Zero Tax Impact
How can a referendum have ZERO tax impact?
It's a shift in funding — not an additional tax impact.
Frazee-Vergas currently receives Local Operating Revenue supported by property taxes.
If the referendum is approved, those dollars would instead be moved into a voter-approved Operating Referendum.
NET CHANGE IN TAX IMPACT: $0
The referendum amount increases, but Local Operating Revenue decreases by the same amount, resulting in zero tax impact for local property owners.
So what's the benefit?
Having a voter-approved Operating Referendum makes Frazee-Vergas eligible to receive additional dollars generated from taxes on seasonal recreational properties.
Currently, Frazee-Vergas does not have the required Operating Referendum in place and therefore cannot access those dollars.
The estimated benefit:
+$230,000 in additional funding for Frazee-Vergas Schools.
"Then why does my ballot say PROPERTY TAX INCREASE?"
The ballot is required to contain tax-increase language.
Voters will see language stating:
BY VOTING "YES" ON THIS BALLOT QUESTION, YOU ARE VOTING FOR A PROPERTY TAX INCREASE.
Increase in Operating Referendum
+ $X
Reduction in Local Operating Revenue
− $X