By Sarah Nigbor

ELLSWORTH – Ellsworth Community School District voters will see an operational referendum question on their ballots on April 5. This new referendum, if passed, will replace the current referendum that expires at the end of the 2021-22 school year.

Voters will be asked to authorize the school district to exceed its revenue limit by $1.3 million per year, for the 2022-23 school year through the 2025-26 school year. The referendum is non-recurring, meaning that it doesn’t automatically renew. The purpose for this extra money, in a nutshell, is to maintain educational programming, technology and facilities.

“We’ve chosen not to do a recurring referendum because when we come to the voters, we can more accurately predict what our needs are,” said Superintendent Barry Cain. “Who knows five to seven years from now what will change?”

The district is constantly assessing data in order to make the most accurate financial forecasting predictions, with the help of Baird Financial. Three to five years is common for an operational referendum. Many factors are used to predict the amount, such as state educational budget projections, past budgetary reductions, and specific local budgetary factors.

“The proposed four-year timeframe aligns with the state biennial budget to allow for state funding specifics to be factored in local projections,” Cain said.

What is an operational referendum?

What exactly is an operational referendum and why does the district ask voters to approve it? An operational referendum gives voters local control to invest in their school district through a property tax increase above the state mandated “revenue limits.” It’s not a referendum to incur debt, but to provide for the ongoing operations related to educational programming, technology, transportation and facilities maintenance.

“We function with a below average revenue limit,” said Cain. “Which is why we have to come to the taxpayers.”

State revenue limits (or levy cap) were put in place in 1993 and haven’t change since. Ellsworth, considered a lowspending district, received a revenue limit well below state average, Cain said. Even with the $1 million referendum in place the last few years, in 2021 Ellsworth ranks 302 out of 421 school districts in “Revenue Limit Dollars Per Member.” Without the current $1 million referendum in place, Ellsworth would have ranked 401 out of 402.

In 2019-2020, the state average cost per student for instruction, support staff and administration tallied up to $11,930. Ellsworth spent $11,080 per student, which is $850 under the state average per child.

The cost of things increases, such as curricular requirements, building maintenance, utilities, salaries, etc., but the state revenue limit formula hasn’t. This requires districts to either cut costs or request additional funds from taxpayers. Ellsworth is not alone in requesting additional funds through an operating referendum, joining 48 other districts across the state. Neighbor Plum City is doing the same on April 5, while Prescott taxpayers have a facilities maintenance referendum on their ballot.

As Cain pointed out, one way to look at it is, it’s an opportunity to keep tax dollars local. When the state collects property taxes, those funds are spread across all school districts. A referendum allows local money to stay local.

Where does the money go?

“I think our track record, the predictions we make, we’ve been very accurate over time,” Cain said. “We can predict pretty accurately what the budget will be in the future.”

If the referendum passes, the district can continue operations without interruption. The dollars will be used to:

•Maintain quality educational programming

•Retain staffing

•Provide ongoing facilities maintenance

•Maintain the district’s transportation fleet

•Invest in technology, such as one-to-one computers for kids

•Maintain current co-curricular activities If these investments peter out, due to lack of funds, Cain likened it to “kicking the can down the road,” resulting in needs remaining (they don’t just disappear) with increased costs later.

“That’s one thing people need to remember,” Cain said. “Just because you ignore something doesn’t mean it goes away. It just might cost more down the road.”

Some examples of things made possible by referendum dollars include: Staffing/curriculum:

•Math and reading specialist positions, who guide staff in math and reading instruction. These positions also helped provide distance learning opportunities for kids during the pandemic.

•Smaller class sizes, which allows kids to get individualized services and teachers to address learning loss that occurred during the pandemic.

•New math and reading curriculum, which are aligned with state learning standards.

Transportation & grounds

•The district tries to replace two buses per year, which costs about $95,000 each. The district’s fleet has improved dramatically due to this practice, helping students arrive at school and home safely.

•The district recently replaced concrete flooring, the shop furnace and overhead doors in the bus garage, which was in dire need of updates. Portable lifts for buses and vans were also added.

•Mowers, tractors, skidsteers and snow removal equipment is needed to maintain the grounds Techonology:

•Providing all students with Chromebook to use at home and school. These need to be replaced and maintained over time; they allowed students to continue learning when schools were online only.

