Millions of dollars are at stake in a lawsuit filed by the Springfield City School District against the Clark County Auditor in a dispute over a 2013 bond issue.
The case has been filed with the Ohio Supreme Court.
In May 2013, Springfield voters passed a bond issue to renovate and maintain schools. It was to generate nearly $14 million. The property taxes were to be collected over 12 years, set to end in December 2026.
However, Springfield City Schools split the bond. In September 2013, it issued almost $5.88 million in bonds. The district agrees those corresponding property taxes have been collected.
Then six years later in November 2019, the district issued more than $8.11 million in bonds. The school contends these property taxes should be collected through December 2031.
But according to Clark County Prosecutor Daniel Driscoll, this would force Springfield property owners to pay taxes beyond the 12 years they approved at the ballot.
"What the school's have done is they've basically moved the finish line by issuing this second set of bonds and asking us to restart the clock therein," Driscoll said. "Essentially asking for 18 years instead of the original 12."
According to Driscoll, the auditor’s office won’t collect any more property taxes associated with the 2013 bond.
The administration for Springfield City Schools say in a statement that the auditor’s position may have a negative impact. They argue in some cases, the district could lose tax-exempt status and experience severe budget shortfalls. All of which they say would require them to ask for more taxpayer support.
Both parties are waiting to hear if the Ohio Supreme Court will hear this case. Meanwhile, Driscoll has filed a motion with the state's high court to dismiss the lawsuit.