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Referendum a 'no'
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SOUTH WAYNE - For a second time this year, Black Hawk School district residents rejected a referendum to allow the district to exceed state-mandated revenue limits.

With all but one precinct reporting as of 10:30 p.m. Tuesday, there were 536 votes against and 370 votes for the referendum. Black Hawk Superintendent Charles McNulty said the votes in the one remaining precinct wouldn't be enough to change the outcome of the vote.

The non-recurring referendum asked to allow the district to exceed state-mandated property tax revenue limits by $450,000 in the 2010-11 school year; by $550,000 in the 2011-12 school year; and by $550,000 for the 2012-13 school year.

The money would have been used for operating expenses.

McNulty said he wasn't disappointed with the election results.

"I'm a big proponent of local democracy. We can't argue with the results," he said.

McNulty said the voters wants the district to have more reductions in the school budget.

"We'll respond to what the community wants us to do," he said.

At the same time, the district still must maintain levels of educational achievement, he added.

The district may face a deficit of about $300,000 in its 2010-11 school budget. That amount could change slightly depending on the number of students enrolled in the district on the third Friday of September, as well as the amount of state aid the district receives.

McNulty said the district could use some of its fund balance to cover the deficit this year.

The district wanted to try to be on more solid footing for the future, he added. That was why it went to referendum.

In April, voters defeated a recurring referendum that would have allowed the district to exceed the spending limit by about $800,000. The referendum failed by a vote of 617 to 350.