Springfield SD board approves proposed 2026–27 budget; recommends one‑time use of reserves to cover $595,183 shortfall, OKs meal price increase

The Springfield School District board approved the proposed final general fund budget for 2026–27 at the April 23 meeting after a presentation from Dr. Hepp that outlined revenue and expenditure trends and a recommended one‑time use of reserve funds.

"Our recommendation is to borrow rather, spend down our reserves to balance the budget at a cost of $595,183," Dr. Hepp said, summarizing the district’s recommended approach to a structural shortfall for the coming fiscal year. He presented estimated expenditures of $96,739,764 and estimated revenues of $96,114,581, producing the cited structural deficit of $595,183.

Hepp told the board the district projects a 2.3% increase in state funding but a 21% decrease in federal funding; federal funds account for just over $1,000,000 of the district’s revenue, so the dollar impact is smaller than the percentage suggests. He also highlighted a net loss in billable assessment across Springfield and Morton of roughly $62,000,000, which he said would reduce local tax revenue and is the single largest fiscal pressure for next year.

The presentation proposed a 2.95% millage increase, which Hepp said is below the state Act 1 index of 4.8% and consistent with historic year‑over‑year increases. He described a package of one‑time accounting moves (moving certain one‑time capital items into assigned or committed funds) and personnel adjustments that helped realize about $300,000 in salary‑related savings.

The board also approved a one‑year renewal with Compass Group USA’s Chartwells division for food‑service management (July 1, 2026–June 30, 2027) with a guaranteed $15,000 surplus to the district and an administrative fee change from $0.1131 to $0.1161 per meal. Separately, the board approved a 25¢ per‑student meal price increase and a 5% increase on à la carte items; district presenters said the new prices remain below the averages for comparable districts served by the vendor.

Board members raised no procedural objections and the motions carried by voice vote (9–0). Dr. Hepp noted the board will present the final budget on May 14 for adoption of the final budget and the tax levy.