Cave Creek USD financial officer reports steady extracurricular tax-credit revenue, outlines uses and reporting deadline

Doctor Pletnick presented the district’s annual tax‑credit accounting and said the district will file the required report with the Arizona Department of Revenue by Feb. 28.

Pletnick told the Cave Creek Unified District Governing Board that district systems require extra steps to produce calendar‑year reports because the district’s bookkeeping runs on a fiscal year. “As soon as I do this presentation tomorrow, we will be filing with the Arizona Department of Revenue,” Pletnick said.

The report covers extracurricular tax credits that donors may designate for specific activities. Pletnick said the funds may support extracurricular activities, character‑education programs, standardized testing fees (including college‑credit testing), and CTE certification assessments. He told the board that, through calendar year 2024, the district’s tax‑credit revenue has held “pretty steady at about $386,000,” noting an overall decline since 2017 but relative stability in recent years.

Pletnick said district rules require each school’s site council to determine how undesignated contributions are used and that the required Arizona statute governing tax‑credit accounting is Arizona Revised Statutes §43‑1089. He explained the report must show numbers of payments, contribution amounts and expenditures by the categories required on the Arizona Department of Revenue form.

Board members asked about outreach and the source of donations. Pletnick said the district runs a tax‑credit video and a mailer to households; he reported the mailer directly generated about $22,000. When asked whether the district can distinguish donations from in‑district families versus those outside the district, Pletnick said that is possible but would require pulling and matching individual contribution records.

Board members also asked whether a pending legislative bill could restore the ability to use tax credits for capital expenditures; Pletnick said he would find and provide the bill number.

Why it matters: school tax credits are a common local revenue source for extracurricular activities and, in some years, capital uses; changes in statute or donor behavior can affect school programs and budgets. The district’s timely filing and the site‑council process determine how undesignated donor dollars are spent.

Questions and follow up: Pletnick committed to provide the bill reference on capital use and said his office will file the district’s 2024 tax‑credit report with the Arizona Department of Revenue by the statutory deadline.