The Associated Press

CLEVELAND - Some retailers say a slumping economy means their stores are worth less, so they should pay lower property taxes. But the reductions come at a tough time for school districts.

Suburban Strongsville will lose $444,202 this year and next year because taxes were cut for four department stores at Westfield Shoppingtown SouthPark Mall.

"If the city were not still growing with new development, we would be killed by the cuts," Strongsville Treasurer David Mattingly said.

Adding to the loss, the district paid lawyers and appraisers $222,200 to fight tax challenges.

"These are the largest requests for property value decreases I've seen in 30 years" of helping schools oppose them, said lawyer Dan Kolick, who represents Strongsville schools.

It's not just suburban retailers. Owners of downtown hotels, office buildings and apartment complexes say their properties are worth less, and they also want to pay lower taxes. That can mean less money for local governments, especially school districts.

If all were approved, reductions requested by downtown Cleveland businesses would mean a loss of $10 million in property tax revenue, and the school system plans to fight most of them. It already is looking at hundreds of job cuts.

"If we have the tax dollars right now, we can save jobs right now," said Erbert Johnson, the district's chief financial officer.

J.C. Penney was among the stores challenging its Strongsville tax bill, and chain spokeswoman Christi Smith said schools should consider the big picture. The company, with 45 stores in Ohio, contributes $7 million statewide to the property tax base, she said.

"Cities have income tax. Counties have sales tax, but 70 percent of our budget comes from local property taxes," said Rob Matson, treasurer of schools in North Olmsted.

Kolick has taken his argument against using slumping sales as a basis for determining property value to the Ohio Supreme Court, where a ruling is pending.