Author Archives: Stephen Green, Superintendent, DeKalb Schools

Superintendent Green Believes E-SPLOST V Language Meets Requirements


Stan Jester
DeKalb County
Board Of Education

Last week State Senator Fran Millar relayed the numerous complaints he has received about the lack of a project list in the E-SPLOST V referendum and his concerns about the possible vulnerabilities to a legal challenge in an  open letter to Superintendent Green.
Senator Millar asked Dr. Green to wait until next spring for a vote saying,  “This will give you time to determine the specific projects and hold your planned community meetings.”
Related Posts
 DeKalb E-SPLOST Project List
 BOE Passes E-SPLOST V
This week Superintendent Green sent an open letter to Senator Fran Millar expressing how, in his opinion, the E-SPLOST V referendum has a constitutionally sufficient description of the specific capital outlay projects.  Dr. Green goes on to detail some of the projects that, while not delineated in the referendum, have been identified for this E-SPLOST.
Superintendent Green Believes E-SPLOST V Language Meets Requirements (Apr 21, 2016)
Sen. Fran Millar – Not a Fan of the E-SPLOST Language (Apr 20, 2016)

Superintendent Stephen Green

Dr. Stephen Green
Superintendent, DeKalb County School District

April 19, 2016
Dear Senator Millar:
I have received your letter about DeKalb County School District’s proposal to continue the educational SPLOST to fund capital projects for District students. Contrary to assertions otherwise, the Resolution and Ballot question calling for the continuation of this source of educational funding in DeKalb County does contain a constitutionally sufficient description of the specific capital outlay projects to be funded with the tax. The Resolution and Ballot question adopted by the DeKalb Board of Education specifically describe the major, permanent capital projects to be funded with the tax as:
(1) Safety and Security (e.g. enhancing surveillance systems, fire alarms systems, fire sprinkler installation, perimeter fencing, etc.);(2) New Facilities and Additions (e.g. modifying, replacing, reconfiguring schools and facilities or creating new schools/facilities to accommodate current and future student enrollment);
(3) Facility Condition Improvements; (e.g. roofing, plumbing, wiring, painting, water piping, HVAC, making athletic field and physical education facility upgrades and improvements, ADA renovations, infrastructure improvements, repaving, restroom facilities, systems for environmental and air quality control, physical education facilities, kitchens, improvements to comply with health, safety and applicable building codes, traffic control and optimization, parking and parking capacity, stormwater management facilities, and program-driven modifications);
(4) Enterprise Resource Planning upgrade and technology improvements (e.g. purchasing, installing an upgrading instructional technology, digital communication technology, enhanced school security solutions, wireless technology, enterprise content management solutions, replacement and/or enhancement of technology/systems in support of an Enterprise Resource Planning (ERP) upgrade, data storage systems, telecommunication systems, digital records retention, technology hardware, software, and related infrastructure);
(5) Purchases of buses, vehicles and other capital equipment (e.g. desks, chairs, tables, instructional equipment, band equipment, kitchen equipment, waste compactors, portable classrooms/modular buildings, custodial equipment, grounds equipment);
(6) Expenses related to the projects.
Each of these project areas is specific and has an allocated budget. Further, within these six specific project areas, the District has identified more detailed proposals. For instance, the District has represented and communicated to the public that SPLOST V funds allocated for the safety and security project will include the purchase and refurbishing of surveillance systems to protect District students and property. The SPLOST V funds allocated for transportation projects will include replacing and replenishing the District’s aging bus fleet, keeping transportation safe for our students and helping control fuel/maintenance costs. The SPLOST V funds allocated for renovation projects will include improving compliance with ADA standards for physical structures. SPLOST V funds allocated for technology projects will include upgrading the District’s ERP system to improve efficiency. And, critically, SPLOST V funds allocated for new facilities projects will include building two new elementary schools in the Cross Keys cluster to relieve overcrowding. Each of these specific undertakings has been discussed by the Board and communicated to the public as proposals for SPLOST V.
In our view, sufficient description has been provided to meet the constitutional requirement. The capital projects are specifically described, serve educational purposes, and are all for the clear benefit of DeKalb County students. We are not aware of any constitutional provision, statute, case law, or attorney general opinion that contradicts our view under these descriptions. In fact, other similar SPLOST resolutions have been passed and adopted, and I’ve enclosed some of them with this letter.
Most importantly, however, is this: it is critical that voters make the final decision on whether this SPLOST is worthy. If they believe they do have adequate information, they may vote “Yes.” If the voters do not believe they have adequate information on the projects to be funded, then the voters may vote “No” to the SPLOST. No matter what, voters should not be disenfranchised, deprived of an opportunity to make their voices heard. Without SPLOST, there may be insufficient funding to upgrade safety and security systems; to relieve overcrowding; to purchase educational technology and other capital equipment; or to make the major facility improvements needed at existing facilities, all at the true expense of the children of DeKalb County. These potential shortfalls would leave the children of DeKalb County with challenges not faced by other districts and put them at risk of falling behind their peers.
Senator Millar, the DeKalb County schools are turning around after years of neglect and mismanagement but are headed in the right direction. Graduation rates are up; SAT scores have improved significantly; academic growth is evident in recent standardized tests. We have rebounded from a budget deficit and now have a modest fund balance. All teachers recently received a much needed pay raise.
On behalf of our 101,000 students, parents, DeKalb Board of Education, and our employees, we ask you to join us for this SPLOST vote to give our students a chance for a bright future.
Sincerely,
Dr. R. Stephen Green
CEO & Superintendent
Cc: DeKalb Board of Education

