Greenbush Middle River School District Public Forum Meeting Proposed Operating Levy

Purpose of meeting Discuss Proposed Operating Levy Ballot Question What am I voting for? Why is district seeking approval? How will funds be utilized? How does outcome of vote impact our district? Tax Impact

Proposed Operating Levy Ballot Question On August 15th the Greenbush Middle River School Board after reviewing multiple options for increased Operating Levy voted unanimously to approve a proposed Operating Levy which would revoke and replace existing levy. Board Members voting in support: Mr. Kilen, Mr. Nelson, Mrs. Howard, Mr. Melby, Mr. Robinson, Mr. Stenberg and Mrs. Stromsodt. Greenbush Middle River School District is asking district residents to consider “Replacing and Revoking” existing Operating Levy.

Current Operating Levy Current voter approved Operating Levy is $806.05 per pupil. Existing Operating Levy generates approximately $336,929 annually.

Proposed Operating Levy Proposed Operating Levy authority is $2,320 per pupil. Net increase of $1,513.95 per pupil. Operating Levy if approved will expire after 5 years. If approved, proposed Operating Levy will increase revenue to district by approximately $600,000.00 annually for 5 years.

How does outcome of Vote Impact our district? If proposed Levy is not approved….existing Operating Levy authority of $806.00 per pupil will remain in place. Existing authority will remain in place until completion of FY22 If proposed levy is approved…..existing Operating Levy will be revoked and replaced with Operating Levy authority of $2,320.00 per pupil.

Why is Greenbush Middle River School District seeking approval for an increased Operating Levy? Additional revenue is necessary to bridge the funding gap and required operating expenditures on an annual basis. Additional revenue is necessary to meet the many needs of our School District. A general decline in enrollment has been a trend of the Greenbush Middle River School District over many years with few exceptions. Additional Levy revenue would offset the loss of revenue due to decline in student enrollment and assist in meeting the expenditures associated with operating our district on an annual basis.

How may funds be utilized Additional revenue will be utilized for operating expenses as well as make upgrades and improvements within our district. Examples of necessary improvements include but may not be limited to: Building repairs: Roof, Boiler, Building Security (re key/replace building locks, classroom locks where most needed, Parking Lots, upgrade Fire Panel/Alarm System, Security Camera System Technology: Improvements in student computer labs and increase student access to technology in the classroom. Capital Improvements: student desks, curriculum updates Transportation: School Bus Fleet and District Fleet Vehicle(s) Locker Room / Shower Facilities

What IF Levy is Supported… If Levy passes tax impact will occur during the 2017 tax year and Greenbush Middle River School District will begin to receive additional revenue during the 2017-2018 academic year. Levy dollars are considered General Fund Revenue and can be utilized as needed by a School District.

What if levy is not supported District will continue to monitor operational needs and make improvements that are necessary. Reductions in expenditures will take place as needed to increase necessary available funds to make improvements.

Examples of Operating Levies in place Currently there are 332 School Districts in the State of Minnesota 328 School Districts receive Referendum Revenue Districts across the state are dealing with a funding gap As a result of funding gap districts are: cutting budgets, seeking additional referendum revenue (or both)

Existing levies in School Districts* *as reported on the MDE website District Levy Greenbush Middle River $1243.00 Badger $1894.00 Clearbrook Gonvick $1088.00 Kittson $3846.00 Warren Alvarado Oslo $2624.00 Tri County $3200.00 Lancaster $3277.00 Marshall County Central $1430.00 Goodridge $2351.00 Grygla $935.00 Stephen Argyle $1795.00

Referendum comparison

Existing Levies in School Districts Data represents a total of “Local Optional Revenue” as well as voter approved levies Data regarding existing levies may be found on Education Minnesota Website

Tax impact If approved ….taxes for the proposed referendum will be based on the value of the house, garage and ONE acre of land. There will be no referendum taxes paid on the value of agricultural land and buildings. No referendum taxes are placed on seasonal recreational residential property (cabins) Operating Levy Revenue qualifies for State Equalization Aid If approved…approximately $455,000 would be generated “locally” and $145,855 would be result of State Aid. (based on existing State Formula and can change slightly on an annual basis)

Tax Impact

Current Total school taxes on $100,000 home

In Closing…. District residents will determine outcome of vote on November 8th Questions…