A
Solution to the School Crisis in Wake County
By
Stan Norwalk (1/2006)
The
Wake County Commissioners, working together with local
governments, can make a major step in addressing the
crisis that faces the Wake's Public Schools (WCPSS).
An Adequate Public Facilities (APF) ordinance for schools
could generate $50 million annually. That would put
the burden on growth for almost 50% of the cost of added
school capacity. It would reduce the amount of the anticipated
tax increase - although an increase still would be needed
to cope with past under-funding of construction budgets
by the County Commissioners.
An
APF does not require additional authority from the NC
General Assembly (NC GA). Four counties in N.C. already
use APF's. Leadership and the willingness to confront
the powerful development lobby are required. And cooperation
between County and municipal governments is a must.
WCPSS's
crisis is real. The lowest estimate for construction
and maintenance of our public schools over the next
decade is $4.5 billion. It is questionable that the
public will support the necessary bonds. Wake's high
growth rate, and past under-funding, has bent the school
board into contortions: mandating huge and disruptive
reassignments, year round schools, high-cost modular
schools and trailers everywhere.
The
Commissioners have formed a blue-ribbon committee to
define means of paying for new schools and other infrastructure.
But NC counties have few independent means of creating
added sources of revenue - other than raising the property
tax. Revenue sources widely used nationally in hundreds
of other jurisdictions, e.g. impact fees and property
transfer taxes, cannot be employed without the approval
of the NC GA. Nine NC counties have received such powers.
But under pressure from developers, the NC GA has repeatedly
refused to extend similar authority elsewhere. The developers'
clout results from their huge war chest, used to fund
the campaigns of those who support them - or defeat
those who do not toe the line.
Can
half-measures solve Wake's problems? Wake is growing
by 68 residents per day. Twelve thousand new residences
were built in 2005. Six thousand new students per year
require over $100 million per year in new facilities
- plus the increasing renovation bills for 50-60 older
schools.
The
last blue-ribbon committee, formed in 2000, was called
the Growth Management Task Force. They did nothing to
control the rate of growth. Their consultant's first
recommendation was an APF ordinance. An APF can apply
to any public infrastructure, e.g. roads, utilities
or schools. Under an APF a building permit is denied
if there are not adequate facilities, e.g. permanent
school seats, to service the new development. A "phasing"
variation rations permits to match planned infrastructure.
Since
the County has no authority regarding building permits
outside the unincorporated areas, the municipalities
must also employ them. Several years ago Cary passed
a school APF. Cary allowed development if a fee was
paid, in a roundabout way, an impact fee.
But
neither the County nor the other municipalities would
follow Cary's lead. Developers could circumvent Cary's
APF by "moving across the street" into a neighboring
town. Many did so and Cary's growth dropped sharply.
Despite that, several million dollars was collected
for schools. After a more development friendly town
council was elected, Cary recently repealed its schools
APF. Orange, Cabarrus, Stanly and Currituck Counties
have APF's. Other counties are considering same. If
a $4,000 fee was collected in Wake it would have provided
$50 million in 2005, enough to finance almost 50% of
the cost of growth.
Developers
may claim that a Wake APF faces the same fate as Cary's.
But where would developers move? The surrounding counties
have growth problems of their own and have employed
impact fees or APF's in various forms. Among the major
counties in the Triangle region, Wake has made the feeblest
effort to manage the growth rate. Wake is growing because
of jobs and demographics. Only the fast-buck artists
among the developers would leave Wake. Those that recognized
that the health of the community was essential to their
welfare would stay and prosper. They might even find
that less draconian impact fees are not that bad after
all.
Due
to their previous denial of APF's, the Commissioners
would have to take the lead. Without bold leadership
and organized public support, the odds are against an
APF. But sooner or later the public will demand a solution.
Other high growth states and counties have found a solution
in APF's. Why not Wake?
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