Note: http://www.savannahga.gov/documentcenter/view/3418
How much detail is needed on the ballot in describing proposed SPLOST projects?
The SPLOST law requires that the purpose or purposes (i.e., the capital outlay projects) for which the SPLOST revenues will be used be specified on the ballot. The degree of specificity required is not addressed in the law. However, the
Attorney General of Georgia has concluded that:
“There is no necessity that the description of the purpose or purposes for the tax be in exacting detail. Rather, the
description and the purposes must be only so specific as to place the electorate on fair notice of the projects to
which the tax will be devoted.” [Op. Atty. Gen. U90-18]. The opinion suggests that a brief statement such as “county judicial facility” or “recreational facility to be constructed within the City of ______” is sufficient.
In Dickey v. Storey, 262 Ga. 452, 455 (1992), the referendum question described county “recreational facilities and
multi-purpose governmental facilities.”
The Georgia Supreme Court apparently found these descriptions adequate.

DeKalb Schools – Not a Fan of the TAD


Stan Jester
DeKalb County
Board Of Education

The City of Doraville has embarked upon a major redevelopment opportunity to create a regional mixed-use employment and activity center at the site of the old General Motors plant. The Doraville TAD Bleakly Report outlines the rationale, boundaries, fiscal data and potential projects for the City of Doraville Tax Allocation District (TAD).
A Tax-Allocation District (TAD) is a defined area where real estate property taxes gathered above a certain threshold for a certain period of time (typically 25 years) is used for a specified project improvement. These improvements are typically for revitalization, especially to build the public infrastructure necessary for the development – roads, water and sewer lines, bridges, etc.
Once any TAD obligations of the district are retired, the City, County and Schools will receive the full property tax increment from the accelerated pace of new development created. Throughout the TAD period, the proposed redevelopment will generate additional retail sales with increased sales tax and ESPLOST revenues.
The city, county and school district are each taxing authorities over that property.  In July, the Doraville City Council voted to approve and adopt the Redevelopment Plan and TAD.  Yesterday, the DeKalb County Commissioners unanimously passed the TAD .
.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)
Potential benefits to DeKalb County Schools
•  The TAD will accelerate future growth in DeKalb County Schools’ Tax Digest.
•  DeKalb County Schools will continue to receive the estimated $936,000 in property tax revenue currently generated in the TAD Redevelopment Area over the term of the TAD.
•  The proposed redevelopment will have the potential to generate an additional $18 million in new DeKalb County Schools property tax revenue, which will revert to DeKalb County Schools upon the termination of the TAD.
•  If DeKalb County Schools participates in the TAD, DeKalb County Schools would receive $113 million more (over the first 25 years) from ESPLOST revenue and in personal property taxes from participating in the TAD, than it would receive if it did not participate in the TAD.
News Release
STATEMENT REGARDING PARTICIPATION OF THE DEKALB COUNTY SCHOOL DISTRICT IN THE DORAVILLE TAX ALLOCATION DISTRICT (TAD)