•Technology labs, staff computers, wireless access points and network security upgrades are a necessity to maintain.

•Additional security cameras and controlled access points were added to all school buildings.

Gyms & athletics:

•The district reinstated the district-paid accident insurance that covers students during the school day and in most sports, following the 2018 operational referendum approval.

•The original EHS gym received new lighting and new paint on the ceiling and walls.

•The middle school gym received a new wood floor, new bleachers, a new sound system and paint.

•Fuller-Symes Field/the outdoor track now has a new scoreboard and upgraded concession stand.

•The tennis courts will be resurfaced and painted this summer, while the track recently had its resurfacing completed.

•Eighteen exterior doors will be replaced at the EHS south gym in Summer 2022.

Facility maintenance/upgrades:

•EHS kitchen and cafeteria roof replacement. Roofing replacements are based on life cycles and condition. This section, to be done in Summer 2022, will cost $100,000.

•Four EHS bathrooms straight out of the 1960s are now modernized with new flooring, plumbing, lighting and fixtures.

•Worn asbestos floors at EHS was replaced in the freshman hallways and many classrooms.

•The chillers at EMS and EHS are being replaced due to life cycles and to improve the air quality in the buildings.

•The pool’s filters, pumps and boilers have all been replaced.

•The district is currently using pilot classrooms to test student and teacher furniture. Replacement is set to occur before the 2022-23 school year, if funds are available. Some students can’t fit into the outdated furniture/desks at the high school.

What if it doesn’t pass?

If the referendum doesn’t pass, the district will have to make budgetary cuts in many areas, resulting in facility, transportation and technology needs being put on hold. This could lead to deteriorating buildings, an aging bus fleet and technology that becomes obsolete. New curriculum, providing staff training and updated technology provide children with the knowledge they need to compete in the real world. Being able to provide a quality work environment and competitive wages helps recruit and retain quality teachers.

Cain is especially pleased with the 1:1 Chomebook initiative, which gives each child their own computer to use. It wouldn’t have been possible without the operational referendum dollars.

“Our ability to do those things decreases dramatically and in some areas, will just halt altogether, if the referendum doesn’t pass,” Cain said. “Staffing reductions would lead to larger class sizes. Our ability to reduce staff at the middle school and high school is extremely limited (due to a population bubble). Maintaining low class sizes is a key to quality instruction.”

The largest impact, if the referendum doesn’t pass, would be to the transportation and facilities maintenance budgets, Cain shared.

“We know we have the need and it would be delayed,” he said. “Supporting ongoing replacement so things don’t deteriorate.”

Funding cuts don’t make the needs just vanish into thin air.

“Our district does a great job of prioritizing what the needs are and addressing them, but we can’t do everything,” Cain said.

If the referendum isn’t approved, the capital investment fund (Fund 46) would be eaten away. The ability to prioritize and address needs as they arise reduces the need for a referendum in the future. It also reduces the cost of construction and maintenance, especially when prices continue to rise.

“State funding has determined that investment occurs at a local level,” Cain said. “The money stays here. You have the authority to say, this is what’s going to happen in our schools.”

What will it cost taxpayers?

Local school district property taxes are expected to decrease from the current 2021-2022 school year tax levels. This is largely due to an increase in state equalized aid for the 2022-2023 school year that ultimately goes to lowering property taxes at the local level rather than funding school district operations, Cain said. A number of other areas of funding at the state level that have traditionally increased taxes to fund schools were also not increased within the state budget.

The mill rate is a number representing the amount per $1,000 of a property’s assessed value that is used to calculate the amount of property taxes you pay. The mill rate for the 2021-2022 school year is 8.07, so a person with a $100,000 home would pay $807 in property taxes for the school district portion of their tax bill. The projected mill rates are 7.37 in 2022-23, 7.35 in 2023-24, 7.04 in 2024-25 and 7.18 in 2025-26.

For more details on the referendum, go to www.ellsworth.k12.wi.us and click on the “Referendum” tab, follow the district on Facebook @ellswroth district or contact Cain at 715-273-3900.

This chart shows where Ellsworth lands as far as its mill rate compared to surrounding communities. The 8.07 mill rate means a person with a $100,000 home would pay $807 in school district property taxes each year. Chart courtesy of Ellsworth Community School District