Proposed System Could Mean Millions for Del. School Districts - WBOC-TV 16, Delmarvas News Leader, FOX 21 -

Proposed System Could Mean Millions for Del. School Districts

Posted:

DOVER, Del.-  Unpaid property taxes are costing Delaware school districts millions of dollars. State lawmakers want to fix that.

The proposed system is called tax intercept. It's already used to retrieve money people owe for things such as child support.

The bill under consideration would allow school districts and counties to take money from a person's income tax refund if they haven't paid their property taxes.

"We have about $700,000 in unpaid taxes," said John Ewald, superintendent at Laurel School District. "That, of course, could go a long way for our students. The tax intercept bill would allow us to receive some of that funding."

That number is even larger in other districts. The bill's sponsor Rep. Danny Short says, for example, Indian River's number is $2.9 million. Capital School District in Dover says it is missing out on about $2 million in property tax due from 2010 to 2012. Current law specifically prohibits districts from using tax intercept to get the money. Short says they need this mechanism to deal with people avoiding paying what they owe.

"The intercept doesn't mean we just take the money. It's better than that. It means they get notified that we're going to take the money if they don't come in and settle their bill."

That might provide the opportunity to set up something like a payment plan. By whatever method, for districts like Laurel, getting as much of the money they're owed as possible is important right now as some funding sources are drying up.

"We have about $180,000 we're about to lose with sequestration," Ewald said. "We have Race to the Top that will go away next year. So, any type of tax revenue that the school can count on and plan for, with our students in mind, is going to be beneficial."

The state House of Representatives could vote on this bill next week. Last year the chamber gave it unanimous approval. But it stalled in the Senate.

  • Delmarvawide NewsDelmarvawide NewsMore>>

  • Eden Man Arrested for Carjacking, Kidnapping and Marijuana

    Eden Man Arrested for Carjacking, Kidnapping and Marijuana

    Friday, August 18 2017 10:38 PM EDT2017-08-19 02:38:34 GMT
    Friday, August 18 2017 10:38 PM EDT2017-08-19 02:38:34 GMT
    Raymond MathisRaymond Mathis
    EDEN, Md.- An Eden man was arrested on Friday morning after he tried to sell marijuana to two people, then stole the people's car with them inside, according to Maryland State Police. MSP said 28-year-old Raymond Warren Mathis went to the Eden ShellMore
    An Eden man was arrested on Friday morning after he tried to sell marijuana to two people, then stole the people's car with them inside, according to Maryland State Police.More
  • New Power Plant for PRMC

    New Power Plant for PRMC

    08/18/2017 21:17:00 -04:002017-08-19 01:17:00 GMT
    Friday, August 18 2017 9:17 PM EDT2017-08-19 01:17:49 GMT
    SALISBURY, Md.- Governor Larry Hogan was in Salisbury on Friday to help announce a new power plant for Peninsula Regional Medical Center. PRMC said they received a Combined Heat and Power grant from the Maryland Energy Administration that willMore
    Governor Larry Hogan was in Salisbury on Friday to help announce a new power plant for Peninsula Regional Medical Center.More
  • Arrests Made in Camden-Wyoming Burglary

    Arrests Made in Camden-Wyoming Burglary

    Friday, August 18 2017 8:30 PM EDT2017-08-19 00:30:32 GMT
    Friday, August 18 2017 8:30 PM EDT2017-08-19 00:30:32 GMT
    Delaware State Police have made two arrests following a home burglary east of Camden-Wyoming.More
    Delaware State Police have made two arrests following a home burglary east of Camden-Wyoming.More
Powered by Frankly

All content © Copyright 2000 - 2017 WBOC. All Rights Reserved. For more information on this site, please read our Privacy Policy, and Terms of Service, and Ad Choices