Building Fund

 

Overview

On Wednesday, September 27th, 2017, the school board approved the building fund. Taxes were levied through this fund starting in the 2017-2018 school year and continued through the 2023-2024 school year. After seeing news coverage about Valley City Public School's building fund tax levy issue, the district began reviewing our building fund levy authority.

The district has determined that it did not have the necessary voter-approved authorization to levy taxes through the building fund. According to the North Dakota Century Code, “The governing body of any school district shall levy taxes annually for a school building fund, not in excess of twenty mills, which levy is in addition to and not restricted by the levy limitations prescribed by law, when authorized to do so by sixty percent of the qualified electors voting upon the question at a regular or special election in any school district.” Since the required community approval was not obtained through an election, the district lacked the proper authority to impose the building fund levy.

building fund Levies - 2017-2023

From 2017 to 2023, the district levied a total of $786,191 (41.4 mills) through the building fund. During this period, the over-levy amounted to $164,325 (8.9 mills). The district had proceeded with the understanding that it had the authority to levy up to 20 mills annually through the building fund.

full repayment

On Wednesday, February 12th, 2025, the school board unanimously approved the full ($786,191) repayment of the building fund levies. However, the formal process for carrying out this repayment has not yet been determined. While the board has committed to issuing the refund, we believe it is important to engage with district patrons to determine the best approach. Several key considerations include:

  • How should the repayment be distributed to taxpayers?

  • Should it be issued as a refund, applied as a credit toward future taxes, or handled in another manner?

  • What timeline should be used for repayment?

refund estimate

To estimate your refund, multiply your total school taxes paid (2017-2023) by 0.0556

  • Your estimated refund = Total School Taxes Paid (2017-2023) x 0.0556

Past property tax statements can be used to calculate the total school taxes paid by a taxpayer. Additionally, the link below can help identify taxes paid.

Survey

We encourage community feedback before repayment details are determined. A community feedback survey is available at the link below. The survey closes at 12 pm on April 2nd.

public forum

A presentation and public forum was held on Monday, March 17th at 7 pm in the Activity Center.

have a question?

The questions and feedback collected from this survey will be reviewed, and responses will be compiled into a Frequently Asked Questions (FAQ) document, which will be posted on the school’s website for public access. This will help ensure that all community members have clear and accurate information regarding the Building Fund Levy and future financial planning.

importance of a voter-approved building fund

Establishing a voter-approved building fund is essential for ensuring long-term financial stability and providing the necessary resources for ongoing building repairs, facility upgrades, and improvements. A dedicated building fund reduces financial strain on the general fund, preserving resources for essential educational programs, staffing, and student services/opportunities while ensuring that the school remains safe, functional, and up to date.

Approximately 75% of public school districts in North Dakota levy taxes through their building fund, recognizing its importance in maintaining financial stability and supporting facility needs. This is an area the school is currently exploring and is under consideration for a ballot measure in the short term. Additional community input will be gathered to help determine the best path forward, ensuring both financial stability and the district’s long-term facility needs are met in a responsible and sustainable manner.

Thank you for your continued support.

Together is Central.