AG 1994 09 19 - Laserfiche WebLink

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HAl{LAN E. BOYLE$ July 6, 1994 Senator Roy Cooper, III Room 2117, State Legislative Building Raleigh, NC 27601-1096 Dear Senator Cooper: A critical point has been reached in providing adequate school facilities for North Carolina's future and our children. Most if not all counties are experiencing great difficulty in finding resources to pay-as-you-go or to support debt service payments necessary to provide for their identified needs. The increases in local option sales taxes in 1983 and 1986 and other actions of the legislature certainly helped to reduce the stress in this situation, but they are not sufficient for this monumental task. In recent bond referendums, school bonds have been voted down in unprecedented numbers. This probably reflects citizens' concerns about the associated large increases in their property taxes rather than their lack of support for new school facilities. Claude Mayo, Chairman, and the Nash County Board of Commissioners have had identified to them school facilities needs in excess of $60 million. They intend to use the 1983 and 1986 sales taxes plus additional county funds to provide $30 million for a pay-as-you-go program. The other $30 m~llion in needs are more immediate, and the County Commissioners' desire is to finance these facilities on a pay-as-you-use basis by issuing bonds. The situation they are facing is that the property tax increase necessary to provide for these needs may not be palatable to Nash County residents. The bond issue may fail. Yet regardless of the tax rate, school facilities needs as well as the County's responsibility to fund those needs (G.S. 115C-431) will not disappear. The Department o{ State Tres. surer includes Local Government Commi.~ion, Teacher~' and State Empl~' Reflm~nt S~em, ~ Covemment~ Employs' B~ment S~em, Public Employ' ~1~ ~uri~ Agent, ~a~ve R~ent Fu~, ~h~ Fund, ~nd T~ Renew ~. ~ Affirmative Actio~Equ~ O~M~ Empl~