HUTCHINSON, Kan. – The USD 308 School Board learned Monday that even with $460,720 in budget cuts, the new state block grant funding program for schools will result in USD 308 taxes increasing by 4.194 mills for 2015-16.
Before the regular board meeting, Lori Blakesley, district executive director for fiscal management and business operations, gave an overview of the budget during her annual budget workshop.
While the mill levy rate is up compared to 2014-15, it remains below the 2013-14 levy. The 2013-14 levy was 60.183 mills, 3.903 mills more than the proposed levy of 56.28. The mill levy dropped for the 2014-15 school year because of state-provided equalization money for the district’s local option budget. Later in the school year, a portion of the promised equalization money was reduced by the state.
The block grants approved by the 2015 Legislature essentially froze general state aid at 2014-15 levels and then reduced that amount by 0.4 percent. Equalization aid to pay low-wealth districts was reduced between 3 and 28 percent. Equalization for any increase to capital outlay or local option budget will not be paid by the state under the block grant. This means a higher mill levy increase for local taxpayers for planned local option budgets.
To cover the rising costs of inflation, local boards of education are faced with budget cuts or local mill levy increases as well.
The board approved the budget for publication. A formal hearing on the budget is set for 7:05 p.m. on Aug. 10 at the Administration Center.