Shorewood board hears 2025 budget assumptions; faces enrollment decline, possible referendum

Shorewood School Board members heard a detailed presentation on March 11 about the district's 2025 budget assumptions and a five-year financial forecast that projects falling enrollment and rising per-student costs.

The presentation, led by district finance staffer Heather, said the district is projecting about a 2.5% enrollment decline for next year and warned that, if current assumptions hold, the district could face an operating shortfall in later years. Heather said the district will assume the $325 per-pupil revenue limit increase that has already been enacted will remain but is not counting on other proposed state increases such as additional per-pupil aid or increased special education reimbursement.

Those assumptions informed a model showing expenses rising about 3% annually while per-student costs could increase 4%–5% a year as enrollment falls. Heather said the district's preliminary five-year forecast shows surpluses tightening through 2028 and a possible net fund-balance decline in later years if no additional actions are taken.

Board and staff discussed three broad responses being evaluated: increasing open enrollment to attract more students; studying school reconfigurations or consolidations (grade-span changes) to…