Chelsea board discusses placing operating and sinking fund renewals on Aug. 4 ballot

Chelsea School District leaders told the board on March 9 that two district millages — the operating millage (day‑to‑day operations) and the sinking fund (facility maintenance, transportation, technology and safety) — are both scheduled to expire with the 2026 levy and recommended placing renewals on the Aug. 4, 2026 ballot.

Superintendent Mike and CFO Nicole Lechner said putting both renewals on the August ballot gives the district an earlier opportunity for approval and the option to return to the November ballot if one or both measures fail. Staff will provide the board with sample ballot language, because newer statutory language allows districts to include transportation, technology and safety in sinking fund language and the descriptions can affect how voters understand the measure.

Nicole told the board the Friday update will include historical millage dates and pass rates for the district so the board can evaluate timing and strategy. Board members asked whether the sinking fund could replace bonds as the primary funding source for bus replacements; staff said it could be an option but deferred to a historical and financial analysis before making a definitive policy change.

Administrators emphasized that the renewal language under consideration is not a tax increase but may include updated eligible uses; staff said educating voters about the difference between operating and sinking funds (operating for day‑to‑day costs; sinking fund for capital and certain replacements) will be part of the outreach plan. The district plans to work with King Media on messaging and will return to the board with recommended language and a formal motion.