Byron school board considers levy options

A combination of budget miscalculations and rising costs have residents of the Byron School District facing a likely Operating Referendum vote in this November’s General Election.

The Byron School Board met for a work session Monday night to consider the options in reducing the budget shortfall with a vote on whether to place the tax levyon the November ballot scheduled for next Monday’s board meeting. If the Operating Referendum is approved, it will be the first time that Byron schools have had a tax levy for operating expenses.

In a presentation to board members, Supt. Mike Neubeck said that the district needs to have an Operational Referendum now because the budget miscalculations led to a more than $1.5 million shortfall for the 2023-24 school year. In addition, increasing insurance costs, future mandates from the state, inflation, and receiving only a two percent increase in funding from the state will require additional budget reduction measures.

In addition to future inflation costs, Neubeck cited the Paid Family Leave Act starting in January 2026, Earned Safe and Sick Time costs, Science of Reading training for teachers, contract negotiations and aging buildings/facilities as future expenses.

The district has already made substantial reductions to the 2024-2025 budget, but more action is needed to resolve the situation in the long run and get the district’s Fund Balance back to 8 percent. The balance is currently at 3 percent, Neubeck said. If that balance reaches a negative 2.5 percent, he said, the district will find itself in Statutory Operating Debt.

A levy referendum is necessary, Neubeck said, because the district cannot resolve the problem with budget reductions alone.

“We can’t cut our way out of the deficit,” he said.