Tentative tax levy is 7.4% above last year

WHAT WE KNOW: The property tax levy for the Orion school district rises every year with the growth of assessed valuation.

WHAT'S NEW: Given the choice of selecting a tentative tax levy, which was 4.99% higher than last year at $8,028,203, or a levy 8% higher at $8,268,016, the school board on Wednesday voted 7-0 for the higher levy.

"If we don't levy what we're able to levy, that's $240,000 that we're not able to get," Superintendent Joe Blessman said. He explained the district has more than a 5% increase in equalized assessed valuation or the total value of the district, from $181.8 million last year to $197,000 this year in the two counties combined.

The district's estimated tax rate will actually fall from $4.61 per $100 assessed valuation to $4.58. "That's not saying your taxes will be lower, because your value increased," Blessman noted. When bonds are figured in, the increase in the levy is 7.4%. The final levy will be adopted at the Dec. 13 meeting.

WHAT'S NEXT: Insurance agent Todd Lohman will address teachers soon regarding an increase in employee health insurance. Blessman said for the seven years he'd been at the district, insurance increases had always been flat.

"This is the first hit," he said. "We've had some pretty big claims this year."

If employees stay on the current plan, the total cost will rise from $600 per month to $647, with the board splitting half the increase with the employees. Teachers will also have the option of going with a Blue Cross Choice PPO plan that would be less than $600.

"Some of it's just the market," Blessman noted. "We have also had some high claims, also some high pharmaceuticals."