Videos & Presentations

Wisconsin’s state model for funding for public schools has not kept pace with the rate of inflation. School districts across the state are unable to maintain essential services in their schools with such limited resources. Many school districts across the region and state, including Milton, increasingly rely on local funding to maintain and sustain programs and services.This has created a system of “haves and have nots” among school districts.  

So that we can continue to deliver high-quality education, and to be able to offer competitive salary and benefits to our staff who are the driving force behind our programming, we will need additional revenue to replace the referendum that expires in 2026. Without this replacement, we face the prospect of significant reductions in our educational opportunities and offerings

After careful evaluation of budget projections and options to address projected revenue shortfalls, Milton's Board of Education has determined that an operational referendum is the most responsible way that our district can be sure to have the resources necessary to maintain our district's high-quality educational programming and top-quality teachers and staff.

Both a recurring and a non-recurring operational referendum increase the amount of revenue districts can raise.

A non-recurring referendum raises revenue authority for a certain number of years and then ends. This allows for temporary authority to meet an identified need.  An issue with these types of referendums is that they do not provide stability for the district for ongoing expenses.  There would be a significant decrease in revenue to the district or a fiscal cliff when it ends - especially if a subsequent referendum is not authorized. As a result, a non-recurring referendum is viewed as a short-term solution.

A recurring referendum raises revenue authority and this amount is added to the district’s base revenue and carries forward into future budgets. This can provide more stable funding for the district especially given that expenses will continue to rise over time.  As a result, a recurring referendum is viewed as a longer-term solution that provides more stability to district funding. 

Once the current non-recurring referendum ends, the School District of Milton stands to lose close to 5% of its operating revenue authority under the revenue limit.  

The Board of Education and administration reviewed several potential referendum scenarios.  A recurring referendum question was ultimately chosen because the future budgetary needs of the school district have grown beyond what a non-recurring referendum temporary solution can address.  By bringing forward a recurring referendum question, we aim to establish a more sustainable and predictable funding plan for the School District of Milton.

The School District of Milton Board of Education has approved a referendum question that will appear on the ballot on Tuesday, November 5, 2024. 

Over the years, the district and board have worked hard to make the most of every dollar residents have invested in our schools. The team has continually identified and maximized efficiencies while maintaining learning opportunities for our students. Examples include:

• Reduced rent costs by moving 4K into our buildings

• Reduced transportation costs by implementing a more efficient system

• Reviewed the need for every position whenever turnover happens

• Redesigned teacher compensation model to remain competitive and improve sustainability

• Annual alignment of staff to student enrollment

• Annual review and adjustments to employee benefits to remain competitive and improve sustainability

• Reduced spending on materials and supplies

• Referendum projects on time and under budget

• Used a portion of our one-time federal ESSER dollars to balance the budget. (These funds were provided by the federal government and were a short-term solution to address gaps. ESSER funds are no longer available for future budgets.)

Fund balance is the difference between the district's assets and liabilities at a point in time. A common misconception is that fund balance is a cash account that corresponds to the district's bank balance. It would be financially shortsighted to deplete fund balance to cover significant, ongoing, and recurring expenses.

Maintaining an appropriate fund balance can save significant money, as it reduces the need to engage in short-term borrowing. Having a stable fund balance also enables the district to maintain a strong credit rating.

If the referendum is not approved on November 5, significant reductions to programs and services will need to be made to balance the district’s budget forecasts going forward. This will have a negative impact on our students, families, schools, and staff. With more than 70% of district expenses going to staffing costs, reductions would negatively impact class sizes, course offerings, and extra-curricular activities.

A lack of predictable and sustainable funding would require significant reductions in staffing and programs on an annual basis. Further budget reductions would make it difficult to maintain the high-quality educational experience our families and community have come to expect from the School District of Milton. In this situation, the Board would need to continue to address long-term financial plans.

Potential budget reductions could include, but are not limited to:

• Wage freeze

• Reduction in workforce

• Benefits plan redesign

• Program reduction / elimination

• Delay / ignore preventative maintenance 

• Collapse roles / responsibilities 

• Close buildings 

• Limiting curricular and extracurricular activities

• % reduction in controllable costs / budgets

Each year, the School District of Milton tax levy is divided by the total equalized (fair market) property value within the school district boundaries and its nine municipalities.  The ratio this creates is multiplied by 1,000 to create what is referred to as the “mill rate.”  The mill rate represents a tax rate per $1,000 of equalized property value.  School districts report mill rates based on equalized value to ensure a uniform distribution of shared taxes across municipalities.

The mill rate is a common measure of representing the rate of taxation by a taxing entity.  Once the proportional share of a school district tax levy is passed on to a municipal entity, that amount is levied on all taxable property within the district boundaries based on their proportional share of a City’s or Town’s assessed property value.

The Department of Revenue calculates a tax credit each year based on total school district levies in the State of Wisconsin.  These credits are automatically applied to individual tax bills and indicated by a box stating “School taxes reduced by school levy tax credit” on your tax bill.  The school levy tax credit is not paid to individual school districts.  State appropriations for School Levy Tax Credits increased by 27% in 2023-24 and 7% in 2024-25.

The City of Milton mailed a letter to residents on August 29, 2024 following a reassessment conducted of all property in the City.  Municipal entities must reassess properties within 10% of equalized (fair market) values at least once every five years per State Statutes.  The letter indicates an average 34% increase to all City of Milton assessed property values since 2021.

School district levy amounts are not impacted by a change in assessed value.  School district levies are controlled by the Revenue Limit, and reported mill rates are based on equalized values.  Changes in assessed values in a given municipality cannot change the amount of a school district tax levy.  Once a tax levy is filed with the City of Milton for School District of Milton taxes, assessed values will be used to determine individual tax bills.  

An excerpt of the City of Milton’s letter is reproduced with permission below for clarity of their messaging to residents:

“Your increase does not necessarily mean your taxes will go up. In a reassessment the mill rate drops about the same amount that the average assessed value has increased. The average increase was 34% therefore; the mill rate will decrease approximately 34% before budget increases are made. Any tax increase due to budget increases result in a tax increase whether a reassessment was done or not. In other words, a reassessment does not raise taxes; it only distributes the tax load more fairly.

Assessed values are periodically adjusted to keep them in line with current market trends. The net result of these adjustments is more accurate and equitable assessed values. The amount each assessed value was adjusted depends on how certain market conditions affect various types of properties. Because no two parcels are identical, changes in assessed value will vary from property to property. The trend has indicated an average total increase of 34% over the past 3 years.”

For more information, please visit https://www.milton-wi.gov/AssessmentInformation