Revenue Purpose Statement
Why is the school district asking for re-approval of the Revenue Purpose Statement (RPS)?In the 2019 Legislative Session, the Secure and Advanced Vision for Education (SAVE) Tax (the statewide penny) was extended by Iowa Legislature through December 31, 2050. As a part of that extension, there was a requirement that each school district revises their existing Revenue Purpose Statement through a vote of the public by a simple majority. Our current Revenue Purpose Statements are valid through December 2029.
If the PCM School District wants to continue to use these funds for long-term facility planning beyond 2029, the RPS must be re-approved to align with the 2019 legislative changes. Re-approval of the PCM Revenue Purpose Statements will allow:
-Maintain the investment our communities have made in facilities
-Facilitate long-term planning and provide a stable revenue source to respond to changing facility needs.
-Provide funds to purchase technology and equipment.
-Ensure our transportation fleet is safe.
-Utilize SAVE revenue for bond principal and interest payments as opposed to issuing General Obligation bonds, which are funded with property tax.
SAVE stands for Secure an Advanced Vision for Education. It is more commonly known as the statewide one-cent sales tax (or penny tax) for schools. The one-cent sales tax first began as a county vote, but in March of 2008, the Iowa Legislature enacted the state-wide SAVE that provided one-cent sales tax revenue to all school districts through 2029. PCM updated its Revenue Purpose Statements in 2014 allowing the district to use SAVE funds for facilities and technology through 2029.
SAVE Funds allow our district to:
- Provide property tax relief
- Ensure adequate 21st-century technology infrastructure
- Address school safety and security
- Build and furnish new school buildings and facilities, as needed
- Remodel, reconstruct, repair, expand, and improve the school buildings
- Establish and maintain public recreation places and playgrounds
- Reduce principal and interest on or retirement of bonds issued for school infrastructure purposes
Will re-approving the RPS raise my taxes?
How much does PCM receive annually in SAVE dollars?
Re-approval of the RPS allows District Administrators and Directors to present long-range facilities, technology, and transportation planning to the Board of Education and community. This allows for a more productive planning process, allowing the District to continue to provide a 21st Century education to all students and minimizes costs of deferred maintenance on facilities.