CHARLESTON COUNTY, S.C. (WCIV) — The Charleston County School District is considering changes to its Tax Increment Financing (“TIF”) policy.
The conversation comes after the Charleston City Council on Tuesday approved a TIF district to fund the Union Pier redevelopment, and eventually CCSD is expected to be asked to do the same.
CCSD staff proposed several changes to the district’s existing TIF policy Thursday night, but one was the item that generated the most discussion.
Currently, CCSD’s participation in TIF districts requires a two-thirds vote or a two-thirds vote of the school board, but the board is now considering changing this to a simple majority vote.
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Some said they would fight to maintain the qualified majority requirement to ensure financial decisions are made in a considered manner.
“CCSD may face dramatically increased financial pressures for an extended period of time. Covering the increased costs may require an increase in the tax burden on properties across the county. Therefore, it is important that approval of a TIF now or in the future requires broad representation from our communities,” Char Fitzwater said in public comment.
Board member Darlene Roberson agreed.
She said Charleston County schools have already lost $20 million through their participation in TIF districts and that requiring a qualified majority is a way for the board to best represent its taxpaying constituents.
“This is not about what TIFs are presented to us. This is about us doing what we are supposed to do as the governing body of this district. And that’s why two-thirds is a reasonable number,” Roberson said.
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However, Ed Kelley, another board member, disagreed.
He argued that the requirement of a qualified majority was inconsistent with state law and that a simple majority decision by the board could give more power.
“Keeping a qualified majority in existing policy is redundant when it can be overridden by a simple majority. That is why I support the change,” Kelley said.
He also pointed out that other important votes do not require a qualified majority.
“The rest of our policy manual does not use a two-thirds majority, even on important things like the entire annual budget,” Kelley added.
Darlene Roberson, Carol Tempel and Daron Lee Calhoun II all voted against the proposed changes, but the first reading was passed anyway.
A second reading will be presented to the Board at the next meeting on September 23, at which time changes may still be made.
