News Summary
Fayette County Public Schools has approved a rise in the occupational tax rate from 0.5% to 0.75% to address a $16 million budget shortfall. The decision, made by a narrow vote, aims to fund essential classroom needs amidst growing student numbers and rising expenses. However, concerns about financial priorities and transparency have emerged, with local business owners questioning the district’s spending habits, particularly regarding an ice cream event and travel expenses. The proposal now awaits further approval from the fiscal court.
Lexington, Kentucky – Fayette County Public Schools (FCPS) has approved an increase in the occupational tax rate from 0.5% to 0.75% in response to a looming $16 million budget shortfall for the upcoming fiscal year. The proposed tax hike was passed with a narrow three-to-two vote from the Board of Education, with plans to allocate the funds toward essential classroom needs and educational services as the number of students in the district continues to rise.
The tax increase is a critical measure for the district, aimed at addressing financial challenges that have arisen due to factors such as inflation, a decline in federal support, and an increase in demands for public education. It is reported that these budgetary constraints are not a result of recent expenses but have emerged due to broader economic pressures.
As public scrutiny grows, local business owner and former state senate candidate Andrew Cooperrider has raised concerns regarding the district’s financial priorities. Cooperrider, who is part of a watchdog group, filed an open records request for FCPS expense reports after a $32,000 invoice from a local ice cream shop, Crank & Boom, was circulated on social media. The expenditure, associated with the district’s “FCPS Cares” initiative for employee appreciation, has sparked debate about appropriate use of funds.
FCPS spokesperson Dia Davidson-Smith has stated that the ice cream event was fully funded by community sponsorships, thereby costing taxpayers nothing. However, Cooperrider contends that such spending could have been better utilized for direct educational purposes or other pressing needs, rather than for employee appreciation events.
Further complicating matters, Cooperrider claims that the district’s travel expenses, which he estimates to be around $127,000 for October 2024, are excessive. In defense of these costs, Davidson-Smith emphasized that such expenditures represent less than 1% of the total budget and are aimed at professional development and collaboration that positively impact student learning.
The increase in the occupational tax now requires approval from the fiscal court, which is scheduled to convene in the coming days. Meanwhile, the tax hike has drawn legal scrutiny following a declaration from Kentucky Attorney General Russell Coleman, who deemed the tax increase unlawful due to the lack of required public notice, which should be provided at least one week prior to any vote on financial matters. Senator Amanda Mays Bledsoe, who requested Coleman’s opinion, has noted taxpayer dissatisfaction over what many view as a deficiency in transparency surrounding this tax increase.
In response to the Attorney General’s position, FCPS Superintendent Dr. Demetrus Liggins has expressed disagreement, asserting that the board’s actions adhered to guidelines and asserting that further public comments will be entertained before any final decisions are made regarding the tax increase.
The community’s frustration with the board’s communication regarding the tax hike has been palpable. Parents and concerned members of the public have called for more input and transparency in decision-making processes. A follow-up board meeting has been scheduled for June 23, where additional opportunities for community comments will be provided.
As the fiscal court considers the tax proposal and the school board seeks to address community concerns, the trust and accountability of the FCPS administration remain under scrutiny. With significant debate surrounding the financial management and transparency of the district, stakeholders are watching closely as the situation unfolds.
Deeper Dive: News & Info About This Topic
HERE Resources
Kentucky Attorney General Calls Fayette Schools’ Tax Increase Unlawful
Fayette County Commissioner Recuses from Tax Vote
Fayette County School Board Approves Tax Increase to Address Budget Deficit
Fayette County Schools Propose Tax Increase to Address Budget Deficit
Fayette County Proposes Occupational License Tax Increase for Schools
Fayette County Schools Propose Occupational Tax Increase
Fayette County Faces $16 Million Budget Shortfall
Fayette County Schools Propose Significant Budget Cuts
Fayette County Community Demands Change in Superintendent Leadership
Additional Resources
- Kentucky.com: Opinion by Linda Blackford
- Lex18: Fayette County School Board Approves Tax Increase
- Fox56 News: Fayette County Public Schools Speak Out on $32,000 Ice Cream Invoice
- WKYT: Kentucky Attorney General Says FCPS Tax Hike is Unlawful
- Spectrum News: Fayette County Public Schools Tentative Budget
- Wikipedia: Fayette County Public Schools
- Google Search: Fayette County Public Schools
- Google Scholar: Fayette County Public Schools Tax Increase
- Encyclopedia Britannica: Fayette County Public Schools
- Google News: Fayette County Tax Increase
