Beloit School District board adopts balanced 2025–26 budget, approves $16.25 million tax levy

The Beloit School District board unanimously approved the district’s 2025–26 original budget and a total tax levy of $16,248,298 at its meeting on Oct. 27, 2025.

Board President Tia Johnson opened the meeting and noted the adoption must occur after the public hearing and on or before Nov. 1. Doctor Garrison, who introduced the presentation, thanked the business/finance office, administrators, the BEA teachers union and parents and said the administration had worked since June to present a balanced budget. “We were able to meet the board goal as it pertains to bringing a balanced budget to the conversation,” Garrison said.

Finance staff (Elwood) reviewed October 15 state revenue updates that produced final revenue-limit numbers for the district, reporting a final revenue limit above $75 million and membership of 6,207 (four students higher than the September estimate). Elwood said the district added approximately $471,000 to its fund balance for the year and that the district’s maximum revenue limit per pupil is $11,655 (a $325 increase). She told the board the state did not add new dollars to equalization aid for 2025–26 and 2026–27, a shift that increases the local tax burden: “Because they did not add any new dollars to the state pot of money, that pushes all of the revenue limit increase to the local property taxpayer,” Elwood said.

Board members asked for clarification about how the district’s mill rate relates to homeowners’ total tax bills; staff emphasized the district mill rate is only one component of the citywide tax bill. Elwood showed historical mill-rate data and comparative charts indicating the School District of Beloit’s mill rate has been lower than many neighboring districts.

Several trustees asked why independent charter schools and private school vouchers cost more per pupil than the district’s revenue limit per pupil. Elwood said those payment rates are set by state law and that roughly 20–25% of the district’s revenue-limit funds support students attending other options (independent charter schools, voucher programs and open enrollment out). “These amounts are set by the state legislature,” Elwood said when asked why Lincoln Academy and similar programs receive higher per-pupil payments.

The board and administration also discussed the district’s fund structure and staffing. Elwood reviewed key funds (Fund 10 general operations, Fund 27 special education, Funds 38/39 debt, Fund 46 capital improvement trust, Fund 50 food service, Fund 73 OPEB, Fund 80 community service and Fund 99 cooperative programs). She said about 80% of district revenues come from federal and state sources and that the budget supports “a little over 700 jobs” in Beloit. The administration provided a vacancy snapshot dated Oct. 10 and said contracted services fill a substantial share of open positions (about 70% of vacancies at the snapshot date).

Trustees pressed on how unfilled positions from prior years affected current budgets and whether unspent budgeted dollars automatically carry forward to hire staff. Elwood explained the district prepares a new budget each year using prior-year actuals to guide estimates, and that fund balance rises when revenues exceed expenditures; the roughly $471,000 addition to fund balance came from revenues exceeding expenditures, not as a direct carryover of unfilled positions.

The budget the board approved includes a 2.95% salary increase for all staff and an unchanged employee monthly insurance contribution of 4%. Elwood also noted a transfer from the OPEB fund (Fund 73) into Fund 10 of $1.9 million was included in the plan, and that SRO costs were reallocated from Fund 80 back into Fund 10.

Board members asked for additional detail on district debt. Elwood identified two remaining liabilities in district debt funds: the Welcome Center/Kolak building obligation and a 2019 Wisconsin Retirement System unpaid liability. She said Fund 39 has sufficient fund balance to pay remaining debt and committed to a future, more detailed debt presentation for the board.

Following the presentation and discussion, Megan Miller moved — with Amy Levy seconding — to approve the 2025–26 original budget; roll-call votes were recorded as unanimous "Aye." The board then moved to approve the 2025–26 fiscal-year total tax levy of $16,248,298 (Fund 10: $15,248,669; Fund 30 nonreferendum: $936,629). That motion also passed by unanimous roll-call vote. The board adjourned at 6:51 p.m.

What’s next: Administration committed to provide a detailed debt schedule and a follow-up discussion on vacancies and staffing strategies; any material changes to the levy or budget must return to the board for approval.