Oak County school finances look tight as proposed boat‑tax bill could cut $2.6M

The School District of Oak County Board of Trustees heard a midyear financial briefing on March 9 that underscored narrow margins and a possible hit from state tax policy. Finance director Mr. Shikling said January tax collections (received in February) accounted for roughly $35.5 million of the district’s $59 million general‑fund budget and that seasonal receipts are critical to cash flow.

A trustee raised House Bill 3858, citing a news article that estimated Okone County could lose about $2.6 million if the bill’s changes to boat taxes are implemented. Mr. Shikling said the district is heavily reliant on property‑tax revenue and described two broad ways to respond if that loss is real: ask the county to allow incremental millage increases or seek targeted expense reductions. “When any value of property is removed from or exempted from having to pay a tax … the remaining properties pick up whatever that burden was,” he said, explaining how exemptions shift the tax burden.

Finance staff also walked trustees through enrollment and staffing projections that feed the budget. The district’s projected K–12 enrollment for next year is about 9,421 students (not including roughly 400 pre‑K/4K students), a decline of nearly 400 pupils from prior projections. That enrollment picture drives a calculated net reduction of about 16.5 full‑time equivalent classroom positions under the district’s staffing ratios (about 18.5 students per teacher in elementary, 18 in middle school, 23 in high school).

Special education was highlighted as an area of modest growth and staffing pressure: staff reported roughly 235 FTE in special‑education roles and 11 current vacancies, with the district contracting services (speech, behavioral supports) where certified hires are hard to find.

On midyear projections, staff reported a modest favorable variance on the revenue side — roughly $1.7 million — driven by stronger-than-expected local tax collections and conservative budgeting in other lines, and estimated a roughly $2 million positive position when contractual and supplies variances are netted. But presenters and trustees repeatedly warned the picture is fragile and that state aid and pupil counts could change the outlook.

Trustees asked for county engagement on tax‑policy changes affecting school revenue and emphasized the district should be at the table when county or state actions affect property‑tax bases. Board leaders also asked staff to continue providing clear midyear updates as state aid notices and final pupil counts arrive.

What’s next: Administrators will continue monthly reporting to the board, model scenarios to respond to any confirmed revenue reductions from state action, and incorporate updated pupil counts when the 135th‑day totals are available.