Levy plan irks some taxpayers

Stefan Sharkansky, a Seattle resident and father of a preschooler, feels the school district hasn't been honest with taxpayers about the effect of the $178 million capital levy, which would pay for almost 700 improvement projects, and the $338 million operations levy, which would account for 23 percent of the budget.

A Seattle Public Schools brochure characterizes the levies as renewals of existing ones and estimates that the tax rate for the levies will steadily decrease over the next few years, assuming that property values increase 6 percent a year.

Since levy rates are calculated to generate a fixed amount, the reasoning goes, a rise in property values will mean a lower rate is needed to collect the same amount.

The brochure doesn't mention that the capital levy on the ballot is $28 million more than the last one approved by voters, in 1998.

"Let's be honest about it," said Sharkansky, who plans to vote no on both levies. "It just leaves a bad taste in my mouth to say it's a renewal when it's an increase."

Sharkansky, a financial-software consultant, said the net effect will likely be a boost in taxes, since the increase in the capital levy will almost certainly outstrip any growth in the tax base caused by new construction.

"Who cares if the (levy) rate goes up or down?" Sharkansky said. "The rate is such a highly speculative thing, but what is pretty clear is that the amount the voters are being asked to authorize will cause, with a very high degree of certainty, individual taxpayers' taxes to go up."

John Vacchiery, the district's director of facilities planning and enrollment, said the capital levy increase can be chalked up to inflation.

"It's the same level of buying power we had in 1998 that we'd have in 2004," he said. "The difference is $28 million, but we didn't increase the amount any more than the amount of inflation."

Linda Sebring, the district's budget manager, said approval of the levies would increase the total school tax bill -- from $803 last year on an average Seattle home valued at $336,000 to a projected $865 in 2005, the first year the new levies would be reflected on tax bills.

But Sebring pointed out that the amount the district can collect annually on the operations levy is based on state and federal funding received, and since that funding is dropping in some areas, property owners could actually see a drop in their school property tax, even when the higher capital levy is factored in.

"Unless the economy improves dramatically ... it's highly likely that people will see a drop in their taxes," Sebring said.

King County Assessor Scott Noble, however, said the 6 percent property-value increase the district is projecting is "in the upper strata" of estimates.

"Even though the market is booming, the overall appreciation rates are less than what they have been in the boom years," he said.

The capital levy would pay for projects ranging from playground improvements to new classroom computers, roof replacements and athletic field upgrades. The operations levy covers basic educational programs and services not fully funded by the state, including bilingual education, buses, security, maintenance and music and drama instruction.

Sebring hopes voters understand what a levy failure would mean.

In 1975, Seattle taxpayers turned down a $53 million operations levy, scaled back from a $59 million proposal defeated the previous year. The failure resulted in teacher layoffs, a shortened elementary school day and less frequent classroom cleaning. A defeat now, after the district exhausted much of its reserves to cover a $23 million shortfall two years ago, would be disastrous.

It would mean major layoffs, Sebring said, and would affect many of the services now taken for granted -- for example, a policy to provide children with transportation to any school within their geographic "cluster."

At the South Lake Union headquarters of Schools First, the organization backing the levies, campaign manager Ann Goos said the input she's heard from voters has been overwhelmingly positive.

"There are always going to be those voters who don't like using property values to pay for schools," she said. "I wouldn't say it's anything out of the ordinary. I think every campaign that deals with levies or bonds, you always have that."

The property tax bill for a typical Seattle homeowner last year had 16 different line items, from county bonds to fees for parks, Seattle Center and the city's general fund. Seattle schools are close to the costliest item. But city voters have traditionally shown strong support for public schools, and Goos is confident the trend will continue.

"I would say the vast majority of Seattle citizens know how important these levies are and recognize the importance of public schools," she said.

Other local school districts holding levy votes Tuesday include Mercer Island, Renton, Auburn, Fife, Riverview and Federal Way. King County elections officials are predicting a 30 percent turnout.

To pass, Seattle's levies require a 60 percent majority vote. There is no minimum turnout requirement, but the "yes" votes must also equal 24 percent of total turnout in last November's general election.

P-I reporter Deborah Bach can be reached at 206-448-8197 or deborahbach@seattlepi.com

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