2 School Levies on the May 7 ballot

With a projected budget shortfall due to the rising costs in general operations, the Three Forks School Board of Trustees voted last week to place two general fund mill levies on the May 7 ballot. After just a 1.5% salary increase in the previous budget, the two levies would also raise the teacher salary base by 5%.

The board voted to place a $504,234 per year levy, approximately 25.31 mills, for the Elementary District and a $176,154 levy, approximately 8.99 mills, for the High School District. Ballots for the election will be mailed out on April 19, with the Three Forks Schools as a drop-off location.

According to information provided by the district, the current shortfall for this school year is expected to be $155,000 between the elementary and high school budgets.

The projected shortfall for next year's fiscal year budget is $318,234 for the Elementary District and $66,154 for the High School District.

In May 2020, voters approved a $25 million bond for a building project that added 38,200 square feet to the district campus. According to Three Forks Superintendent Dr. Rhonda Uthlaut, the construction was funded through a bond initiative strictly regulated by the bond language. The funds can only be used for construction and renovation, not operational costs.

Because of the additional square footage and inflation, the district is seeing rising costs in property/liability insurance, health insurance, gas and electric, phone, internet/data, and additional custodial/maintenance/grounds staff.

Uthlaut provided a historical view of some of the more significant increases in operating costs since the school construction began in 2021. The numbers provided are not budget totals but examples of the more substantial increases the district has faced over the past three years.

Examples of rising costs include an additional $67,500 in health insurance, $95,000 in property/liability insurance, $26,800 in phone service, $20,550 in internet/data, $38,240 in custodial/maintenance/grounds, $57,610 in electrical, $13,400 in gas, and $21,200 in fuel costs. The increased salary cost without the Fiscal Year 2025 added in is $264,944 for the Elementary District and $268,993 for the High School District.

Presented with four options for levies at last week's meeting, Uthlaut said the board approved option four, which will give a 5% increase to the starting teacher salary base. The increase would raise the starting salary from $36,610 to $38,441.

In an interview last week, Uthlaut said they have received six resignations for the next school year and stressed the importance of being able to offer a competitive wage.

"The consistent message we are receiving from staff and new candidates is they cannot afford to live in the Gallatin Valley on the salary offered at Three Forks Schools. We are losing great people who love working at Three Forks Schools," Uthlaut said in a letter to parents and stakeholders.

Regarding the board's decision, Uthlaut said the trustees were very thoughtful about their choice of option four and put very little consideration into the options that would have had a lower salary increase. She added the board was very adamant they didn't want to put a band-aid on the shortfall; they wanted to raise the levies enough so the schools could operate.

The next budget for the Three Forks Schools will not include ESSER Funds, distributed to schools throughout the U.S. to help districts address the impact of the COVID-19 pandemic.

The Three Forks Schools have used the ESSER funding for a new playground structure, replacement windows for improved ventilation, counseling and behavior support staff, cleaning supplies and equipment, and summer and Friday programming. The ESSER funds were also used for technology-related items, including clear touch boards, Chromebooks, and networking equipment.

Uthlaut said the district has used the ESSER funding wisely to help offset operational costs but will no longer have this source of revenue due to government final funding allotments.

According to Uthlaut, the district has also been forced to use reserves to cover operation costs.

"This is not sustainable, and the district can no longer operate without either a levy increase or a substantial reduction in staffing and programming," Uthlaut said.

The Three Forks Schools have not passed an operational levy since 2017.

Uthlaut said while many districts have reached their maximum levy capacity with prior increases, Three Forks is currently operating at 87 to 88% levy capacity in both districts.

"While many other districts are forced to cut staff and programs, Three Forks Schools has the option of passing a voted levy that will provide for a balanced budget as well as a modest salary increase that may help retain and recruit quality staff," Uthlaut said.

The combined total of $680,388 for the two levies was well below the maximum allowable levy amount of $867,626.

If successful, the Elementary Levy would have the following increases for homeowners:

· $100,000 Market Value Home $34.17 per year ($2.85 per month)

· $200,000 Market Value Home $68.34 ($5.70 per month)

· $300,000 Market Value Home $102.51 per year ($8.54 per month)

· $600,000 Market Value Home $205.02 per year ($17.09 per month)

The High School Levy would have the following increases for homeowners:

· $100,000 Market Value Home $12.14 per year ($1.01 per month)

· $200,000 Market Value Home $24.28 per year ($2.02 per month)

· $300,000 Market Value Home $36.42 per year ($3.04 per month)

· $600,000 Market Value Home $72.84 per year ($6.07 per month)