The real work now begins for the Madison School Board as it seeks to educate the community about a school referendum with a little more than two months before Election Day.
The board voted unanimously 7-0 Monday night to go to a referendum to ask city taxpayers to help finance the Madison Metropolitan School District budget.
Upon recommendations by Superintendent Dan Nerad, the board approved a recurring referendum asking to exceed revenue limits by $5 million during the 2009-10 school year, $4 million for 2010-11 and $4 million for 2011-12. With a recurring referendum, the authority afforded by the community continues permanently, as opposed to other referendums that conclude after a period of time.
In an effort to help soften the tax impact of the referendum, an accounting initiative would return $2 million of an equity to the taxpayers in the form of a reduced levy in Community Services Fund, which is used for afterschool programs. The second part of the initiative would spread the costs of facility maintenance projects over a longer period.
Nerad, who started his position in July, was satisfied with the board's decision and is looking forward to getting out in the community to discuss the referendum. A referendum question will be formulated at the board's next meeting Sept. 8 and will be put on the ballot for Election Day, Nov. 4.
"In many ways, our work is just beginning about what needs to be done," Nerad said. "I think what we heard from the board is that there is an understanding about the plan and good support for the plan. We're going to look at this as a partnership and get out in the community and tell the story about this plan and why we're asking the community to understand it.
"There's a good feeling, but at the same time, we're not taking anything for granted. This is an important consideration for both the kids as well as the taxpayers of the community."
If approved, the referendum would add an additional $27.50 onto the tax bill of a $250,000 home, but district officials say the accounting initiatives would decrease taxes for homeowners in the second and third year of the referendum.
The district faces an $8.1 million hole in
the budget for the 2009-10 school year, $4.4 million for 2010-11
and $4.3 million for 2011-12.
Although the referendum seeks $5 million in the first year from taxpayers, that still leaves $3.1 million for the district to handle. This will be accomplished by shifting $2 million from the district's general fund to prevent program cuts, saving $600,000 by decreasing the number of unallocated staff positions at the elementary level and reducing $400,000 through a variety of budget cuts across the district.
Don Severson, president of the school district watchdog and Active Citizens for Education, was one of two people to voice his opposition to the referendum in a public speaking opportunity before the board voted during its meeting in the auditorium of the Doyle Administration Building.
In other public speaking appearances, three other people spoke in favor of the referendum.
Though Severson said the board is doing a good job in building trust within the community, he recommended the board delay its decision on the referendum to analyze education and business plans within the district.
He said board and district officials need to have candid conversations with the public and inform people about the details of the referendum, particularly about the recurring components of the referendum.
"I think it's a hard sell," Severson said. "I think they're going to want more information. There's going to be a number of people who it doesn't make any difference what you tell them, they're going to vote for it anyway. There's going to be a certain number of people, it doesn't matter what you tell them, they're going to vote against it anyway.
"There's a significant number of people in the middle that need to be informed and have accurate information."
In 2006, 69 percent of voters approved three questions, but those questions were structured quite differently. That referendum called for building a new elementary school, Paul J. Olson Elementary School on Madison's far west side; shifting the cost of an addition at Leopold Elementary School from the operating budget to borrowed cash; and refinancing existing debt at a more favorable rate.
In 2005, voters rejected two out of three referendum items. They approved $26.2 million for maintenance and technology initiatives but turned down a $7.4 million annual increase in operating revenue and $14.5 million for a second elementary school on the Leopold Elementary School grounds.
If voters do not pass the referendum, Nerad laid out potential program and service cuts to trim $8 million from the budget in 2009-10. Those plans include increasing class sizes at elementary and high schools, trimming services for at-risk students, reducing high school support staff, decreasing special education staffing and eliminating some maintenance projects.
All seven board members took time before the vote Monday night to discuss their thought process in regard to favoring a referendum. Board President Arlene Silveira said she is hopeful the community will respond in a positive manner to the board's collaboration and decision-making skills.
And she said having a unanimous board also will help build confidence within the community, but being visible and transparent will be critical to make successful steps in that direction.
"Going forward, we have 70 days between now and the election, and we need to focus on community engagement," Silveira said. "We need to tell the big picture story, not 'we need money now.' But the big picture of where the schools are, what our vision is for the education of our children. It is going to be a busy time because we truly want to be visible and community engagement is going to be our No. 1 priority."