The Pettisville school district income tax was down almost 14% from last year, but the figure is deceiving.
Chris Lee, district treasurer, said 2008 was the school district’s best-ever year in income tax revenue. It would be more accurate to compare 2009 to 2007, which is closer to an average year.
When the 2009 collection is compared to 2007, the 2009 collection is down about 5.8%.
Residents in the school district pay 1% of their income to the school district. Money from the tax goes to the Ohio Department of Taxation.
The Department of Taxation sends money to the school district, in the form of settlements, four times a year: January, April, July, and October.
The district will not receive another state settlement until January 2010. Therefore, district officials know how much income tax revenue they will receive this calendar year.
In 2009, Lee said the district received $386,855.55 from the income tax, $62,630.08 less than the record setting 2008 number of $449,485.63. The difference, in percentage terms, is 13.9%.
But when 2009 is compared to the 2007 collection of $410,602.89, the difference is $23,747.34.
Lee said the 2009 October settlement was actually better than he had anticipated.
Compared to the 2008 October settlement, the 2009 figure is down 6.31%.
Lee said he expected the loss of revenue to be much larger after reviewing the July settlements.
When the 2009 July settlement figure is compared to July 2008, the 2009 figure was down about 18.1%.
Lee said the district is still in belt-tightening mode.
“The hope is we’ve seen the worst, and (the economy) is starting to level off and come back up. Or at least level off,” he said.–David