Smola forcing our senior citizens to pay off bond debt that the law exempts them from paying. I find that to be sneaky, abusive and immoral.

Ms. Smola, coincidentally, forgot to tell the homeowners about the un-diverse part of the SPLOST. Local businesses do not pay into the SPLOST; rather, they pass the regressive tax onto us, the consumers, when we buy the necessities of life.

This is why the sly Fayette County Chamber of Commerce leaps to aid the passage of any SPLOST because they receive all the benefits, but do not pay for them.

Ms. Smola stated, “... your property taxes will go down,” but she does not say how. She promised teachers a pay raise with funds she does not have and she has not met the minimum reserve fund balance in years, and taxes are supposed to be going down? This is the same promise Mayor Logsdon made in Peachtree City with taxes and fees rising every year since.

Ms. Smola tried to create voter fear in favor of the SPLOST by saying, “... with recent and potential foreclosures there could be millions of dollars in uncollected property taxes.” Oh, please, the banks pay the property taxes on foreclosures.

Ms. Smola also forgot to tell the homeowners she could have re-purposed the 2004 bond funds to meet the immediate technology and other needs for which she wants a SPLOST, but she decided to build excess school capacity with a declining student population instead.

Following the Fayette Chamber of Commerce forum (they do not pay the SPLOST taxes, but we citizens do) on education funding, I will provide you with evidence on how the bonds went wrong, key decisions went awry and identify those who are benefiting from all of this.

login to post comments | Steve Brown's blog

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Submitted by Str8ttalker on Sun, 10/05/2008 - 11:37am.

You have to know that Janet Smola and the school superintendent are two different people. All one board member can do is vote on the recommendation of the superintendent. You put all the blame on her for decisions that the majority of the board also supported. It is so obvious that your opposition to the SPLOST is really because you hate Janet Smola. What did she ever do to you?

Why don't you find out how the board voted in your next open records request. Then this time, don't tell them "never mind" and not even pick up the information they got together for you.

Attention Voters! Steve Brown makes requests then doesn't pick them up from the school system.

Spear Road Guy's picture
Submitted by Spear Road Guy on Mon, 10/06/2008 - 9:57pm.

What in the heck was he referring to in the article then? He's talking about school documents.

This looks like another dodge the issue deal with Str8ttalker running interference for Janet Smola.

Obviously, Brown was right in the article or the Smola groupies would have been all over it like chocolate on a candy bar. Yeah, Janet has been very, very quite lately.

Vote Republican


sniffles5's picture
Submitted by sniffles5 on Sun, 10/05/2008 - 12:00pm.

Another "one hour wonder" who creates a new blog account and then immediately logs in solely to bash Steve Brown and praise the fiscally irresponsible Janet Smola.

Gotta wonder how all these "one hour wonders" know so much about the internal status of all these Open Record requests!


suggarfoot's picture
Submitted by suggarfoot on Sat, 10/04/2008 - 8:21pm.

People voting early....PLEASE DON'T FORGET TO... WRITE IN.....NICOLE FILE...under school board post 1...PLEASE...


Robert W. Morgan's picture
Submitted by Robert W. Morgan on Wed, 10/01/2008 - 6:12am.

So when a homeowner doesn't pay his taxes or his mortgage, the banks (whose foreclosure wipes out all liens) then pay all those back taxes just because they want to keep funding the schools?

Since the banks are losing thousands of dollars on the foreclosure, I don't see that happening. Do you think the banks pay homeowner's association fees as well? What about the guy that cuts the grass?

How's all that work? Explain that to us, Steve.


CCB's picture
Submitted by CCB on Wed, 10/01/2008 - 9:09pm.

Taxes are the first thing carried from the sale of the foreclosure.

The HOA fees and lawn cutting subs are on their own, but the tax man always gets his.

I'll admit Brown's last couple of articles have been eye-openers. It looks like the school board fell asleep at the switch.


Submitted by Y oh Y on Thu, 10/02/2008 - 10:34am.

SALE of Foreclosure is the Operative Word

While all those 850 foreclosures are sitting there, so are their taxes. That’s money the school system and our cities were supposed to receive but never did. That totals millions of dollars that was anticipated revenue. Sure the funds will trickle in as homes are either sold or taken over by the banks and sold one day, but in the meantime there are bills to pay. Where should that money come from. Should we cut our programs because of that?

