W elcome to The School District of Wabeno Area Two Cents Event March 2014

Information to Share Tonight Discuss the sequence of events that have led us up to this point in time Discuss the sequence of events that have led us up to this point in time Impact of Revenue Limits and Declining Enrollment Impact of Revenue Limits and Declining Enrollment We have delayed the need for referendum as long as possible We have delayed the need for referendum as long as possible First referendum attempt First referendum attempt Review Forecast of School Budget Review Forecast of School Budget With Referendum With Referendum With No Referendum With No Referendum Discuss what my happen in the future if the referendum doesn’t pass Discuss what my happen in the future if the referendum doesn’t pass

Revenue Limits and Declining Enrollment How school budgets were determined before revenue limits How school budgets were determined before revenue limits Long-term affects of state mandated revenue caps and declining enrollment Long-term affects of state mandated revenue caps and declining enrollment

Districts Around Us Who Have Passed Operating Referendums: Laona Laona Phelps Phelps Rhinelander Rhinelander Three Lakes Three Lakes White Lake White Lake Nrthlnd Pines Nrthlnd Pines Bonduel Bonduel Bowler Bowler Florence Florence Elcho Elcho Lena Lena Wausakee Wausakee

We Have Operated Longer Than Other Districts Without An Operating Referendum Because: We have made cuts/reductions in many places over the past several years We have made cuts/reductions in many places over the past several years Since revenue limits were put in place, we have levied to the limit and spent wisely Since revenue limits were put in place, we have levied to the limit and spent wisely Over the years, we were able to put some money into our fund balance Over the years, we were able to put some money into our fund balance

Current Snapshot of Our District’s Budget We have operated with a deficit budget since We have operated with a deficit budget since We have used money from our fund balance to offset the budget deficit We have used money from our fund balance to offset the budget deficit We are reaching the point where we cannot rely on fund balance We are reaching the point where we cannot rely on fund balance We need to maintain a fund balance to avoid short term borrowing We need to maintain a fund balance to avoid short term borrowing

Referendum 2013 The referendum we had on the ballot in 2013 was for significantly more dollars. The referendum we had on the ballot in 2013 was for significantly more dollars. The 2013 referendum was defeated by 35 votes. 521-YES 556-NO The 2013 referendum was defeated by 35 votes. 521-YES 556-NO Many people said that they did not support the 2013 referendum because our fund balance was too large. (Too much money in the bank) Many people said that they did not support the 2013 referendum because our fund balance was too large. (Too much money in the bank) Then, if we have to go to the taxpayers for an operating referendum for the school year, there should be little, if any, increase in the mil rate. Then, if we have to go to the taxpayers for an operating referendum for the school year, there should be little, if any, increase in the mil rate.

Referendum 2014 We are asking for significantly less money. We are asking for significantly less money. We would continue to use our fund balance in addition to referendum dollars. We would continue to use our fund balance in addition to referendum dollars.

Budget Forecast With Referendum

Budget Forecast Without Referendum

What Happens if the Referendum Does Not Pass? Try again one more time in April 2015 Try again one more time in April 2015 Make decisions in January/February 2015 about budget cuts for the school year. These cuts would have to equal approximately $1.6 million Make decisions in January/February 2015 about budget cuts for the school year. These cuts would have to equal approximately $1.6 million Other possibilities Other possibilities

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