Graham to ask residents to pass earned income tax levy for second time

The levy is going back to the ballot on May 6.
Graham Local School board has passed a resolution to put a five-year, 1% earned income tax levy on the May ballot, for the second time, that would be used for day-to-day school operating expenses. BILL LACKEY/STAFF

Graham Local School board has passed a resolution to put a five-year, 1% earned income tax levy on the May ballot, for the second time, that would be used for day-to-day school operating expenses. BILL LACKEY/STAFF

Graham Local Schools will put an earned income tax levy request on the May ballot for the second time.

The five-year, 1% earned income tax levy would be used for day-to-day school operating expenses. At 1%, the tax would cost someone with $50,000 in taxable income $500 per year.

“The board and district will work under the State Auditor’s guidance to share factual information about the district’s finances. The board, district administration, and staff have been and will continue to be transparent about the district’s finances,” said Superintendent Chad Lensman. “We will continue to advocate for our students, staff, and community.”

Lensman previously said the district tried an earned income tax because it does not tax retirement income, social security, workers’ compensation and benefits, unemployment benefits, interest, dividends or capital gains, disability and survivor benefits, railroad retirement benefits, welfare benefits, child support, or property received as a gift, bequest or inheritance.

This levy was rejected in the Nov. 5 election, with 63% of voters opposing the tax levy, and 37% supporting it.

“Securing additional revenue ensures that programs, services, and opportunities continue to strengthen both students and the community. During the last levy cycle, the board shared how the additional revenue would impact student opportunities, safety, and district operations,” Lensman said.

If the levy would have passed, the school board was going to implement several things over the next five years, including:

  • Reinstating six certified teaching positions over four years;
  • Preserving and increasing educational supports in agriculture, music and art;
  • Adding another school resource officer;
  • Removing pay-to-participate fees and reducing school fees while lowering supply list items;
  • Making facility improvements and getting curriculum and technology supports up-to-date.

The district originally tried passing a 1% traditional income tax levy in March 2024 that would have raised an estimated $2,738,807 a year for five years beginning Jan. 1, 2025, to support current district operations and facility maintenance. This levy failed, with 67.55% against it and 32.45% for it.

District officials then cut over $1.3 million going into the 2024-25 school year, as well as cut 14 certified positions over two years.

They first cut $600,000, regardless of the March 2024 levy results, including technology supplies; reduction in teaching, guidance and classified staff; reduced school psychologist support, and contract services through the Educational Service Center. Since that levy failed, they then made $400,000 of additional cuts including field trips, additional teaching positions, supplementals, mileage and professional development.

“Strong schools are the backbone of strong communities. The cuts reflect the district’s commitment to fiscal responsibility, but it also serves as a reminder of the challenges Graham faces in providing the quality education that all students deserve,” Lensman said.

Graham has had no new tax levies to pay for day-to-day school operations in 32 years.

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