Indian River School Board Approves Tax Hike Despite Voter Rejection

MILLSBORO, Del. — The Indian River School District will raise its school tax rate by as much as 10 percent, despite voters rejecting two larger tax proposals earlier this year. The decision came Monday night as the school board voted to implement the maximum increase allowed under Delaware law following a county-wide property reassessment. This move does not require voter approval due to provisions tied to reassessment years.
District leaders say the rate hike is necessary to address critical funding shortfalls. Officials cited long-overdue changes in assessed property values, noting that Sussex County had not undergone a full reassessment since 1974. With updated property data in place, the board said it acted to stabilize reserves and prepare for future expenses. Voters previously rejected two separate efforts to raise taxes by 37 percent, first in March and again in June. Under normal circumstances, increases of that scale would require public approval. However, the state grants school boards limited authority during reassessment years to implement smaller tax hikes. Officials estimate another reassessment may not happen for at least five to ten years. The district will move forward with the new rate in the upcoming fiscal year.

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