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Understanding Monticello's referendum, tax impact
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By Allen Brokopp

Monticello District Administrator

The Monticello School Board has placed a referendum question on the April 1, 2014 ballot. This question asks voters permission to continue the 2008 referendum for another eight years. The 2014 referendum question, which is like the 2008 referendum, is known as an "operational referendum."

School districts have two different options for referendums - an "operational referendum," and a "referendum to borrow money." Monticello School District's referendum history shows voters have approved both kind of referendums. The school board held community meetings to educate and solicit input from the public on the type of referendum to present to voters.

Monticello School District electors approved borrowing referendums in 1994 and 2002 to pay for building/remodeling of district facilities. The last payments will be made next year for the 1994 referendum, and in four years for the 2002 referendum. Also in 2008, voters approved a six-year operational referendum to fund operating expenses, vehicles and technology equipment and facility maintenance and repair projects. The 2008 referendum expired this year.

The 2014 operational referendum asks permission to levy taxes in the amount of $530,000 for next year, $680,000 for three years thereafter, and $820,000 for four additional years, to fund operating expenses, purchase vehicles, upgrade and acquire equipment and provide for various facility maintenance and repair projects.

As the three prior referendums (1994, 2002 and 2008) are paid off or expire, the taxes for these referendums decrease until completely gone. The 2014 referendum taxes would be added to the tax levy as the prior referendum taxes are subtracted from the tax levy. Therefore, the impact of the new 2014 referendum must be compared to the impact of all three expiring prior referendums. Following is an explanation of all referendum-approved taxes included in the district's levy since the approval of the 2008 referendum:

The 2008 referendum approved taxes levied for six years totaled $2,415,000 and expired this year. Also, taxes levied for the 1994 and 2002 building referendums during those six years, through the time they expire within the next four years, total $2,478,889. The combined total taxes levied for these prior referendums equal $4,893,889. The 2014 referendum requests new permission to levy taxes for eight budget years totaling $5,850,000 and will expire. The difference in prior referendum approved taxes ($4,893,889), to 2014 new referendum taxes ($5,850,000), is a total of $956,111 of additional taxes.

Beginning with the December 2014 tax bills, total Monticello School District referendum approved taxes, for both the prior building referendums and the 2014 operational referendum, would equal approximately $820,000. This is approximately $100,000 more than the district's referendum approved taxes that were included in the December 2013 tax bills. As the taxes increase for the 2014 referendum, the prior referendum taxes are decreasing, which maintains the $820,000 level for all eight years. The one-time tax increase of $100,000, is a tax impact of 56 cents per $1,000 of fair market property value, which is $56 dollars of additional taxes on a $100,000 property.

Additional referendum information, including the ballot language and a graph demonstrating the tax impact, is available on the district's website at www.monticello.k12.wi.us. A public informational meeting will be held on March 10 at 7 p.m. in the Monticello High School Band Room.



- Allen Brokopp is district administrator for the Monticello school district