That's where the rubber meets the road. The budget is built on an assumption that 96 % of the tax digest is received in a timely manner. Some of these foreclosures have been hanging out there 20+ months. As the municipalities and schools board do not receive the money that was expected, they need to defund projects and programs. When the state cuts promised funds on top of this, you need to pull back further.

The school board could not have seen this. Wall Street didn't see it, a lot of people are getting hurt right now but I heard someone say this and it is true.

Water can only flow uphill for so long.

Cyclist's picture
Submitted by Cyclist on Thu, 10/02/2008 - 6:29pm.

for taxes.
-------------------------------------------
Caution - The Surgeon General has determined that constant blogging is an addiction that can cause a sedentary life style.


suggarfoot's picture
Submitted by suggarfoot on Thu, 10/02/2008 - 6:10pm.

Let me get it straight what you want.

You guys went ahead and built schools in the middle of no where for the over crowding in Peachtree city right?

You also knew the number of kids in the system was declining right?

You acknowledged the decline in enrollment but stated the reason you...HAD....to build the schools was..if..you didn't..you would HAVE to give us, the taxpayers back this money, is that also right?

So let me make sure I'm with you so far..

Enrollment has declined, the Feds ...WILL NOT PAY FOR SCHOOLS THAT DROP BELOW A CERTAIN TEACHER TO KID RATIO, so unless something drastic happens short of a miracle, we will loose ..more funding because of your stupidity and egos...?

You know the enrollment has dropped...so where are these kids going to come from to save us from loosing Federal funding?

Are you hoping that the developers will buy the excess land around the schools and fill them up? If so...what happens to the overcrowding in Peachtree City? Seems like the only people that made out from spending our money and could save us, would be the developers...right?

Might I suggest, if you hadn't been so greedy, and developer friendly, you would have ...given the money ...back to the taxpayers? You know those pesky guys, with children in our schools, loosing their homes that are such an imposition for you?

But, because you wouldn't think of that..

I want to make sure ...you..are with ME.. now

people, with children in school here are still loosing their houses, their children homeless. You have no sympathy at all for them, and others to come. Much less the ones that are left hanging on, that a little more tax may just put them over the edge.

If you get your dream wish, and overburden the ones still standing, what happens to us when the new schools come on line and no kids and the FEds won't pay?

Once again, you leave our butts flapping in the wind, with the Feds not paying us because you stupidly over built schools.

You tell us you are for ...OUR kids?

Just tell me how we and our kids win?

I THINK WE SHOULD START AT THE TOP..
..AND CHOPP
...TILL WE GET TO THE TEACHERS!!!

...SOUNDS GOOD TO ME!!!

VOTE ...FILE...!!!!

AND STOP

THE SCARE TATICS TO HELP EVERYONE ...BUT OUR CHILDREN!!!


Submitted by Y oh Y on Thu, 10/02/2008 - 10:26pm.

But not here. Told you before, spouse is a teacher and we actually live in the PTC. If we had our preference, we would have had the FCBOE build Centennial Elem. But that didn't happen.

When I dug into it, I learned that:

Rivers is positioned to support forecast growth on the north side of the county. Rivers will releive overcrowding at Burch and 14 trailers worth of children will get into a school building when Rivers opens. I think that is looking out for the children.

The fed pay ZERO for our schools directly. The State of GA currently funds 50 % of our schools down from 58 % 10 years ago. Sonny Purdue and the republicans have decided that we are "rich" and can absorb these cuts. Unfortuately, when Sonny fails to return our money to our schools our kids are at risk. In that we agree.

The state QBE formula actually creates the situations where classes over by 1 child to state standard will not be funded unless we create two classes of far fewer children. In conversations with some of our leaders I learned that FCBOE has actually chosen to forgo some state funds, versus making a bad economic decision where the cost of another class would be more than the state funds at risk.

It really is amazing what you can find out be asking people in a relatively respectful manner and treat these professionals like professionals.

The more I get to know our staff at FCBOE, I amazed to find these are the same people discussed on these boards. We all may not agree but we should all get the facts.

Your Neighbor

Y 4

suggarfoot's picture
Submitted by suggarfoot on Thu, 10/02/2008 - 6:18pm.

and you want us to trust you?


