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Kentucky Attorney General Calls Fayette Schools’ Tax Increase Unlawful

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Parents and educators engaged in discussion at a community meeting on Fayette County school tax.

News Summary

The Kentucky Attorney General has declared the Fayette County Public Schools’ tax increase unlawful due to lack of public notice before the board’s vote. This decision has sparked criticism from local officials and raised concerns about transparency within the school district. Senator Amanda Mays Bledsoe has voiced her concerns over the timing of the vote, and FCPS aims to engage the community further by recording public comments and holding meetings for input regarding the financial decisions, highlighting ongoing scrutiny of school funding and practices.

Lexington, Kentucky – The Kentucky Attorney General, Russell Coleman, has declared the Fayette County Public Schools (FCPS) tax increase unlawful, citing insufficient public notice prior to the board’s vote. This decision has arisen amidst growing public concern regarding the board’s transparency and the timing of the tax increase, which was approved in May.

The FCPS board voted 3-2 to raise the occupational tax from 0.5% to 0.75%, aiming to address a $16 million budget shortfall. However, Coleman determined that the board did not comply with state statutory requirements mandating public notice be provided at least one week before such a vote. This revelation has prompted criticism from local officials, including Senator Amanda Mays Bledsoe, who questioned the timing of the vote during the Memorial Day weekend.

Senator Bledsoe had previously requested Coleman’s opinion after hearing significant concerns from constituents regarding the legality of the tax increase. FCPS initially maintained that the law did not apply, as the increase was categorized as a county-level tax. However, Coleman refuted this claim, emphasizing the necessity of proper notification as outlined by state law.

Norma Justice, President and Co-Founder of the Fayette County Children’s Coalition, has characterized FCPS’s handling of the situation as highly inappropriate, reinforcing calls for greater accountability and transparency from the school district. In light of Coleman’s opinion, FCPS Superintendent Dr. Demetrus Liggins expressed strong disagreement, stating that there are reasonable differences in the legal interpretations surrounding the tax increase.

In an effort to foster community engagement, Liggins noted that FCPS intends to document public comments received during the May meeting and will provide additional opportunities for public input at a board meeting scheduled for June 23. Moreover, FCPS is forming a committee composed of various stakeholders to reflect on the budget process and enhance community involvement regarding the occupational tax.

The proposed tax increase, if ultimately passed, would result in an additional $13 cost monthly for residents, raising significant public interest and concern. The Fayette County Fiscal Court has announced it will not move forward with a vote on the tax increase until the FCPS board certifies it, adding to the uncertainty surrounding the financial decisions of the school district.

Community members have expressed rising apprehensions about the transparency of the decision-making process, particularly with respect to financial matters. Some individuals have initiated open records requests aimed at uncovering specifics about FCPS spending, which has come under scrutiny due to what some perceive as excessive travel expenses. These concerns have prompted questions about the effective allocation of funds to meet student needs.

In defense of the tax increase, FCPS points to inflationary pressures and a decline in federal support as contributing factors to the financial challenges facing the district. The administration is urging that a more transparent dialogue be established regarding budgetary decisions and the overall fiscal health of the school system.

As the situation develops, a coalition of community advocates is actively calling for enhanced communication from FCPS leaders regarding budget strategies and spending practices. Stakeholders are encouraged to participate in forthcoming discussions to voice their concerns and recommendations regarding the district’s financial management and tax policy.

Deeper Dive: News & Info About This Topic

HERE Resources

Community Leadership and Kindness Flourish in Kentucky
Kentucky Faces $149 Million Federal Funding Cuts
Fayette County Cancels Occupational Tax Increase Vote
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 Public Schools Considers Tax Increase to Address Budget Shortfall
Fayette County Proposes Occupational License Tax Increase for Schools
Fayette County Schools Propose Occupational Tax Increase
Lexington Unveils Renovated Briarwood Apartments for Affordable Housing

Additional Resources

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