About the Operating Referendum
The Kettle Moraine School District has been making cuts for 13-plus years. There is very little left to trim. The Wisconsin state legislature provides districts the tool of referenda to give local communities the ability to define their level of support for schools.
KM's school board unanimously voted Nov. 26, 2019 to allow residents to determine additional revenue through a recurring operating referendum on the April 7, 2020 ballot.
Without passage of a recurring operating referendum, Kettle Moraine School District will need to make more cuts. All areas will be affected.
KMSD hosted KM Budget Forums, which gave community input into the 2020-21 cuts. The forums were open to the public and were held:
- March 2 at Brandybrook Community Center: 9:30 - 11:30 a.m.
- March 3 at Kettle Moraine High School auditorium: 4 - 5:30 p.m.
- March 5 at Kettle Moraine High School auditorium: 6 - 8 p.m.
This is a defining decision for the Kettle Moraine School District.
What is the question on the April 7, 2020 ballot?
Shall the School District of Kettle Moraine, Waukesha and Jefferson Counties, Wisconsin be authorized to exceed the revenue limit specified in Section 121.91, Wisconsin Statutes, by $2,500,000 for the 2020-2021 school year; by an additional $1,500,000 for the 2021-2022 school year; by an additional $1,500,000 for the 2022-2023 school year; and by an additional $1,500,000 (for a total of $7,000,000) for the 2023-2024 school year and thereafter, for the recurring purposes of sustaining educational programming and operational expenses?
What is a Recurring Operating Referendum?
It is not a short-term solution. A recurring operating referendum provides approved funding on an ongoing basis to sustain district operations. It asks permission from voters to exceed the state-imposed revenue limit, on an on-going basis, for the purpose of funding school operations. It is not a referendum to incur debt.
What is the total amount?
KM is asking for what it needs, when KM needs it to keep its schools running as they are, with limited reinstatement of cuts made to the 2019-20 budget.
$2,500,000 for the 2020-2021 school year
+ $1,500,000 for the 2021-2022 school year
+ $1,500,000 for the 2022-2023 school year
+ $1,500,000 for the 2023-2024 school year
...which equals $7,000,000 in sustained funding on an annual basis.
What is the tax impact?
If voters approve the referendum, the current KMSD tax levy rate of $9.63 will increase 15 cents to $9.78 per $1,000 of property value. The rate of $9.78 is projected to remain through the 2023-24 school year (see graph below). Below are the projected ONE-TIME increases, which would be seen on 2020 tax bills:
$37.50 - one-time tax increase for a home valued at $250,000
$45.00 - one-time tax increase for a home valued at $300,000
$52.50 - one-time tax increase for a home valued at $350,000
$60.00 - one-time tax increase for a home valued at $400,000
What will the Operating Referendum fund?
Pay electric bills. Heat and cool buildings. Pay staff. Transport students to and from school. Provide health insurance. Fund sports and extra-curricular activities. Operating referendums are utilized for operating expenses. They are not used to incur debt.
More of the referendum dollars go to Kettle Moraine schools
Unlike taxes paid to the State of Wisconsin, where KM receives just 19 cents back for every tax dollar, ALL OPERATING REFERENDUM DOLLARS STAY IN KM. Referendum provides a local solution to a local challenge, and keeps our money in our schools.
What if the operating referendum fails?
A failed referendum will force KM to make cuts to balance our 2020-2021 budget. Those cuts will come from several areas: staff, programs, services, extracurriculars, and athletics. This is a defining decision for KM.
KM is not alone - operating referenda are the given tool for school districts.
Revenue limits and the Wisconsin school funding formula have not provided adequate revenue for school districts across the state. A local referendum provides districts and their school boards the means to ask local taxpayers for additional funding.
In the past 26 years, the majority of school districts in Wisconsin have passed referenda - 697 in total - to fund operations. Some distircts have passed multiple referenda.
- View the DPI's site and click "Filter Data"
- Review the 697 referenda passed since 1993
Source: Department of Public Instruction