Agenda

  • Introduction
  • Why are we here?
  • Background
    • What does the referendum currently support?
    • How does the district manage its money?
  • Operating Levy Proposal
  • Q & A

Continuing Community Investment to continue defining excellence

Proposed Levy Renewal and Increase


SUSTAIN Quality

  • Community expectations for high quality learning programs and services


MAINTAIN Community’s Investment

  • Current operating levy of $13.3 M expires June 30, 2018
  • Provides 12% of day-to-day operating budget

Edina Public Schools

Defining Excellence for nearly 160 years

Strategically
focused
on meeting
the needs of

Each and
Every Learner

Our Mission

Guiding district decisions since 1989

The Mission of the Edina Public Schools, working in partnership with the family and the community, is to educate all individuals to be responsible, lifelong learners who possess the skills, knowledge, creativity, self-worth, and ethical values necessary to thrive in a rapidly changing, culturally diverse, global society.

Aligning Resources to Learning to continue defining excellence

Fiscal Stewardship

Prudent approach to managing finances and taxpayer impact

  • Stewardship - AAA Credit rating (Moody’s, Standard & Poors)
    *
    Highest credit rating
  • Transparency - Excellence in Financial Reporting award (MDE)
    * 12 years in a row
  • Management - $8.5 million in adjustments since 2007
    * Strategies to address persistent budget gap
    * Only 10% of adjustments have come out of direct instruction

Minnesota K-12 State Funding

per pupil formula

student enrollment

$6,188 per pupil
(2017-18 amount)

State General Fund Revenue

x

Where EPS gets its money

General Fund Revenue by Source

Revenue vs. Expenditures

Comparing General Ed Formula increases to EPS expenditures

8/10/2017

1% revenue

1% expense

How EPS spends its money

General Fund Expenditures by Object

How EPS spends its money

General Fund Expenditures by Program

School Property Taxes

Voter-approved Levies (Referenda)

  • Operating Levy
  • Facilities Bond*, Capital Levy (technology)*
    * Cannot be used for general operating expenses

Non-voter Approved Levies

  • Set by state formula
    • Operating capital, transition, community service
  • Authorized by the state based on local need
  • Reemployment, crime prevention, career & technical,

facility leases, integration, long-term facilities maintenance,

extended-day disabled, abatements

Property Taxes and EPS Budget

When property values increase, do they impact ...

Property Wealth of the Community?

How taxes are distributed?

Benefit individual homeowner?
Yes and No - depends on home value

🚫 Increase District Revenue?

Continuing Community Investment to continue defining excellence

Voter-Approved Referendum History

Date

Ballot Question

Result

Status

May 2015

Facilities Bond

Passed

21-year bond

Nov 2011

Operating Levy*

Capital Levy (Technology)

Passed

Passed

Converted to board-approved levy as result of state funding formula changes in 2013

Expires 2021

Nov 2007

Operating Levy

Passed

Expires June 30, 2018

Ballot Question (one question)

The Board of Independent School District No. 273 (Edina Public Schools) has proposed to increase its general education revenue be the following amounts for taxes payable in the years specified:

  • $1,857.46 per pupil for taxes payable in 2018 with an inflationary increase in that amount for taxes payable in 2019; and
  • $2,075.07 per pupil for taxes payable in 2020, with an inflationary increase in that amount for taxes payable in 2021 through 2027.

A portion of these proposed referendum revenue authorizations would renew
the school district's prior authorization
of $1,412.46 per pupil each
year which is scheduled to expire after taxes payable in 2017.


* Referendum authorization applicable for a total of 10 years

Operating Levy Referendum Comparison

if 2017 referendum approved

if 2017 referendum approved

if 2017 referendum approved

Approved
2-step increase in 2015

*current authority

Approved increase in
2015

Estimated Tax Impact (taxes payable 2018)

Taxable Market Value

Estimated Tax Increase

Residential

Monthly

Annual

$ 250,000

$ 7.58

$ 91

350,000

10.58

127

500,000*

15.17

182

700,000

21.25

255

800,000

24.25

291

1,000,000

30.33

364

* Preliminary estimates for additional increase in taxes in 2020 would be approximately $10 per year for every $100,000 of market value.

* median value home

Operating Levy Consequences (YES)

If Operating Levy is Passed

  • Maintain quality of programs and services expected in Edina and prevent $13.3M of cuts
    • NOTE: Even with the passage of the operating levy referendum, the district will continue to address the need to realign resources to learning and address the ongoing budget gap
  • Attract and retain high quality teachers and staff
  • Ensure students have skills they need to be prepared for college, career and life
  • Provide personalized learning opportunities for all students
  • Remain competitive nationally and internationally

Operating Levy Consequences (NO)

If Operating Levy is NOT Passed

  • Budget cuts of over $13 million for 2018-19 with significant reductions in programs and services.
  • District would undertake a community process to identify reductions, likely resulting in:
    • Reduced course offerings
    • Fewer activities and program options
    • Increased participation and other fees
    • Fewer teachers and support staff
    • Reduced professional learning opportunities, and more.

What does $13.3M equate to in EPS?

= 1½ months of daily operating expenses

= 150 teachers (approx. 25% EPS teachers)

= 365 paraprofessionals (> 100% of EPS para staff)

= 200 custodians / clerical staff

= 75 administrators (> 100% of EPS admin)

= More than the annual operating budget of one
EPS Middle School:

    • EPS Elementary Budget = $5.5 million
    • EPS Middle School Budget = $12 million
    • EHS Budget = $19 million

Communications & Engagement

Email - referendum@edinaschools.org l Phone - 952-848-4038

  • District Communications
    • Direct mailings and inclusion in district publications (digital, print, social)
  • Public Meetings
    • Thursday, Oct. 5 at 9:00 a.m. (Edina Senior Center)
    • Thursday, Oct. 12 at 9:30 a.m. (Edina Senior Center)
      * Sponsored by the League of Women Voters of Edina
    • Thursday, Oct. 12 at 7 p.m. (ECC, Room 349)
      * Planning for live stream & interactivity through social media
    • Tuesday, Oct. 24 at 7 p.m. (EHS, Room 222)

Referendum Timeline

  • September - October
    • District Informational Communications Campaign
    • Community Dialogues & Conversations
  • September 22 Absentee Voting begins
    • Early voting available at Edina City Hall
  • Nov. 7School District Election

Copy of Referendum Presentation_Fall 2017-WEB - Google Slides