Ad hoc budget committee outlines $6.3 million plan of reductions and asks administration to consider use of OPEB funds

The School District of Beloit ad hoc budget finance committee presented a package of recommended reductions and one‑time uses of trust funds to address an estimated $6.2 million operating shortfall and asked the district administration to take the recommendations into account as it prepares the preliminary 2025–26 budget.

Carol Fox, chair of the ad hoc committee, told the board on June 3 that Baird’s estimate of the district deficit was approximately $6.2 million and that the committee used district‑provided averages and staffing figures to build its recommendations. The committee’s financial summary proposed a mix of program and staffing reductions and one‑time funding swaps that together total about $6.3 million in estimated savings.

Key committee recommendations included: - Use up to $1,000,000 from the district’s OPEB (other post‑employment benefits) trust to avoid a proposed teacher pay freeze and allow pay progression for certified staff; the committee said the OPEB trust currently has no active retirees who qualify for benefits and that the trust could be dissolved for this purpose but cautioned this would raise the mill rate in future years. - Use $500,000 of OPEB funds to eliminate proposed insurance premium increases for employees. - Implement the staff‑reduction recommendations previously presented by district administration, including consolidation of certain district‑wide and building‑level positions and a reduction in elementary assistant principal positions; the committee noted that few Wisconsin elementary schools have assistant principals and recommended establishing criteria for when an assistant principal is required. - Restructure central office (COLAC) staffing with a target reduction around $1,000,000 (the committee suggested a 25–30% reduction target range against prior central office staffing projections and noted existing vacancies could reduce disruption). - Targeted reductions or efficiencies in custodial services (estimated $500,000), technology (≈$100,000), and athletics (estimated $100,000) where administrators indicated savings may be available.

Fox said the committee’s totals left a small margin above the $6.2 million target and that the committee relied on administration for implementation details. At the board meeting, Juan Romero moved that the board accept the ad hoc committee’s report and ask administration to incorporate the recommendations into budget planning; the motion asked the administration to consider the recommendations and excluded one set of proposals identified as Exhibit A in the packet (administration said Exhibit A contained a new proposal presented that day). The board voted unanimously to accept the report and request administration consideration.

Board members discussed the proposed use of OPEB funds and noted it would be a one‑time funding source that could increase property tax rates in later years. Committee members and administrators emphasized the recommendations are estimates and that staffing and contract details will determine exact savings. The committee packet and presentation are posted on board docs; the administration will continue drafting the preliminary budget for board review.