2019 Headlee Restoration Millage Ballot Information

This section of the website contains details about the Headlee Restoration Millage Ballot Proposal, cost, ballot language, and frequently asked questions.

Headlee Restoration Millage Ballot Proposal Details

On November 5, 2019, the Berkley School District will have an item on the ballot, a Headlee Restoration Millage. The November 5 ballot proposal if approved, would allow the school district to return the levy to 18 mills of non-homestead millage on all commercial, business, rental properties, vacant land, and second-home properties. This millage restoration does not affect property taxes on a primary residence.

2019 Headlee Restoration Millage Proposal Important Facts

  • Election Date: November 5, 2019
  • Return the levy to 18 mills of Non-Homestead millage on all commercial, business, rental properties, vacant land, and second-home properties. Currently, due to the Headlee rollback, the District is levying around 17.5 mills.
  • In order for the District to receive its full per pupil foundation allowance from the state, the District must levy 18 mills on Non-Homestead properties.
  • An increase of 3 mills on the ballot, while restricting the District to levy no more than 18 mills, to restore and maintain the 18 mills and guard against losing money due to a future Headlee Amendment rollback.
  • The Headlee reduction has resulted in a $287,700 loss of revenue to the Berkley Schools budget for the combined 2018-19 and 2019-20 school years.
  • If the millage reduction continues each year, the $287,700 loss will grow annually.

Ballot Language

Berkley School District
Operating Millage Proposal

This proposal will allow the school district to levy the statutory rate of not to exceed 18 mills on all property, except principal residence and other property exempted by law, required for the school district to receive its revenue per pupil foundation allowance.

Shall the limitation on the amount of taxes which may be assessed against all property, except principal residence and other property exempted by law, in Berkley School District, Oakland County, Michigan, be increased by 3 mills ($3.00 on each $1,000 of taxable valuation) for a period of 3 years, 2020, 2021 and 2022, to provide funds for operating purposes; the estimate of the revenue the school district will collect if the millage is approved and levied in 2020 is approximately $287,700 (this millage is to restore millage lost as a result of the reduction required by the Michigan Constitution of 1963 and will be levied
only to the extent necessary to restore that reduction)?

Frequently Asked Questions

Will my tax rates increase if this proposal is passed?

No for homeowners. This millage proposal is only for Non-Homestead properties.

Yes for businesses. Due to the Headlee rollback, businesses have not been paying the full 18 Mills they expect to pay for schools. If this measure passes, the Non-Homestead property taxes will increase slightly (from 17.5 Mills to 18 Mills) to restore the loss from the Headlee rollback.

What is the total cost?

There is no cost to homeowners. The ballot measure is to restore the 18 mills that are levied on non-homestead properties (commercial, business, rental properties, vacant land and second-home properties.) The standard formula for determining millage rates as actual dollars is: One mill equals $1 of tax per $1,000 of the taxable value of a property. So, .5 mills, for example, equates to $50 for every $100,000 in taxable value.

Why do districts levy 18 Mills from non-homestead properties?

Each district in the State of Michigan uses the per pupil funding allotment to plan its annual budget. The state determines the per pupil amounts during their annual budget process. 

The State of Michigan also decides how much of the per pupil funding comes from the state and how much comes from each district’s local non-homestead tax base. The state assumes each district is collecting 18 Mills from its non-homestead properties. The state then backs out the non-homestead property taxes (the full 18 Mills) before sending the district its monthly payments. Without the full 18 Mills, the district cannot collect the full amount per each pupil (student).

Berkley Schools has been collecting 18 Mills as the non-homestead operating millage since Proposal A passed in 1993. The 2019 Headlee Restoration Millage if passed allows the District to restore the full 18 Mills, and therefore the full per pupil allotment. The 18 Mill operating millage is up for renewal every 10 years.

If the Headlee Restoration Millage is not passed by voters, will my tax rates go down if I’m a homeowner?

No. The Headlee Restoration Millage is a tax on non-homestead properties, not primary residences.

What does Non-Homestead mean?

Non-homestead property includes all taxable property within the District with the exception of a family’s primary residence. Non-homestead property includes industrial, commercial and some agricultural property and ‘second homes.’

What happens if the Headlee Restoration Millage is not approved?

The Headlee rollback has resulted in a $287,700 loss of revenue to the Berkley Schools budget for the combined 2018-19 and 2019-20 school years. If the millage reduction continues each year, the $287,700 gap in funding will grow annually.

What taxable value was used and which millage rate was used to calculate the difference in revenue?

2019-20

Taxable Value: $193,842,390*
Millage Rate: 17.3849
Local Property Tax Levy with 18 Mills: $3,489,163
Local Property Tax Levy with 17.3849 Mills: $3,369,930
Gap in Funding: $119,233
*The TV used to generate the ballot language was an estimated number from the County. The actual TV came in less at $193,518,352.

2020-21 (Numbers used in April 2019 to estimate the gap in funding for the ballot language)

Taxable Value: $194,811,602**
Millage Rate: 16.5156**
Local Property Tax Levy with 18 Mills: $3,506,608
Local Property Tax Levy with 16.5156 Mills: $3,217,630
Gap in Funding: $288,978
**The TV and millage rates used in the 2020-21 numbers are projections based on trends.

2020-21 (Numbers revised in October 2019 with updated variables from the State)

Taxable Value: $206,987,229**
Millage Rate: 16.5625**
Local Property Tax Levy with 18 Mills: $3,725,770
Local Property Tax Levy with 16.5625 Mills: $3,428,219
Gap in Funding: $297,551
**The TV and millage rates used in the 2020-21 numbers are projections based on trends.

If voters approve the Headlee Restoration Millage, does the District have the money earmarked for something specific?

The funds from the non-homestead millage go directly into the general fund. As with every extra dollar received, additional general fund dollars are always spent focused on making the biggest impact on our students.

Voting Information

Register to Vote

Learn more about registering to vote, or see if you're already registered, at the Secretary of State's Register to Vote website.

October 21, 2019

The last day to register to vote by mail.

October 22 - November 5, 2019

In-person registration with the local clerk with proof of residency.

Absentee Ballots

Learn more about absentee voting on the Secretary of State's Absentee Voting website

  • Requests to have an absent voter ballot mailed via First Class Mail must be received by the City Clerk no later than 5 pm on November 1, 2019.
  • Electors already registered to vote may obtain an absent voter ballot in person in the City Clerk's office up until 4 pm on November 4, 2019.
  • Emergency absentee voting for the general election make take place up until 4 pm on November 5.
  • Election day registrants may obtain and vote an absent voter ballot in person in the clerk's office or vote in person in the proper precinct on November 5.