MONROE - As part of Wisconsin's final budget, Monroe school board members found out the district will receive $486,000 more in categorical state aid this year.
Monroe school district Business Administrator Ron Olson updated the board on the district's preliminary 2017-18 budget Monday night. The $29.7 million budget doesn't include an increase in general state aid or an increase in the revenue limit. Olson is projecting a $260,000 deficit that is based on expenses from the district's new phone system and security cameras scheduled to be paid for last year spilling over to this year. The district will receive $1.2 million in categorical aid, which is a spike from $737,000 last year.
"This is the most pro-education based budget the (Gov. Scott) Walker administration has had," Monroe District Administrator Rick Waski said. "We wouldn't be getting what we are getting if people didn't tell their legislators they don't want their schools to be the target of reductions."
There is a $200 increase per student in categorical aid for this year and an additional $204 per student added in 2018-19. The budget for 2018-19 includes $125 per freshman student at Monroe High School for wireless devices and provides an additional $20,000 that will pay for half the cost for the district to hire a social worker. There are also mental health and bullying competitive grants and partnerships available for 2018-19.
"We don't have a social worker, but we probably could use the services of a social worker," Waski said. "Where is the other 50 percent (of a social worker's salary) going to come from? There is a risk that it could be one year and then done."
While the tax levy and mill rate are not finalized, the financial picture is encouraging for taxpayers in the district. If there is no increase in general state aid or property growth, Olson projects the total levy to increase 0.34 percent, which would mean the owner of a home valued at $100,000 would see their property taxes increase by about $4.
However, Olson said the temporary budget is based on figures district leaders don't know yet, such as the general state aid amount, the district's final enrollment count and the final equalized valuation in the district, which helps determine the tax rate, known as the mill rate.
"I think the worst-case scenario is we will have a flat levy and a reduction in the mill rate once we get the final three factors known Oct. 15," Olson said.
The preliminary budget will be presented at the district's annual meeting in October and will have to get final approval from the school board.
Olson said he has been informed by lenders that property values in the district have increased 2.5 percent this year.
"If the property growth goes up 2.5 percent, the mill rate will probably go down more than 2.5 percent," he said.
There are several disturbing trends for district leaders. One of the biggest concerns is declining enrollment and a dwindling revenue limit base, which is $353,000 less than last year, Olson said.
Last year, the district had an enrollment of 2,424, which was down 13 students from 2016. The final enrollment number for this year will be finalized soon.
The district will again qualify for a $229,000 declining enrollment exemption, which is based on the average enrollment of students for three years.
Revenue in the district is expected to increase just 0.5 percent, from about $29.3 million to $29.5 million.
"That is why we run into issues and have to go to referendums," Olson said.
Monroe school district Business Administrator Ron Olson updated the board on the district's preliminary 2017-18 budget Monday night. The $29.7 million budget doesn't include an increase in general state aid or an increase in the revenue limit. Olson is projecting a $260,000 deficit that is based on expenses from the district's new phone system and security cameras scheduled to be paid for last year spilling over to this year. The district will receive $1.2 million in categorical aid, which is a spike from $737,000 last year.
"This is the most pro-education based budget the (Gov. Scott) Walker administration has had," Monroe District Administrator Rick Waski said. "We wouldn't be getting what we are getting if people didn't tell their legislators they don't want their schools to be the target of reductions."
There is a $200 increase per student in categorical aid for this year and an additional $204 per student added in 2018-19. The budget for 2018-19 includes $125 per freshman student at Monroe High School for wireless devices and provides an additional $20,000 that will pay for half the cost for the district to hire a social worker. There are also mental health and bullying competitive grants and partnerships available for 2018-19.
"We don't have a social worker, but we probably could use the services of a social worker," Waski said. "Where is the other 50 percent (of a social worker's salary) going to come from? There is a risk that it could be one year and then done."
While the tax levy and mill rate are not finalized, the financial picture is encouraging for taxpayers in the district. If there is no increase in general state aid or property growth, Olson projects the total levy to increase 0.34 percent, which would mean the owner of a home valued at $100,000 would see their property taxes increase by about $4.
However, Olson said the temporary budget is based on figures district leaders don't know yet, such as the general state aid amount, the district's final enrollment count and the final equalized valuation in the district, which helps determine the tax rate, known as the mill rate.
"I think the worst-case scenario is we will have a flat levy and a reduction in the mill rate once we get the final three factors known Oct. 15," Olson said.
The preliminary budget will be presented at the district's annual meeting in October and will have to get final approval from the school board.
Olson said he has been informed by lenders that property values in the district have increased 2.5 percent this year.
"If the property growth goes up 2.5 percent, the mill rate will probably go down more than 2.5 percent," he said.
There are several disturbing trends for district leaders. One of the biggest concerns is declining enrollment and a dwindling revenue limit base, which is $353,000 less than last year, Olson said.
Last year, the district had an enrollment of 2,424, which was down 13 students from 2016. The final enrollment number for this year will be finalized soon.
The district will again qualify for a $229,000 declining enrollment exemption, which is based on the average enrollment of students for three years.
Revenue in the district is expected to increase just 0.5 percent, from about $29.3 million to $29.5 million.
"That is why we run into issues and have to go to referendums," Olson said.