Two Peninsula school districts have entered into a temporary funding agreement with the City of Mountain View to continue receiving a portion of tax revenues collected by the Shoreline Regional Park Community Tax District. The latest agreement brings to a close a years-long negotiation over what the parties agree is an appropriate share of tax revenue that the Shoreline Regional Park collects from development within its’ jurisdiction.
The City, the Mountain View Whisman School District (MVWSD), and the Mountain View Los Altos School District (MVLA) will continue to hammer out the details of a longer-term deal that involves millions of dollars of future tax revenues fueled by a planned Google development — which was approved unanimously by the Mountain View City Council on Tuesday.
Established in 1969, the Shoreline Regional Park Community Tax District, was established through state legislation to fund capital improvements in the region, including: the creation and maintenance of a regional park, habitat and wildlife conservation, expanded walking and bike paths, and ongoing mitigation of the landfill. Growth in the once underdeveloped region over the past 50 years – largely the result of the growth of the region’s technology sector – has led tax revenues to rise to levels that have far exceeded expectations.
In 2006, the Education Enhancement Reserve Joint Powers Authority (JPA) was established to address concerns over the distribution of tax district funding. This agreement obliged the City to provide annual payments to the two school districts. In 2013, a new JPA was formed, extending the arrangement for another 10 years.
As the 2013 JPA expires this June, negotiations for a new long-term successor agreement have been underway since 2019. The school districts have demanded a full tax rate allocation it would be entitled to in the absence of the tax district, citing the need for increased funding to accommodate the anticipated surge in students due to Google’s plan to build thousands of new homes in the North Bayshore area. They also argue for district boundary adjustments in light of Google’s development project.
The short-term agreement reached ensures continued funding while the intricate fiscal needs of the three entities are negotiated. Under the agreement, the school districts will each receive a minimum payment for the next fiscal year from the tax district. MVWSD will receive approximately $5.7 million, while MVLA will receive around $3.6 million. These figures represent a slight increase compared to the previous fiscal year.
On May 30, the JPA’s Board, consisting of City Manager Kimbra McCarthy, Mountain View Whisman Superintendent Ayinde Rudolph, and Mountain View Los Altos Superintendent Nellie Meyer, unanimously approved the short-term agreement.