Representatives from Selma City Schools, Dallas County Schools and the Dallas County Commission, along with Rep. Prince Chestnut, D-Selma, met in the Dallas County Commission chamber Thursday to discuss the ongoing financial problems facing Dallas County.

A half-cent sales tax passed by the Dallas County Commission in 2012 was drafted to benefit schools in the county system, but an audit in 2014 found that, according to state law, the revenue from that tax should have been split 50/50 between the two school systems.

The audit found that the county school system owed the city school system more than $1 million in unpaid tax revenue.

Former Sen. Hank Sanders, D-Selma, who advocated for the countywide tax for the benefit of the county school system, attempted to pass legislation that would have made the split of revenue 80/20 in the county’s favor – the legislation failed to make it through both chambers of the state legislature.

Since then, the county school system has been making regular payments to the city system for revenues collected from the half-cent sales tax, but the balance of more than $1 million is still outstanding.

A repeal of the half-cent sales tax takes effect June 1 and local leaders are trying to find ways for the county school system to remain solvent.

According to Dallas County Commissioner Roy Moore, the Dallas County School system is “on the verge of bankruptcy” and there is a fear that the state will step in.

During Thursday’s meeting, Moore attempted to convince Selma City School board President Johnny Moss and Superintendent Dr. Avis Williams to agree to the proposed 80/20 split – if the city school system agreed to the measure, it could be resolved with a county resolution, if not it would have to go before the state legislature – but both Moss and Williams stated they could not agree to such a proposal.

“We are maintaining financially,” Williams said of the city school system. “We have our struggles, too. We’re not in a position to give up any money.”

“I hate it had to come down to this,” Moore said. “I hate it wasn’t passed like it was supposed to be passed.”

Both Moore and Dallas County School Board member Mark Story discussed the possibility of merging the two systems, which would eliminate the county school system’s debt and allow the two school systems, which now serve roughly 6,000 students combined, to combine resources.

“We’ve got to move forward,” Story said. “We can’t keep going the route we’re going. We’re not making it as it is.”

Multiple ideas were floated to make up the revenue – including a property tax increase or an additional half-cent sales – but those in attendance thought there wouldn’t be public support for the measure.

“We’re just a poor community and we’ve got to find a way to make this work,” Story said.

Chestnut proposed that the county impose its half-cent sales tax on only those businesses not operating in Selma, as doing so would make it feasible for the county to retain all of the revenue from that tax.

Currently, Selma is the largest city in Dallas County and, therefore, generates the vast majority of the revenue being collected through the county’s half-cent sales tax.