Superintendent Stephen Green

Dr. Stephen Green
CEO & Superintendent, DeKalb County School District

“The DeKalb County School District has been asked to consider partnering with the DeKalb County Government and the City of Doraville to create a Tax Allocation District (TAD) that includes the former GM assembly plant and portions of the City of Doraville. The TAD would produce approximately $247 million in tax revenues that would be used to fund infrastructure improvements such as roads, a tunnel, and other public projects. The debt including debt service of approximately $600 million for these improvements would be paid for with tax revenue above what is collected currently in the area.
I have several serious reservations about committing school resources over the course of the 25 years of the TAD for this project.

  1. Our core business is teaching and learning, not speculative, unpredictable real estate projects.
  2. Two of the three current TADs in DeKalb County have not succeeded in meeting their tax revenue projections. The Kensington and Briarcliff TADs have decreased in tax digest value since their inception with Kensington showing a decrease in excess of 20 percent.
  3. After several years, the ongoing inability of the City of Atlanta and the Atlanta Public Schools to fulfill their intergovernmental agreement based on a TAD for the financing of the Beltline project demonstrates how unforeseen pitfalls can be costly to the local school system.
  4. The school tax digest for the Doraville TAD would be fixed for 25 years with a best case scenario of nine more additional years before the School District would recoup taxes that had been given up.

We are expected to be good stewards of our resources and I think making a 25-year commitment to freezing the school tax digest does not fulfill that commitment.”
— Dr. Stephen Green, Superintendent DeKalb Schools

 


  Superintendent: DeKalb Schools won’t be part of Doraville TAD
By Marlon A. Walker – The Atlanta Journal-Constitution
Jan 10, 2016 – Superintendent Steve Green said DeKalb County Schools would not contribute financially to what could be one of Atlanta’s most significant mixed-use developments since Atlantic Station, saying he would not gamble with millions in tax dollars meant to educate children.
  DeKalb adds safeguards to public investment in GM site
By Mark Niesse – The Atlanta Journal-Constitution
Dec 24, 2015 – DeKalb won’t contribute any tax money to $247 million worth of infrastructure upgrades unless the county school system signs on. DeKalb also added a clause to the deal that ends its participation in the redevelopment plan after 10 years — on Dec. 31, 2025 — unless the county votes to continue its investment.
  DeKalb backs development of GM factory site, awaits schools’ support
By Mark Niesse – The Atlanta Journal-Constitution
Dec 15, 2015 – Ambitious plans to rejuvenate a closed-down General Motors factory site cleared a major hurdle Tuesday when the DeKalb County Commission unanimously agreed to invest in the redevelopment effort.
DeKalb school district voices concerns over Doraville-backed project
By Brent Barron – NeighborNewspapers.com
Dec 23, 2015 – “We are expected to be good stewards of our resources and I think making a 25-year commitment to freezing the school tax digest does not fulfill that commitment,” DeKalb County School Superintendent Stephen Green said.
“I have seen the statement from the superintendent, but that is not necessarily a reflection of the entire board — we have not been given an opportunity to make a proper case,” Doraville Mayor Donna Pittman said. “The facts are compelling, so we feel confident if given an opportunity to make the case.”

Commissioner Nancy Jester

Doraville Tax Allocation District
By Nancy Jester
Dec 22, 2015 – Every dime of property taxes for this property must be paid. The TAD does not change that. The business community and investors have expressed their concerns about DeKalb’s business climate. The GM site redevelopment is one of the largest projects in the Southeast. Successfully redeveloping this area will improve DeKalb’s reputation, bring thousands of jobs to the area, and improve land value; resulting in a larger commercial tax base for everyone.