Janesville board approves 2025–26 budget assumptions, citing conservative revenue and cost projections

The Janesville School District Board of Education on Jan. 14 unanimously approved the district’s 2025–26 budget development assumptions, adopting conservative revenue and expense assumptions ahead of a deeper budget workshop at the end of the month.

Business and finance staff presented a set of assumptions the board will use to develop the 2025–26 budget, including an assumed per‑member revenue limit increase of $325, a low revenue‑limit floor of $11,000 and an estimated membership of roughly 9,100. The presentation said the district is modeling a 3% CPI‑based wage increase (net assumed approximately 2.5 percent), a 12.5% increase for health insurance costs, a 4% increase for student transportation and a 4% increase in utility costs.

District finance staff told commissioners the current consolidated forecast showed a projected deficit of about $932,000 under the preliminary assumptions, but administrators noted a recent board action to defease WRS (Wisconsin Retirement System) debt — described in the meeting as paying off debt "just shy of $5 million" — moved funds from debt payments back into the district’s general operating fund and substantially improved the district’s outlook. Finance staff said the defeasance is why the forecast shifts from that deficit to a mild surplus when modeling the move.

Why it matters: The assumptions set revenue and expense guardrails before the district finalizes staffing, programs and fund‑level allocations. Board members and administrators said they plan a deeper workshop on Jan. 28 to drill into fund‑level details, athletics, benefits and other program budgets.

Other details from the presentation: - Enrollment vs. membership: Finance staff reminded the board that membership — which drives revenue limit authority — differs from enrollment (for example, 4‑year‑old kindergarten is counted differently for membership). The packet used a membership estimate of approximately 9,100. - Peer districts and associations (WASBO, WASDA) are generally modeling conservatively; the superintendent and finance staff said they expect additional state budget discussion after the governor’s proposal in February. - The district continues to evaluate health plan options; benefits staff are seeking national carrier bids as a comparison to local plans. Final plan renewals and plan costs were not available at the time of the presentation.

Board action: A motion to approve the budget assumptions carried unanimously (voice vote), and staff said they will present more detailed fund‑level information at a Jan. 28 budget workshop and in a workshop packet.