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School board to gauge reaction to levy

NEW ULM — The District 88 Board of Education invites community members to its July meeting for comments on renewing an expiring levy.

The board must decide on renewing a 2007 operating levy of $300 per pupil per year by August. It held a brief discussion at the end of Thursday’s meeting, ultimately deciding to wait until the public has a chance to weigh in.

“We as a board, I think, would like to see community members — businesses, farmers, whoever would like, to come forward and come to the meeting, have a discussion with us, let us know what you are thinking,” Board Chair Duane Winter said. “That makes us able to do what the community wants, that is what we are elected for.”

The levy raises $380.48 per pupil per year in local property taxes. It is linked to the Consumer Price Index, which essentially tacks it to inflation (which is where $80.48 comes from).

The levy generates approximately $855,000 annually for the district. If allowed to expire, taxpayers would pay less in property taxes.

Taxes on a $150,000 home would drop by about $86 per year if the levy expires, according to an estimate distributed at the meeting.

If it were to expire, the district would likely not suffer shortcomings in its budget.

“We are pretty comfortable with the numbers we have,” Superintendent Jeff Bertrang. “We are pretty comfortable that we can do it either way as a school district and not affect the programs.”

The primary concern Bertrang raised was the possibility of state funding drying up. He mentioned that state government had neglected to pay the district during previous times of money troubles.

Board policy dictates the district maintains enough unassigned funds in the general fund to operate for 45 days, about $2.7 million.

The board recommends that to meet the policy and maintain room for additional options, that should be raised to about $3.6 million or 60 days of operating costs.

At the end of the 2016 fiscal year, the school had $5.1 million in undesignated funds. It is projected to have about $4.7 million at the end this fiscal year, which ends June 30.

If the board seeks to renew the levy, it would still require a referendum. So the community is free to speak at the July board meeting or at the ballot box.

The board meeting when the levy will be discussed will be held at 6 p.m. Thursday, July 27, in the District Boardroom in the middle school.

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