Tax relief for tornado costs Jackson schools

The Jackson School District, already forced to eliminate 17 teaching positions through attrition, will be out at least another $12,000 next year.

But this time, state budget cuts or a spiraling economy aren't responsible.

The spiraling cloud that ripped a gash through Jackson on May 6 is to blame.

The Cape Girardeau County Commission had approved in May a tax break for tornado victims that suspends property taxes for homeowners who were forced out of their homes. The tax relief was to last for as long as homeowners were displaced.

Jerry Reynolds, the county assessor, said the county sent out 60 notices to homeowners who experienced severe damage. Of those, 28 responded, saying they were not living in their homes because of storm damage.

Of the 28, "only three or four" of the houses did not have to be completely demolished, Reynolds said.

Before the tornado, the assessed valuation of those 28 homes was $640,590. The reduced valuation of those homes -- prorated from January through April -- was $271,570, a decrease of $369,020. The reduced figure could change slightly if some homeowners get back into their houses before the end of the year. Reynolds said the county will have to keep checking back with the homeowners to find out when they will move back in.

The changes will have the most impact on the school district. At this year's tax rate, the school district would stand to lose $12,217.66. The tax rates are subject to change, but Anderson said the school board has not discussed that yet.

Jackson superintendent Dr. Ron Anderson said he, like everyone else "wants to see the tornado victims get back on their feet." But with tighter budgets every little bit hurts, even though it's just $12,000 in a $25 million budget.

"A few years ago, we would have had more flexibility, but that has been taken away," Anderson said. " We're already a low-spending district."

District officials are anticipating a loss of $1.4 million in state funding for the coming school year. The cuts forced the district to eliminate 17 teaching positions through attrition and to cut back on spending for technology purchases, maintenance and salary raises.

On top of the state funding loss, the district received less money from local property tax revenue than officials had hoped for while suffering a 20-percent increase in health insurance costs. The bulk of the money needed to restore the budget will come from the district's reserve funds.

However, officials say because of that, the reserve funds will fall dangerously close to violating state law, which requires districts to keep a certain amount of money in reserve.

The city of Jackson, based on this year's tax rate, will lose $3,625, including $2,222 from its general revenue fund.

"This is a nice gesture to those folks impacted by a disaster," Jackson Mayor Paul Sander said. "The city, as far as I'm concerned, has no problem with that whatsoever. It's not a major impact on the revenue of Jackson."

Help at home

Todd Reiminger, whose home at the Bent Creek subdivision was crushed by the tornado, has said that the tax break was a welcome relief.

He hopes to be paying those property taxes again by Christmas.

"We've already started rebuilidng," Reiminger said. "We've got the foundation poured and the walls put back up. By the end of this week, we should have the roof and plumbing in and then we can pour the floors and take off with the house."

Reiminger said he and his family deal with the frustrations of displacement on a daily basis.

"It's still a mess, getting four of us moved into a duplex," he said. "We're still living out of some boxes, and when you try to find something, you don't know where it's at and you have to go hunting for it. It will probably take a year for our lives to get back to where it was."

It's for that reason commissioner Larry Bock said county officials backed tax relief.

"The homeowners had a big loss," he said. "What little we can help out with proeprty tax is what we wanted to do. The insurance never covers the loss that you have so hopefully this will help out in a small way."

bmiller@semissourian.com

243-6635