Lanesboro Operating Referendum Possible

At their regular June 10 board meeting, the Lanesboro School Board heard a presentation about referendums from Aaron Bushberger, a representative of Ehlers Public Finance Advisors.  A discussion about placing an operating referendum on the next general election followed under the leadership of vice chair Mark Holmen. Both Steve Snyder and Sarah Peterson were absent.

In his presentation, Bushberger went through the tax base by property type. For a referendum, qualifying agriculture does not have to pay for the referendum. The tax rate has been decreasing as the tax base in the district has been growing.

For the year 2025, the average estimated market value of a home in Lanesboro was $261,902. Lanesboro was compared to 13 other area districts. It had the second lowest residential property taxes and the sixth lowest agricultural taxes out of the 14.

The board was reminded that operating levies are for learning while building bonds are for building. The general education formula allowance per pupil from the state has not been keeping up with inflation; each year the gap widens between inflation and the per student funding from the state. In order to bridge that gap, budgets need to be cut and/or an operating referendum needs to be sought. Usually both are done.

Out of 327 school districts in the state, 172 have an operating referendum. Only Lanesboro and Houston Schools out of the 14 area comparison schools do not have an operating referendum.

If a referendum was approved by voters, the revenue would not be available until the fiscal year of 2027-2028. Ehlers had prepared some examples of what the tax impact would be for citizens. A referendum calling for an additional $850 per pupil for a total of $351,174 would cost the owner of a $250,000 home an additional $363 a year in taxes; the owner of a $300,000 home would pay $435 in additional property taxes per year.

August 11 would be the deadline for the board to decide on a referendum in order to get it included on the 2026 general election. Both Fillmore County and the Department of Education need to be notified by that date. Superintendent Matt Schultz reminded the board that the Lanesboro general education fund had a projected deficit of $293,788 for next year. After discussion, the board unanimously approved a motion to ask for a ten-year, $858 per pupil referendum which would provide an additional $350,000 per year. They plan to include an inflationary increase in the referendum. The board would have the option to renew the referendum once for an additional 10 years.

The board plans to seek community input and questions at their July board meeting.

Regular Business

The board adopted the 2026-2027 budget, aware that there was a total deficit of $399,806 between the general fund and community service fund. Schultz reminded the board that they had already made a reduction in elementary staff and increased the daycare rates. Schultz sees the school’s biggest challenge this year to be the increased cost of supplies.

He reminded the board that the budget has been affected by declining enrollment and students opting for PSEO. There are no big projects planned for the summer. Eighty-five percent of the budget goes for people to run the school; Schultz plans to “keep an eye on this.”

The board prepared for upcoming fall school board elections by setting July 14 to July 28 as the dates for filing affidavits of candidacy. A $2 filing fee must be paid at that time. The three positions currently held by Steve Snyder, Steve Storhoff and Kevin Horihan will be up for election. Each position is a four-year term. The school board election will coincide with the general election.

The 2026-2027 non-certified staff rate schedule was approved. Each step of the schedule gets a 2% raise.

MSHSL membership was approved for renewal. Matt Schultz was designated as the school’s identified official with authority for education identity and access management.

The board approved the hiring of Emma JaKobi and Taylor Hanson as daycare employees.

Schultz shared that the choir teaching position had to be reopened. He had learned about a Minnesota Chorale Director webpage and posted the position on it. He assured the board there would be something figured out by fall.