H-M-S to ask for PPEL extension on September ballot

The Hartley-Melvin-Sanborn Community School will ask for voter approval to extend the Physical Plant and Equipment Levy (PPEL) for 10 years.

A resolution of election approved on Monday calls for the question to be placed on the ballot for a special school election on Tuesday, Sept. 13. The district has until July 29 to submit the ballot question to the O'Brien County Commissioner of Elections.

The current levy was approved in September of 2013, when 69 percent of voters supported the measure. The levy is set to expire at the conclusion of the FY23 budget year.

"PPEL is significant in our ability to upkeep and improve our facilities and buses," said Superintendent Patrick Carlin. "Without this continuation, we would lose two-thirds of our PPEL budget at the completion of FY 23."

One significant change is that the proposed maximum amount to be levied is $1.34 per $1,000 of assessed valuation. The current maximum levy rate is 67 cents.

Revenues would continue to be generated through a combination of property tax and an income surtax to be paid by all individual state income tax payers in the district. The combined amount to be levied does not have to equal the proposed maximum limit.

"If it passes, it doesn't mean taxes will increase," Carlin noted. "[The extension] gives the district the ability to levy up to $1.34 if it chooses."

According to discussion, the income surtax paid by district residents generated enough PPEL revenue in FY22 to reduce the property tax levy by 48 cents.

An exhibit with the resolution lists approved expenditures for PPEL funds as identified by the Iowa Department of Education. They include repairs and improvements of school buildings and grounds; expenditures for energy conservation; purchase, lease or lease-purchase of a single unit of equipment or technology exceeding $500 in value; payment of debts incurred for construction of school facilities; and the purchase of vehicles used to transport students.

Vice President Ryan Haack said the loss of revenue should the PPEL extension fail to pass "would be significant." He added that board members receive feedback from patrons regarding how the district plans to maintain its three facilities.

"This money is critical," he noted.

Concerning current facility upkeep, Carlin reported that drywall in the middle school is being repaired, and parts are on order for the HVAC system that serves a portion of H-M-S Elementary.

An anonymous individual wishes to donate trees to be planted at the middle school. The building and grounds subcommittee will help decide the types to be planted and their placement. According to discussion, a decision will be reached so that tree planting can coincide with grass reseeding on the east side of the middle school.