1. Operating Levy Renewal - 2013

2. Levy versus Bond Levy = LearningBond = Building

3. Declining Enrollment Student enrollment is the key driving factor for revenue from the State of Minnesota and revenue generated by local operating levies. Number of Hastings Students 5100 Students 4600 Students

4. Back to the Classroom Teachers returned to the classroom: Year Teachers 2005 282 2013 306 In 2003, the Hastings School District was operating in the red. We made a promise that we would lower class sizes when we became financially stable. Our enrollment has continued to decline and we have continued to add teaching staff. We have kept our promise!

5. Question: How does an extra $78 per pupil from the State of Minnesota result in less money for our district? Answer: We have fewer students.

6. Note: The taxes have increased an average of $8.86 each year, over a thirteen year period. During that time the Hastings Community supported the following projects: 2001$43.6 Million High School - Bond 2003 Operating Levy 2004$5.4 Million Electrical & HVAC improvements at JFK and Pinecrest Elementary - Bond 2005 Operating Levy 2006$1.2 Million Library/Media Center at JFK Elementary – Bond 2009$19.2 Million Low Interest Bond Projects – Bond 2011Renewal of Operating Levy School District - Property Tax History 2000 vs. 2013

7. Referendum Revenue The State of Minnesota will help to pay for our operating levies more than ever before. School District Property taxes will not increase with a “Yes” vote on the renewal of the operating levy. Local Tax Burden State Aid = $209,143 State Aid = $1,150,045

8. Taxpayer Burden The school district has structured the operating levy to increase by the state rate of inflation (estimated at 1.5% - 1.8%) annually. Because the State of Minnesota is helping with the tax burden, it will take an estimated 8 years, for the tax burden to reach the level taxpayers were responsible for in 2012. Current Taxpayer Burden $8.1 Million

9. What this means to Taxpayers… Tax Impact of the State Equalization Formula Impact on the Taxpayers

10. Declining Enrollment/City Growth Question: Student enrollment has declined while the population of the City has increased, what does this mean for the taxpayers? Answer: There are more people to share the cost of the tax burden. City of Hastings Population School District Enrollment

11. 2013 Ballot Language School District Taxes will decrease with a yes vote. However, legally the ballot has to state that there is a tax increase because the levy amount will increase by the state inflationary rate over the life of the levy.

12. You decide… Ballot Question Tax Impact