Author Archives: Stan Jester

What is a TAD?

Posted on May 14, 2016 | Comments Off on What is a TAD?

This coming week, Superintendent Dr. Green is providing an opportunity for no more than 3 board members at a time to attend mini-sessions with the administration and Legal for the purpose of providing details of TADS and the Doraville IGA.
.pdf link icon  Intergovernmental Agreement (IGA) with Doraville and DeKalb County
.pdf link icon  Doraville TAD Bleakly Report (outlines the rationale, boundaries, fiscal data and potential projects for the TAD)

What is a TAD?

A Tax Allocation District (TAD) is a financing mechanism in Georgia that allows a community to “allocate” increases in taxes generated by new development within a defined area to pay for capital improvements to that area.  No taxes collected from any other area or resident can be used to fund any improvement within the TAD.  Only incremental tax revenues from the TAD site can be used in the TAD area.

  • County and School District taxes can also be allocated IF those jurisdictions consent to participate in the TAD
  • TAD funds can be used for roads, infrastructure, parking structures and other public improvements to attract/support development

Creating a TAD does not directly impact existing taxpayers:

  • Existing property owners within and outside the TAD are taxed in the same manner as if the TAD did not exist
  • All taxes from properties within the TAD continue to be collected
  • Taxing authorities involved in the TAD (City, County and school district) continue collect taxes at the level that existed when the TAD was created

How Does A TAD Work?

What is a TAD

Future property taxes paid by new development and future value growth within the TAD are allocated to a special fund to pay for eligible costs–i.e. increased tax revenue generated by the TAD is spent in the TAD.
TAD funds can be used to pay debt service, match other funding or spend on a pay-as-you-go basis.
No existing taxpayers are affected and no taxes are abated – revenue to repay costs comes from new taxes on new investment.
Only taxes on real estate are typically pledged in a TAD. Taxes on personal property, sales taxes, business licenses and other local government revenues are not affected

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Posted in Tax Allocation District

DeKalb Schools Proposed 2016-2017 Budget

Posted on May 13, 2016 | 9 comments

.pdf link icon  DCSD Proposed FY2017 Budget

General Operating Fund – Revenues and expenditures increased to $955 million.
Beginning Fund Balance – It is expected that the Beginning Fund Balance (Jul 2016) will be $124 million.
Total Expenditures – Total expenditures in all funds including the General fund, ESPLOST (capital outlay) and grants (special revenue), is $1.2 billion.
You can see more detail at the Proposed FY2017 Budget Presentation page.

The budget includes a 3% raise for all employees, the elimination of all furlough days as well as bonuses for new and current teachers.

Employee Salary Analysis
A market midpoint salary analysis for metro Atlanta was performed. 53.4% of employees are above or at market. With 3% salary increase, we would be at 65.7% at or above the market. Generally speaking, the seasoned employees are typically above market and new employees are typically below market.

Teacher Bonuses
A $500 retention bonus for teachers who are currently employed, and sign a contract to teach with DCSD in SY16-17. The retention bonus would be paid in October 2016.
Signing bonus amount for new teachers depends on the region and content area. The US Department of Education identified the following as hard to fill positions: Special Ed, Math, Science, Spanish Teachers
The signing bonus matrix is as follows:

“Classrooms First for Georgia” – Requires, at a minimum, 65% of a system’s total operating funds to be spent in the classroom.  DeKalb Schools has never been in compliance with this law.
65% rule is calculated on actuals. If we spend this budget as planned, then we will cross over the 65% threshold for the first time.
Millage rate relief –  In the height of the recession, the board increased the millage rate a full millage point to close the budget gap.  Last year it was lowered from 23.98 to 23.73 mills.  Dr. Green, “We have to be mindful of the liabilities, but we should be in a position to have a [millage rate reduction] discussion.”

Related Posts

Approved FY2017 Budget Highlights
June 22, 2016 – Here are the highlights for the budget and millage rate approved by the DeKalb County Board of Education last night. I was the lone dissenting vote for both the millage rate and the budget.

DeKalb Schools Proposed 2016-2017 Budget
May 13, 2016 – Total expenditures in all funds including the General fund, ESPLOST (capital outlay) and grants (special revenue), is $1.2 billion.

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Posted in Budget