SB 123 Formation of Children’s Special Districts which will raise taxes

This bill authorizes formation of children’s special districts and provides districts the authority to assess, levy and collect taxes to pay the cost of children’s services.

Personal Choice and Responsibility
Children are the responsibility of their parents and guardians – not special districts

Fiscal Responsibility
This would add increased costs to fund services for children. It appears to be a way to increase taxes to provide what schools do not provide now. Presently over 90% of school districts and about 60% of cities are subject to Measure 5 compression. When an area is subject to compression, each taxing entity’s levy is reduced to ensure the property tax assessment stays below the cap. Adding a children’s district in these areas could trigger further compression and result in reduced revenue for cities, counties and special districts. The bill provides that if a court holds that the district is subject to the $5 education caps in Measure 5, then the district has to discontinue services.

Limited Government
Requires petition for formation of children’s special district to be signed by greater of 15% or more of electors in territory or 100 electors. Aligns formation and changes of organization of children’s special districts with existing special district statutes.

Free Markets
Programs outside public school should be handled between the free market and the school and/or school district.