The Mankato Area Public Schools Board voted unanimously to renew the operating referendum. Most of the discussion took place during the April meeting. There were no public comments at the May 4 meeting.

At the May 4 school board meeting, Board Member Baker noted that the district has implemented approximately $19 million in budget reductions in recent years. The finance committee will likely be proposing an additional $1.8 million in reductions and account adjustments this summer, none of which would affect staffing, and plans to use a portion of the district’s reserves to help close the gap. The board will need to have serious conversations about what comes next. . .In order to operate the district from a position of financial strength and sustainability. These comments start at about minute 58 : https://mankatoaps.new.swagit.com/videos/384755#26729240

The operating referendum generates roughly $5.5 million per year for the district (page 8 of district presentation). Renewing it ensures that this funding continues rather than expiring. Without it, the district’s financial outlook becomes more severe.

District projections show that without the levy, the district would face (first slide below):

• Over $60 million in required plan changes by 2031
• A projected unassigned fund balance near -$48 million

With the referendum in place, the outlook improves (second slide below):

• Plan changes still needed: ~$46–47 million by 2031
• Projected unassigned fund balance: ~ -$34 million

This represents a meaningful improvement. However, it’s important to note that these projections assume no additional action is taken by the board over the next five years, which of course will not be the case. There will be additional adjustments in the years ahead.

These updated forecasts were provided by the district and differ slightly from the versions available in the link included in April presentation materials (page 14).

Five Year forecast with no Levy:

Five Year forecast with Levy:

From the April and May Referendum Presentation

From the April Referendum Presentation: