Equalization is about Tax Fairness

Equal access to levy dollars.

Equalization is tax relief to taxpayers. It's a "match" of state aid that makes local levies more affordable for citizens in low property wealth districts. Calculation of the state aid/local levy split for voter-approved referendum % of referendum that is paid by local property taxpayers (the state provides aid for the remainder)
100%

Districts referendum market value per student

$476,000 (equalization factor)

Unfortunately, equalization factor was set in 1993 and has not been adjusted to reflect escalating property values. The Erosion of Referendum Equalization

80%

60%

48% 59% 53% 68% 64% 76% 74% 74% 74% 73% 78%

40% 34%

14% 17% 16% 23% 19%

40%

20%

47% 52% 36% 41% 26% 26% 27% 32% 22% 24% 26%
Pay 95 Pay 96 Pay 97 Pay 98 Pay 99 Pay 00 Pay 01 Pay 02 Pay 03 Pay 04 Pay 05

60% 66%

86% 83% 84% 77% 81%

x 100

0% Pay 06 Pay 07 Pay 08 Pay 09 Pay 10 Pay 11 Pay 12

Local Levy

State Aid

For every referendum dollar approved by Centennial voters in 1995, the state paid 78 cents while the local taxpayers were responsible for the other 22 cents. This was the amount of state aid needed so a Centennial taxpayers burden per levy dollar for their schools was similar to taxpayers in every other school district. However, since the equalization factor has never been increased to reflect rising property values, this erosion has made levy dollars significantly more expensive for the Centennial taxpayer.