CCB's picture
Submitted by CCB on Thu, 10/02/2008 - 11:58am.

What do you mean, Y oh Y, "that totals millions of dollars"? In the Fayette County foreclosure market, you're probably talking about $775,000 in school taxes on those 850 homes. Most of the foreclosures in Fayette are investor units that have a lower value.

The banks are turning the units here because they can. Otherwise, holding them clouds their books and they can't take that right now.

What has the banks in trouble is the lending on new subdivisions where the building just barely got started before the bust. The banks are left with devalued land, but this isn't a big hit on the school board since the land was previously zoned agricultural and taxed at a deflated rate.

What are all of us doing when the money isn't coming in? For crying out loud, you would swear the school board is the only one feeling a pinch right now. I just let someone go who had over 12 years with my company. And don't tell us the bunch of liars from Wall Street didn't see this coming. The people in this great country are sick and tired of this crap of paying for the bigshots greed.

I've got to agree with the poster below on keeping up the reserves. It's not rocket science.


Submitted by RT Tugger on Thu, 10/02/2008 - 1:17pm.

Thanks for correcting Y oh's exaggeration and for pointing out that many of us have had to cut our spending. I do wonder what makes this BOE think I would vote to increase the sales tax on myself in this economy in order to turn the revenue over to a group I do not trust. As for rubber meeting the road, I hope it happens on Nov. 4 when voters say No to a higher sales tax and No to this lackluster BOE.

JAFO 72's picture
Submitted by JAFO 72 on Thu, 10/02/2008 - 12:18pm.

It was my impression, from an accounting standpoint, that land does not lose value. It the same instance that on a balance land does not depreciate.
At least that is what I remember from undergrad and grad school.

Does anyone wish to clarify?

“Every time you vote Democrat God kills a kitten.”


sniffles5's picture
Submitted by sniffles5 on Thu, 10/02/2008 - 10:47am.

About those foreclosures and defunding: Had Janet Smola and her gang exercised fiscal prudence and funded the reserve fund like they should have, a temporary liquidity crunch brought on by a spike in foreclosures would have been a non-event.

However, Commissioner Smola, her vast "Wall Street Experience" notwithstanding,and her gang of fiscal incompetents apparantly opted not to fund any reserves for the past few years. (Caveat: I don't know this for certain, and I'm not about to shell out $2000 for the privledge of finding out. Perhaps someone on Smola's speshul "email insider list" can tell us).


suggarfoot's picture
Submitted by suggarfoot on Thu, 10/02/2008 - 5:29pm.

Yeah, that kind of raises a lot of people's eyebrows....I would love to see any proof that she was ever on Wall Street, other than walking down the street as a tourist.

I could tell people I use to be the Queen of Sheba, but that don't make it so.


Submitted by bubba123 on Thu, 10/02/2008 - 7:31pm.

Does anyone know why Smola is no longer with the Sams school?

suggarfoot's picture
Submitted by suggarfoot on Thu, 10/02/2008 - 7:45pm.

good question...since she was suppose to be raising the money for free out of the goodness of her heart.

I know I saw an article written by one of the Sam wives...talking about the school and how everyone else did things for free.

They must have named 30 ish people and thanked them...no where was Janet Smola's name...I wondered about that.

You know with Janet being so unselfish and donating all that time like all the other people..


Submitted by Spyglass on Wed, 10/01/2008 - 10:26am.

In liens and their order of standing. Property Taxes DO NOT go away.

sniffles5's picture
Submitted by sniffles5 on Wed, 10/01/2008 - 7:36am.

Tax Liens are superior to mortgage liens.

If a bank forecloses on someone, the bank must pay the property taxes on a piece of land. The tax commissioner doesn't care who pays the property tax bill, only that it is paid.

If the bank doesn't pay property taxes, the property goes to tax auction and the bank loses the property.


suggarfoot's picture
Submitted by suggarfoot on Tue, 09/30/2008 - 9:01pm.

Their was a lot of first hand knowledge, insight, wisdom and intellect that went into this. . I hope people understand, your reason for taking the time, is you are a good guy with nothing to loose except being bashed by some. That you were willing to do that because you care... again...thank you...suggarfoot


Submitted by johenry on Wed, 10/01/2008 - 9:37pm.

Smiling

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.