Property owners won't get break; money to go toward school debt

Published Tuesday, August 26, 2008
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The Beaufort County Board of Education got its wish Monday night to use $5 million of $6 million in unexpected revenue to pay off some school district debt.

Some of the money came from property tax assessments conducted by the county on homes that were sold last year, which was required under a state law passed in 2006.

Assessments now have to be done when properties are sold, in addition to every five years.

Those new assessments will result in a boost in property taxes the school district collects.

A motion before the Beaufort County Council, which approves the school district's budget, would have meant about half of that additional money would have been returned to taxpayers. That would have resulted in a $14 to $16 break -- depending on whether the property owner was a full-time or part-time resident -- for every$100,000 in assessed value, according to county finance director Tom Henrikson.

But the council voted 6-5 to defeat the motion, with the prevailing members saying the school board made a persuasive argument to use the money to pay off debt.

In another vote, the council agreed with the school board's request that $5 million go to debt, while setting aside the other $1 million because of an expected loss in state funding.

Hilton Head Island school board member Reid Eikner made a passionate plea to put the money toward debt payments. His arguments apparently hit home with council members Steve Baer, Rick Caporale, Gerald Dawson, Herbert Glaze, Paul Sommerville and Laura Von Harten, who voted the motion down.

Council Chairman Weston Newton, Stu Rodman, Jerry Stewart, Bill McBride and Skeet Von Harten were in the minority.

Newton pointed out that gas prices are at "$3.50-a-gallon, we're averaging 100 foreclosures a month in Beaufort County and we've got a lot of people out of jobs." He said some of the money should go toward reducing property taxes.

Laura Von Harten disagreed.

"The way I see it, the school board needs to have the autonomy to do what they think is best."

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