To boost school funding, 1 cent added to sales tax

Schools in Chelsea will soon see an increase in money from the city. On Aug. 6, the Chelsea City Council and Mayor Tony Picklesimer unanimously voted to approve an additional 1-cent sales tax, increasing from 4% to 5%, for the city to create additional funding for the five schools.

After council members Tiffany Bittner and Scott Weygand spent time gathering facts and meeting with administration from three of the Chelsea schools to find out their needs, the overwhelming results showed that lack of funding for ancillary projects was a significant problem across the board.

“These are types of projects that the Board of Education can’t or won’t fund, that we as a city with the resources available could fund,” Picklesimer said. “That’s kind of things we want to do with this money.”

The tax increase was initially introduced by the mayor as a proposal at the July 2 city council meeting. The public had an opportunity to voice their opinions at the July 16 meeting, where 15 people spoke, and the opinions were split down the middle.

For the 2018-19 school year, the council gave $125,000 to the schools and helped fund other projects, but there is much more to be done. The expected revenue from the one-cent sales tax increase will be $125,000 per month and $1.5 million per year.

“The money will be earmarked for education purposes only,” Picklesimer said. “It will not be able to be diverted to other projects and will go into a separate school account only to be used on school projects and approved by the city council.”

The mayor decided against a property tax, since almost half of the students in Chelsea schools do not live in the city limits. The new tax increase will only affect those who shop in the city limits.

While the quality of academics of Chelsea schools is not in question, Picklesimer said he wants to do more for the five schools beyond what the BOE can provide.

“Their money goes to teachers, classrooms, brick and mortar,” he said. “Education as a whole entire experience is so much more than that. Teachers are having to buy their school supplies and pay for copies.”

Chelsea Park Elementary Principal Jennifer Galloway said she is very appreciative of the support they receive from the school district and our city council.

“Our faculty, staff and students are blessed to be a part of a great system,” she said. “Our government officials have a desire to provide the very best for all of our students, and we look forward to what the future holds.”

The sales tax increase will not apply to prescription drugs, medical supplies and devices covered by insurance or diabetic supplies. The difference for Chelsea shoppers’ wallets will be small, on $20 it will go from $1.80 to $2.00 or on $200 it will go from $18 to $20.

Rachel Ivey, a Chelsea resident for almost 20 years, said she raised her three children in the schools and also worked as a school resource officer. She said that although the sales tax wouldn’t benefit her directly, she is still for it.

“I’m pleased to have supported a mayor and a city council who are looking to the future,” Ivey said. “They are laying the groundwork today for a prosperous future. My kids are college age. They never played youth sports. I pay to use the community center, and yet I am pleased with my tax dollars going towards sports facilities and helping to cover the gaps in funding for our schools. A community that values its youth and puts its money towards programs that benefit, protect, and educate them is a community that ultimately has less crime and fewer drug addicts. It’s about we and not about me.”

Resident Eric Pedersen was opposed to the tax increase and said he would have felt a little better about the tax if the city council would have reached out with an olive branch to those opposed.

“I feel that $1.5 million yearly and 10% sales tax is excessive,” Pedersen said. “Had he met halfway with a 0.5% increase, I believe it would been more than enough for what he trying to accomplish. There could have been a plan in place for that to be determined at a later date.”

Mayor Picklesimer said while the opinions of those against the tax increase did not go unheard, something had to be done.

“It boiled down to three choices: create a property tax, increase the sales tax or simply do nothing, and doing nothing was simply not an option looking forward,” he said.

After the proposal was passed, Picklesimer introduced the Nick Grant Program that will be available to every teacher and administrator in the Chelsea school system, allowing them the opportunity to apply for things they need.

“It’s named after a dad (who asked to remain anonymous) who emailed me when I first announced the proposal for the sales tax increase saying that it sounded like a sports tax to him, that a lot of the projects had to do with sports” Picklesimer said. “That hit me between the eyes.”

The applications will be reviewed by the grant committee and then require approval from the council.

“I look forward to the many things we can do with this money for our five schools,” Picklesimer said.

The increase will go into effect Oct. 1 and have an end date of Sept. 30, 2025.