Whitewater Times

The Elkhorn Area School District is facing a significant budget deficit, with a projected $8.7 million shortfall by the 2027-28 school year. To address this issue, the district formed the Financial Stability Ad Hoc Advisory Committee, which included various stakeholders such as district staff, parents, School Board representatives, and community members.

Committee members delved into the school district's budget and financial needs, learning about the sources of funding, expenditures, and the history of school finance in Wisconsin. As highlighted by a committee member, "Our expenditures grow year after year despite having the lowest per-pupil spending rate in our area." The district relies heavily on personnel costs, with over 75% of expenditures allocated to this area.

The history of school finance in Wisconsin, particularly the impact of revenue cap restrictions imposed in 1993, has contributed to the current funding challenges faced by districts like Elkhorn. As noted, "Wisconsin legislators increased school funding in alignment with the Consumer Price Index for 16 years. However, the practice ceased in 2009, leading to inadequate state funding and forcing school districts to seek referendums to bridge financial gaps."

In response to the budget shortfall, the district has implemented cost-cutting measures, including limiting wage increases for teachers and support staff, freezing administrator salaries, and altering employee health plans. The Financial Stability Ad Hoc Committee presented recommendations to the School Board, emphasizing the importance of closing the budget gap, implementing a recurring operational referendum, focusing on debt service prepayment, and maintaining a strong fund balance to minimize borrowing costs.

The School Board is considering the committee's recommendations, including the possibility of a recurring operational referendum in November. It is crucial for the community to get involved and advocate for increased funding for public education. As stated, "A quality educational system strengthens our community."

In conclusion, a collaborative effort involving the school district, community members, and legislators is essential to address the financial challenges faced by the Elkhorn Area School District. By working together, the district can strive towards financial stability and continue to provide quality education to its students.