Preliminary 2025–26 budget shows potential $483,000 general fund gap; board hears details on levies and capital placeholders

An administrator for Spearfish School District reviewed the preliminary 2025–26 budget at the May 12 board meeting, outlining revenue and expenditure projections, mill‑levy context and several items the district will monitor before adoption in June.

The administrator said the preliminary packet totaled roughly $30 million in budget pages and described a worst‑case scenario in which general fund expenditures could exceed revenues by $483,000. He flagged a projected special education shortfall of $37,005.71 (and 11¢ as read aloud) and said conversations continue among district staff about expenditures, revenues and the middle levy before final adoption.

The presentation covered mill‑levy calculations and an assessed value snapshot: the presenter noted county reappraisals totaling about $214 million and stated the district’s total assessed value for the calculation examples at roughly $3,000,000,000. The administrator discussed capital outlay (1.979 in the calculation example) and noted a placeholder increase in capital outlay spending of roughly $789,000 tied to a potential middle‑school track and football field project.

On special education funding the presenter said the district’s current levy for special education is below the state maximum (presenter gave the maximum as 1.462 and reported the district at approximately 1.189), and that difference equates to about $822,000 in revenue the district is not receiving under the current levy level. The administrator also summarized food‑service CPI adjustments (projected 3.7% increase) and that the district will continue to refine numbers before the June budget hearing and adoption.

Board members were invited to submit questions prior to the June meeting; staff said individual line‑item details are available on request and that some numbers are provisional pending final state and county figures.