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Brownsburg school officials describe revenue loss, 49 positions cut and ask for $1M to avoid referendum
Summary
Brownsburg Community School Corporation officials told the council they lost flexibility to shift debt balances to operations after 2023 legislative changes and are seeking $1,000,000 collectively to avoid a 2026 operating referendum; the district said planned reductions include 49 positions for next year.
BCSC representatives told the Town of Brownsburg that recent state law changes and reduced flexibility to shift funds between debt and operations have created a budget shortfall the district cannot absorb without cuts or a referendum. The district asked the town and townships for up to $1,000,000 collectively and said that amount would, in their view, avoid placing an operating referendum on the 2026 ballot.
A district official explained that the local property tax rate is split between debt service and operations and that much of the district’s available operating dollars were previously augmented through a protected taxes waiver approved by the Department of Local Government Finance; House Bill 1454 (2023) removed that ability. The official described multi-year shortfalls on the order of roughly $3.5 million in each of several recent years as money the district had been able to shift previously but now cannot.
The district told the bodies it has already planned staffing reductions for next school year if additional funds are not secured: "We're cutting 49 positions, for next school year," the school official said, and listed administrative and support reductions, fewer instructional coaches, and net certified teacher reductions concentrated at elementary levels. Officials said the requested funds would be focused on protecting instructional staff and supporting pay for staff who remain.
School representatives also described advocacy efforts with state legislators and local associations to restore flexibility for reallocation; they said any legislative fix would reduce or end the need to return to local taxpayers but that those outcomes are not guaranteed. The school official said, "We really do feel like if we can get to $1,000,000 dollars collectively, that we will for sure be able to avoid a referendum in 2026."
