On Thursday, January 12, the Elkhorn Area School District Board of Education unanimously voted to approve Elkhorn Area School District going to referendum on April 4, 2023. An operational referendum is necessary due to:

• A lack of state funding

• Inflationary impacts

• One-time federal funds not sustaining ongoing operations

A referendum allows our community to take funding into our own control. It also allows us to maintain our educational system for our students.

1. Lack of state funding - there has been a 0% increase in ongoing per pupil funding authorization by the State of Wisconsin for two consecutive years, 2021-22 and 2022-23.

2. Inflationary Impact - Inflationary costs have impacted our entire operations ranging from personnel costs, utilities, transportation services, supplies & equipment, computer software programs, and related educational material. Inflationary increases in these areas have ranged between 6% to 8%.

3. One-time federal funds do not sustain ongoing operations - Staffing and benefits comprise 76% of our operating budget ($36M). While we appreciate one-time money, it does not cover our ongoing budget needs. The state not providing budgetary increases for two consecutive years has resulted in this projected deficit.

Referendum funds will be used to maintain current instructional programs and class sizes, staffing, ongoing safety and facility maintenance, and provide additional resources for the four-year-old kindergarten program.

Current staff at 4K Centers are not school district employees. They are employees of the daycare facilities; additional resources would allow them to become school district employees, provide more competitive wages, and reserve more resources for 4K programming.

Because operating costs are ongoing for school districts, the need for additional funding is not projected to go away. An operational referendum gives the School Board the authority to levy up to a specified amount; however, the Board can reduce the amount they levy should the State of Wisconsin return to providing additional ongoing funds.

One-time federal ESSER/COVID funds that helped support EASD will not be renewed. Without increasing our revenue limit through a referendum, we project a $3,478,000 budget gap by the end of the 2023-24 school year. By the end of 2024-25, our budget shortfall is projected to have reached $5,979,000.

The projected tax impact of both questions is a maximum of $215. Projected tax impact assumes that equalized value will increase 3% in 2023 and then 2% for 2024 and 2025 and that no additional state property tax relief is provided by the state.

*Projected tax impact is per $100,000 of assessed property value.

Email referendum@elkhorn.k12.wi.us or call 262-723-3160.