Treasurer warns state funding changes could cut Goshen Local revenue; board discusses outreach to legislators

Treasurer Todd Schenkel told the Goshen Board of Education on Oct. 13 that the district’s operating spending per pupil is about $11,000 and said the state average is roughly $12,000.

Schenkel outlined how Goshen’s share of local property tax revenue is lower than the state average and that, as property values increase, the state funding formula has the effect of reducing state aid to districts like Goshen. "Goshen's share of local property tax revenue is already 13% lower than the state average," Schenkel said, describing how the district makes up the difference with a larger state share and other revenue sources.

Board members heard an extended presentation and discussion about pending and proposed state changes to property‑tax policy and the fair‑funding formula. Superintendent Bill Bailey said versions of the reform discussed in Columbus could have produced an immediate loss of $1.8 million to Goshen in a prior draft and warned of cumulative multi‑year impacts if the changes proceed without offsets. "If they put this through right now, we're 1.8 mil, say, in the hole for this year," Bailey said.

Scholars and the district staff stressed the difference between operating levies passed in earlier eras (owners received a 12.5% rollback in some historical levies) and newer levies, which do not carry the same rollback. Schenkel and Bailey also reviewed that Goshen has not sought an operating levy since 1990’s 1% levy and that local tax effort in the district remains comparatively modest.

The board reviewed a five‑year forecast staff prepared showing the district’s cash balance declining under a status‑quo revenue projection if costs continue to rise while state inputs remain anchored to older figures. Schenkel said the district’s unrestricted general fund balance would fall substantially over five years if revenue growth stalls while expenditures increase due to inflation and long‑term contracts.

Board members discussed options and next steps. They agreed the district should pursue outreach and education with local legislators and the public; the superintendent said he has already met with state representatives and will continue the conversations. The board scheduled participation in a county legislative breakfast Oct. 24 to press the district’s concerns and authorized staff to prepare materials for community education and possible town halls if the legislative picture changes.

No board vote was taken on levies or program cuts at the Oct. 13 meeting. Staff said any decision to change the district’s budget or place an operating levy on the ballot would come later and after further analysis and public engagement.